54.3 F
San Diego
Thursday, Mar 28, 2024
-Advertisement-

Cruise Line Sees Opportunity in Mexico

While some cruise ships are being pulled from their San Diego to Mexico routes, Carnival Corp. is committing to investing $150 million in port infrastructure along Mexico’s Pacific and Caribbean coasts. The eventual expansion could boost local cruise business, say tourism officials.

According to Mexico Secretary of Tourism reports, Carnival agreed under a Mexican National Agreement for Tourism to invest in developing cruise terminals at Puerto Cortes on Santa Margarita Island in South Baja California and at Calica, which is on the mainland near Cozumel. The pact was reached during a March meeting in Cozumel between Carnival Cruise Lines President and CEO Gerry Cahill and Mexico President Felipe Calderon.

Eduardo Gonzalez Cid, national adviser for cruise ships for the Mexico Ministry of Tourism, said becoming a partner with Carnival sends a signal that the largest cruise line believes in the market and the product, which can offer sun, sand and adventure.

“It’s going to be very beneficial for Mexico and the tourism sector in Mexico,” Gonzalez Cid said. “The cruise industry’s economic impact goes into different aspects of Mexico. Every cent that comes from outside the Mexican economy is good news.”

Adding to the Scene

He added that while new cruise terminals have in the past raised anxiety about detracting from established tourism markets, terminals added in places such as Costa Maya have shown that they can attract more business to the region.

“It’s going to become a better product because there will be more demand,” he said.

Carnival spokesman Vance Gulliksen said Carnival is always looking for new port opportunities for guests, and Mexico remains a popular destination with Carnival ships visiting ports along the country’s Pacific and Gulf coasts. Gulliksen said Carnival ships currently bring millions of visitors to Mexican ports in Ensenada, Puerto Vallarta, Cabo San Lucas as well as Cozumel, Progreso and Costa Maya.

Going to the Sea Down Under

Although intent on expanding cruise opportunities in Mexico, Port of San Diego Marketing Director Rita Vandergaw said after this month Carnival is canceling its eight-day cruise from San Diego to Mexico. Holland America Line is also canceling its seven-day cruise to Mexico, and both companies are taking their business to Australia. Vandergaw said a handful of Mexico cruises will still be departing San Diego, but the port would like to see weekly cruises between the two countries.

“Once they (the ships) leave the challenge is getting them back,” Vandergaw said. “They’re already planning their 2013-2014 seasons and so it’s difficult to recover.”

While some cruise lines have cited consumer safety concerns due to drug-related crime, Royal Caribbean International said it left the West Coast/Mexican Riviera market last year because it had a responsibility to its investors to use its ships in regions that commanded more advantageous cruise fares, according to Travel Agent Central, an online magazine devoted to professionals in the travel agent industry.

Gulliksen said Carnival is aware of the concerns about crime in Mexico and puts an emphasis on safety.

“The safety of our guests and crew is our number one priority, and Carnival only visits ports of call that we believe provide a safe environment for our guests and crew,” Gulliksen said in an email statement. “Carnival’s port of call destinations in Mexico are concentrated in highly popular tourist areas and not the outlying areas where the vast majority of reported violence has occurred.”

Vandergaw said the opening of the two cruise terminals not only introduces a new product for vacationers taking a Mexican cruise but also gives the cruise lines the flexibility to create a range of itineraries.

“It’s not offering something instead of, it’s offering something in addition to,” she said. “If you’re not refreshing your product and not offering new things to do, they (customers) are going to go somewhere else.”

A bonus for San Diego is the economic benefit a cruise business stimulates, Vandergaw said. Along with up to several hundred people employed at the cruise facility, the additional business creates more demand for services ranging from transportation to ship maintenance.

-Advertisement-

Featured Articles

Encanto Business Lets the Good Times Roll

Economic Driver

-Advertisement-
-Advertisement-

Related Articles

-Advertisement-
-Advertisement-
-Advertisement-