THE tourism industry has flatly rejected a proposal by some board members of the Tourism Enhancement Fund (TEF) who voted last week to double the current US$10 tax that land-based visitors are charged, according to Jamaica Hotel and Tourist Association (JHTA) president Wayne Cummings.

“The JHTA is firmly in disagreement with the suggestion of an increase, and so they are out of their minds and out of touch with what the sector can bear, and we are rejecting it wholeheartedly and we will fight it locally,” he insisted.

Cummings argued that an increase of this tax from US$10 to $20 will not only make it more expensive for stop-over visitors but would render Jamaica less competitive to some of its Caribbean counterparts who either do not have this tax or whose tax is nowhere near US$10.

“How can you try to make it more expensive to come to Jamaica? People will say, if you insist on putting this on us, we will go to somewhere where it is cheaper,” Cummings told the Sunday Observer.

The JHTA head said airlines, tour operators and travel agents also plan to reject the hike, given the major challenge in getting persons to pay the initial US$10.

Describing the move as hypocritical at a time when Jamaica is lobbying the United Kingdom to review the increase in Air Passenger Duty (APD), Cummings said if the industry is not vigilant, the increase could be quickly pushed through Cabinet for implementation.

“The tourism minister can’t be out there lobbying on the APD and at the same time sticking it to the locals,” Cummings argued, adding that the industry is prepared to tackle the controversial increase head-on.

He noted that while the TEF has never been able to collect the US$2 charged per head for cruise ship passengers since 2004, it is seeking to add even further pressure on an already burdened industry.

“Every single day the executive of TEF has written to the Port Authority to lobby for the money and yet not one dollar has been collected, but this Government can go to the people who are already paying and demand more,” Cummings fumed.

This, he argued, is even though land-based tourists already account for 93 per cent of the country’s tourism revenue.

Cummings explained that a month ago, when the proposal was first made for the fee to be increased to US$20, nine of the 12 board members voted against it and industry players made it known that it would not be supported.

But, he said, on Friday when there was a much smaller quorum and he was not present, the proposal was again placed on the agenda with four of the seven board members voting to implement it.

Cummings said the proposal could become reality with one meeting of Cabinet and complained that decisions are now only being rubber-stamped in Parliament.

Under this TEF tax, tourists are required to pay US$10 on each return ticket. The money is collected through the various airlines by the International Air Transport Association (IATA) and turned over to various countries.

Meanwhile, Cummings, who insisted that the hike is being pushed by the tourism ministry, said the TEF is committed to giving the Jamaica Tourist Board (JTB) more funds for marketing the destination, but said doubling the tax on stop-over visitors is not the way to go.

In fact, he argued that the projects the TEF money is being spent on should be re-examined.

“The claim is it is being dedicated to the JTB marketing, but I know better because they say it is marketing today but tomorrow it is something else,” he insisted.

The JHTA head said following discussions with industry players, he has since spoken with Tourism Minister Edmund Bartlett, who has promised to look into the matter. But Cummings said he was not hopeful, since the idea of a tax hike was first placed on the meeting’s agenda by Bartlett.

Cummings said persons who have criticised the industry for speaking out against the heavy taxation, do not understand the level of taxation they are already straddled with.

And the recent tax hike on alcoholic beverages has not made the situation any better, as Cummings said the all-inclusive hotels will be affected most, because they are forced to absorb that added cost.

“In all-inclusives we don’t write a bill at the end of the meal to tack on extra charges, and neither can we call the travel agents whose clients have booked a year ago to say we will have to charge more, and so all of that will have to be absorbed in our cost,” he said.

He said the sector is angry that the Government accepted the proposal of one company without having dialogue with others which would be adversely affected.