Colombia: Colombia seeks post-conflict tourism boom

Improved security conditions and new air linkages are raising Colombia’s appeal as an international destination and helping to drive increase in tourism.

The number of foreign arrivals rose by 13.7% year-on-year to 2.34m in the initial 11 months of 2016, according to the new figures from the Ministry of Commerce, Industry and Tourism.

Tapping into the domestic market

While Colombia is looking to attract additional international visitors, it is as well paying increased attention to domestic tourists as drivers of increase in the industry.

The government launched a promotional campaign in March to encourage locals to visit regions before seen as out of bounds due to security concerns, namely Boyacá in central Colombia, neighbouring Santander and Cauca in the south-west.

According to María Claudia Lacouture, minister of commerce, industry and tourism, the peace dividend for the tourism industry will be substantial. “In an environment of peace in Colombia, there will be additional territory for tourism. This will require a range of new tourism products, strengthening destinations throughout the country and expanding the number of companies that operate in the sector,” she told OBG.

Flying high

In addition to a additional stable security situation, domestic tourism is being fuelled by additional affordable fares, increased competition and the opening up of new routes, according to the country’s civil aviation authority, Aerocivil.

The agency recorded a total passenger count of 35.8m at the country’s airports in 2016 – a 4.8% increase on the previous year.

The three destinations that posted the strongest increase were the Rafael Núñez International Airport in Cartagena, a historically relevant and popular tourist port; José María Córdova International Airport in Medellín; and Gustavo Rojas International Airport on the Caribbean island of San Andres.

Lower ticket prices made the cost of air travel comparable to land options on some routes.

To support the increased local request for air travel and improve access for foreign travellers, Colombia is investing in upgrades and expansions to most of its domestic and international airports.

Last year, the government announced a programme of improvements to 52 of the country’s airports at a total cost of $2.9bn. The majority notable of these is the COP770bn ($258.3m) renovation of Bogotá’s El Dorado International Airport, which currently accounts for 78% of Colombia’s international passenger traffic and 40% of domestic flows.

Work is as well expected to break ground on a second airport in Bogotá – El Dorado II – later this year. Scheduled to begin operations in 2021, the $3bn facility will be located just 15 km away from the original El Dorado airport. Together, the airports will have an annual passenger-handling capacity of around 69.2m, around twice that of the the existing facility.

LGBT potential

Along with domestic travel, Colombia could benefit from developing niche tourism segments. The country has seen its reputation as a destination for lesbian, gay, bisexual and transgender (LGBT) travellers develop recently.

Colombia was nominated as an emerging LGBT tourist destination at FITUR 2017, an annual international tourism trade equitable in Spain, due to its promotion of LGBT-specific holiday packages, and the strength of legislative and social reforms reinforcing LGBT rights, inclunding same-sex marriage.

Four stands of Colombian tourism operators took part in the equitable’s dedicated LGBT promotions area, showcasing vacation options in Bogotá, Medellin and Cartagena. Colombia’s tourism and trade promotion authority, ProColombia, as well gained recognition at FITUR, receiving an award for its efforts to develop LGBT tourism.

Looking ahead

According to the new figures from the World Travel & Tourism Council (WTTC), tourism’s direct contribution to GDP was predicted to grow by 2.1% last year to COP16.34trn ($5.5bn), rising by 4.5% per annum to reach COP23.68trn ($8bn) by 2026.

The WTTC as well estimates that Colombia will see an annual increase rate in visitor numbers of 2.3% between 2016 and 2026, at the same time as 4.3m tourists are predicted.

The influx of visitors is expected to generate an increase in international receipts. In 2015 spending by incoming tourists came in at COP13.9trn ($4.6bn), a number the WTTC estimate would expand by 8.2% in 2016, before growing by 2.3% per year through to 2026.

This increase potential in tourism could be half realised by broader economic gains in the medium term. Colombia’s GDP is estimate by the IMF to expand by 2.7% this time– up from 2.2% in 2016 – with increase of 3.8% and 4.3% projected for 2018 and 2019, respectively.