|
Dated: 1 December 2002
Tourism consultant attached to JAMPRO, Jamaica's investment and export promotion agency, Adrian Bayley-Hay, has said that the decision by RIU International Hotels to invest in another and equally large resort in Negril was based on investor confidence.
"JAMPRO was highly instrumental in RIU owners coming to Jamaica to look around and to see for themselves what the country had to offer,” he said, adding however, that this time around, less than two years later, "it's their experience here which has influenced them to invest in a second hotel.”
Jamaica had come under immense pressure arising from negative international press on the level of crime here, and the events of September 11, have exacerbated the plight of the sector, leaving question marks over its future. But RIU owners have demonstrated their confidence in the attractiveness of Jamaica as a tourist resort of the highest calibre, adding that the country's workforce, democratic traditions, legal structures, and crime-fighting capability are some of the positive aspects, which speak to the future of the tourism sector here.
The RIU decision to invest further in Jamaica, shows in addition, an understanding of the Jamaican landscape and the fact that the general population, let alone the tourists resorts, are far removed from these very few crime pockets, which have gained notoriety, he said.
The Spanish hotel chain worldwide based their projections largely, but not exclusively, on marketing their properties to European guests, including Germany, the United Kingdom, and mainly, Spain. But in recent times, the Negril property has been criticised for accepting American guests, on the grounds that they were taking away business from the smaller hotels in the area.
In addition, the arrival to Jamaica of the Spanish chain of resorts, was seen as an opportunity to attract more Europeans, particularly from Spain, and diversify the island's arrival base. And RIU's market efforts at home, have not been falling in deaf ears. In June this year, whilst the European Union market fell by five per cent over the previous month, and the United Kingdom and Germany, were down four per cent and 23 per cent, respectively, arrivals from Spain was up 26 per cent.
Coming from 504 Spanish visitors to Jamaica in January - June 2000, the figure increased to 1,327 in the same period in 2001. And in the same period this year, the number of Spanish visitors to Jamaica has increased by 79.7 per cent to 2,385 , compared to a fall of 5 per cent and 38 per cent in UK and German arrivals, respectively.
And soon, RIU is to double its room count to nearly 800. Following the near-400 room, two-year-old hotel, another is being built nearby to accommodate a similar number of guests. Similarly, the current number of 375 full-time employees is expected to double, once the second hotel is completed and becomes operational.
In addition to the full time jobs created, some 700 persons were employed during the construction of the first hotel, with a similar number expected to find temporary work on the construction site of the second hotel. In terms of investment, the first hotel cost US$ 45 million two years ago, whilst the second property is projected to cost US$ 55 - 60 million.
And once operational, RIU has been projected to spend nearly twice more on local supplies. In January 2003, RIU is expected to spend US$0.75 million purchasing a variety of hotel supplies from local sources.
|
