Arrivals from Japan fell 13 percent to 15,646 visitors due to a decline in air seats.In January 2010, the CNMI had two charter flights and five daily direct flights from Japan — three from Narita, one from Nagoya, and one from Osaka.In January 2011, one flight from Narita was reduced from daily to three flights weekly, and daily flights from Nagoya were reduced from daily to three flights weekly for Jan.3-9 and suspended for Jan.10-Feb.1.Nagoya flights re-launched on Feb. 2 and will continue through April 3.
This month the CNMI government enacted a Japan Air Service Stabilization Program with up to $6.2 million over the next two years aimed at keeping flights from Nagoya and Osaka in operation on a year-round basis.
“This new law establishes a consensus across the government that regular flights from Nagoya and Osaka are essential to the health of our tourism industry,” said MVA Managing Director Perry Tenorio.“We are looking forward to establishing the rules and regulations for the implementation of the air stabilization program.”
Arrivals from the primary market of Korea posted another month of gain at 8 percent to 12,685, riding the country’s continued economic strength.Given Korea’s continued powerful economic recovery and airlift support from Asiana Airlines, the MVA is projecting continued strong growth in arrivals from Korea to the NMI for the remainder of 2011.
The secondary market of China saw 3,885 arrivals in January, a 27 percent increase over the same month last year.Although there was a decline in air seats, demand for the destination increased.In January 2010, two regular charter flights from Guangzhou and Shanghai each flew twice a week; last month, charter flights from Shanghai were in operation and charter flights from Beijing resumed on Jan. 21.
Arrivals from Russia increased 23 percent to 599 in January following the rebound of the Russian ruble and several media and travel agent familiarization tours to the Northern Marianas in late 2010.
Arrivals from the Philippines, Taiwan, and other areas were unchanged, while arrivals from Guam and the United States posted double digit declines.
Japan and Korea economic highlights
In its latest economic report, the Japanese Cabinet Office upgraded its assessment for the first time in seven months, stating, “Although economic movements appear to be pausing, some movements towards a pickup are seen.”The cabinet maintained its stance that the Japanese economic recovery will continue, but advises watching movements in overseas economies and exchange rates.Japan Association of Travel Agents Chairman Akira Kanai explained that he personally views Japanese outbound travel demand as a 10-year cycle, and that performance in 2011 is the key to achieving growth for the rest of the decade.
The favorable lineup of national holidays in the 2011 calendar has lead Japanese travel agents to begin marketing their “Golden Week” products even earlier this year.Combined with weekends and holidays, Japanese workers only have to use two paid holidays (May 2 and 6) in order to get a streak of 10 days off from April 29 to May 8.
Japan’s eight major travel agents are reporting positive forward booking-levels for the first months of 2011.In January, the family and office lady segments were especially strong, although customers continue to avoid peak, expensive days.
For its part, the Korean economy is gradually facing inflationary pressure as the unemployment situation and economy improve.
In December, the won fluctuated against the U.S. dollar, ending at 1,124.1 won per dollar, up 9.3 won from the previous month. In January, fears over China’s monetary tightening put upward pressure on the won/dollar exchange rate; however, uncertainties were eased when a government official commented that the government is not contemplating raising regulations on forward exchange transactions, which prevented the won/dollar exchange rate from rising steeply.With continued appreciation in the Korean Won, travel to the Northern Marianas by Koreans becomes increasingly less expensive, further boosting Korean arrivals to the islands.
