Searchlight Logo
special_image

    • News
      • Front Page
      • News
      • Breaking News
      • Press Release
      • From the Courts
      • Features
      • Special Features
      • Sports
      • Regional / World
      • Regional / World
    • Opinions
      • Editorial
      • Our Readers’ Opinions
      • Bassy – Love Vine
      • Prof. J Robinson – Eye of the Needle
      • Dr. Fraser- Point of View
      • R. Rose – Eye of the Needle
      • On Target
      • Dr Jozelle Miller
      • The World Around Us
      • Random Thoughts
    • Advice
      • Kitchen Corner
      • What’s on Fleek this week
      • Health Wise
      • Physician’s Weekly
      • Business Buzz
      • Hey Rosie!
      • Prime the pump
    • ePaper
    • Obituaries
      • In Memoriam / Acknowledgement
      • Tribute
    • Contact Us
      • Advertise With Us
      • Letters To The Editor
      • General Contact Information
      • Contact our Webmaster
    • About Us
      • Privacy Policy
      • Interactive Media Ltd
      • St. Vincent & the Grenadines
    • Subscribe
    • News
      • Front Page
      • News
      • Breaking News
      • Press Release
      • From the Courts
      • Features
      • Special Features
      • Sports
      • Regional / World
      • Regional / World
    • Opinions
      • Editorial
      • Our Readers’ Opinions
      • Bassy – Love Vine
      • Prof. J Robinson – Eye of the Needle
      • Dr. Fraser- Point of View
      • R. Rose – Eye of the Needle
      • On Target
      • Dr Jozelle Miller
      • The World Around Us
      • Random Thoughts
    • Advice
      • Kitchen Corner
      • What’s on Fleek this week
      • Health Wise
      • Physician’s Weekly
      • Business Buzz
      • Hey Rosie!
      • Prime the pump
    • ePaper
    • Obituaries
      • In Memoriam / Acknowledgement
      • Tribute
    • Contact Us
      • Advertise With Us
      • Letters To The Editor
      • General Contact Information
      • Contact our Webmaster
    • About Us
      • Privacy Policy
      • Interactive Media Ltd
      • St. Vincent & the Grenadines
    • Subscribe
Our Readers' Opinions
May 14, 2013

Negative economic impacts of an international airport: from a tourism development perspective

Tue May 14, 2013

by ©Kenrick Chambers

The opportunity and possibility for St Vincent and the Grenadines to develop a sustainable tourism industry would considerably increase with an international airport. The country would be more accessible, and therefore take advantage of its natural resources — sun, sea and sand, with the conjecture that the tourism sector will improve with enhanced air accessibility. But there is a price to pay.{{more}} There are negative economic impacts from building an international airport.

The United Nations Environment Programme on Resource Efficiency and Sustainable Consumption and Production stated: “There are many hidden costs to tourism, which can have unfavorable economic effects on the host community.”

Frequently, rich countries are more inclined to profit from tourism than poorer countries. While least-developed countries have the most imperative need for income, employment and overall rise of the standard of living by means of tourism, third-world nations are least able to benefit from the development. The primary reason why less developed countries do not benefit from tourism development is the large-scale transfer of tourist revenues out of the host country and exclusion of local businesses and products — also known as economic leakage.

Economic leakage occurs when tourist spending goes to airlines, hotels, and international companies that are usually foreign; consequently, most of the spending does not circulate to local businesses and workers. For example, a study of tourism leakage, conducted by Sustainable Living, shows that 80 per cent of the money spent by tourists in the Caribbean ends up in the pockets of foreign-owned tour operators, airlines, hotels, imported beverages and food companies.

Leakages arise in two ways — generally: import leakage and export leakage.

Commonly, import leakage occurs when tourists demand standards of equipment, food, and other products that the host country cannot supply. Especially in less-developed countries, food and drinks are imported, since local products are not up to the hotel’s (i.e. tourist’s) standards or the country simply doesn’t have a supplying industry. Therefore, much of the income from tourism expenditures leaves the country to purchase imported commodities.

In developing countries, most of the infrastructural development projects (e.g. resorts, hotels, construction, etc) are usually financed by large foreign corporations, and accordingly they take their profit back to their home country (headquarters) — as a result, export leakage transpires.

Other negative impacts of an international airport are: infrastructure cost; inflation; and environmental.

“Tourism development can cost the local government and local taxpayers a great deal of money,” echoes the United Nations. Already evident in the case of SVG, for example, airport departure tax increased, and Prime Minister Dr Ralph Gonsalves presented Parliament with an EC$799.1 million national budget, encumbered with increased taxes — the inheritance — Vincentian taxpayers. Another costly impact is: developers (hotels and airlines) usually request that infrastructure, such as roads and airports, be improved, which can be expensive to taxpayers in developing countries.

Additionally, another pricy undesirable impact can present itself via inflation. I will clarify — due to tourism development, inflation can ensue when increased demand for goods and services by tourists increases local commodity prices, and, as a result, local residents whose wages do not adjust, therefore, would have to pay higher prices for goods and services.

Another adverse impact of an international airport is the environmental sacrifice. For instance, the assessment conducted by the German firm (KOCKS Consult GMBH) for the Argyle international airport specified “…off-site operation impact may affect legally protected migratory and resident species of birds at Milligan Cay, which lies in the direct approach corridor of aircraft.” Also, noise pollution is an undesirable effect of an international airport — particularly on children’s health and development. A study inspecting the impact of airport noise on children’s health found higher blood pressure in children living near Los Angeles’ LAX airport than in those living farther away. Moreover, a German study (1995) found there is a strong correlation between chronic noise exposure at Munich’s International Airport and elevated nervous system activity and cardiovascular levels in children living nearby.

Nonetheless, with unfavourable economic impacts and environmental issues looming SVG, there are pros and cons in every situation — therefore there are positive impacts which can be beneficial if the appropriate panacea of fiscal, monetary, and environmental policies are implemented by the government.

Next, the Positive Economic Impacts of an international airport

  • FacebookComments
  • ALSO IN THE NEWS
    Former NDP Gov’t minister passes
    Front Page
    Former NDP Gov’t minister passes
    Webmaster 
    August 21, 2026
    This country has lost another former Member of Parliament with the death on Tuesday morning of Alpian Allen, who represented the constituency of North...
    New ACP Brenton Smith set to tackle  gun violence in SVG
    Front Page
    New ACP Brenton Smith set to tackle gun violence in SVG
    Webmaster 
    August 21, 2026
    ACTING Commissioner of Police Trevor Bailey, said newly promoted Deputy Commissioner Acting Brenton Smith, has been assigned to take strategic command...
    New Democratic Party confirms shift in stance on one-China policy
    Front Page
    New Democratic Party confirms shift in stance on one-China policy
    Webmaster 
    August 21, 2026
    Prime Minister Godwin Friday, has publicly reaffirmed the unwavering commitment of St Vincent and the Grenadines(SVG), to Taiwan with whom it is this ...
    Daughter of Vincentian mother heading to UK ‘Magic Circle’ law firm
    Front Page
    Daughter of Vincentian mother heading to UK ‘Magic Circle’ law firm
    Webmaster 
    August 21, 2026
    by Grace Francis A Vincentian mother who spent 10 years serving in the Royal Navy is celebrating the academic achievements of her daughter, Destiny Ro...
    Deputy CDC Chair promises “changes will come” for VincyMas
    Front Page
    Deputy CDC Chair promises “changes will come” for VincyMas
    Webmaster 
    August 21, 2026
    As the Carnival Development Corporation (CDC) kicks off its promotional campaign leading to the celebration of 50 years of the change over of carnival...
    Gun-Surrender Claim Fails: Chief Magistrate Jails Armed Man
    Front Page
    Gun-Surrender Claim Fails: Chief Magistrate Jails Armed Man
    Webmaster 
    August 21, 2026
    Lawyer Grant Connell has concluded that his Majesty’s Prison (HMP) has now become like the Red Cross, as some people want to go there to get free room...
    News
    AIA starts process towards certification
    News
    AIA starts process towards certification
    Webmaster 
    August 21, 2026
    Fixing the issues at St Vincent and the Grenadines’ (SVG), various airports is high on the agenda of the current administration and one thing that is ...
    Opposition Senator expresses serious concern about “brazen” gun crimes
    News
    Opposition Senator expresses serious concern about “brazen” gun crimes
    Webmaster 
    August 21, 2026
    Opposition Senator Carlos James says the increasing frequency of gun-related incidents and homicides in St Vincent and the Grenadines (SVG) is a serio...
    Cashier alleged to have stolen cash from 79-year-old, granted bail
    From the Courts, News
    Cashier alleged to have stolen cash from 79-year-old, granted bail
    Webmaster 
    August 21, 2026
    A cashier who is alleged to have stolen almost $70-thousand from a senior citizen over a span of several weeks in 2023 and 2024 pleaded not guilty whe...
    Vincentian Bishop Ishmael Charles elected Assistant Director of World Missions- Church of God
    News
    Vincentian Bishop Ishmael Charles elected Assistant Director of World Missions- Church of God
    Webmaster 
    August 18, 2026
    BISHOP ISHMAEL PRINCE CHARLES of St.Vincent and the Grenadines (SVG), was elected Assistant Director of World Missions at the Church of God’s 80th Int...
    Journey VincyMas 2027: Road to 50 launched in New York
    News
    Journey VincyMas 2027: Road to 50 launched in New York
    Webmaster 
    August 18, 2026
    THE CARNIVAL DEVELOPMENT Corporation (CDC) last Friday, August 14, 2026, blasted off their promotional campaign, “VincyMas 2027 Road to 50,” in the US...

    E-EDITION
    ePaper
    google_play
    app_store
    Subscribe Now
    • Interactive Media Ltd. • P.O. Box 152 • Kingstown • St. Vincent and the Grenadines • Phone: 784-456-1558 © Copyright Interactive Media Ltd.. All rights reserved.
    We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.Ok