Sri Lanka’s tourism boom will not impact Maldives
January 19, 2011 01:00 pm
Sri Lanka’s tourism industry which was once battered due to a long drawn civil war, which ended in May 2009, has once again begun to pick up with the island nation giving way to large scale investment projects focusing on promoting tourism.
With several major hotel and resort chains such as Indigo, Movenpick and
Shangri-La taking steps to invest in Sri Lanka, questions have been raised as
to whether the current boom in tourism would draw fierce competition between
Sri Lanka and its friendly neighbour, Maldives which maintains a thriving
tourism industry.
Despite many being under the impression that the current trend in Sri Lanka
might threaten the Maldivian tourism sector, several hoteliers in Sri Lanka are
of the view that the developments in Sri Lanka would not have much of an impact
in Maldives as both countries deal with two different areas of tourism.
Srilal Miththapala, the former President of Tourist Hotels Association of Sri
Lanka, and now a Project Director/Consultant at the Ceylon Chamber of Commerce
said that Sri Lanka and Maldives are two complementary products and not
competitive products.
“It is a misconception to think that Sri Lanka and Maldives will be competing
in the tourism industry as both countries offer different products. The Maldives
islands and beaches are unique and it draws tourists who like that kind of an
environment and in Sri Lanka we cater to a different genre of tourists,” he
said.
“Even though both Sri Lanka and Maldives offers beautiful beaches they are both
different in so many ways. Therefore the growth and development in Sri Lankan
tourism could not have an impact in the Maldivian tourism sector,” he said.
The President of the Colombo City Hotelier’s Association, Shanthi Kumar said
that Maldives has their own market and the boom in tourism in Sri Lanka will
not affect Maldives due to both countries specialising in different areas of
tourism.
“Sri Lanka offers cultural, eco-tourism as well as coastal tourism. There might
be times where there is competition between the two countries to attract
tourists who go to the coastal area in Sri Lanka. But this will not make much
of an impact since Maldives has their own brand to offer. Many tourists who go
to Maldives look for an experience that they cannot get in Sri Lanka,” he said.
“Sri Lanka and Maldives are two different holiday destinations that cater to
different types of tourists. Maldives cannot offer what Sri Lanka has and the
same goes to Sri Lanka. That is the main reason why there wouldn’t be
competition between the two countries in the tourism industry,” Siri De Silva,
the President of the Association of Small & Medium Enterprises Tourism
said.
“Maldives is a place where tourists go to relax, enjoy the blue murky water, go
diving and enjoy the aquatic life the islands have to offer. In Sri Lanka the
beaches are very different to Maldives. In most cases, tourists spend a few
days in Maldives and then they visit Sri Lanka because it has many different
things to offer. This has been the situation in the past and with the present
development projects coming up in Sri Lanka there is no way the Maldivian
tourism industry could get affected,” he said.
“I think the Sri Lankan government and the Maldivian government should work
together to promote tourism in both countries. This will be very beneficial for
both countries and will strengthen the tourism industry in the region,” he
said.
Recently the Sri Lankan government signed an agreement with the Hong Kong-based
Shangri-La Asia Limited that announced its acquisition of six acres of
government land facing the Galle Face green promenade, a prominent landmark in
Colombo to build a luxury hotel complex.
The company announced that the planned development will be a multi-use complex
with high-end retail facilities, deluxe apartments and a 500 room luxury hotel
to open in early 2014.
The Shangri-La group is also making plans to develop a second property, a
300-key city resort on approximately 100 acres of land in Hambanthota, on the
southern coast of Sri Lanka, to open in 2013.
Alongside the Shangri-La hotel project the Sri Lankan government is now making
plans to build a mini-city by reclaiming land from the sea next to the Galle
Face green in Colombo. They propose to dredge 500 acres from the sea and build
the city between the Galle Face Green and the Colombo port.
The city which will be one-third the size of Male will be the first of its kind
in Sri Lanka and will also be a commercial hub with twin- towers with around 40
floors, each overlooking the sea and the city.
Sri Lanka is also making arrangements to build a proposed Formula One race
track in Hambanthota in order to host F-1 races in Sri Lanka. Building an F-1
circuit is expected to further increase the inflow of tourists into the country
which has shot up since the end of the war.
With the current development in the tourism sector in Sri Lanka, several tour
operators are looking at the option of diversifying their operations by
providing packages where tourists will be able to visit both Maldives and Sri
Lanka.
Currently several Maldivian investors that operate luxury resorts and villas
are looking into the option of investing in Sri Lanka in order to work out such
packages.
Dr. Nalaka Godahewa, the Chairman of Sri Lanka tourism told Haveeru Daily that
he has discussed the matter with tour operators to bring about a combined
package which will allow tourists to visit both Sri Lanka and Maldives.
“I have spoken to those involved in the industry in Sri Lanka to look into this
aspect as it would be favourable for both countries. In my view it will be
helpful for Maldivian hotels and Sri Lankan hotels to work together to provide
a combined tour package. I don’t see any competition between the two countries
as they offer two different products. This could be beneficial in attracting
more tourists to Maldives and Sri Lanka if a combined package system is adopted
by most hotels and tour operators in both countries,” he said.
Sri Lanka, which had a tourism growth of 46 percent last year in contrast to
2009, is expected to further rise this year, HNS reports.