While I know this week’s column is going to attract some criticism in certain quarters, I believe we still have to discuss these things and to creatively help mitigate the obvious negative consequences of such decisions.

We are now just days away from the 1st October 2018 imposition of what amounts to a secondary departure tax that our cherished visitors will be forced to pay, if they choose Barbados as their destination of choice.

Every man, women and child, irrespective of age, will have US$70 (currently GB Pounds 54.60) added to the cost of their airline tickets.

Most of us fully understand the reasons why and comprehend that tourism is our main and only significant foreign currency earner, which resulted in few other choices.

What remains incomprehensible is that once again the cruise sector has escaped, or some might say, evaded, any additional tax increases.

Pretty much everything of the potential damage caused by the further tax grab, is speculation, but there are certain inevitabilities. For most of our wealthy visitors, US$70 per person, or US$280 for a family of four, will probably make little difference.

However it would be absolute folly not to fully understand that our traditional accommodation base has changed dramatically over the last few years.

Travel giant Expedia registered the greatest recent growth from their HomeAway brand, one of the main competitors to Airbnb.

With very few exceptions, Barbados will now have the highest airfares within the Caribbean, already charging a US$27.50 departure tax, compounded by VAT (value added tax) on the outbound Barbados flight section.

None of us should dwell under the illusion that we will get the business anyway. People have choices and their own economic circumstances have a profound influence on the destination decision making process.

In the case of the United Kingdom, higher inflation than anticipated, the uncertainty of the ongoing Brexit saga and the substantially lower value of Sterling against the US$, all play a significant part.

There are some little caveats to ease the pain, at least in the British market.

Both Virgin and British Airways have introduced new levels of economy fares. Those either able or willing to forgo a checked piece of luggage will, at least for now, experience some minor savings.

My guess though, this will have very limited appeal, as for most of our lady visitors, part of the anticipation and experience is in packing variable clothing options.

Canny frequent flyers can look out for lower cost alternatives. As a member of American Airlines AAdvantage for over 23 years, I can still buy a one way ticket from Barbados to London Heathrow via Miami for US$52.50, plus 32,500 miles on selective travel dates.

Presumably, the US$70 will be added to that next month?

For a very long time, targeting those who already have sufficient earned miles has been an area that should have received more marketing attention.

This will have to change if we really want to retain market share.

For those on a budget (the vast majority of our visitors), several choices will be considered, including trading down to a less expensive lodging option, reducing the intended length of stay and spending less in the destination at restaurants, attractions, activities, shopping and car rental.

Ultimately, we will be judged by delivered value-for-money and the overall welcome our cherished visitors receive.

55 responses to “The Adrian Loveridge Column – Here Comes the Departure Tax!”

  1. Piece Uh De Rock Yeah Right Avatar
    Piece Uh De Rock Yeah Right

    because Foul Mouth Bill JUST IN CASE YOU DID NOT NOTICE “…The Gross Domestic Product (GDP) in the United States was worth 19390.60 billion US dollars in 2017.

    The GDP value of the United States represents 31.28 percent of the world economy.

    GDP in the United States averaged 6991.52 USD Billion from 1960 until 2017, reaching an all time high of 19390.60 USD Billion in 2017 and a record low of 543.30 USD Billion in 1960.

    I will continue to enlighten you Foul Mouth Bill with another item copied fro the internet

    “According to National Geographic, the United States benefits from an abundance of natural resources, including forests, freshwater, oil and mineral deposits, along with fertile soil. Coal and natural gas resources help to boost the national economy of the United States…”

    Now hold on just a second while I look for the CIA fact book on Barbados’ natural resources…i going come back and paste that as soon as i find it.

    Barbados is a one donkey town called tourism AND WE SHOULD NOT TINKER WITH THE FIRST OPTION.

    Find a second one because once you and Oblong Head EF IT UP, IT CANNOT BE UN _ EFFED UP!!

    Wunna have a feller like Noel Lynch who is a master at marketing tourism product, ASK NOEL what he thinks of this fvcked up idea and if he says that it it worthwhile to tamper with this product while our ASSES ARE BEGGING THE IMF FOR MONEY well good effing luck to all uh wunnah

    Steupseeeee

    Loveridge you see why i does doan write nuffin pun your blogs.

    Every time dere does come de badwords and mek me shame to be in the castle of my skin


  2. Look these knuckle heads have no idea for a recovery plan for barbados
    They rolled out taxation plans but not one thing said about a growth plan
    Now all one hear from the koolaid drinking suck poochers is leave govt alone to finish mashup and brek up
    What business in the world invite competitors to snatch up /steal their best selling product without them having to ask
    Wuhloss muh belly and they cuss sinckler day and night about a decimal point
    Now come to think of it they going give away they bread and butter for free. Lol

  3. pieceuhderockyeahright Avatar
    pieceuhderockyeahright

    @ Mariposa

    It does not take the remarks of an ex prime minister to comment on the idiocy of a US$75 departure tax.

    Someone would have to be a real chvunt not to understand how this idea is going to be deleterious to the mainstay of the Economy – tourism

    But let me also say that, armed as Mia is with her Thought Leaders, euphemism for the dredges of society that the political process in Barbados produces every five years, what else can one expect?

    The reason that Mia’s government will not continue to be a 30 to 0 representative construct in 2023 is very simple.

    EASEMENT!!!

    She has continued in the same vein of Fumbles and Stinkliar and has put the screws on the most fragile in the Barbadian society otherwise called the poor man.

    So all the “pretend increases” for pensioners by 2023 WILL BE ABSOLUTELY KNOWN TO BE SLEIGHT OF HAND!!!

    But watch as wunna start to see what the old man prophecies manifest itself at Christmas with the decrease in spending that the merchants report.

    And the decrease in tourism arrivals that will be experienced by the 2nd quarter of 2019

    Where there is no vision the people perish…

  4. pieceuhderockyeahright Avatar
    pieceuhderockyeahright

    @the Honourable Blogmaster your assistance please with an item that remarks on Former Prime Minister Owen Arthur s recent remarks

The blogmaster invites you to join the discussion.

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