( L - R ) Cummings, Lynch
AT LEAST one major stakeholder group in the tourism sector has shrugged off speculation that the lifting of a ban on citizens of the United States travelling to Cuba would negatively impact the local industry.
Wayne Cummings, president of the Jamaica Hotel and Tourist Association (JHTA), told The Gleaner yesterday that the lifting of the travel ban should not affect Jamaica at this time.
He also said that, should the 47-year-old US imposed trade embargo against Cuba be lifted, there was nothing to suggest that this country would be at a major disadvantage.
US President Barack Obama on Monday lifted some restriction on travel to the Communist island.
Bracing for a flood
The Associated Press reported yesterday that some travel agents were bracing for a flood of American visitors into Cuba.
However, Cummings said the speculation that tourists might flood to Cuba and hurt the local market might be extreme.
"They are going to have to do a lot of homework. They have a way to go before they develop their capacities in Cuba, whereas we are far more mature in terms of infrastructure and room inventory, among other things."
Last year the Caribbean Policy Research Institute (CaPRI) concluded that a liberalised Cuba would reap big in tourism.
Jamaica, and Cuba signed a Memorandum of Understanding (MOU) last month as part of a targeted approach to benefiting from the cash-rich sector.
Communist Cuba has been shut out by the US by way of a trade embargo for nearly five decades. However, despite the ban on US tourists visiting the island, Cuba is among the top five destinations in the Caribbean, drawing its market from Europe and Canada.
If the US embargo is removed, Rafael Romeo of the International Monetary Fund estimates an increase of between two per cent and 11 per cent in stopover visitor arrivals.
If this forecast is correct, then there could be serious implications for other Caribbean destinations that are heavily dependent on the US markets.
Those destinations might not only lose market share but also valuable tourist dollars, both in terms of foreign direct investments and visitor spending.
Further, these countries will have to increase their marketing budget to break down value chains and attract customers.
Countries most likely to be affected would be the northern Caribbean territories of The Bahamas, The Cayman Islands, The Turks and Caicos Islands and Jamaica.
But Cummings believes now is the time for Jamaica to establish synergy with Cuba for financial benefits in anticipation of the embargo being lifted.
Latino market
He argued that Cuba would be able to attract a large slice of the Latino market, which Jamaica had not been able to penetrate.
John Lynch, director of tourism, in a press release agreed with Cummings, saying:
"Jamaica views the possible easing on travel restrictions from the United States to Cuba as a positive move for tourism to the region.
Any improvements in arrivals to Cuba represent an improvement in arrivals to the Caribbean."
Lynch also pointed out that, "It should be noted that the restriction to be eased, relate to Cuban-Americans, not Americans in general."
According to the release, Jamaica has been in discussions with Cuba for a year and a half, exploring the possibilities of dual destination strategies.
Currently, flights already operate between Jamaica and Cuba.