MANILA, Philippines – The Philippine Travel Agencies Association (PTAA) wants the constitutional limits on foreign ownership to stay, specifically on investments in the local tourism industry.
PTAA president Aileen Clemente said tourism in the country should not be opened to foreign control. “We do not need to follow the examples of our neighbors in the region. Allowing foreigners to own properties and have a majority stake will lead to uncontrolled development in the country’s tourism industry,” Clemente said.
“Give the proper incentives to Filipinos and domestic companies would be the step in the right direction. Philippine companies have the same capabilities as their foreign counterparts and they have a better understanding of what is needed to be done,” she added.
A move in Congress to loosen foreign ownership restrictions is currently gaining headway. The Joint Foreign Chambers, with more than 2,000 member companies operating across the country, is also pushing for increased foreign ownership as a means to attract more investments into the country.
Clemente said that instead of mulling the possibility of allowing foreign ownership, the government should work at other measures that would sustain the growth of country’s tourism industry.
She cited the visa upon arrival for restricted nationals’ scheme, lifting of Category 2 status of the country’s aviation industry, and the pocket Open Skies.
“These are issues that we believe are important to local tourism. The PTAA is willing to work with the government and other groups to make them work,” Clemente said.
The PTAA position is echoed by Bohol Governor Edgar Chatto who said that allowing foreign control in the local tourism industry would result in “resource allocation” issues.
“Congress must thread the 60-40 ownership stipulation in the constitution carefully. There must be a win-win situation on both sides,” Chatto said.
Chatto said that some foreigners that operate resorts in the country are going around the foreign ownership restrictions by marrying Filipinos and having the properties named to their wives. Chatto, through their one-stop shop for investments, indicated that 70 percent of the tourism investments they have approved for Bohol are from Filipino owned companies.
==============================================================================
By: Ma. Elisa P. Osorio
Source: The Philippine Star, Sept. 20, 2011
To view the original article, click here.
Comment here