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Do not let protectionism kill sea tourism

23 June 2011 / 18:06:32  GRReporter
6296 reads

Maria S. Topalova

Sea tourism is the fastest growing type of tourism in the world. It is particularly important for Greece. According to a recent research by the consulting company MacKenzy & Co, commissioned by the supervisory Troika of the European Commission, the European Central Bank and the International Monetary Fund and which is to be presented in coming weeks, tourism could contribute to the increase of the Greek GDP as much as all other industries put together.

"There is no doubt who would be the world leader in cruise tourism if everything in Greece was done as it should be done. After many years of inaction the government has finally realized that we should abolish cabotage. But like everything in Greece it was done incompletely and wrongly," said Andreas Andreadis, President of the Association of Greek Tourist Enterprises. It has more than 50,000 tourism companies of all kinds. According to Andreas Andreadis, the closure of the Ministry of Merchant Marine is not a step in the right direction. "If the Greek ports had better infrastructure, we would earn half a billion euros more per year. The privatization of ports and their private management could contribute much," he suggests.

However, George Anomeritis, CEO of the Port of Piraeus, is of different opinion. "Years ago cruising was an industry for the chosen because it was very expensive. Now the ships have become larger and the prices of cruises - affordable for many. The outlook is great. But the new dimensions of the shipping industry require new infrastructure. It should be done by everyone, not just by the state. We are expanding the port, adding places for 6 new cruise ships and making a new crossing point for tourists," he said. The manager of the fifth most important cruise port in Europe noted that Piraeus has the lowest price in the Mediterranean region and will keep it. "If there is no hub of Piraeus, there will be no Greek cruise ships. Only a major port can offer all services," said George Anomeritis. He announced that the construction of a congress center at the port will begin soon and he expects the biennial exhibition of ships Poseidonia 2014 to be held there.

"Climate change has made the Mediterranean winter more pleasant than the summer in the northern seas. We could attract tourists from around the world all year long. At the same time, we should not forget the potential of the former socialist countries, which adopted a new model of economic development and will soon have new incomes," he forecasted. Kostakis Louizou, the president of Louis Group, the largest Cypriot cruise company, agreed on the advantages offered by the Eastern Mediterranean and confirmed that all countries in the region understand the importance of the cruise industry for local economies.

"Along with the advantages, there are many challenges in political, economic and legislative terms. The shipping business has huge potential in Greece and that is why we have been working here 56 years. But doing business in Greece is an unclear concept." Kostakis Louizou recalled that his company tried to register 7 ships under Greek flag some years ago, but the Greek government has sued them. The court proceedings can not be completed, because the law is too confusing. The company currently has only two ships sailing under the Greek flag. "Another example is the abolition of cabotage. You can not cancel it and increase port fees for transit passengers from 87 cents to three euros the next day. I.e. more than 300 percent," Kostakis Louizou was indignant. Another problem according to him is the lack of port infrastructure in so popular destinations such as Mykonos and Santorini.

"If Greece wants to benefit from cruise tourism the mentality of all should change – the government, courts, businessmen, tour operators. Whether Greek cruise ships will become number one in the Mediterranean region depends on them," concluded the president of the largest Cypriot cruise company.

Gianni Onorato, president of the Italian shipping giant Costa Crociere talked about the difference in mentality of the Greeks and Turks. He gave as example the port of Izmir, which has developed tremendously in the past years mainly due to local entrepreneurs who are very active and do not miss the opportunity to take advantage of any business initiatives. "We have 100 ships and 2.2 million guests who visit Greece annually. We are part of the future development of that country," insisted Gianni Onorato. He said Greece and Turkey could play a significant role in the future planning of cruises, because they are rich in tourist attractions that are located not far from each other.

"Cruises are becoming larger in order to save operating costs. A new infrastructure is needed not only at the ports but to get to museums, to archaeological sites, to sights. The privatization is part of the solution, which is to reduce operating costs," concluded the representative of Costa Crociere. "Do not be afraid of cruises - 50 percent of tourists who come to a country of cruising then return for the whole vacation," urged another Italian - Pierfrancesko Vago, CEO of MSC Cruises, vice president of the European Cruise Council. He recalled that cruises create 11,000 jobs in Greece and are very important for the development of its economy. But to continue to be a good place for doing business, Greece should be stable, secure, remove the cabotage and the restrictions on non-EU vessels. "Do not let protectionism kill cruise and tourism industry," called Pierfrancesko Vago.

Last year at this time the Greek tourism had reached the bottom due to continuous unrest in the centre of Athens and the negative wave due to the negative publications for the country. "Then, something that has never happened before happened in Greece for the first time. We all gathered around the table of negotiations - government, business, trade unions and NGOs in the industry to name the measures that would make the Greek tourism to emerge from the crisis. As a result, we expect 10% more cruise ships to come here this year and a 20% increase in the tourist flow," said the Minister of Tourism Pavlos Geroulanos. He noted that services in museums and archaeological sites have improved, the informal workforce in the industry has been significantly reduced and that Greece starts making tourists come back from the rival Turkey and Israel.

"The best beaches are in the Eastern Mediterranean, here is the history, only Greece has a coastline longer than that of continental Europe. But we have not yet reached its full potential. We have only half the ports we need. We do not have enough marine shows," he admitted.

Tags: Cruise tourismIslandsShipsPortsPiraeusEconomic crisisCabotage
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