Jamaica's Tourism Minister Edmund Bartlett has announced Cabinet's approval of the Tourism Industry Refurbishment Programme (TIRP), as part of efforts to boost the sector and grow revenues.
Under the new incentive programme, tourism entities licensed by the Jamaica Tourist Board (JTB), which are tax compliant, will be allowed a concessionary import duty rate of ten per cent on a specified list of items for the refurbishing of their properties. Bartlett said entities which opt to purchase locally will be given a 15 per cent tax credit on the total value of local purchases.
Speaking during a press briefing at his office, Bartlett said the TIRP is expected to improve the operations and competitiveness of tourism entities. "The Caribbean and Jamaica, in particular, have over time had products that are mature products and, in our business, the growth in tourism and the constant improvement has been so rapid that unless you are continuously improving and refreshing your products, you're likely to be left behind," he argued.
He said that his ministry fully recognised that hotel property has to be "perpetually fresh and crisp" to be competitive in today's market. With tourism being one of the island's leading growth sectors, the introduction of the TIRP is expected to encourage establishments to refurbish their properties more often, creating more employment and revenues for the government. It will also enhance the linkages between the industry and the local manufacturing and furnishing sector.
Bartlett said this is an important improvement because it brings small properties, in particular, into the mix of beneficiaries. "This is also an incentive to grow, to expand, to produce more and we have already on the cards, some US$151 million of expansion programmes to be implemented," he said. (Caribbean360.com)