New US Passport Security Measures 'Will Devastate The Caribbean Economy'

by Leroy Baker, Tax-News.com, New York

07 June 2005

New security measures proposed by the United States for all Americans re-entering the US from the Caribbean could have a devastating impact on the region's economy, especially the tourist industry, according to a new report.

A study by Caribbean Hotel Association (CHA), revealed at the Caribbean Tourism Organisation Board of Directors meeting in New York last week, warned that the Caribbean could lose as much as $2.6 billion in earnings from visitor arrivals as a result of the new passport regulation, putting more than 188,000 jobs at risk.

Under the US proposal, all American citizens visiting the Caribbean must be in possession of a valid US passport in order to re-enter the United States. The new measure is set to be introduced in January 2006 - two years before the same rules go into effect for visitors to Canada and Mexico.

CHA President Berthia Parle warned that traffic levels to the Caribbean would be severely reduced as a result.

“CHA can appreciate US concern for its security, but cannot lose sight of the impact of the new regulations on Caribbean travel and tourism, which will be a permanent realignment of traffic, with spontaneous, last minute travel significantly reduced,” Parle remarked.

“Our position advocates an extension of time for the Caribbean to the same introductory date as Mexico and Canada, January 1, 2008, to allow the region’s tourism to prepare better," she added.

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