The cruise ship industry, is the fastest growing segment in the travel industry. The cruise ship usage by passengers has overtaken the other means of travel.Countries that manufacture ships, the ship lines have had a demand in cruise ships and in order to maintain a competitive edge, new innovative options have been added to ensure continued growth.
The impact has been felt far and wide in particular environments. The use of hard currency in purchasing of items by the tourists while disembarked has managed to be a boost to both locals and the port in particular.
Arrival of a huge number of eager and ready to spend tourist trigger other benefits related to trade. Governments that have improved their infrastructure to capture the interest of the cruise industry have gained a lot through exchange and long-term strategy.
The amenities offered on board could again be of superior quality than what is offered at some of the local ports and going with the image advertised, they would prefer to use their infrastructure.
It is a costly affair of protectionism but with great returns, financially.The industry tries to avoid or minimize paying local taxes, as their ships go under the flag of convenience. Its only countries, particularly developed countries with infrastructure and capacity to challenge the industry when the cruise ships use their channels; although the CSI will advise its cruise ship clientele to be more vigilant when using such channels and facilities to avoid penalties’ and the image of the industry as a portrait in the advertisements.
The hotels that operate in the same environment believe that they are short-changed by their governments when they are forced to pay taxes as per bed occupancy while they are given conditions of corporate social responsibility and their competitors, the shipping lines do not invest in any infrastructure yet profit at the hotel’s expenses.
Developed countries are concerned with traffic involved with the number of cruise ships using their sea channels and the environmental impact left after.
By exploiting the flag of convenience, the cruise ships bring with them a new problem, and challenge in terms of health risk and diseases directly contributed cruise lines, diseases caused by contaminated water that arise from source of water at the port or during loading at the point of origin, or storage or distribution onto the ship, resulting in outbreak of waterborne diseases associated with passenger’s, cargo fishing and naval ships often linked to cruise ships.
With the onset of terrorism in the airline industry and other travel agency, laxity on the cruise lines has raised concerns on their capacity to contain terror activities particularly when passing along channels that have frequent attacks by pirates.