HAMILTON, Bermuda, CMC – Bermuda is reporting record revenue from the cruise ship sector, with the British Overseas Territory estimating that the 2023 cruise-ship season will bring in revenue of US$221 million, an increase over last year’s figure of US$154 million.
Transport Minister Wayne Furbert said the figures show that Bermuda had bounced back from the coronavirus (COVID-19) of 2020 and 2021 when cruise ships were barred from entry to Bermuda.
According to the latest figures, Bermuda received 539,127 cruise ship passengers so far this year, with an associated revenue forecast of US$168.7 million in passenger and crew spending, as well as estimated US$24.7 million in passenger taxes, US$10.7 million in transport infrastructure taxes, US$6.9 million in visitor fees and US10.4 million in cruise ship port expenses.
Furbert said the cumulative economic impact is estimated at 221.5 million dollars for the year and that most cruise visits to the island were operating at close to 100 percent capacity.
“The cruise ship season in Bermuda has proven remarkably resilient and thriving. Bermuda, renowned for its stunning beauty and warm hospitality, has adapted and recovered, showcasing its commitment to providing an exceptional cruise experience for visitors.”
Furbert said that the authorities had bolstered the number of cruise ship arrivals by encouraging smaller companies to make one-off visits in addition to regular mega-ship visitors and entice liners here during the off-season.
“The two major cruise lines we deal with are RCL and Norwegian, who serve as the primary drivers of cruise visits to our destination. But during the intervals between the visits of our two primary partners, a multitude of other cruise brands made port calls in Bermuda, such as Carnival Cruise Lines, Disney Cruise Lines, Scenic Luxury Cruises, Silver Sea Cruises, Saga Cruises, Star Cruises and Azamara Cruises.”
Furbert said that the upswing in occasional callers and passenger spending underscores the success of our initiatives to promote Bermuda as a premier cruise destination throughout the year.
Furbert said tax changes had boosted cruise ship revenue in recent years, noting, “In 2019, the cabin tax was phased out. In its place, a visitor fee of US$16 per person was introduced and designated to the Bermuda Tourism Authority.
“Additionally, the transport infrastructure tax at US$25 was introduced. Furthermore, the passenger tax for ships berthing at Dockyard was elevated to US$25 per person.”
Furbert said that there’s no doubt that one of the primary reasons for the increase in economic impact within the cruise industry has to do with the rise in passenger tax that the authorities were able to work with the cruise industry to obtain in 2019, including an infrastructure tax and a visitors fee.
He said there had been 37 cruise ship cancellations this year, adding, “It is no secret that the cruise ship visits to our region were impacted by an unprecedented hurricane season.
“The frequency and proximity of hurricanes to our area directly affected the planned cruise itineraries, disrupting the anticipated schedule of cruise ships. We now benefit from the vision that Premier Ewart Brown had in 2009.
“If we had not opened up the Dockyard, made the investment, and only relied on the City of Hamilton, we would not have the cruise ships we currently have. The asset that the government made back then is now reaping benefits.
“Through dedicated efforts, Bermuda has not only weathered the storms but also emerged stronger, reaffirming its status as a premier cruise destination.”
Furbert said that as the country moves forward, it is imperative to remain vigilant, ensuring the safety and satisfaction of all cruise passengers while further enhancing Bermuda’s reputation as a remarkable and enduring cruise destination.
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