One of the key factors for any successful tourism industry is a quality product and a quality destination, offering tourists a holistic, value for money package. Competition in the sector has been cutthroat for the past 10 years and after eight countries from central and eastern Europe joined the EU in 2004, the picture changed once again.

The government and the industry acknowledge that Malta is facing a tough challenge from new destinations that can rely on volume to be successful. Countries like Egypt and Croatia, for example, rely on volume but Malta is not in a position to do the same. Our capacity is limited – a maximum of 2.5 million tourists, but this depends on a fully-functioning tourism infrastructure which, admittedly, we don’t have.

That does not mean though that Malta cannot attract more tourists to the island. However, to be successful in this respect the country needs to get its act together and offer not only a good quality product but a package that makes the most of the island’s strong points.

Yet the major task is not Product Malta, one of the many catchphrases used over the years, but getting out there and passing on the message that Malta IS the destination. That is the Malta Tourism Authority’s main task and that should be the priority in the coming months.

The government, led by the Prime Minister, who also sits on the board of a high level committee on tourism, on Thursday announced a series of incentives aimed at attracting more tourists to Malta. A lot has been said about low-cost airlines and how important they would be for the local sector. The government has taken a very cautious approach, fully aware that just as they can contribute to the island’s economy, they can also disrupt what the Maltese tourism industry has been building for the past decade.

There is no doubt, however, that Malta needs to boost the sector and also boost tourist spending when they are here, especially during the winter months. And this is exactly what the government is suggesting.

The thrust of these measures is to facilitate and encourage visitors coming to Malta in off-peak periods and from existing and new destinations which to date have not been targeted – or which have not been sufficiently promoted. The intended assistance to carriers throughout (including Air Malta) and operators is definitely a boost for tourist arrivals to our islands.

Although it is not specifically giving the go-ahead to low-cost airlines, the government is willing to help those airlines that contribute to increasing tourist numbers in winter. This may be an exercise to gauge the impact of low-cost carriers on the local market.

The government is also reducing by half all of the tourism operators’ contributions to the MTA from next year. Hopefully, this “saving” will be used to enhance operators’ marketing efforts and not left in the bank.

Air Malta also receives a boost and its yearly contribution of Lm300,000 is being eliminated and reimbursed to the airline up to May 2004. Another positive move is the government decision to increase its contribution to the authority by Lm500,000. These funds will be used for new initiatives.

These incentives seem to have the initial backing of the industry. And rightly so. The Malta Hotels and Restaurants Association (MHRA) agrees with them in principle and the federation of travel agents also believes the government is tackling the problem when it is at its peak, during the shoulder months.

These incentives are just one approach to increasing tourist numbers.

The MTA must also speed up its efforts to “sell” Malta in the various segments it has chosen. This strategy will only work if the MTA plays its role. It has to push harder to reach its targets. Ultimately, every stakeholder has a role to play. In the interest of the tourism sector and Malta’s economy in general, we need to skip the rhetoric and really get down to work.