Spending Gap Revealed at Tourism Conference
Kingstown, Saint Vincent and the Grenadines – Cruise passengers visiting Saint Vincent and the Grenadines (SVG) spend significantly less than those in other Caribbean destinations, a concern recently highlighted by Carl James, the Chief Executive Officer (Ag.) of the St. Vincent and the Grenadines Port Authority (SVGPA). James raised this issue during the State of the Tourism Industry Conference held in Kingstown on September 15, 2025, under the theme 'Strength in Unity: Advancing the Vincentian Visitor Experience'.
According to James, cruise visitors in SVG spend approximately $59 per passenger. In stark contrast, passengers in other destinations typically spend between $160 and $190, indicating that other countries are capturing revenue at a rate 350% better than SVG. A study for the 2023/2024 cruise year further supports this, showing an average total expenditure of $59.39 per passenger in St. Vincent.
Call for Enhanced Service and Formalization
James emphasized that despite a rapid increase in cruise arrivals, the economic benefits are not being fully realized due to this spending disparity. He urged local service providers to adopt a more formal and scalable approach to their businesses. 'If we are currently capturing $59 per passenger and other countries are doing 190, it says we could do 350% better,' James stated, stressing the need for strategic conversations to not only expand visitor arrivals but also to significantly improve revenue capture. He noted that cruise lines seek assurance that their passengers will have a comprehensive and safe experience, including considerations for insurance and overall service quality.
The conference also featured insights from Abigail Crossley, Director of Strategic Sourcing OBR at Carnival Corporation, who underscored the importance of memorable travel experiences and strong partnerships between guests, destinations, and local communities.
Record Arrivals Amidst Modernization Efforts
The concern over spending comes at a time when SVG's cruise tourism sector is experiencing unprecedented growth. In 2023, the island nation recorded its best cruise season in history, with a 120% increase in cruise visitors and a total of 377 ship calls. This growth is further supported by significant infrastructure developments, including the nearing completion of the USD $250 million Kingstown Port Modernization Project and the upcoming opening of a new EC$700 million cargo port in Kingstown in October.
Regional Context of Cruise Tourism
The challenge faced by Saint Vincent and the Grenadines is part of a broader regional issue. A World Bank official previously noted that the Caribbean, despite being the largest region for cruise tourism, earns the least per passenger globally. This highlights a systemic problem where the region's tourism model may be unsustainable, prompting calls for greater collaboration among Caribbean nations to negotiate more favorable terms and enhance economic returns from the cruise industry.
5 Comments
Bermudez
It's true that local services need to formalize to capture more revenue, but the article also highlights a broader regional issue with cruise tourism earnings. It's not just an SVG problem to solve alone.
Fuerza
The infrastructure investments are impressive and crucial for growth, yet they won't automatically solve the spending disparity. More direct engagement with and training for local vendors is needed.
Manolo Noriega
Cruise lines exploit destinations; they don't want passengers spending locally.
Ongania
Our local businesses are clearly not ready for high-value tourism.
Manolo Noriega
Great to see the Port Authority pushing for better economic returns.