Coming in from the cold

WESTERN BUREAU:

Jamaica’s winter tourist season has begun with a bang, driven by strong demand resulting from 1.6 million secured air seats and an anticipated 80 per cent load factor.

In just the first eight days, the island welcomed more than 125,000 visitors, marking a significant 1.8 per cent increase over the similar period last year. This robust start translates to 1.3 million visitors projected to earn Jamaica more than US$1.6 billion this winter, said Tourism Minister Edmund Bartlett.

According to Bartlett, the tourism sector’s strong performance ensures stability in jobs and supports the supply chain for the industry, particularly small and medium-sized players who provide goods and services.

The minister highlighted the ministry’s focus on strengthening linkages across sectors like agriculture and manufacturing through initiatives like the Linkages Council.

“These efforts have facilitated unprecedented partnerships between small enterprises and the tourism industry. For instance, this year alone, business transactions through the Agri-Linkages Exchange (ALEX) platform have exceeded J$750 million, enabling small farmers to supply goods directly to hotels across the island,” he shared.

The growing demand for tourism-related supplies, spurred by the addition of new hotel rooms, has created opportunities for increased local investment, Bartlett emphasised, adding how important it was to scale up Jamaican entrepreneurship to meet these needs.

“We want larger Jamaican investors involved in tourism supplies,” he said, noting that this drive aligns with the anticipated rise in arrivals for the winter season.

The industry’s impact on the economy is undeniable, as evidenced by 11 consecutive quarters of economic growth post-COVID, fuelled by tourism expansion.

However, setbacks such as Hurricane Beryl and reduced air capacity earlier this year underscored the symbiotic relationship between tourism and the economy.

“When tourism falls, the economy falls,” Bartlett noted, adding that the return to tourism growth is critical for the recovery and stability of key industries, including agriculture, manufacturing, and services.

Demand still very strong

Tourism’s influence extends far beyond hotels and transportation, impacting energy consumption, water demand, healthcare, and other sectors.

“When fewer visitors come, demand shrinks, and our factories and production output decline. But when more visitors arrive, we expand operations, increase production, and stimulate the economy,” Bartlett explained. Tourism, he concluded, is integral to Jamaica’s market size and overall economic health.

Jamaica’s forecast is in sync with rest of the Caribbean, with new president of the Caribbean Hotel and Tourism Association, Sanovnik Destang, revealing in an interview with The Gleaner on Monday that actual demand for the Caribbean was still very strong.

“Anecdotally, the growth rate in ADR (average daily rates) may not be as strong as 2022-2023,” stated Destang, a St Lucian hotelier, adding that most hotels are looking good for the winter and beyond, indicating a strong year for the region.

He, however, argued that the increasing operating costs and labour shortages remained significant challenges.

“Labour shortages have led to higher average wages, which impacts the bottom line,” he shared, noting also that the main issue is the availability of personnel, with a need to attract more people to the industry.

“There is a need to change the perception of hospitality work and promote it as a diverse and rewarding career,” said the hotelier responsible for one of the best people development initiatives in his country, the ‘Young Leaders’ group.

His counterpart in Jamaica, president of the Jamaica Hotel and Tourist Association, Robin Russell, concurs.

“We are very optimistic with what the numbers look like going into 2025, in fact, they are either on pace with how we started 2024 which was five per cent above 2023 or a little bit better.”

Russell, who operates Deja Resort in Montego Bay, said Jamaica has made up a lot of bookings and interest, coming out of the turbulence it faced the past six months as a result of the storms and the absence of flights.

“There is a lot of interest in Jamaica with the different shows and activities that are happening, including the Vybz Kartel show. We see a little fall-off after new year, which is traditional, because people are going back to school and we see a big pickup after that and strong bookings into summer.”

According to him, summer looks even stronger than it did last year.

janet.silvera@gleanerjm.com