Alaska expects 140,000 fewer cruise passengers in 2010

[mercedes]

Alaska cruise ship traffic is expected to drop by 14% in 2010, adding to the woes of tourism leaders who say that visits to the Frontier State already plunged this year due to the crippled economy.

Determining the cause of the visitor downturn, and how to fix it, was on the agenda of a tourism summit held in Anchorage yesterday.

It was the second such summit in the Alaska in less than a month to address the threat to tourism, the state’s third largest employer.

At both meetings, taxes and regulations slapped on cruise ships in a citizen-approved ballot initiative two years ago were blamed for the reduction in cruise ship traffic.

The Alaska Travel Industry Association said that 140,000 fewer cruise passengers would visit Alaska next year as a result of capacity cuts by big-ship lines like Princess, Holland America, Royal Caribbean, and Norwegian Cruise Line.

Even small-ship, Alaska-centric Cruise West cut capacity this year and next, and will even lay up two ships rather than keep them on Alaska itineraries in 2010.

Proponents of the cruise ship tax say that the cruise capacity reduction is due to the overall economic downturn, not the taxes and regulations.

No matter the reason, the cruise ships had to discount heavily in Alaska this year. With movable assets, the cruise lines are looking elsewhere.

[lindasuelucas]

i so enjoy reading the forums you input here on the site.

[jbond]

Proponents of the cruise ship tax say that the cruise capacity reduction is due to the overall economic downturn, not the taxes and regulations.

Of course it's never their fault. It looked a good idea at the time, but the downturn in the economy and the taxes and regulations cutting into the profit margin has caused the cruiselines to look for more profitable waters. It's like looking for a new job, once you start looking, you forget why and keep looking until you find something.

[hazelson]

So true!

[bowlcoach]

Once they added that $50 per head cruise passenger tax a couple of years ago, they should have known it would catch up to them. Such a popular cruise destination too.

[jacketwatch]

Great info as usual Mercedes. I can't help but think of the bus driver we had in Ketchican who who smirked about how quiet it was after the tourist season finishes so its "just the way we like it." Be careful what you wish for.