A consumer poll, backed by the UK Association of Independent Tour Operators (AITO) found out that 77 per cent of those interviewed intend to travel at least as much as they did last year. Seventy-two per cent expect to spend at least as much money.

An article appearing in TravelMole indicates that venture capital is returning to the travel industry. This is being attracted by the billions spent on travel each year with Forrester Research predicting online travel alone will grow from $115.6 billion to $157.8 billion by 2013. Online travel is in constant development, but with social networking and the mobile phone it is also ripe for innovation.

The tourism industry – together with industry and financial services – is one of Malta’s three economic pillars. During the fist six months of this year tourism suffered a 13.8 per cent drop on the corresponding period last year. The first half of 2008 was the best ever, an all time record in tourism. The period January/June 2008 followed another corresponding record six months in 2007. 2007 was Malta’s best year for tourism, only to be overtaken by 2008 – another record year spoiled by a worldwide economic recession which had damning results on the tourism and travel sector during the last six months of 2008.

Locally 2009 is being compared to 2007. This is because results for 2007 were positive throughout all the year whilst in 2008 we had an excellent first six months followed by a negative last six months, even if overall results for 2008 were better than those for 2007. Between January and June 2009 497,868 tourists visited Malta. This was 79,445 less than that for the corresponding period of 2008 but only 3,934, or 0.78 per cent less than for the first six months of 2007.

Malta’s major loss was from the United Kingdom from where 25,246, or 12.1 per cent less tourists visited Malta. Even this loss is about half the 23 per cent less UK citizens whom the consumer poll indicated will be travelling less this year. This means that in the UK, which is our main core market, we are holding our ground. Even though less in number, we had higher percentage-wise drops from Germany and France two other core markets. The only core market which not only held its ground, but fared better in arrivals, was the Italian market. Italy overtook Germany and France and is now our second largest tourism market. Arrivals for the first six months went up from 43,242 in 2007, to 60,320 in 2008 and 66,152 this year.

Figures released by MIA suggest that in July there will be another drop in tourism, but not of the same magnitude as that of the previous months. Major hotels are reporting that in the first two weeks of August bookings were stable and that results should be the same as those of last year.

The tourism industry is the one that suffers most during a recession. So no one should expect the results of 2007 and 2008. Government and MTA are doing their utmost to contain the damage. Following the bad results of the first three months of this year, due to lower seat capacity, through hard work with the airlines, especially with our national airline Air Malta, the situation was normalised and it looks as if this summer there will be as many seats, possibly marginally more, than the summer of last year. The MTA is investing much more on promotion overseas, especially in our core markets. The MTA is also exploiting new niche markets and niche travel products. Government is investing millions of euros on our product: on capital projects, embellishment projects, restoration projects and on the environment.

This year will definitely see a drop in the number of arrivals, bed nights and tourist expenditure. But it will not be an annus horribilis as some are predicting. It is not all ‘doom and gloom’. We are withstanding our ground. There are already signs that market conditions are improving. Tourism is a resilient industry. I am sure that together – the government, MTA and the private sector, will come stronger from this worldwide tourism crisis.

Joe M. Zahra

Former editor of in-Nazzjon