Not all businesses ready for influx of tourism

SAIPAN Chamber of Commerce President Joseph Guerrero in an interview on Wednesday said many CNMI businesses are on the fence regarding the revival of the tourism industry.

While some businesses may be ready, others may not be, given the economic downturn and the labor shortage in the CNMI, he added.

“I think we’re excited for it, but I don’t know. I think maybe, if I were to guess, maybe 50% are ready and 50% are not ready but could be ready,” Guerrero said.

“With businesses, it’s all about timing, so you don’t want to bring staff on board, you may not want to do certain things and invest in your business until you know when and how many tourists are coming,” he added.

But he noted that the Zoning Office has been receiving several applications for permits, including to revamp business signage or to open up a new business.

“I think that’s a good sign when zoning permits are up…so we’re hopeful and we’ll be ready in due time. I think the x-factor here is we need tourists to come,” he said.

Regarding the restoration of a direct Japan-CNMI flight service, Guerrero said the load factor can be improved.

“I know they’ve eased up restrictions for their own citizens,” he said, referring to Japan. “The world is slowly opening up to travel, including travel to the CNMI, so we’re not alone in this. Other jurisdictions around the world…are going through the same thing. They’re opening, but opening up slowly,” he said.

Gov. Ralph DLG Torres, in a previous interview, said he is confident that the business community will be ready for the arrival of more tourists.

“I’m very confident in our business partners here. They’ve been waiting for this long. I hope that now we’re seeing more tourists come in, that they’re ready for it. We’re hoping to get additional tourists from somewhere else, like Australia, and perhaps even bring back Philippine Airlines,” he added.

According to the Marianas Visitors Authority, there were 9,746 visitors in August 2022 compared to 551 visitors in August 2021. 

“So far this fiscal year, 61,278 visitors have come to the Marianas compared to 4,258 visitors over the same period last fiscal year,” MVA added.

It said August’s figure is about one-third the number of average monthly arrivals prior to the pandemic, but it marks a significant increase in arrivals since July 2021 with the implementation of MVA’s Tourism Resumption Investment Plan or TRIP.

On Sept. 1, 2022, three weekly United Airlines flights from Narita to Saipan began with incentives offered by the TRIP program, MVA said. 

“The program will continue for an initial six months as…MVA and tourism partners work to stabilize the Japan market. Two major challenges facing the market include Japan’s seventh wave of increase in the number of Covid cases, resulting in travel apprehension, and a weak Japanese yen.”

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