Kenya tourism to suffer from new UK levy: official
Daily Nation
By MAZERA NDURYA
November 5 2009
The recent introduction of the air passenger duty (APD) for departures from United Kingdom airports to long haul destinations is causing jitters within the tourism industry, with players fearing that they could lose British tourists.
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The new rates, which take effect from November, mean an increase of between £90 (about Sh11,088) to £100 (about Sh12,320).
Mr Mohamed Hersi, President of Skal International (the organisation of tourism executives in over 80 countries) Kenya Chapter, said the new move will make it easier for international tourists to choose destinations closer to their homes to cut down on costs.
“Kenya is already struggling to fight destinations such as Egypt, Morocco and Tunisia, which are closer to Europe and we feel the new rates will affect us adversely,” Mr Hersi, also the general manager of Sarova Whitesands said.
“English tourists have been very loyal to Kenya even in bad times like during the post-election violence, but this new arrangement will make them think twice and they may choose other destinations because of the costs in the wake of the global economic recession.”
Salvage the sector
He said all the country’s efforts to salvage the sector now hang on a balance and called on the minister for Tourism, Najib Balala, to take up the matter with the World Tourism Organisation (WTO) to have the figures reviewed.
“I have already written our concerns through the ministry of Foreign Affairs because such taxes will discourage people from travelling, which means our roadmap to recovery is at stake,” the minister said confirming the new rates and describing them as unfair.
The Kenya Association of Hotel Keepers and Caterers said the decision has come barely a few months after Kenya waived its visa fees to attract more tourists.
“This will take us back miles away and it’s now time for the Government to seriously take up the matter with the European Partnership Agreement (EPA), otherwise this will throw everything in disarray for us, said the Association Coast branch executive officer, Ms Gladwel Mumia.
Article at: http://www.nation.co.ke/business/news/-/1006/682532/-/ieo0n5z/-/index.html