Wednesday, October 7, 2015
By NATARIO McKENZIE
Tribune Business Reporter
nmckenzie@tribunemedia.net
Cuba is not yet ready for tourism “prime time” despite its new relationship with the US, although a senior American attorney conceded it will ultimately be a “very worthy competitor” for the likes of the Bahamas.
Pedro Freyre, chair of international practice at Akerman LLP, and who is recognised as a leading authority on the US Embargo on Cuba, told the 2015 KMPG Island Infrastructure Summit that despite the normalisation of relations there were still many challenges for Cuba to overcome.
“This will not happen overnight. Cuba is not yet ready for prime time, but when it gets there it will be a very worthy competitor for all the beautiful islands in the Caribbean,” said Mr Freyre.
“Some of the challenges that Cuba has are enormous, and there continue to be challenges. Cuba has to re-establish itself in the international financial system. Cuba has basically been outside that system for 54 years.
“Cuba follows a socialist economic plan, and in meshing that system with the United States, Cuba will also face tremendous challenges because it needs to get itself up to speed and understand the metrics and functioning of a free market system.”
A Caribbean Hotel and Tourism Association (CHTA) paper described Cuba’s eventual opening as “the biggest and most disruptive pebble to be dropped into the Caribbean pool in 50 years”.
In particular, it warned that Cuba’s proximity to the US will act as an immediate draw for Florida’s ‘impulse’ traveller market, which currently gravitates to the Bahamas for short-term stopover vacations.
Mr Freyre said Cuba has seen overwhelming interest from US firms looking to invest in that island, adding that it was likely already too late for non-US firms to effectively get in the game.
The decision by the US to normalise relations with Cuba after more than 50 years, and significantly ease restrictions on travel and commerce, has been viewed by many as a major threat to the Bahamas’ tourism sector.
Tourism minister, Obie Wilchcombe, recently told Tribune Business that his Ministry was analysing multi-destination travel arrangements with Cuba.
The Minister of state for investments, Khaalis Rolle, said last month that it was too late to worry about the impact from Cuba opening up to US tourists, as research indicates that it surpassed the Bahamas “some time ago”.
Comments
asiseeit says...
The Bahamas has 12,000 hotel rooms, how many does Cuba have? Give them 3 years and they will eat the Bahamas lunch. This country better shape up and step right.
Posted 7 October 2015, 3:48 p.m. Suggest removal
banker says...
As of 2000, Cuba had 35,000 rooms available for international visitors. https://en.wikipedia.org/wiki/Tourism_i… This attorney is all wet and totally wrong. They do not need a free market system. Their hotels are full of Canadian, British, German and tourists from other countries. Being state owned, the hard currency earned from tourism goes directly to their finance ministry to pay for imports. I have been at a Cuban resort, and they are more than ready. This guy likely has never been.
Posted 7 October 2015, 4:13 p.m. Suggest removal
GrassRoot says...
yep,, try to go to Cuba and get a hotel room. be sure you bring a tent. all is fully booked. last week this week and next week. The Bahamas?
Posted 7 October 2015, 6:55 p.m. Suggest removal
CatIslandBoy says...
Cuba has already surpassed the Bahamas in overnight tourist arrivals (The Bahamas still leads the entire Caribbean in cruise ship passengers), and that is without the benefit of a relaxed embargo. Their beaches are just as beautiful as ours, and the services far superior at a significantly lower cost. Definitely more bang for the buck! If we don't up our game, our industry is in serious trouble.
Posted 7 October 2015, 4:35 p.m. Suggest removal
SP says...
**Tourism minister, Obie Wilchcombe, says that his Ministry was analyzing multi-destination travel arrangements with Cuba?**
Obie Wilchcombe is dumb little weasel that couldn't analyze his own shadow!
Where did this little man learn anything about tourism? Where is his experience?
Obie doesn't even know the dam competition! How the hell will he analyze it?
This is the same little idiot that said Cuba would likely be very interested in joint destination vacations with Bahamas because we can offer "the family Island experience".....**NOT KNOWING**.....Cuba itself has over 4,200 of its own family of islands with many ALREADY up and running offering the "family Island experience" at all levels..... for DECADES!
Why haven't the little ignorant idiot tried promoting joint destination vacations with Orlando that had ***62 MILLION*** visitors in 2014!?!?!?!?!? Even a complete moron couldn't mess that up!
Why pray tell haven't the PLP and FNM pre-jurassic dinosaurs copied Orlando's business model and attracted theme parks etc. to various islands in Bahamas so people will have SOMETHING TO COME HERE FOR AND DO HERE?
The asinine stupidity is unbelievable and totally maddening!
Posted 7 October 2015, 4:42 p.m. Suggest removal
Well_mudda_take_sic says...
The grey matter in Wilchcombe's head is made of the same tissue found in the bulging fat roll he has where the back of his head meets his neck!
Posted 7 October 2015, 9:26 p.m. Suggest removal
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