The Dominican Hotel and Tourism Association (DHTA) has issued a stark warning regarding recent policy decisions that threaten to undermine the Caribbean nation’s carefully cultivated tourism model. Representing hotels, tour operators, transportation providers, and thousands of industry workers, the association expresses deep concern over the government’s departure from previously agreed-upon funding mechanisms.
For years, both governmental and private sectors have acknowledged critical funding shortfalls in destination marketing and natural site maintenance. This financial gap has directly impacted Dominica’s competitiveness and visitor experience quality. In response, the DHTA had supported implementing a visitor levy under specific conditions: a $20 fee collected through IATA systems, establishment of a jointly managed tourism fund, and elimination of individual site fees in favor of a unified ‘One National Park’ concept.
However, the recently announced budget measures diverge significantly from these agreements. The government has implemented a $30 levy (50% higher than proposed), maintained cruise head taxes at current levels instead of increasing them to $12.50, introduced substantially higher site pass fees, and made no mention of the jointly managed fund structure. Most concerning is the 300% increase in site fees, creating an additional $272 financial burden for a typical family of four—a 566% overall increase when combined with the new levy.
The economic impact is already materializing, with over 10,000 pre-booked room nights for 2026 facing significant losses under the new fee structure. Small and medium properties report unbudgeted adjustments exceeding EC$10,000, while tour operators struggle with mid-cycle changes to contracts typically set 12-18 months in advance.
The association highlights a critical equity issue: cruise visitors represent 80% of arrivals but contribute less than 10% of tourism GDP, while stayover visitors—who spend fifty times more per capita—bear nearly the entire financial burden of site maintenance and marketing. This imbalance contradicts Dominica’s longstanding tourism master plans emphasizing high-yield, low-volume, nature-based tourism.
The DHTA reaffirms its commitment to collaborative solutions that protect Dominica’s unique brand as the world’s premier nature destination while ensuring fair contribution across all tourism segments and upholding environmental stewardship principles.