Kenya is banking on the beach hotel business segment for growth, after losing its edge as a safari destination to Tanzania.
Tourism stakeholders from Kenya said the country is banking on beach packages during this year’s holidays as numbers of safari lodges recorded a dip in bookings, since the introduction of exorbitant park entry fees at Kenya Wildlife Services (KWS) managed parks this year.
TPS Eastern Africa (Serena) Limited regional marketing director Maureen Okore said beach packages have recorded good numbers for the November-December and early January window, unlike lodges, as a result of increased entry fees introduced in January this year.
TPS Eastern Africa Plc is a holding company, which engages in the operation of hotel and lodge facilities in Eastern Africa. It operates through the following geographical segments: Kenya, Uganda, and Tanzania.
“Serena Beach Hotels has received good bookings so far and we hope the numbers will increase until early January. This is contrary to lodges across the country since Kenyans have limited expenditure,” said Ms Okore.
She added: “With the package being offered in Tanzania which has the same ecosystem, many Kenyans are opting to visit the country rather than paying for high rates introduced by KWS.”
In January this year, Kenya increased entry fees for Nairobi National Park, Lake Nakuru, and Amboseli to $100 (Sh12,887.45) from $80 (Sh 10,309.96), Tsavo National Park from $52 (Sh6,700.54) to $100 (Sh12,887.45), whereas the fees for Maasai Mara increased from $200 (Sh25,769.79) to $400 (Sh51,539.58) at a time when the industry is still recovering from the effects of the Covid-19 pandemic.
The charges are for camping, conference facilities, and vehicles entering the parks in the 25 terrestrial national parks, 29 terrestrial national reserves, four marine national parks, six marine national reserves, six national wildlife sanctuaries, and three captive wildlife management facilities which are under KWS management.
The new park rates were implemented less than a year after the Kenyan government introduced the statutory 14 percent Value Added Tax and an extra two percent tourism levy to the Tourism Fund, which stakeholders claim has increased operating costs.
Kenya Association of Hotelkeepers and Caterers Executive Officer Sam Ikwaye said Kenya has out-priced itself, and protests against the charges forced them to move to cheaper destinations in the neighbouring countries.
“Kenya decisions on the tourism sector have had an impact on business in terms of costs, with policies that don't spur investment. We've seen Zanzibar launch direct flights and it was the government ministers, who came out and pronounced themselves on how to try and grow and support their tourism industry,” he said.
Earnings from tourism hit a record high of Sh352.54 billion last year driven by a jump in visitor numbers, significantly lifting one of Kenya's biggest foreign exchange earners.
Diani in Kwale County this year, was once again voted Africa’s leading beach destination, beating its counterparts in the continent in the latest World Travel Awards.
This is the eighth time Diani has been voted the leading beach destination in Africa, with the awards being special since they were being held in the South Coast destination for the first time.
Diani, located south of Mombasa City, is renowned for its white sands and pristine beaches.
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