Public and Private Sectors Support Government’s Decision Not to accede to Subsidy Demands by Virgin Atlantic Airways

While there are concerns over the loss of the Virgin Atlantic flight operated from London Gatwick (LGW) to Hewanorra International Airport (UVF), the public and private sectors have arrived at a consensus that the demands from the British carrier were too onerous on the destination. This was made clear at a meeting on Saturday, July 27, 2019 chaired by Tourism Minster Dominic Fedee, at Harbor Club.

During the meeting, some hoteliers subscribed to the view that paying a large subsidy of EC$20 million over a three-year period for the carrier’s 7% global contribution to Saint Lucia’s arrivals would create a ripple effect with other carriers to follow suit.

“In proactively addressing the situation at hand, the Government of Saint Lucia has already commenced dialogue with other carriers from the United Kingdom and will also continue to explore global options for more airlift into Saint Lucia,” said Fedee.

Contributing to the discussions, CEO of the Saint Lucia Tourism Authority, Beverly Nicholson-Doty, said, “We understand the possible impact that the British carrier’s withdrawal can impose on the industry, however the Saint Lucia Tourism Authority is committed to effective ways of building ‘Brand Saint Lucia’ with the investment of additional revenue to increase robust marketing and advertising efforts globally.”

Saturday’s agenda also welcomed questions from the audience, which were met with satisfactory responses. Concerns arising at the meeting include local hotels taking a collective position to Booking.com new website commission policy of 15% on service charges paid to hotel employees.

Hoteliers also provided positive feedback on the recently held seventh annual Saint Lucia showcase, which welcomed 22 buyers from North America who sell Saint Lucia as a primary market.

“The general positive feedback expressed at the industry meeting is encouraging and at the SLHTA we stand ready to assist our sister organizations and our general membership in the development and management of the hospitality industry,” said CEO of the Saint Lucia Hotel and Tourism Association, Noorani Azeez.

Progressing collaboratively towards an improved tourism product, the Ministry of Tourism, SLTA and SLHTA will continue to meet with industry stakeholders to share concerns, ideas and recommendations that would seek to advance tourism locally.