Tourism development, minus government
Mactan, along with Boracay and Puerto Galera, could be the “Hawaii of the Philippines,”, though Mactan has a greater potential because of the existence of an international airport.
The role of government here is simple -- do nothing, except improvement of road infrastructure, and some peace and order function. All the rest can be done by the private sector -- putting up many hotels, shops, malls, private security, shuttle services, bring in more foreign airlines, etc.
Government should also abolish that stupid “travel tax” of P1,620 ($34.5 at P47/$). I see little or no “public service” being financed by this tax, since most if not all tourism services and promotions by the Department of Tourism (DOT) are financed by either annual appropriations given by Congress, or from fees charged by DOT- or PTA-owned hotels and tourism facilities.
The "airport terminal fee" of $16 is way high; it can either be cut by half or abolished. It's an additional tax, an additional revenue for the tourism and Malacanang bureaucracies, plain and simple. Honolulu airport, serving around 1M residents and tourists, is at least 5x as big that of NAIA 1 & 2 combined, and not charging even a single cent as "terminal fee". The same practice of zero terminal fee can be observed in other big international airports of Singapore, Seoul, KL, HK, Tokyo, etc. These airports make money from the hundreds of shops in the departure area, from the airlines, from advertising, etc., but not from the departing passengers.
With an extortionist mentality of Philippine government and bureaucracy, attracting 5M or more foreign tourists will remain a dream, at least in the next few years.
A friend from Cebu, Theodore Sy, commented the following:
“Noy, you are basically right about that "extortionist policy" of the government… During my recent trip to Europe, I am surprised to find that travel bureaus and agencies there NEVER ADVERTISE THE PHILIPPINES. They have posters about K.L. Thailand, Phuket, Cambodia, Vietnam, Beijing, Shanghai and all the nice places in asia..EXCEPT OUR POOR COUNTRY.
This is because Europeans are fed up with the way we Filipinos deal with tourism. We don't look at the long term by planning ahead and changing our culture of "extortionism". You know, it is even published there (travEl advisory) that japanese tourists get ripped off in Pagsanjan. They pay P250 for a boat ride along the rapids and midway, the boat operator stops the boat, demands USD50.00 per tourist or ELSE THEY PUSH YOU OVERBOARD!!! The japs are only too terrified and pay up, but the tragic thing is they
will never come back again…
Besides, our resorts are overpriced. You stay in Thailand resorts for 70% the price of a Philippine resort and you get much better accommodations. This is another reason why tourists shy away from our poor country.”
I was also surprised by this observation by Teddy. I got a feeling that the government tourism bureaucrats are among the promoters of extortionist and monopolistic thinking in the tourism sector. It’s possible that the tourism bureaucrats limit the supply of resorts and hotels by demanding some crazy and extortionist regulations like "DOT (or PTA) accreditations", and their corresponding taxes, charges, fees and thick paperwork. Not to mention the same regulations by the LGUs and other national government agencies.
The "political will" that I wish to see, is the "will to desist from too much intervention" . Those extortionist boatmen in Pagsanjan (and perhaps in the Hundred Islands, Boracay, etc.) arise because they got no corporate or entrepreneurial brand. You're a tourist, and you choose boatmen A, an assembly of fly-by-night operators perhaps, you get the risk of being held up while you're in the middle of the river or the sea. You choose boatmen B or C from a particular corporation/s, you get the assurance and quality of that company that their guys are not hold-uppers and extortionists. My experience and observations in the Hundred Islands, Puerto Galera, others areas show that it's government "protection" of small boatmen that inhibits the development of more modern boats, more courteous boatmen and tourism guys, more competition in the tourism sector.
The role of government here is simple -- do nothing, except improvement of road infrastructure, and some peace and order function. All the rest can be done by the private sector -- putting up many hotels, shops, malls, private security, shuttle services, bring in more foreign airlines, etc.
Government should also abolish that stupid “travel tax” of P1,620 ($34.5 at P47/$). I see little or no “public service” being financed by this tax, since most if not all tourism services and promotions by the Department of Tourism (DOT) are financed by either annual appropriations given by Congress, or from fees charged by DOT- or PTA-owned hotels and tourism facilities.
The "airport terminal fee" of $16 is way high; it can either be cut by half or abolished. It's an additional tax, an additional revenue for the tourism and Malacanang bureaucracies, plain and simple. Honolulu airport, serving around 1M residents and tourists, is at least 5x as big that of NAIA 1 & 2 combined, and not charging even a single cent as "terminal fee". The same practice of zero terminal fee can be observed in other big international airports of Singapore, Seoul, KL, HK, Tokyo, etc. These airports make money from the hundreds of shops in the departure area, from the airlines, from advertising, etc., but not from the departing passengers.
With an extortionist mentality of Philippine government and bureaucracy, attracting 5M or more foreign tourists will remain a dream, at least in the next few years.
A friend from Cebu, Theodore Sy, commented the following:
“Noy, you are basically right about that "extortionist policy" of the government… During my recent trip to Europe, I am surprised to find that travel bureaus and agencies there NEVER ADVERTISE THE PHILIPPINES. They have posters about K.L. Thailand, Phuket, Cambodia, Vietnam, Beijing, Shanghai and all the nice places in asia..EXCEPT OUR POOR COUNTRY.
This is because Europeans are fed up with the way we Filipinos deal with tourism. We don't look at the long term by planning ahead and changing our culture of "extortionism". You know, it is even published there (travEl advisory) that japanese tourists get ripped off in Pagsanjan. They pay P250 for a boat ride along the rapids and midway, the boat operator stops the boat, demands USD50.00 per tourist or ELSE THEY PUSH YOU OVERBOARD!!! The japs are only too terrified and pay up, but the tragic thing is they
will never come back again…
Besides, our resorts are overpriced. You stay in Thailand resorts for 70% the price of a Philippine resort and you get much better accommodations. This is another reason why tourists shy away from our poor country.”
I was also surprised by this observation by Teddy. I got a feeling that the government tourism bureaucrats are among the promoters of extortionist and monopolistic thinking in the tourism sector. It’s possible that the tourism bureaucrats limit the supply of resorts and hotels by demanding some crazy and extortionist regulations like "DOT (or PTA) accreditations", and their corresponding taxes, charges, fees and thick paperwork. Not to mention the same regulations by the LGUs and other national government agencies.
The "political will" that I wish to see, is the "will to desist from too much intervention" . Those extortionist boatmen in Pagsanjan (and perhaps in the Hundred Islands, Boracay, etc.) arise because they got no corporate or entrepreneurial brand. You're a tourist, and you choose boatmen A, an assembly of fly-by-night operators perhaps, you get the risk of being held up while you're in the middle of the river or the sea. You choose boatmen B or C from a particular corporation/s, you get the assurance and quality of that company that their guys are not hold-uppers and extortionists. My experience and observations in the Hundred Islands, Puerto Galera, others areas show that it's government "protection" of small boatmen that inhibits the development of more modern boats, more courteous boatmen and tourism guys, more competition in the tourism sector.
posted by Bienvenido Oplas Jr | 2:53 AM
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