JHTA projects early 2023 before return to normality for hotel business

Christopher Serju/Senior Gleaner Writer

The local tourism sector is not expected to see a return to normality before the second quarter of 2023, President of the Jamaica Hotel and Tourism Association (JHTA) Omar Robinson has said.

This projection comes amid the phased re-opening of some hotels.

There is, however, uncertainty about when the cruise sector will re-open, with September or October being discussed.

This would translate to possibly only two months of cruising, with reduced capacity for the rest of 2020. 

The devastating effect of COVID-19 goes well beyond the almost 350,000 direct and indirect tourism workers who have already suffered significant financial losses and is expected to get much worse, the JHTA president reported today at a press conference in New Kingston.

People such as farmers, entertainers, distributors, taxi drivers, bankers, artisans, and tradesmen depend on the tourist industry.

"The very slow start to our land-based tourism like the accommodation sub sector, the impact on attractions, ground transportation, tour guides, taxi operators, craft vendors, and the duty-free segment will continue to be severe," Robinson said.

Direct earnings are projected to be capped at US$1.26 billion for 2020, or 66 per cent less than the 2019 performance.

Earnings for 2021 should grow to US$2.6 billion, representing a 53 per cent growth over 2020.

​Maintenance cost for closed hotels and attractions

• Small hotels (under 100 rooms) - US$30,000 to US$50,000 per month
• Medium-sized hotels (under 500 rooms) - US$300,000 to US$650,000 per month
• Large hotels (over 500 rooms) - US$500,000 to US$850,000 per month
• Attractions - US$50,000 to US$300,000.

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