ECUADOR
The struggle to build a Nation

Introduction - Political change - Economy - The oil industry - Telecomunications -
Electricity projects - Public works - The coast - Export industry - Tourism


View this report in Spanish.

PROMOTING ECUADOR AS A DESTINATION

Tourism is another sector which has been hit with high costs and a decrease in revenues. Tourism earnings have declined by 7.3% year on year, most probably influenced by high prices in Ecuador compared with rival destinations. According to a recent study, last year only 600,000 foreign tourists visited the country.

Yet the outlook is decidedly positive. Travel Mart Latin America, a major international tourism trade show, opened last week in Ecuador's capital city of Quito, showcasing the country as a new tourism destination to be discovered. Major Ecuadorian hotels and corporations were actively networking with North American, European, Asian and Latin American tour operators.

"Our goal during Travel Mart is for all tour operators to appreciate Quito as a high class destination that can offer a product of international standards" says Pablo Burbano de Lara, Executive Director of the Quito Metropolitan Tourism Corporation.

Corp. de Turismo de Quito, Pablo Burbano de Lara

Most people know of Ecuador for its exclusive Galapagos islands, the renown natural heritage site that ranks as the second marine reserve in the world. The island was created from volcanic eruption over five million years ago, and when floods and other climactic events isolated animal life on the island, it became a sheltered world in itself that fostered the evolution of new species. In 1835, the English naturalist Charles Darwin visited the islands and discovered this "living laboratory" which inspired his writings on the Theory of Evolution. Today, the islands are a precious sanctuary where you will find an amazing mix of sea lions, giant turtles, iguanas, birds, whales and other marine animals.

Yet Galapagos is a place which only a limited number of tourists can visit, since the acceptable limit of tourists to Galapagos runs up to a level of 121,000 people per year for ecological reasons. "Very soon we expect to reach the maximum level of tourists allowed" predicts Roque Sevilla, President of Metropolitan Touring, the main tourism operator of the country.

Although this trend could have been anticipated, investment in Ecuador's tourism industry has not grown in the past decade, leaving the country with little diversity to offer inbound tourists. Although external factors such as dollarization and political instability have impeded tourism growth, many business people say that the Ministry of Tourism is to blame for not promoting the country as a serious destination.

"Ecuador is the best kept secret in the world" says Sevilla, who has fought to promote tourism and recently helped create Ecuador's Tourism Promotion Fund.

Roque Sevilla

Tomas Muñoz, General Manager of Iberia Airlines for Ecuador, agrees that tourism in Ecuador is a treasure waiting to be developed. He says that it is like a "spaghetti al dente": it is ready to be served and savored. Yet he also believes that the Ministry of Tourism has not devoted the funds necessary to promote Ecuador's tourism opportunities on an international level. This is why, according to Muñoz, the sector has not blossomed and has remained stagnant for so many years.

For example, the City of Quito is a unique destination that "has never promoted itself", admits Burbano de Lara. Therefore, the head of Quito's Metropolitan Corporation has been busy "creating a product" for tourists during the past two years, encouraging them to visit Quito's numerous cathedrals and museums. He has inaugurated the "Q" Plan, a tourism development project which hopes to promote the city of Quito and encourage high-end European and American tourism. At present, 25% of tourists coming to Ecuador are North American while 19% are European.

This year the new government is doubling its investment in tourism and the new Minister of Tourism, Hernán Plaza Deleg, is working closely with the Minister of Trade and Industry, Ivonne Baki, to create the right conditions to attract investment.

"We are developing a new project called "Ecuadorian Paradise" that promises to promote the construction of hotel infrastructure along the beautiful coast of Esmeraldas, which includes 12 kilometers of undeveloped beaches" says Patricio Johnson, Secretary General for Strategic National Projects. "The project will offer concessions and a generous tax scheme to encourage construction development."

Ecuadorian Paradise, a new investment project

The small size of Ecuador provides a great advantage: it offers a multitude of destinations that are accessible within a few hours of travel. One day you can stroll along the deserted beaches of the Pacific coast, then a few days later you can fly off to discover the fauna and indigenous cultures of the Amazon forests, followed by a few days in the breathtaking Andes mountains.

For example, just two hours drive from Quito is the colorful Indian market of Otavalo, where you can stay at the "Mirage" hotel, a deluxe Relais & Chateaux Spa and Resort that offers 20 different types of massage in a distinctly colonial environment.

Then, only a few hours away by plane, you can stay at the luxurious "Casa del Suizo" lodge, buried deep in the Amazon jungle.

Roque Sevilla of Metropolitan Touring believes that the variety of Ecuador's tourism is its hidden secret. "We are building a combination of packages based upon the diversity of the Ecuador. We have a great deal to offer, and in comparison with other countries like Costa Rica or Cuba, we have a unique variety that can be found nowhere else."

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