St. Maarten Hospitality and Trade Association (SHTA) had a sobering message in Thursday’s paper: Despite the post-pandemic recovery, in terms of available rooms stayover tourism figures remain below those prior to Hurricane Irma in September 2017.
According to the employers’ organisation, the latest occupancy rates of 72 per cent in April and an average 73 per cent for the first quarter translate to 60 and 61 per cent respectively if applied to the bigger inventory back then. By comparison, the occupancy for April 2017 had been 79 per cent.
SHTA says more funds are needed to promote the destination and points to significantly larger amounts per room spent by the other two Dutch Caribbean countries Aruba and Curaçao. Numbers don’t lie, but the question is where to get this money.
Government, like many others in the region and elsewhere, will reduce its fuel tax by 14 per cent to give motorists relief at the gas pump and already needs to make up for this lost income to stay within the 2022 budget deficit approved by the Kingdom Council of Ministers based on advice of the Committee for Financial Supervision CFT. It is not unthinkable either that liquidity support might even be required from the Netherlands later this year.
Following the passage of Hurricane Lenny, which flooded much of Philipsburg for days in November 1999, a marketing fund was established using – in part – Dutch emergency assistance, simply because that is what would most effectively and quickly provide the socioeconomic boost required. Although times have changed, perhaps the World Bank currently establishing a local office could be helpful in finding ways and means – not necessarily from the Trust Fund it manages – to responsibly realise what may be considered investments in added promotion with probably positive short-term results badly needed by the island’s main industry providing the livelihood for most of its population.
While good reasons to refrain from doing things can always be found initially, on closer examination the pros occasionally outweigh the cons. For example, Dutch State Secretary Raymond Knops did not think the Netherlands should be building prisons in St. Maarten, yet in the end a grant was made available for just that.
Creatively using what few marketing means are left to get more “bang for the buck” during the coming months is obviously priority, but a little extra certainly wouldn’t hurt at this crucial stage. Besides, you generally get what you pay for.
