Alan Lam reporting
It seems that the authorities in Argentina is finally responding to long-standing calls from the cruise industry. In a press conference held yesterday (11 August) - chaired by Guillermo Dietrich, the Minister of Transport, and Gonzalo Mórtola, the head of the port of Buenos Aires - it was announced that a tariff reduction for cruise vessels calling at the port will be implemented from 2017.
It has been a well-established fact that Buenos Aires has hitherto levied the heaviest tolls on ships using its ports. Cruise operators such as MSC Cruises and Costa Crociere have been lobbying local authorities for a reduction for years. Recent economic crisis and decline in cruise activities in the region seem to have prompted the decision.
As a measure to improve competitiveness and attract more tourists to the country, the Ministry of Transport and the port administration yesterday jointly announced this cruise-specific tariff reduction.
Effective from 2017/18 season, it is understood that the reduction will be in the form of progressive discount, depending the number of passengers. From October 2017 to April 2018, cruise lines bringing in up to 350,000 passenger will be charged at US$45.5 per person; thereafter for every 10,000 passenger there will be a US$0.50 per passenger discount.
“We are working closely with the sector to create a condition that will make Argentina a competitive destination,” said Guillermo Dietrich. “We want to see more cruise ships and more tourists coming to our country.”
“This tariff reduction represents a great effort made by the port,” said Gonzalo Mórtola. “We are convinced that this measure is necessary to make us more competitive in the market.”
The reduction does not appear to have gone far enough; nevertheless it is a step in the right direction. Considering the fact that the port of Buenos Aires only received a total of 329,600 cruise passengers in 2015, the threshold for discount is set unrealistically high.
Cruise lines’ reponses are yet to be heard.
