Mention of a departure tax at St. Maarten’s gateways (see Thursday paper) has led to some renewed concern about pricing the island out of the tourism market. “Don’t kill the goose that lays the golden eggs,” is one of the comments made.
Up to now Finance Minister Richard Gibson had discussed such a levy of between 10 and 12 Antillean guilders mainly at Princess Juliana International Airport SXM, but this week he included Port St. Maarten. His argument was that both charge travellers a fee for facilities, but Government doesn’t receive any of this for what it also contributes to their stay in terms of using public roads, etc. It should nevertheless be pointed out as well that – contrary to the Airport – the Harbour Group of Companies does pay an annual concession fee of NAf. 5 million (near US $3 million).
Whatever new levy must take into account what is already collected from international visitors. At the Airport the current amount is $36, so adding to that cost does not seem like a very attractive prospect in terms of price competition with other destinations. If the company – also in light of its financial commitments – can afford to cover the difference and allow its shareholder a part estimated at NAf. 8-10 million based on 800,000-plus passengers per year, that is perhaps the best way to go.
US $7 per head is charged at the cruise terminal, so any departure fee there probably ought to be lower. Adding say $3 would nicely round off the amount at $10, but – again – having the Government-owned company absorb the expense if possible remains the preferred option. In this case 1.7 million passengers could raise $5.4 million (more than NAf. 9 million) per year.
The fact of the matter is that in many countries Government receives at least a share of the fees levied at points of entry. The idea in itself is therefore not unreasonable.
