Sir Ronald Sanders is a business executive and former Caribbean diplomat who publishes widely on small states in the global community. Reponses to: ronaldsanders29@hotmail.com

Tourism now accounts for more than 60% of the gross domestic product of the economies of the 15-nation Caribbean Community (CARICOM) and it is a significant contributor to the economies of the US Virgin Islands, Puerto Rico, the French departments of Guadeloupe and Martinique, the Dutch Caribbean islands and the British colonies, Anguilla and the British Virgin Islands. 

While the industry plays a larger part in the economies of some Caribbean countries such as the Bahamas, Antigua and Barbuda and the US Virgin Islands, it is increasingly making a bigger contribution to every economy including countries such as Guyana and Dominica where tourism was not regarded as crucial to economic growth and development.

At the same time, the Caribbean’s share of the global tourist market is declining.  Competition from other parts of the world is stiff both in the quality and cost of service.  Even before the effects of 9/11, Caribbean’s share of the world tourist trade was showing a decline. 

In recent years, the regional tourism industry has benefited from disasters in others parts of the world, such as the Asian Tsunami, and the declining value of the US dollar (to which most Caribbean currencies are tied) against other major world currencies such as the British pound and the euro.

Given the importance of tourism to regional economies particularly in earning foreign exchange and providing tens of thousands of jobs, tourism has indeed become vital to every body’s livelihood in the Caribbean. No one can afford to neglect it.

In the past the CTO and the CHA were inclined to rival each other for a dominant role in the promotion and development of tourism in the region.   The CTO was largely a public sector organisation with its membership drawn from national tourist boards, its funding coming from governments and its governance from government ministers.  The CHA is a private sector body whose members are primarily hotel proprietors. 

Both organisations suffered not only from their suspicion of each other, but from the fact that while decisions were collectively made, they failed to be implemented at national and regional levels. 

CTO particularly suffered from reliance on government funding for some of its projects which, despite the able capacity of its staff, simply could not get off the ground.

Recently, the rivalry between the two organisations has been set aside, and they have worked toward a common purpose – the promotion and advancement of the Caribbean tourism product.  Notably, last year they jointly launched a new logo – the word “Caribbean” in all the vibrant colours with which the region is associated.  The organisations and their members include the logo in all their promotional and administrative material.

Now, they have announced the creation of CTDC, a joint venture commercial venture designed to make profits and to invest in the joint promotion of the Caribbean through a number of new initiatives.  The CTDC should help to address two problems: the need for financing, and machinery to implement the decisions that are made.

Among the planned initiatives is the consolidation of advertising in the regional and international media; instead of buying individually, the CTDC will act as a purchaser for all its members giving it bargaining power to negotiate better prices.  The joint venture company also plans to create an Internet web site for merchandising Caribbean music, arts and crafts, food, rums and other liquors in collaboration with Caribbean firms that produce these commodities. From this website, potential visitors from all over the world would also be able to make hotel and other reservations.

Already, a series of “Caribbean Week” is being planned for major cities the world over which will include not only media focus on the region but accompanying events in which industry players will participate and the public will be invited.  These are being seen not only as promotional events, but also as money earning ventures.

None of this will be easy.   It will require expert planning, superb marketing skills, and experienced management.  But, it is necessary.

World tourism is highly competitive and tourists are now far more discriminating.  The alliance between the regional private and public sectors is vital if the Caribbean is not only to maintain and increase its share of global tourism, but also make tourism in the region sustainable.

The creation of CTDC addresses marketing.  The issues of environment, education and training, economic policies to foster opportunities for greater local ownership, and the creation of firm linkages to regional agriculture are still crying out for more vigorous attention.