Viset sees need for joint effort by stakeholders to make Malta attractive
Cruise lining business could be 'a goldmine'
The number of cruise liner passengers to Malta is expected to shoot up by 24 per cent in 2005 in comparison to this year, to go back to the 2003 record levels, as new and larger ships flood the Mediterranean, and the Viset terminal in the Grand Harbour nears completion.
In an interview, Viset chairman Chris Falzon and business manager Dirk Spiteri Lucas agreed that the cruise lining business could turn into a potential goldmine, provided all the tourism players pulled the same rope.
It is a completely different tone to that aired by some earlier this year after it was learnt that the number of visiting cruise passengers was expected to plummet by around a quarter in comparison to 2003.
Last year, around 416 cruise liners, carrying some 380,000 passengers, visited Malta.
A number of reasons were attributed to the decline, including the fact that Malta joined the EU on May 1. Under European tax protocol, cruise liners are only allowed to operate tax-free concessions if their itinerary includes a port of call outside the EU.
Besides, several liners were once again concentrating on the Eastern Mediterranean, while in 2002 and 2003 there were gradual shifts to the west as a result of unrest in the Middle East.
Malta is once again on the cruise liner circuit and with healthy pre-bookings as far as Summer 2005, it is evident that the number of cruise passengers in 2005 will go back to 2003 levels, Mr Falzon said.
"The potential is limitless, especially since this has the biggest repeat business in the world. All we need to do is put our house in order - cleverly and properly."
The cruise liner business is growing at a tremendous rate. There were now an estimated 17 million cruise lining passengers a year, a stark difference to 10 years ago when the market was seen as exclusively reserved for rich people.
Mr Spiteri Lucas explained that about one large new cruise liner was coming onto the market every single month, and a number had already expressed interest in visiting Malta.
The Costa Magica, which starts sailing in December, a liner which accommodates 3,000 passengers, has already been booked for Malta.
Thanks to its mild weather and because of the large number of cruise liners, operating especially in the Mediterranean, the Southern Mediterranean has now become an all year cruising destination.
In fact, November is expected to be one of the busiest months for the Valletta terminal this year.
The fact that Libya was opening up to the Western world was a positive factor as most liners could include Malta as another port of call.
Viset also intends to entice Sicilians to initiate a cruise from Malta rather than fly to mainland Italy. Home porting is in fact high on Viset's agenda.
"We are ideal as a home port but for a lot of tycoons we are nothing more than a dot on the map and that's why we need to promote ourselves. We need to show people that we have an airport and beautiful historical monuments minutes away from what is ultimately one of the most beautiful harbours in the world," Mr Falzon said.
More than 20,000 tourists are to set sail from Malta on their Mediterranean cruise this summer, following the decision by My Travel to use Valletta as the home port for the mv Seawing.
Home porting is normally attractive for tourists from far-off countries like the US but the fact that there are no direct flights to such destinations was acting as a major disincentive.
"We believe our port is ideally situated to allow operators to start and finish their cruise in Malta. Our position allows us to offer every single itinerary in the Mediterranean and include cruises to North Africa. We have some interesting prospects for home porting in the pipeline," Mr Falzon said.
But Viset believes that the success of the industry relies on the need for a network of stakeholders to work together in order to improve Malta's product.
"We have spent thousands of liri trying to promote Malta. That's not our job. Our job is to run the terminal."
Mr Spiteri Lucas added: "We clearly have the product but we need to increase the awareness of our existence."
Mr Falzon is evidently upset by the attitude of some taxi drivers, who are notorious for fleecing cruise liner passengers, describing their service as one "big scandal". The official rate to drive passengers from the terminal to the centre of Valletta, less than a mile away, is €10 or Lm4 one way.
"We have to keep in mind that for a lot of passengers the only contact with Malta is the taxi driver and his manners when they go on a tour of the island. What's even sadder is when they leave the island with a bad taste, without our knowledge.
"There are over 70 ports that would kill to take our business. New ports are mushrooming all over the Mediterranean. We really can't allow anybody to give us a bad advert."
Turning to the terminal project, Mr Falzon said that by June half of the retail outlets in the restored, historic Pinto Stores would be open for business. The project, which stretches over one kilometre, will include 8,000 square metres of retail and catering area, 8,000 square metres of offices and a social and cultural centre at the old power station.
Mr Falzon made it clear however that it was not Viset's intention to compete with the centre of Valletta on the retail front.
But he underlined the importance of creating a cable car service to accompany the project. Viset is currently preparing an Environment Impact Assessment statement for the proposed Lm3.5 million cable car, which will run the 2.5-km stretch between the proposed park-and-ride point in Floriana, the cruise liner terminal at Pinto Wharf and the Upper Barrakka.
"It's definitely nowhere as unsightly as the former lift. We think it will bring back the traditional link between the harbour and the city. I am optimistic that everyone would be in favour of this proposal."