Poor accessibility, infra slow down tourism growth

MANILA, Philippines – The European market has the potential to contribute significantly to the growth of Philippine tourism but accessibility and infrastructure in the country remain the biggest hurdles, tourism stakeholders said.

“Despite substantial growth, the Philippines continue to lag behind regionally in attracting bigger part of the growing tourism industry due to lack of quality infrastructure. There is still much to be done to reach its full potential,” European Union-Philippines Business Network (EPBN) steering committee chair Guenter Taus said.

Asia Pacific Projects Inc. chairperson Ludwig Rieder said major consideration for the European travel market is the convenient intercontinental air transportation and the transition through air, land and water.

“This is a very critical requirement that is lacking in the Philippines, plus international and domestic airports are congested and it has the slowest Internet connectivity in the ASEAN region,”

Rieder said during the EPBN Tourism Advocacy Forum.

In terms of safety and security, Rieder added the Philippines should also improve its safety standards and compliance in air, road and marine transportation, accommodations, and in other tourism-related activities.

“The Philippines has a rich culture, fun attractions and good weather but is generally perceived as unsafe and unsecure,” he said.

Meanwhile, Department of Tourism (DOT) Market Development Group director Cynthia Lazo said additional investments should focus on infrastructure, accommodations and the continued It’s More Fun in the Philippines branding campaign.

Tourism Infrastructure Enterprise Zone Authority (TIEZA) chief operating officer Guiller Asido added route development with ports priority in 2014 totaled to 53 worth $370 million.

“The Philippines must go the extra mile to be competitive by building better infrastructure and providing better opportunities for business investors,” Asido said.

To meet the expectations of the European market, Rieder said local airlines should be encouraged to expand their routes as well as European carriers to consider secondary gateways like Cebu and Clark. Currently, only flag carrier Philippine Airlines (PAL) has direct services to Europe.

The design, implementation and upgrade of air and seaport decongestion program, improvement of visitor support facilities, tour products and tourist financial services were also suggested.

“The Philippines boosts unbounded potential to develop tourism as a leading contributor to national economy. Tourism development will have direct benefits to wider prosperity across the country as the sector is recognized as a driver of sustainable and inclusive growth,” Taus said.

Last year, around 400,000 visitors from Europe came to the Philippines and DOT targets double-digit growth for 2016. Potential arrivals of Europeans in the country can reach 700,000 by 2020 and 900,000 by 2030.

“Tourism remains to be an important sector in the Philippines. Nothing can disturb tourism and EU is working closely with the country to promote the industry,” EU Ambassador Franz Jessen said.