The remarks by National Development Minister Mark Espat may have dominated the event, but the business of the Belize Tourism Industry Association's bi-annual general meeting was mostly about the general sales tax. Stakeholders got an opportunity to understand how the GST will work as it relates to the tourism industry. It was an important forum for industry stakeholders in particular the Belize Hotel Association because they are still fighting to get out of the burdensome exempt classification. President Lucy Fleming says they are taking this position because the tax will automatically drive up prices and reduce their competitiveness.
Lucy Fleming, BTIA President
"In terms of the tourism industry, certainly with the accommodation sector we do feel like we are getting a raw deal. We see that although the Prime Minister did speak at his industry presentation, we took heart in what he said because he said was that government is committed to making tourism a national priority and especially strengthening the overnight sector. Now when we heard that we took heart in and we spoke to the Prime Minister, and have been speaking to the Prime Minister about our concerns about an exempt rating for the accommodation sector.
It simply doesn't work for us because it's going to raise rates and why should we be given, as the number export owner for the tourism industry, why should the accommodation sector be singled out. It's the heart of the tourism industry, it is where all the life of the tourism industry flows from, and it should be given at least the same status as all other sectors, and certainly as other export sectors are given within the country of Belize.
I can give you an example with Costa Rica where the accommodation sector was given very very clear incentives for development and we question why the accommodation sector was singled out. I would like to say that I would like to feel that we still have confidence with the words the Prime Minister gave us at his industry presentation. I know certainly that our status can be changed. I certainly know that it should be changed, and I know that as an industry I certainly feel that we deserve that change in status."
