Trade Associations

Greece’s tourism enterprises haven’t felt such negative pressure in 30 years, says the Hellenic Association of Travel & Tourism Agents. “The negative economic effects experienced thus far have reached dangerous proportions for the future of tourism enterprises,” says the association.

European parliamentarian Kostas Hatzidakis recently put forth a resolution for tourism to be included in the European Union’s new constitution. The resolution was adopted by the European Parliament Committee for Regional Policy, Transportation and Tourism.

A presidential decree ready to be signed opens the way for tourism development projects on large land plots by the private sector. Projects would combine hotel resorts and holiday home complexes that would be up for sale or taken on a long-term lease basis, according to recent press releases.

Deputy Development Minister Dimitris Georgakopoulos unveiled plans to build a state-of-the-art tourism complex that would include popular alternate forms of tourism such as spa, marine and golf facilities.

After two years of efforts, four of the country’s major tourism organizations got together last month to sign the founding charter of the Athens Convention, Exhibitions and Visitors Bureau (Athens CVB). The founding member organizations included the Hellenic Association of Travel & Tourism Agencies, the Association of Greek Professional Conference Organizers, the Association of Greek Exhibition and Conference Organizers, and the Attica Hoteliers’ Association.

Development Minister Akis Tsohatzopoulos told regional authorities and tourism professionals in Chalkidiki that we needed a national promotional plan for tourism and that we must create a marketing company that would have the responsibility to promote the country’s tourism product. He also discussed Chalkidiki tourism promotion and the problems there concerning illegal tourism lodgings as well as the area’s poor road network and lack of clean-up plans.

The Hellenic Tourism Organization implemented its newest and perhaps most expansive tourism promotional activity recently via the Internet. With the basic aim to inform potential tourists of the country’s tourism products, and to promote the same, the organization signed an agreement with the network www.experia.com that will last throughout the summer period.

The Greek finance ministry recently introduced a draft bill on investment incentives. The bill contains five points that are significant for the tourism sector. First, investment subsidies for comprehensive plans for refurbishing hotels are revised from 4.5 million euros to 10 million. Second, hotel enterprises are given the option of forming a tax-free reserve for future investment instead of tax breaks. Third, the subsidization of leasing costs per employee goes up from 45,000 euros to 50,000.

The government will float 25 percent of Hellenic Tourism Properties (ETA) by November as part of its state asset sales agenda to reduce debt, eying proceeds of about 150 million euros, ETA officials said during a press conference last month. “The flotation will take place in October or November 15 at the latest. Due diligence has been completed; we expect to raise about 150 million euros,” ETA Managing Director Tassos Homenidis told reporters.

One way or another, the government here says a permanent solution to long-lasting problems with state-owned Olympic Airways will be found and implemented before this winter rolls in. So far, according to a business plan leaked to Greek media, a new company, to be named New Olympic Airways, would take over the present airline’s shrinking domestic and international routes.