Visit-Montenegro.com : Half a Billion Euro in Revenues and More Guests by Five Percent

Podgorica – “Total revenues from Montenegrin tourism during the first ten months of this year have reached the figure of Euro 500 Million, which is by 10,76 percent more than during the same period last year”, Minister of Tourism and Environmental Protection, Predrag Nenezic said yesterday.

Since the beginning of the year, Montenegro has received 1,13 Million tourists, which is by 4,8 percent more than during the period of reference. Number of foreigners has reached one million.

According to the data of the Ministry, total of 7,59 million overnight stays has been recorded, which is by 5,8 percent more than during the last year. Biggest number of overnight stays has been noted in Budva (41 percent).

Out of the total number, 37 percent of tourists have come from Serbia, 21 percent came from the countries of the European Union, 12 percent – each – has come from Russia, former USSR and countries of former Yugoslavia (except for Slovenia). Domestic guests contributed to these figures with 13 percent, while the remaining five percent consisted of tourists from the other European and out-of-Europe countries.

Introduction of the eco-tax has brought six Million Euro, out of which Euro 4,8 Million has been charged from foreign nationals. Ministry expected Euro 11 Million on this basis during next year.

Minister Nenezic said that the increase of revenues from this season has been equally influenced by the increase of accommodation prices and realist growth of expenditures on the side of guests, which is the result of increasing spending at the Montenegrin tourist market and increase of quality of our tourist offer.

“Increased spending means that guests have greater financial capacity. Whether it occurred due to the fact that guests have been staying in more expensive hotels or whether it had to do with the fact they have been using more services, will be shown by the analysis which we are doing with one international institute.

I can state that we have recorded an apparent increase in the level of quality and, in line with that, prices.

Part of the offer has stayed on the same level with prices, but there were also those who have kept the same level of services and increased the prices. These people had worse results and have been loudest critics and had to recognize their mistakes in the end.

They said that their seasons have been solid and that they have committed certain mistakes, as they have relied only to one market and they increased prices, without taking into account the necessity to do the same with the quality of services”, Nenezic emphasized at the press conference, at which he presented results of the tourist season of 2008.

Despite the announcements of the hoteliers about their intention to increase prices for the next year, Minister believes that this would be possible only in case someone makes a particularly good arrangement or achieve a significant increase in the level of quality of their services.

“Despite their complaints, they have achieved higher incomes than during last years, which is evident from the charged fees”, Nenezic said.

Budgetary incomes between January and September have increased by 21 percent, incomes from the VAT have risen by 34,27 percent, income taxes grew by 57,44 percent, while the increase of total amount of collected taxes and fees has increased by 31,88 percent and 30,39 percent, respectively.

Director of the National Tourist Organization, Sasa Radovic added that more than Euro 2 Million has been spent for marketing campaign.

“I would divide this campaign in two parts. Expenditure for advertising with global television networks and production of these advertisements has cost Euro 1,15 Million, while all the remaining activities of the National Tourist Organization, which have been defined with the budget, amounted to Euro 1,1 Million. These activities included campaigns at international markets, fairs, campaigns in the region, hosting groups of journalist and tour-operators, etc”, Radovic said.

Promotional activities included broadcasting of videos on global television networks. Estimated 187 Million viewers have seen the video “Experience Wild Beauty” which had been broadcast 1,300 times on CNN. Same video has also been broadcast by the ‘Travel Channel’ 1,300 times and has been seen by nine million viewers. This video has received four international awards.

Radovic pointed out that 2008 has been marked by Madonna’s concert, which has brought revenues of Euro 6,5 Million, 80,000 overnight stays and the full use of capacities by estimated 60,000 people.

Environmental Issues are a Problem which We are Trying to Resolve

Asked if the Ministry had intention to do something in terms of improving administration capacities and coordination between inspection services in the domain of environmental preservation, which have been marked as “weak” in the report released by the European Commission, Nenezic responded that “capacity-building was an issue which Ministry did not try to avoid and is the segment it is trying to improve.”

“In terms of legislature, we have adopted Laws on Environmental Protection, founded an Agency for Environmental Protection, as well as the Unit for Implementation of Utility Project.

We are well aware of the fact which has to do with administrative capacities and we are preparing the Law about Eco-Fund which would strengthen the capacities in environmental sector.

We are trying to obtain services from as many foreign experts as possible and we are succeeded in this effort”, Nenezic said.

“Lack of capacities to implement (legislature) on the local level and weak coordination between the central and local authorities is additional impediment to our capacity to implement the law.

Certain progress has been achieved in terms of harmonization with European standards. What is required, however, are additional efforts in the field of implementation and enforcing of these legal provisions. Special attention should be dedicated to building up of administrative capacities and introduction of efficient inspections. Additional efforts should also be placed to campaigning to raise the awareness on the necessity to protect the nature”, it is stated in EC’s report.

Nenezic agreed with EC’s conclusions on the necessity to protect the environment, particularly in coastal areas and in national parks and that situation in these areas is concerning.

“These findings are objective and they have been delivered on the basis of our own reports. We have stepped up our supervision over all activities in order to increase the level of sustainability in our national parks. European Commission’s findings were justified and this is something we need to cope with”, Nenezic concluded.

(8 November 2008)

By: Ma.M.

Visit-Montenegro.com : Cooperation in Tourism and Culture

A Delegation from Neighboring Country Visits the Capital: Delegation of Mayors from Croatian region of Primorsko-goranska zupanija from Croatia met with the heads of local authority in Montenegrin capital yesterday. Delegation consisted of the Mayor of the Town of Krk, Dario Vasilic, head of the Malinska Municipality, Anton Spicijaric, president of Omisalj Municipality, Tomo Sparozic, president of Jelenje Municipality, Branko Juretica and president of the Association of Montenegrins in Primorsko-goranska zupanija from Rijeka, Ljubo Radovic.

Delegation of Mayors from Croatian region of Primorsko-goranska zupanija from Croatia met with the heads of local authority in Montenegrin capital yesterday.

Delegation consisted of the Mayor of the Town of Krk, Dario Vasilic, head of the Malinska Municipality, Anton Spicijaric, president of Omisalj Municipality, Tomo Sparozic, president of Jelenje Municipality, Branko Juretica and president of the Association of Montenegrins in Primorsko-goranska zupanija in Rijeka, Ljubo Radovic.

On behalf of the city of Podgorica, delegation has been received by Deputy Mayor, Dragan Mijajlovic, Secretary for Culture and Sports, Zoran Soskic and Advisor to the Mayor for international cooperation, Zoran Raicevic.

At yesterday’s meeting, parties discussed possibilities for the cooperation between Zupanija Primorsko-goranska and Montenegrin capital, especially in tourism, cultural field and development of entrepreneurship, it has been stated by local authorities in Montenegrin capital.

By: M. Dj.