Tourism industry…reality and perspectives

Dr.Ousman ALAIDI

Abstract

Tourism has become the first industry in the world employing 11% of the whole labour force. It is now the first sector in terms of job creation.

Syrian tourism share in social and economic development must be at least as important as agriculture. Real start-up of this sector began in 1972 with the establishment of the Ministry of Tourism. At that period, the only two first class hotels were based in Damascus (private hotels). In 1973, contracts were signed with The Meredien and Sheraton to manage hotels constructed by the Ministry. Later, attempts failed to establish mixed tourist companies because of low profitability and state control. In 1977, the Syrian Arab Company of Tourist Establishments succeeded, owing to private sector dynamism and to the state responsibility, in spreading the company around the country depending on tourist and monumental sites. It has now eighteen establishments with 7530 beds 75% of which in four and five stars hotels). Furthermore, several sub-companies and other companies were created in Syria and abroad (Trans-tour, Orient-tour, licences to manage the Meridien, Sheraton, 4seasons…). This success emphasizes the integration between the private and mixed sectors in playing an essential role in tourist development, where the public sector has failed (e.g. in Meridien and Sheraton).

Implementing an important tourist industry requires advertisement, banks, commercial markets, hospitals, appropriate legislation, qualified workers etc. In 1997 for example, Spain spent $71 million and Austria 57. They were visited by 43 million and 6 million tourists respectively. The state, in 60% of countries, takes charges of tourism advertisement.

Neither the prices of the hotels (the lowest in Syria according to Arthur Anderson&Co) nor their few number (in 1999, occupancy rate was less than 50%) nor the prices of the tourist trips (40% of which go to hotels, restaurants, transport, 21.57% to plane fees and taxes) are responsible of low level of tourism in Syria; the lack of advertisement and the high taxes are the main reasons.

Intra tourism represents the major part of international tourism (82%), while in Arab countries, it is 42%. Furthermore, according to the estimates of international tourism organization, it will drop to 37% in 2020. This kind of tourism is essential to Syria and Arab countries because it is less susceptible to foreign media influence, more profitable and sustains fraternity and cooperation. This pushes the Arab Union for Hotels and Tourism, in the 1998 Cairo conference, to promote this tourism and emphasize its importance.

Several factors play an important role in developing tourism: globalization, simplifying procedures on the frontiers, widening transport capacity, lowering work time, telecommunication technology etc. Economic orientations during the the last twenty years were marked by merging huge tourist and hotel companies, flourishing of small efficient companies, while medium-sized companies became less important.

Knowing that tourism in the 21^st century is essential to comfort, contributes to protecting national heritage, ties the relationship with culture and development and is the future industry, Syria has to consider it as a basic industry and must provide stability and safety. Syria may face the risk of oil depletion, but monumets still stand up.

Investing in tourism will bring more revenues in foreign currencies than all exports and other industries. This will not necessitate adding huge annual investments, will contribute to create large employment and will sustain the national culture.