Ministry of Trade, Tourism and Communications and Chief Executive (Gibraltar Goverment )

Recently, Gibraltar has been trying to promote itself as a manufacturing and distribution center, what kind of facilities and incentive does Gibraltar have that make it such an ideal location?

I believe the fiscal structure of Gibraltar is an attractive proposition for foreign investors to consider us as a place to invest in. The fact that we have an English legal system, based on British law, that English is our language and that we have the ability to adjust because of our size to the requirements of international investors within a relatively short period of time, are key ingredients in being able to attract investment into Gibraltar.



I know Gibraltar is currently engaged in negotiations with Spain to try to open up the airport. What kind of difference would that make for Gibraltar’s role as a distribution center?

The commercial expansion of Gibraltar airport would be a great benefit both for Gibraltar and for the Spanish hinterland. The opportunities that would arise as a result of this, not just from the economic and social aspects of this development, but also from things like employment and improved communications would be a great benefit to the area. I am confident that Gibraltar would benefit greatly and the Spanish hinterland would too.



Which Mediterranean port poses the greatest competitive threat? And what is Gibraltar’s competitive advantage over that?

In the commercial sense, Gibraltar is mainly a bunkering port. We are one of the top ten bunkering ports in the world, according to figures published in 2004, and possibly the leading port in the Mediterranean after Piraeus. Obviously, our geographical location is of importance to us, but I think what is more important is that we have a very cost-effective and efficient mode of doing this business, which obviously is of benefit to our customers. Therefore, Gibraltar is a very popular port with main shipping lines.



Could you give us an example of one of those efficient systems?

Time is money, especially in the shipping world, so if the ship has to stop for “x” amount of hours, the cost of that stop is a determining factor, so what we have is a very quick turnaround time for ships that call in Gibraltar. Therefore, Gibraltar is seen in very good light in comparison to other ports, particularly in this area.



As you know, with respect to the American cruise ships, security and terrorism are always a primary concern. What types of security measures does the port have in place to protect cruise ships as well as commercial ships?

The Port of Gibraltar has been ISPS compliant since last year. However when we actually went ahead to introduce the requirements in order to meet the specifications of the international security code, a lot of it was already in place, mainly because of the fact that Gibraltar traditionally has always had a lot of military activity in the vicinity of the port. As a result, most of the security measures which were probably new to a number of ports, were already part of our daily lives. Therefore what we needed to do was basically just upgrade some of these in line with international requirements. A lot of the basis and a lot of the culture was already in place, and I have to say that American cruise ships that call at Gibraltar, which is a regular feature, tend to be very satisfied with the security code that we have in place and the support that we offer them to make their passengers comfortable, especially in the aftermath of the 9-11 when security became such a crucial issue.



The recent success and growth of the gaming industry, has signalled a major growth area for E-commerce. How is the government supporting E-commerce and what are your three to five year goals?

As far as E-commerce in general, the government does have a strategy in order to promote Gibraltar as an E-commerce centre. The development of E-gaming in Gibraltar has been very much a success story and we have been very selective in who we have allowed to be licensed to operate here, so we have developed an international reputation for serious players in the industry. I think that has gone a long way in enabling us to grow in this particular sector and today this is a major part of our economy. I also think the investments that have been taking place over the years in improving our telecommunications system, a lot of which has come from an American telecommunication company, have allowed us to have systems that are of top quality. There would have been no point in trying to attract gaming companies to Gibraltar that need very sophisticated systems if these were not available. We are lucky enough to have had the foresight to have invested in this particular area and the infrastructure is definitely in place for this industry to be able to exist and grow.



How do you see Gibraltar’s relationship with Spain, either hampering or improving business in trade with Gibraltar?

I have to say that in the last year, or at least since the new government came into office in Spain, I think there has been a general change of attitude and approach to the Gibraltar issue and I think that that is welcome because it was precisely why the present government in Gibraltar came into office in 1996. We are in our third term in office and we were elected on a ticket of good relationships with Spain, open dialogue, trying to explore various opportunities for us in terms of looking at areas where we had common interests and we could work on in order to try to foster better relationships all round. I believe that this is now an on-going strategy, which we hope will eventually reap some of the benefits that we are all looking for.



Having met and ask some of the marine service providers about their concerns regarding the port, they said they although they are able to raise some of their concerns in the Port Advisory Council, sometimes the government is too slow to implement change or follow through on their advice. Could you respond to that?

I do not think that is a fair comment. They are probably referring to the introduction of the Gibraltar Port Authority legislation and licensing regime, which they had been trying to put in place for some time. Let me say that this was a very complex piece of legislation and so the government needed input from the industry. The government wanted to go through a full consultation process with the industry, because the last thing we wanted to do was to put in place a piece of legislation that would actually destroy the industry itself. I am glad to say that the legislation is now in place. Of course it does not meet everybody’s requirements simply because you cannot please everybody all the time. It meets the requirements of the majority and definitely meets the requirements of the port and the needs of Gibraltar in terms of its maritime and shipping policy where we recognise the importance of the sector in the economy.



If you had a personal message regarding Gibraltar and its situation as a trading hub, what would it be for our readers?

My message is that we welcome investment in general, foreign investment included, and that we believe Gibraltar is a place to do business. The government is more than happy to welcome foreign investment and help it achieve its objectives within good practical parameters.



Interview with Peter Canessa – Chief Executive – Gibraltar Tourist Board


The tourism industry has seen a rebirth of sorts in the last 5-10 years thanks to improved marketing efforts by the government. What is the government focused on now in the next two to three years in order to continue to develop this industry?

Really, it is a continuation of what started 8 years ago, which is continuous improvement of the product and facilities that are available here, in terms of our tourism sights, but perhaps in tandem with that is a very eager effort to increase the amount of accommodation that is available in Gibraltar. We have almost come to the stage where we are turning people away, because of a high demand for hotel nights, so we are very keenly looking at new hotel developments. We already know that two or three are coming on stream, but that is not going to be the end of it. We shall continue to look for areas where we can expand in hotel accommodation and of course improve the tourism product.



How are you seeking out for investors for new hotels?

We already have a couple of hotels on stream. We found that in the last four or five years we did not really have to seek, they came to look for us. They saw the growth potential that Gibraltar had in tourism, so they came to see Mr. Holiday with an interest of doing something in terms of hotel accommodation in Gibraltar and looking for a plot of land to do it in. We have been lucky in that we have not had to go and look for it, but those who want and have seen the potential have come looking for us.

[The Hon. J. Holiday]
We have made it known in the press and in interviews like this, that we have welcomed the idea of new accommodation. It was at least five or six years ago, when hotel accommodation was really not in such high demand that I was already saying that we needed to look ahead to expansion, as you could see that the trend was there. In 1996 the hotel occupancy was under 40% and now the figures to be released exceed 70%.



So will we see a new hotel in the new future?

Yes, we will. Not one, more than one, two, maybe three. A couple of them are going to be in the new Eastside development.



Does the government have any plans to develop any areas around the Rock, such as Europa Point?

Yes, money has been allocated specifically for this project and we have finalised plans for a complete refurbishment and beautification of Europa Point, which will include gardens, children’s play areas, a pick-nick area and viewing platforms.



What do you think the private sector could do to help you improve the tourism industry?

The private sector has to become “more aware” of the growth that Gibraltar is experiencing in tourism. There are a lot of new attractions that can come on stream, there are a lot of new facilities and there is a lot that can be done in Gibraltar. For example, deep-sea fishing can be done in a big way in the Strait of Gibraltar, but projects like these are not something that the government can take on and run ourselves. We do encourage people to do those sorts of things and we do encourage the private sector to get involved all the time. Sometimes it is a slow process, but I think eventually the private sector will notice that tourism is becoming, and probably at the end of the day, will become the most important pillar of our economy. That is where investment from the private sector has to come.

[The Hon. J. Holiday]
In all fairness, I have to add that the culture that the government has put in place, “thinking tourism” since 1996, has actually been well supported by the private sector because there has been significant investment by them. They have been improving the hotel infrastructures, in upgrading comfort standards and in general product improvement. I think that both have gone hand in hand and although they probably think we should be doing more and we feel that they should be doing more as well, there has been a lot that has actually happened from both sides.



Since taking office, President Zapatero’s government and the Gibraltar government have been improving relations between the two countries. If the airport is eventually open to Spain and the rest of Europe, what would that mean for the tourism industry?

It is something that would be very warmly welcomed for the tourism industry. It would open up new markets for us, particularly with mainland Spain. That is something that we would certainly welcome.



Would it be possible that the influx would be too great at the onset of it?

It is possible, although I do not think it is probable. I think at the beginning there will be a certain amount of trepidation from both sides. We have to see what is coming our way and those who want to come to Gibraltar will not all come at once, but I think we will grow at the same time as the airport expansion grows. We will have to.



Could you give us your personal message to the readers regarding the tourism industry in Gibraltar?

One of the most important messages that I have to give to your readers is that they have to shake off the misconceptions they have of Gibraltar. Unfortunately, a lot of the world thinks that Gibraltar is still a garrison town with a lot of military and navy people walking around in uniform and that there is not much to do here. However, in the last eight years Gibraltar has become a vibrant, Mediterranean destination. We are growing at the same level as the rest of the Mediterranean is, perhaps not in terms of size, because of our own size, but in terms of standards that we can offer.

The message is that, the misconception has to be erased and the world has to start looking at Gibraltar in a different light.