Features | Sundayobserver.lk

Tourism has been one of the most neglected industries in Sri Lanka, both by nature and politics. Whenever tourist arrivals indicate an increase the industry plunges into some disasters wiping out hopes.

The rumblings started with the 1971 insurgency and later the 1983 ethnic riots which crippled the industry in a big way. Industry growth picked up a little when the ceasefire was announced in 2003 but that was only temporary. The 2004 tsunami further swept away those hopes of survival.With bombs exploding in every corner Sri Lanka was like another Iraq and tourism industry took a severe beating resulting in several airlines pulling out, hotels closing down downsizing workforce and the room rates hitting an all time low. The Sri Lanka's situation was a boom to some neighbouring countries which capitalized on it.

Lanka records impressive growth

Basil Rajapaksa, Economic Development Minister who will guide tourism to greater heights

Nearly a year after the three decade long civil war ended, the tourism industry which suffered immensely during the past has recorded one of the highest tourism growth rates this year.

An interim report of the United Nations World Tourism Organization (UNWTO) lists Sri Lanka with a 50 percent growth in tourist arrivals among 77 countries that have reported international arrivals data.For the first two months of this year , Sri Lanka which was once ravaged by war topped the UNWTO list which was followed by Saudi Arabia ranking second place with a +45% growth rate and Israel coming third after recording a +37% growth rate.

The Sri Lankan government is now organizing several events and is in the process of developing the tourism industry in order to make Sri Lanka a top tourism destination in the world. Sri Lanka which is now being marketed as the "miracle of Asia" revived nearly $ 350 million in revenue from the industry last year.

The nail on the tourism coffin would have certainly driven hard had the situation prevailed for a few more months. But President Mahinda Rajapaksa became its saviour when he led the humanitarian operation in the Wanni last year. The signs of peace dividend was first seen when New Yort Times rateed Sri Lanka as one of the top destinatiosn to tracvel in 2010 while severl other similer accolades too were pinned for Sri Lanka.

The major problem the industry faced with, was in not having a full time tourism Minister who understood the subject but the President found the solution by appointing Basil Rajapaksa by throwing light at the end of the tunnel. The new Minister who has an advantage of heading several Ministries would certainly give a boost to the industry which would have a smooth flow between several line institutions.

Tourism is currently the fourth foreign exchange earner of the country, behind foreign remittances, apparel and the Tea.

The current earnings of the tourism industry is around US 400 million and with the peace dividend this figure is expected to double by the end of this year. The employment generation is over 150,000 and with the current arrival trend this is expected to shoot up to 600,000 by 2016. With the average tourist arrivals which is around 425,000 to bring in a revenue around US $450 million. The best arrival pattern was in 2004 when the Peace Accord was on which saw 576,000 visitors to the country and, this year the arrivals will hit a record all time high of 600,000 by the end of this year. The Signs of this are already in the horizon with first quarter of the year showing an increase of over 40 percent.The hosting of several international events such as Indian International Film Awards, Pacific Asia Travel meeting, Asia Cup Cricket, bidding to host the Commonwealth Games, are clear indications that Sri Lanka has regained its lost glory. It gives the confidence the international community has on the country. The investments that are taking place in the tourism industry are also clear signs that tourism is going to be a major force in the future.

President has declared 2011 as the "Visit Sri Lanka Year" and tourists arrival for the first time is excepted to hit one million and the target for 2016 is 2.5 million.There are around 14, 500 rooms for tourists which is expected to increase by 3,000 in the next two years. The re opening of shut down rooms and putting up additional accommodations at new hotels are expected to come up in these existing areas.

In addition Kalpitiya, Paseekudah, and Kuchchaweli have been recognised as new tourism destinations targeting the high spending up market clientele.

Eight islands have been offered to International leisure companies in Kalpitiya and already two islands have been taken and the other six are expected to be taken at the end of the year. Kalpitiya would be one of the most up market destinations in South Asia with Golf courses, Cable cars, floating restaurants, amusement parks and night entertainment similar to that offered in Singapore.

According to Director General, Ministry of Tourism. S. Kalaiselvam, Ministry already has 150 acres in Paseekudah. "We hope to give this out to 14 hotel companies and we have received bids from both local and international investors," he said.

When completed Paseekudah would add 700 four star and above category rooms to the leisure industry.A Sri Lankan and a Maldivian company have already taken land at this venue to put up two five star hotels and they are expected to be opened for 2012 winter.

Kuchchaweli near Trincomalee would be another hot spot for tourists with 500 rooms expected to be constructed as a four star class and above.When tourism industry flourish other infarstuctor such as roads, electracit and many others also fals n to place.

Tourism industry to reach Himalayan heights