Despite the possibility of increased demand for flights into the region, Caribbean Tourism Organization chairman Ian Goodhill-Edghill is warning that the current spike in jet fuel prices could seriously impact tourism. Jet fuel prices across the globe have surged due to the US/Israel-Iran conflict, doubling airlines’ fuel bills and forcing them to increase ticket prices, cut routes and capacity, and introduce fuel surcharges in some instances. Regional airlines have not been spared; Sint Maarten-based Winair is reportedly weighing the introduction of a fuel surcharge after its fuel bill almost doubled from US$550,000 in February to nearly US$900,000 in March. Local carrier Caribbean Airlines introduced a US$15 to US$25 surcharge per sector on April 10.
Describing the situation as “challenging”, Goodhill-Edghill told Guardian Media that, despite it being early days, the organisation continues to monitor developments. He said, “We don’t have enough information at this point, because you would appreciate that there are customers who would have booked, so they’re in the forward booking sphere. We have to monitor the forward bookings as a region, and certainly Barbados is doing that, to see what knock-on impact, if any, it’s likely to have.”
Many regional economies are heavily dependent on major source markets like the United States and Canada, and Goodhill-Edghill argued that increased airlift helps fuel growth and sustain Caribbean economies. According to him, work is being done regionally to maintain market share. “Within the Caribbean, there’s an aggressiveness to ensure that we maintain our share of the market for the Caribbean,” he said, adding, “I’m acutely aware all ministers in the region are definitely working to maintain that.”
In the meantime, Goodhill-Edghill, who is also Barbados’ Tourism and International Transport minister, revealed that his ministry is refining its growth strategy to not only maintain market share but increase it by boosting Barbados’ long-stay passenger numbers. “The good thing about Barbados is that we have long-stay arrivals increasing based on [our] increased airlift, and at the same time we also have cruise passengers. We have more than 50% of the cruise ships that come to Barbados home-porting in Barbados, which also adds value to the destination.” Last season, Barbados received over 800,000 cruise ship visitors, and the Grantley Adams International Airport handled 2.4 million passengers, the highest volume in the airport’s history. The airport will be expanded at a cost of 120 million Barbados dollars, with construction expected to be completed in 2028.
