Mitchell: Tourism contributed $16b to GDP

TOURISM, Culture and the Arts Minister Randall Mitchell said tourism contributed an estimated $16 billion to gross domestic product (GDP) in fiscal 2023/2024.

Speaking during the debate in the Senate on October 22, Mitchell said according to the World Tourism and Travel Council, this $16 billion was 7.5 per cent of GDP.

He said during the Cricket World Cup, 40,100 visitors arrived on planes between May 23-26. He said of these, 13,380 were residents living abroad, while 26,744 were non-nationals. He said based on exit surveys, those who attended the game spent US$833 per person, including accommodation, transportation, food, etc.

He said in 2023/24, there was a 91 per cent increase in arrivals of cruise passengers. He said as soon as a ship came to shore, the cruise spent US$30,000 on average on pilot fees, port dues and fees, and passenger head tax. He said this excluded bunkering, where it paid for fuel, and services and supplies for their stores.

He said there were 102 cruise calls, 34 more than the previous season, with over 200,000 people, an increase of 104,000 more than the last season. He said the last cruise season generated US$12 million or TT$81 million for the country.

“The 2024/2025 cruise season has already started. For Carnival next year, we will have the Epic Carnival cruise charter which will be here for five days. Last year, the average tourist spend was US$2,500 per passenger and we expect 2,000 passengers.”

Mitchell said several airlines had increased their trips to TT, resulting in an increase in passenger arrivals.

“Copa Airlines now has ten flights per week, up from eight flights, with connections through North, Central and South America. This is an increase of 4,000 seats, indicative of the desire to travel to and from TT. Frontier Airlines travels from Puerto Rico to TT, with three flights a week and a capacity of 8,280 seats per month. They target a different type of passenger, as they are an ultra-low carrier, making travel to and from TT more affordable. They have a connection to 19 other states to Puerto Rico and then TT and we want to use that to attract more customers.

“United Airlines, for Christmas into Carnival will restart the Newark/New Jersey to PoS route for five weeks and we want to ensure that is extended and flights are continued. Caribbean Airlines Ltd has new routes to Puerto Rico and Martinique, and we are exploring connections with Air France to France through Martinique.”

Mitchell said his ministry is creating a facilitating environment for accommodation as this was crucial as part of the travel and destination experience.

He said good quality room stock leads to revenue through foreign exchange earnings, tax revenue, hotel tax revenue, and VAT.

“Hotel occupancy is up. In 2024, Trinidad collected 55 million in hotel room tax, which is charged at ten per cent on rooms, and Tobago collected approximately eight million in room tax.”

Mitchell said in fiscal 2023/2024, contracts were executed for upgrades to Exquisite Villa, Courtyard by Marriott, Tradewinds Hotel and Airport Suites. He said Hadco Experiences reopened Mt Plaisir Grande Riviere Hotel property after a $20 million investment, which created a number of jobs.

The Tourism Minister said work continued on the Maracas Bay Hotel, NAPA Hotel, Hampton Inn in Piarco, Hilton Trinidad and South Park, San Fernando.