Greater cooperation urged

Opposition spokesman on tourism Gavin Gulia advocated there should be a political link between Air Malta and the Malta Tourism Authority at least during the airline’s restructuring period, because 85 per cent of its passengers were tourists, amounting to 55 per cent of all tourists in Malta.

Dr Gulia said that both MTA and the Malta Hotels and restaurants Association were frustrated that Air Malta had ignored them completely. Hoteliers were concerned that seat capacity on Air Malta could be reduced.

While the government gave a bleak picture resulting from of the fin­ancial crisis, international tourism agencies were predicting an increase of up to three per cent in tourist arrivals in Europe for 2012. He hoped that government predictions were not motivated by Air Malta’ restructuring and reduced seat capacity.

Dr Gulia claimed that the €1 million increase in the MTA’s budget was not enough when nearly €200,000 went for salaries. An increase of €500,000 in overseas advertising was not enough.

The MTA budget had increased by €14 million over the last five years when the number of tourists only increased by 156,000 during the same period. The majority of these tourists came on low cost airlines because they were attracted by the airline’s package. The length of stay since 2005 decreased every year with bed nights decreasing from 9.5 to 8.3 per cent.

NSO figures showed that while tourists increased by 21 per cent over the last 10 years, bed nights increased only by six per cent when it was indicated by the MHRA that maximising bed night translated into higher volumes of tourist expenditure. Hoteliers were paying more in utility rates today when the international cost of oil was less than five years ago. These utility rates were the highest in the EU.

Gross income for tourism per capita decreased by €18 from €865 to €847. In real terms this meant that revenue dropped by 12 per cent.

Dr Gulia appreciated that the Parliamentary Secretary had informed him that a strategic plan for 2012 to 2017 was being drafted. He said, however, that this was still in its inception when this plan was supposed to become operative in three weeks’ time.

He argued also that tourism in Gozo was still in recession with the last growth registered in 2004.