The dissension between Air Mauritius and the hotel industry, which were passing the buck to one another concerning responsibility for the flagging tourist sector, seems to have been defused. Thanks to a meeting called by prime minister Paul Bérenger, all stakeholders have agreed on a jointly financed “special marketing plan” for twelve months.

The release of a survey by De Chazal Du Mée for the Association of Hotels and Restaurants of Mauritius (AHRIM) had cast a chill and created a tense atmosphere in the sector. The meeting aimed at nipping in the bud the crisis between the various players.

According to the report, the country registered only 0.2% growth in tourist arrivals for the first semester. It is expected hardly to reach 1% by the end of the year and to remain thus for the next two years.

Who is to blame? The air access policy or the high prices of hotel rooms ? According to the national airline company, it is high time for hotels to review their tariffs. “The exaggerated price of the room is a brake to the competitiveness of Mauritius as a destination.” However, the hotels, as such, seem to be less affected by the low rate of tourist arrivals. “They have their customers, know the market and realise good economies of scale. But the hotels that will soon be coming into the market will have to face big challenges”, explains AHRIM president Arnaud Martin.

<B>Air access or hotel industry?</B>

Air Access policy, then? According to DCDM, the low growth in tourist arrivals was due to expensive air tickets, the restricted number of flights and low seat capacity of the national airline. Air Mauritius refused to accept that the problems of the tourist sector were due to air access and blamed the hotel industry.

Air Mauritius was not the only one to question the conclusions of the DCDM report. The minister of Tourism himself had expressed his dissatisfaction with the report. “I am not impressed by this report, which only notes the problems but does not analyse the reasons behind them or propose any solution,” Anil Gayan said. The Mauritius Tourism Promotion Authority also refused to concede that the sector was facing tough times.

The minister has nevertheless taken measures to promote tourist arrivals. Visitors from India, China, Jordan or Lebanon will no longer need an entry visa. Likewise, promotion campaigns in China and India as well as targeted actions in England and France will soon be set up. The authorities will gradually open air access and could allow transits of big airline companies. The report must have had its effect in spite of what the minister said.

However, what finally settled the dispute was the last minute meeting with the PM. It was definitely a sign that the authorities are taking the difficulties in tourism seriously.

<B>Special marketing plan to boost sector</B>

Like the Test for the textile industry, this meeting aimed at finding a solution in a state of emergency. It has definitely helped to soften the stand on both sides. “The meeting was very positive. It allowed a consensus on the direction we intend to take. We must take action now if we don’t want to face more problems in the future,” the director of the Joint Economic Council, Raj Makoond, declared.

The stakeholders left the meeting relieved and optimistic about the future. The plan concerns the next twelve months but the stakeholders are trying to publish it in one month to optimise its results. They are already studying possibilities for the air access policy. Newly appointed AHRIM director Dan Bundhoo will certainly have a lot on his plate.

The tourism sector has actually been facing difficulties for a few years. The latter had been attributed to the international context but they could well have been due to unsatisfactory promotion and the air access issue. The “special marketing plan” is the first material step to boost the sector. Good sense has prevailed… Better late than never!