The Philippines cannot accommodate more than 5 million tourists a year because its existing facilities are already operating at maximum capacity, according to an official of the Philippine Chamber of Commerce and Industry (PCCI).
PCCI Vice President for Tourism and Retailing Samie Lim said the next two administrations should scale up the “5As” of tourism to “8As” to enable the Philippines to accommodate 20 million tourists in the next decade.
“Tourism Secretary Ramon R. Jimenez Jr. and other former tourism chiefs were able to bring in 5 million tourists. But let’s not be shortsighted again. Let’s build capacity for 20 million tourists. It can be done; it’s just a mind-set,” Lim said.
Last year the Philippines had already attracted more than 5 million tourists. This year the government wants to increase tourist arrivals by 1 million.
Considering the state of the country’s tourism infrastructure, however, the additional visitors could find their stay in the Philippines more unpleasant than relaxing.
To prevent this scenario, Lim said the “5As” of tourism—arrival, access, accommodations, attractions and activities—must be revisited. He said these 5As are at the heart of his “BizTour5” program as PCCI vice chairman.
He said three more “As”—advertising, academic linkage and assurance of safety—should be added. Aside from putting in place “hard” and “soft” tourism infrastructure, Lim said it is also important for tourists to be assured of their safety in the Philippines.
Lim said the government should develop the Clark International Airport as an international gateway to attract more cargo and passenger traffic. He said runway expansion and nighttime facilities should be among the targeted improvements.
Clark has a passenger capacity of 5 million, but passenger volume in 2014 only reached 877,757, representing a utilization rate of 17.6 percent.
To make accommodations more comfortable, Lim suggested the improvement of the Star Rating System/Mandatory Accreditation, adopted by the Department of Tourism (DOT) and which received funding from the Canadian International Development Agency. The system has been for supposedly making use of “subjective” metrics.
Lim also underscored the need to focus on the academic training of tourism workers, as there is a dearth of properly accredited workers in the industry. Employment in tourism industries accounted for 12.5 percent of total employment in 2014, according to the DOT.
Lim said the thrust on academics is especially important if the Philippines wants to capitalize on the cruise industry.
“The next big thing is going to be cruising. We should already plant the seeds for this and in three years’ time, we could make it happen. A cruise ship can bring in 3,000 tourists per visit,” he said.
Tourism initiatives
To increase tourist arrivals, the House of Representatives has passed several bills protecting and promoting numerous tourist spots in the country. Speaker Feliciano Belmonte Jr. said the lower chamber approved these tourism-related bills to provide funds for the development of various tourist destinations.
While the Philippines boasts of numerous tourist attractions, Rep. Maximo Dalog of Mountain Province said many remain undeveloped and undiscovered. Some tourist attractions, he said, also need to be preserved.
Measures approved by the House to boost tourism include:
- House Bill (HB) 4998, an act declaring Mainit Falls and Hot Springs in the municipality of Brooke’s Point in Palawan as a tourist destination, providing for its development and appropriating funds for it (authored by Rep. Frederick Abueg of Palawan).
- HB 671, an act declaring the Puraran Beach and its premises located in Puraram, Baras, Catanduanes, as a tourist spot (authored by Rep. Cesar Sarmiento of Catanduanes).
- HB 5299, development and promotion of farm tourism in the Philippines (authored by Party-list Rep. Sharon Garin of AAMBIS-OWA).
- HB 2165, an act declaring Mount Tapulao in Zambales as an ecotourism zone and forest reserve (authored by Rep. Cheryl Deloso-Montalla of Zambales).
- HB 1303, an act declaring the Mighty Cave Park and its premises located in Tagolon, Lanao del Norte, as a tourist spot (authored by Rep. Imelda Dimaporo of Lanao del Norte).
- HB 1306, an act declaring the Tinago Falls and its premises in Linamon, Lanao del Norte, as a tourist spot (authored by Rep. Imelda Dimaporo of Lanao del Norte).
- HB 1306, an act declaring the province of Misamis Oriental as a tourism zone (authored by Rep. Juliette Uy of Misamis Oriental).
- HB 1875, an act declaring the Nati Spring and its premises in Barangay Nuling, Sultan Kudarat, as a tourist spot (authored by Rep. Arnulfo Go of Sultan Kudarat).
- HB 1951, an act declaring the Datablao Falls and its premises in Barangay Datablao, Sultan Kudarat, as a tourist spot (authored by Rep. Raden Sakaluran of Sultan Kudarat).
- HB 2370, an act declaring the Pilot Case and its premises in Barangay Santo Niño, Sultan Kudarat, as a tourist spot (authored by Rep. Arnulfo Go of Sultan Kudarat).
- HB 2698, an act declaring the municipality of Talaingod, Davao del Norte, as an eco-cultural tourism zone (authored by Rep. Anthony del Rosario of Davao del Norte).
- HB 3884, an act declaring Mapaso Hot and Cold Springs in Barangay La Paz, Agusan del Norte, as a priority tourism site (authored by Rep. Erlpe Jhon Amante of Agusan del Norte).
- HB 3885, an act declaring the Tanote Falls-Mount Hilong-hilong Park in the municipality of Remedios Romualdez in Agusan del Norte as a priority tourism site (authored by Rep. Erlpe Jhon Amante of Agusan del Norte).
- HB 3886, an act declaring Punta Diwata in Vinapor, municipality of Carmen in Agusan del Norte, as a priority tourism site (authored by Rep. Erlpe Jhon Amante of Agusan del Norte).
- HB 3891, an act declaring the Lantawan Ecopark in Municipality of Kitcharao, province of Agusan del Norte, as a priority tourism development area (authored by Rep. Erlpe Jhon Amante of Agusan del Norte).
- HB 4253, an act declaring the tourism-development areas in the province of Camiguin, organizing the Camiguin Tourism Council, mandating support for tourism, development in the province of Camiguin (authored by Rep. Xavier Jesus Romualdo of Camiguin).
Aside from these congressional measures and increased infrastructure spending, Presidential Communications Operations Office Secretary Herminio B. Coloma Jr. said good governance will also boost arrivals in the Philippines.
On the part of the private sector, the PCCI said it is planning to drum up interest in 50 new destinations in the next five years.
“We’ll identify 50 new destinations or products in the next five years. These can be both new and upgrades of existing destinations such as Boracay,” Lim said.
“Malaysia’s [tourist] arrivals are at 27 million, Thailand at 30 million, Indonesia nearing 10 million, and we’re at 5 million. Myanmar might overtake us if we don’t do something,” he added.
Economic impact
According to the latest figures from the DOT, the tourism industry generated an estimated earnings of P27.5 billion in February 2016 alone, or an increase of 42.09 percent compared to the P19.35-billion income generated in the same month last year. This income helps stimulate the economy by providing employment to Filipinos, especially in the countryside, and through consumption both by the Filipino service providers and to foreign tourists.
According to the DOT’s annual report for 2015, the 5.36 million foreign tourists who arrived in the country contributed P227.62 billion in earnings, or an increase of 5.94 percent from earnings in tourism-related activities in 2014.
The number of foreigners visiting the country and their tourism spend has been on the rise since 2001, according to data from the Philippine Statistics Authority (PSA).
Data showed the number of tourists visiting the country has increased to 4.63 million in 2014, from only 1.7 million in 2001. Total tourism receipts have also increased over the 14-year period to $4.65 billion in 2014, from $1.63 billion in 2001.
With the increase in the number of tourists, the average daily expenditures of tourists have declined to $100.37 in 2014, from $105.17 in 2001. This, despite the increase in the number of stay of tourists to 10.54 days in 2014, from 9.16 days in 2001.
The increasing trend observed in the number of foreign tourists and their tourism spending has also been observed among overseas Filipinos. The number of overseas Filipinos has steadily increased to 207,904 in 2014 from 98,831 in 2001.
In terms of total receipts, data showed overseas Filipinos spent $192.06 million in 2014, from $94.2 million in 2001. The increase was almost double, since overseas Filipinos, unlike their foreign counterparts, were spending more on a daily basis, despite their shorter stay in the country.
Their average daily spending increased to $55.99 in 2014, from $49.06 in 2001. Their average stay, meanwhile, has declined to 17.02 days in 2014, from 20.25 days in 2001.
The growth in tourist arrivals and tourism spending has benefited the tourism industry as a whole.
Based on the preliminary results of the 2009 Survey of Tourism Establishments in the Philippines, the total revenue earned by these establishments amounted to P96.7 billion. Of this total, establishments providing other amusement and recreational activities generated the highest revenue at P62.6 billion, or 64.7 percent.
“Of the total revenue, P2.3 billion, or 2.3 percent, was generated from tourists,” the PSA said.
With these revenues, tourism establishments provided employment for a total of 47,136 employees in 2009. The majority, or 28,792, or 61.1 percent, of the employees were males; and 18,342, or 38.9 percent, were females.
Establishments providing other amusement and recreational activities employed the most number of workers, with 28,332, or 60.1 percent. Sporting activities ranked second, with 6,926, or 14.7 percent, which was followed by establishments engaged in pre-need plan for health with 3,863, or 8.2 percent.
The Philippines has yet to realize all the possible gains from tourism. Lim, however, believes that the country can go head-to-head with other popular destinations in the Asean, especially if the next administration will roll out a more “holistic” approach for tourism.
Image credits: Ed Davad
2 comments
Eliminate terrorism, ethnic feuds, poverty, hunger and decrease crimes. Also impose a law to ban guns. That’s the main tips on how the Philippines can attract more tourists.
Batanes is the best example … if they can sustained a “zero crime rate,” modernization, INFRA – airport expansion, Sea port / fish landing and better Hotel accommodation facilities… it can accommodate 1,000,000 tourist in 3 years time…