TOURISM 2008

Jamaica’s tourism sector experienced growth of 2.7 per cent during 2008. A total of, 2,856,172 visitors came to Jamaica resulting in income of US$1.871.3 million which makes the sector one of the country’s leading foreign exchange earners. Employment in Hotels and Restaurants decreased to 80, 900 persons compared with 81,875 persons during 2007.

Policies and Programmes

The tourism industry plays a major role in Jamaica’s economic development and as a result plans are in place for current performance indicators to be maintained. One such plan is the Master Plan for Sustainable Tourism Development which sets growth targets in the following main areas:

• Acceleration                                    - ensuring that tourism plays a lead role in

Economic development and continues to serve as a leading industry of the economy by earning foreign exchange and creating employment;

• Enhancing visitor experience -             improving the long-term competitive position of    

the industry and achieving self-sustaining growth based on referrals and frequent visitors; and

• Achieving sustainability                    - improving socio-economic integration by putting

communities at the centre of the tourism processes and helping to preserve Jamaica’s rich heritage and its unique history and culture.

The Tourism Enhancement Fund which was introduced in 2005, is the major source of funding for Government tourism projects. Through this Fund major development and maintenance projects are implemented in resort areas throughout the island. During the year 2008, the product offering increased as three hotels with a total of 2,056 rooms were added to the accommodation sub-industry. A major attraction, Mystic Mountain was also added to the attractions sub-industry. The Hotels Incentives Act (HIA) offers a number of benefits to the hotel sector and during 2008 the Act provided incentives to nine hotels. Additionally under the Resort Cottages Incentives Act (RCIA) four properties benefited. Under the Attractions Incentives programme a total of nine attractions received incentives compared with five in 2007. Of the nine properties, three were new and the remainder represented existing attractions.

Jamaica Tourist Board

Increased marketing efforts by the Jamaica Tourist Board (JTB) have resulted in the island being recognised as a preferred tourist destination. During the year, the JTB concentrated its incentives in five main markets, namely Continental Europe, Latin America, Russia, Ireland and China. These activities were designed to provide Jamaican tourism interests with the opportunity to make Jamaica a preferred vacation destination and increase the growth in stop over arrivals.

Promotional Activities

Promotional activities are very integral to the tourism sector in Jamaica and so JTB continued its involvement in some of the World’s leading travel shows. These included:

• International Tourism Bourse (ITB) Berlin

• China Outbound Travel & Tourism Market

• World Travel Market

• International Travel (IT) & Meeting Expo (ME)

Product Quality Development

The Tourism Product Development Company (TPDCo) is the central agency mandated by the Government of Jamaica to facilitate the maintenance, development, and enhancement of the tourism product. During the year recommendations were made to the Jamaica Tourist Board for 2,187 entities in the tourist industry to be licensed.

Stopover Arrivals

There was an increase of 66,486 or 3.6 per cent in stopover arrivals to the island compared with 2007. This was influenced by an increase in foreign nationals which totalled 1,623,675 from 1,573,267 persons in 2007. Non-resident Jamaicans increased to 143,596 persons from 127,518 persons when compared with 2007. These increases were seen in the first half of the year however, during the last 3 months of 2008 fall-offs in stopover arrivals was noticeable with decreases of 1.9 per cent, 1.8 per cent, and 0.2 per cent respectively. This was due mainly to the adverse effects of the global crisis on the spending power of persons in the main source markets.

Cruise Passenger Arrival

Cruise passenger arrivals declined during 2008 with 90,603 fewer passengers than 2007. The contraction was attributable to a fall in ship calls by 17.5 per cent to 184. During the year only four months recorded an increase in cruise passenger arrivals; these were January, February, October and December. Overall cruise passenger arrivals totalled 1,088,901. Approximately 80.4 per cent of the cruise passengers participated in pre-booked and free lance tours.

Expenditure

Visitor expenditure for January-December 2008 grew by 4.2 per cent and was estimated to US$1,975.5 million. The length of stay for 2008 declined to 9.3 per cent when compared with 9.6 in 2007. Despite the reduction in the average length of stay, there was growth in the expenditure per visitor per day.

Investment

In the accommodation sub-sector the island attracted a plethora of foreign direct investment comprising mainly of Spanish hotels. There was the opening of the Fiesta Group (Phase 1) in July with 1056 rooms. The RIU 1V in Mahoe Bay, opened with a total of 681 rooms and in October the Iberostar Hotel group (Phase 2) in St. James opened with 319 rooms. In addition, construction continued on the following properties:

Product Quality Development

The Tourism Product Development Company (TPDCo) is the central agency mandated by the Government of Jamaica to facilitate the maintenance, development, and enhancement of the tourism product. During the year recommendations were made to the Jamaica Tourist Board for 2,187 entities in the tourist industry to be licensed.

Stopover Arrivals

There was an increase of 66,486 or 3.6 per cent in stopover arrivals to the island compared with 2007. This was influenced by an increase in foreign nationals which totalled 1,623,675 from 1,573,267 persons in 2007. Non-resident Jamaicans increased to 143,596 persons from 127,518 persons when compared with 2007. These increases were seen in the first half of the year however, during the last 3 months of 2008 fall-offs in stopover arrivals was noticeable with decreases of 1.9 per cent, 1.8 per cent, and 0.2 per cent respectively. This was due mainly to the adverse effects of the global crisis on the spending power of persons in the main source markets.

Cruise Passenger Arrival

Cruise passenger arrivals declined during 2008 with 90,603 fewer passengers than 2007. The contraction was attributable to a fall in ship calls by 17.5 per cent to 184. During the year only four months recorded an increase in cruise passenger arrivals; these were January, February, October and December. Overall cruise passenger arrivals totalled 1,088,901. Approximately 80.4 per cent of the cruise passengers participated in pre-booked and free lance tours.

Expenditure

Visitor expenditure for January-December 2008 grew by 4.2 per cent and was estimated to US$1,975.5 million. The length of stay for 2008 declined to 9.3 per cent when compared with 9.6 in 2007. Despite the reduction in the average length of stay, there was growth in the expenditure per visitor per day.

Investment

In the accommodation sub-sector the island attracted a plethora of foreign direct investment comprising mainly of Spanish hotels. There was the opening of the Fiesta Group (Phase 1) in July with 1056 rooms. The RIU 1V in Mahoe Bay, opened with a total of 681 rooms and in October the Iberostar Hotel group (Phase 2) in St. James opened with 319 rooms. In addition, construction continued on the following properties:

• Iberostar, in Montego Bay, St. James

• Palmyra Hotel in, Montego Bay; and

• Seasonal Keys located in St. James

Source: Economic and Social Survey Jamaica 2008 

Updated December 2009