Searchlight Logo
special_image

    • News
      • Front Page
      • News
      • Breaking News
      • Press Release
      • Features
      • Special Features
      • From the Courts
      • Sports
      • Regional / World
    • Opinions
      • Editorial
      • Our Readers’ Opinions
      • Bassy – Love Vine
      • 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
      • Interactive Media Ltd
      • St. Vincent & the Grenadines
    • Subscribe
    • News
      • Front Page
      • News
      • Breaking News
      • Press Release
      • Features
      • Special Features
      • From the Courts
      • Sports
      • Regional / World
    • Opinions
      • Editorial
      • Our Readers’ Opinions
      • Bassy – Love Vine
      • 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
      • 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
    Park Hill man wins massive lottery jackpot
    Front Page
    Park Hill man wins massive lottery jackpot
    Webmaster 
    April 24, 2026
    A RESIDENT of Park Hill, Gevannie Blake, received more than one million dollars in the National Lotteries Authority (NLA) Lotto draw held on April 14,...
    Minister claims computers in New York consulate wiped
    Front Page
    Minister claims computers in New York consulate wiped
    Webmaster 
    April 24, 2026
    WHO WIPED the computers at St Vincent and the Grenadines’ (SVG) consulate in New York (NY) is just one of the issues currently being investigated by t...
    Government back-pedals on Constitution
    Front Page
    Government back-pedals on Constitution
    Webmaster 
    April 24, 2026
    THE NEW DEMOCRATIC PARTY administration of Dr. Godwin Friday, has pulled back from presenting a bill to Parliament to amend the Representation of the ...
    John Clyde Fitzpatrick jailed for molesting boy
    Front Page
    John Clyde Fitzpatrick jailed for molesting boy
    Webmaster 
    April 24, 2026
    HIS MAJESTY’S PRISON (HMP) will now tbe he home, for the next two years, seven months at least, of convicted sex offender 65-year-old retired mathemat...
    Two non-nationals on cocaine charges
    Front Page
    Two non-nationals on cocaine charges
    Webmaster 
    April 24, 2026
    A VENEZUELAN and a Grenadian man have been charged with illegally possessing, trafficking and attempting to import 434,268 grammes of cocaine into St ...
    ‘Missing houses’ under probe says Minister
    Front Page
    ‘Missing houses’ under probe says Minister
    Webmaster 
    April 24, 2026
    THE MINISTRY of Housing has handed over to the Ministry of National Security, information aimed at investigating some of the housing contracts issued ...
    News
    Vincentian footballer shot to death in St Kitts
    News
    Vincentian footballer shot to death in St Kitts
    Webmaster 
    April 24, 2026
    THE MOTHER of Shamarie ‘Boy Boy’ Baptiste, a 22-year-old Vincentian footballer who was shot dead earlier t his week in the Federation of St Kitts and ...
    Energy Mas Band presents Holidays in SVG for VincyMas
    News
    Energy Mas Band presents Holidays in SVG for VincyMas
    Webmaster 
    April 24, 2026
    VINCYMAS 2026 will be graced with a presentation of seven holidays that are currently observed by Vincentians. This is the focus of the production of ...
    Former Diplomat debuts crime novel
    News
    Former Diplomat debuts crime novel
    Webmaster 
    April 24, 2026
    CARLISLE RICHARDSON has promised to feature the Caribbean on an international scale with his debut novel, ‘The Soft Underbelly.’ Richardson is a St Ki...
    Bread van helped avert tragic accident at Gordon Yard
    News
    Bread van helped avert tragic accident at Gordon Yard
    Webmaster 
    April 24, 2026
    A ‘BREAD VAN’ is said to have averted a potentially fatal accident that occurred on Monday, April 20, 2026, in GordonYard, North Leeward that also inv...
    Man who had clean record jailed for possession of illegal gun, ammo
    News
    Man who had clean record jailed for possession of illegal gun, ammo
    Webmaster 
    April 24, 2026
    DESPITE BEING COMMENDED for not getting in conflict with the law for over four decades, a Campden Park man was reminded that his actions have conseque...

    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