Fiji Tourism
Fiji tourism industry players must look at pricing
Suva, Fiji - Tourism industry players in Fiji must critically look at their pricing structure, says Professor Biman Chand Prasad.
Responding to the initiatives that will be introduced into the industry next year, Prasad said while Fiji offers unique tourism products and value for money it should not think it can remain competitive if no attention is paid to costs.
One of the initiatives announced by Prime Minister Commodore Voreqe Bainimarama is the introduction of a Tourist VAT Refund Scheme (TVRS) that goes into effect on Feb. 1, 2010.
This scheme he said, will allow foreign passport holding departing tourists to claim a refund of the 12.5 percent VAT paid on purchases of goods in excess of $500.
"The scheme will be initially available for tourists departing Nadi Airport and those departing by cruise vessels from Suva," he said.
Prasad also said the removal of duty on selected items like laptops, watches, perfume and Ipods will promote shopping in Fiji by tourists and was not necessarily a bad move.
Fiji Council of Social Services executive director Hassan Khan said while the introduction of a TVRS was a positive move for attracting visitors, most visitors come to Fiji for a holiday in the attractive sea, sand and sun and that should be the first priority.
"It would have been good to provide incentive to communities around the tourism plants, for small community based handicraft and agricultural industries as Government has been advocating the reduction of exports by hotel," he said.
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