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Algarve |
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Algarve tourism year reviewed
• 01 Mar 2007 •
 ALGARVE’S Hotel and Resorts Association AHETA released the final 2006 figures for the tourism industry in the region and presented the association’s prospects for 2007. Every year, AHETA carries out a comprehensive survey of hotel and tourism enterprises in the region, aiming to acknowledge results which may lead to evaluating and establishing strategies for the future.
According to the figures released by AHETA, the average occupancy rate in Algarve’s hotels and resorts was 60.9 per cent during the tourist year (November 2005 to October 2006), it is nearly seven per cent more than in the previous year.
The association has highlighted that the number of German tourists has been considerably decreasing since 1996 and last year the importance of the German market in Algarve’s tourism industry was down 66 per cent, compared to figures ten years ago.
This decrease has not had more serious consequences to the Algarve due to the progressive and sustained increase of the demand by Portuguese and Irish tourists and the recovery of British and Dutch markets.
The AHETA said their prospects for 2007 are very optimistic, pointing out to a possible 3.2 per cent increase in hotels and resorts occupancy rates. According to AHETA’s figures, on global terms the Algarve has received in 2006 nearly six million tourists.
The AHETA report also revealed that the region’s real estate market is still very attractive for foreign investors. “Despite a growing competitive environment,
Portugal and Algarve in particular, continue at the top of the list of potential investors and tourists,” states the report.
AHETA however recommends that the Algarve must continue to improve: “Portugal has plenty to offer and in particular the Algarve, with its magnificent beaches and pleasant temperatures which will continue to attract visitors.
Nevertheless, great efforts are necessary to improve the region's infrastructures, as well as a better assistance and incentives by the central and local Governments would be positive for investors, which have an important role on the development the region’s economy.” This viewpoint is backed by most of the region’s companies, including the Vale do Lobo Resort, which have demonstrated an increase on real estate sales over the last few years. The report also points out many other aspects which have influenced directly and indirectly the tourist year, highlighting as positive, the enormous commercial success that the low cost airlines have been registering on small and average air transport, namely to Algarve and the sales increase through the resource to new information technologies, whether for direct booking, or via Internet operators.
Other positive aspects like the of Best Golf Tourist Destination of the World award, the guarantee of the Minister for Health over the construction of the Central Hospital of Algarve and the participation of the private sector on the project, the government decision of advancing with the construction of the Odelouca Dam which will solve the problem of water supply to western Algarve, as well as the Rally Lisbon/Dakar passing trough the Algarve were pointed out as positive aspects. The negative points mentioned as having influenced the tourism industry in the region were the terrorist threats and attacks, bird flu, the increase of interest rates, the abnormal increase of oil prices, the lack of a balanced policy of territory management and the lack of modern and proper legislation over the licensing and functioning regime of tourist resorts and hotels. |  Return to Top
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