MercoPress. South Atlantic News Agency

Chile forecasts record tourism year

This is going to be a record year for tourism in Chile anticipated Oscar Santelices, Chile's Tourism Secretary who forecasts over two million visitors and 1,5 billion US dollars in income.

"During the first half of this year the number of tourists reached 1.022.175 which represents an 11% increase over the same period in 2004", said Mr. Santelices who also revealed a significant change in the composition of foreign visitors.

"In 2000 only 23% of tourists arriving in Chile came from Europe and United States, with Argentines taking the lead with 55%. However five years later Europeans and Americans represent 36% and Argentines have dropped to 33%".

Mr. Santelices said tourists coming from United States, Mexico, Europe and Brazil have a daily average expenditure of a thousand US dollars, while those from Argentina, 200 US dollars.

Another encouraging factor is that the average number of days tourists spend in Chile has grown from 10,8 to 12,9 days.

Particularly significant has been the increase in tourists from Brazil which in five years has jumped 126% and from Mexico, 72%. The current "ranking" has Argentines first, followed by United States, Brazil and Germany.

Chile's Tourism Office shows that most overseas visitors concentrate in the capital Santiago and neighbouring cities of Valparaiso and Viña del Mar plus 120 kilometres of Pacific coast. Those who venture north visit Arica, San Pedro de Atacama, Antofagasta and the adjoining desert area next to Peru and Bolivia.

In the south Puerto Montt and Puerto Varas, and further south in Patagonia, the national Torres del Paine Park and Punta Arenas.

But in spite of the good news and projections, Mr. Santelices said the tourism industry and airlines are concerned with the government's proposal to increase the boarding tax from 26 to 30 US dollars.

Currently one out of the boarding tax 26 US dollars is earmarked for the Chilean Tourist Office, (the rest for the Civil Aviation Agency).

"Our tourism promotion budget is extremely modest 3,8 million US dollars, and we could manage with more funds but we're against higher boarding taxes", said Mr. Santelices who claimed that each dollar invested in tourism generates 350 dollars in related activities.

Another issue concerning Mr. Santelices is the "reciprocity" tax of 100 and 50 US dollars charged to US and Canadian tourists respectively.

"I think it would be more prudent and productive to reduce the tax and have all foreigners visiting Chile pay the same amount".-