But, they added, several factors may still affect this “progress,” and these include the Northwest-Delta merger.
Northwest is a CNMI signatory airline that brings Japanese visitors to the islands.
MVA, during a presentation on Monday, disclosed that the limited choices of tourism infrastructure continues to be a concern for tour operators.
It said the increase in fuel surcharge from $15 in 2005 to $153.52 in 2008 means that a Japanese family of four now has to pay over $600 in fuel surcharges just to visit the CNMI.
The unstable world economy and the potential of Japan slipping into recession may also affect the CNMI’s Japanese market.
MVA said the CNMI has a low promotional budget compared to other destinations.
The CNMI has a $5 million advertising budget while Australia has $14 million; Hawaii, $8 million; and California, $6 million.
MVA noted that Japan outbound travelers to other destinations have also declined.
In May 2008, data showed that the 13th straight month of decline in Japan outbound travel was noted in Canada which was down by 19 percent in the first quarter of the year; Australia, down by 17 percent; Hawaii down by 10 percent; and the CNMI down by 8 percent.
MVA said this “downtrend” was due to two main factors — higher fuel surcharges and domestic competition.
“While the rest of the Japan market continues to slide with the 13th straight month of decline, the CNMI is recovering,” MVA said, adding that in April, arrivals were up 9 percent, 5 percent in May and 7 percent in June.
MVA project 20 percent increase in July arrivals with the launch of new Narita night flight scheduled for July.
MVA said the slight increase and recovery of the Japan market was a result of high awareness of the CNMI as a travel destination and the committed airline service of Northwest.
