Welcoming the 38th conference of the Pancyprian Hoteliers Association (PASYXE), which was read by the President of the CTO Angelos Loizou, Mr. Lakkotrypis said that the declining data of the geopolitical scene and the continuing threat of terrorism are appreciated. movement and in particular the region of the Eastern Mediterranean and the Middle East, with which potential visitors connect Cyprus due to geographical proximity.
He pointed out the risk of a chain reaction to the viability of major tour operators due to losses in certain countries with a possible transfer of the negative economic impact to other destinations.
He noted, however, that the Government's efforts to upgrade the tourism product and increase the tourist flow to our country will continue with undiminished intensity.
He also mentioned that 2015 was not an easy year for tourism and that the performance achieved by Cyprus is mainly reflected in the months of November and December. problems in neighboring countries have only a small relationship.
Referring to the increase in tourist arrivals, Mr. Lakkotrypis said that in 2015 there were large increases in tourist inflows from most target markets. From the United Kingdom 19,5%, Germany 30%, Israel 43%, Greece 38%, France 25%, the Netherlands 32%, Austria 35%, Poland 49% and Ukraine 23%. He said the increases outweighed the inevitable reductions in arrivals from Russia and the Nordic countries.
The Minister also said that the actions for quality upgrade of the Cypriot tourism have been concretized and intensified, at a time when they are working in parallel for the implementation of the proposals for reorganization and restructuring of the Ministry, its Directorates and affiliated organizations. In relation to tourism issues, he said, these suggestions concern the improvement of the operation of the Ministry and consequently the CTO, in the design and promotion of the tourism product.
He added that major tourism projects are being promoted that will differentiate Cyprus from its competing destinations such as new golf developments, additional marinas and the creation of a complete casino-resort project.
He added that the Ministry's aim is to substantially improve the air connectivity of Cyprus and to facilitate the entry of visas from countries that are considered net exporters of tourists such as China. To this end, he said, the Government is setting up 5 authorized centers to apply for entry visas with a view to another 10 such centers in the future.
He also referred to the important measures taken by the Government for the implementation by the CTO of the plan to provide sponsorships for the enrichment and modernization of the tourist product with the ultimate goal of extending the tourist season.
He also referred to the Government's initiative to modernize the regulatory framework governing tourism issues in order to facilitate the licensing and operation of tourism businesses.
At the same time, he said, the Government continues to promote actions aimed at expanding the tourist season and reducing the phenomenon of seasonality, by balancing the fees imposed on tourism businesses by local authorities.
He also referred to the implementation of the training plan for employees in hotel units that will choose to remain open in the period November-March 2016.
He appealed to hoteliers to keep units open during the winter and to address the problem of conceding rooms during the summer to new tour operators wishing to operate in Cyprus.
PAUSE: Continue reforms for a more competitive economy
A prerequisite for the success of efforts to further develop the tourism industry is the continuation of reforms that will make the economy and the country more competitive, said the President of the Pancyprian Hoteliers Association (PASYXE).
Mr. Loizidis noted that the wider environment is positive for tourism but also with many challenges, such as exchange rate fluctuations, the continuing fall in oil prices, terrorism and especially "how to function as a state and as a society without the supervision of the Troika ".
"What we have achieved as a country and as an economy in the last three years, shows us the way. It is a condition that we remain committed to the path we have set. "We do not have the luxury of going back to the old days or relaxing our rhythms," he said.
Addressing the trade unions, he called for them to support this effort and show the necessary prudence and restraint required by the times. He also said that it was pointless to announce strikes and called for prudence to return and not to consider that the Troika is leaving and "all is well".
At the same time, Mr. Loizidis referred to four axes on which the effort should be based: the quality upgrade of the tourism product of Cyprus with incentives and expansion of financing options, the most targeted and effective promotion of the country abroad, the extension of its duration the exemption of industries from taxes, fees and other charges that raise the price of the tourist package to non-competitive levels.
Noting that 2015 was a positive year for the tourism industry, Mr. Loizidis noted, however, that despite the 9% increase in arrivals, the much smaller increase in revenue by 3% should be considered.
"This shows that we have not yet gained the competitiveness that our product needs. "We are simply lowering prices to help but at the same time the profitability is disappearing," he said.
He also stated that the negative developments in the competitors of Cyprus destination, on the one hand work positively, but on the other hand exert pressure on the pricing policy of Cyprus.
Source: KYPE