IATA official speaks out against Caribbean’s high travel fees
Published:Wednesday | September 14, 2022 | 11:50 AM
Regional vice president of the International Air Transport Association (IATA), Peter Cerda, is arguing that Caribbean countries are pricing themselves out of the global travel and tourism competition with high travel and aviation fees that are levied on carriers that fly to the region.
Noting that passengers now have more choices for travel, Cerda is asserting that the current fees and charges put the region at risk.
Speaking today a Caribbean Tourism Organisation (CTO) event in the Cayman Islands, he stated that while the rest of the world was charging 15 per cent in taxes on airline tickets, the Caribbean imposes up to 30 per cent.
He noted that the taxes and fees added to airline tickets substantially increase the cost of air travel to and from the region.
He stressed that in some markets taxes, fees, and charges make up half of the total ticket price.
“For example, on a flight from Barbados to Barbuda, taxes and fees represent 56 per cent of the ticket price. On a flight from The Bahamas to Jamaica, 42 per cent, St Lucia to Trinidad & Tobago, also 42 per cent, and Port of Spain to Barbados 40 per cent.”
In comparison, from Lima, Peru to Cancun, Mexico, another beach destination, taxes and fees only represent 23 per cent.
“Today's passengers have a choice and as the total cost of vacations increasingly becomes a decision-making factor, governments must be prudent and not price themselves out of the market,” he warned.
Cerda also lamented that airlines are being charged significant overtime fees for each passenger processed by immigration and custom outside of the typical 9-5 business hours.
“Why not change the mindset and adjust customs staffing levels accordingly and attract more airlines to the market?” he questioned.
“Aviation is not a 9 to 5 business,” he added.
His presentation comes as today is being observed as Caribbean Aviation Day.
Several tourism and aviation ministers from across the Caribbean are in attendance at the CTO event including Jamaica's Portfolio Minister Edmund Bartlett.
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