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JANUARY 21st, 2006

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GHTA: 'We need to exercise caution'

Statement issued by the Grenada hotel and Tourism Association (GHTA) on the current impasse in the country between government and trade unions on the 5% National Reconstruction Levy or Income Tax: It is with great concern that the members of the Grenada Hotel and Tourism Association have listened to the build up of arguments for and against the implementation of the 5% levy on salaries.

The Association is concerned that there has not been enough effort at compromise. The Association wishes to remind the parties concerned that our nation is just emerging from a very difficult experience in its history, and that we need to exercise caution at opening doors for disruption in the pace of the economic rebuilding process of our nation. Since the passage of Hurricane Ivan, it has been acknowledged that Tourism would be the most ready route to rehabilitate our battered economy.

It is further acknowledged that Tourism is a fragile industry. At this stage, when more of our larger properties are being reopened, bigger and better, we plead with all parties concerned in this issue to exercise wisdom. We urge you to return to or remain at the bargaining table. Tourism can be depended upon!

But we must make it work! We must contribute to its success by creating the right environment of peace and stability. Over the past year, Grenada has received excellent publicity from many journalists and visitors who have come to our shores to evaluate our rebuilding process. However, we are aware that this could easily change with any likely unrest.

Mr Edwin Frank from the BOT (Board of Tourism) indicated in a news release earlier this week that we have invited many journalists who will begin visiting the island this month. CHA Market Place is being showcased this week in Puerto Rico where our Hoteliers, Ground Tour Operators and BOT are engaged in trying to sell Grenada to buyers from other countries.

The Tourism sector will bring in foreign exchange to pay public sector workers; to help workers pay insurance and utility bills and to purchase goods and services. In turn, utility companies, supermarkets, hardware stores and others, will be able to pay their staff. Visitors will not come to enjoy rest and relaxation in a country where there is unrest.

We must create and maintain an environment of peace and stability! This could be a crucial turning point in Grenada's economy and we must not jeopardise it now.