Points from a speech delivered by the Hon. Dr. Michael A. Refalo, Minister for Tourism, at the launching of the Executive Brief of the carrying capacity assessment of the Maltese Islands at the Institute for Tourism Studies, Pembroke

"Although throughout the years successive governments have produced many an economic plan, most of which included general statements of intent and a series of targets which Malta's tourism industry was asked to follow and achieve, it was only relatively recently, ten years ago in 1989, that Government commissioned a comprehensive subject specific plan for the industry.

Following the Howarth and Howarth fifteen-year plan, came the 1993 PA Cambridge study on tourism's impact on the economy. Howarth's short-term targets had practically been achieved by 1993 and it was then time to take stock, for revisiting, to adjust to the changed circumstances of Mediterranean tourism and world developments; then to decide on a new focus, what objectives should be reached and what targets to set for the next plan period.

Backed by cross-party consensus, an ongoing process evolved, which in recent years, has seen a lot of groundwork being done in preparation for Tourism Plan 2. There has however been a most significant change. While in the case of Howarth and the PA Cambridge report the Ministry relied very heavily, if not exclusively on expatriate expertise, the emergence of a new Maltese class of tourism experts and economists specialising in the field, should make Tourism Plan 2 very much of a home grown instrument.

This time round foreign expertise has been tapped mainly for second opinions, methodology and sounding board purposes. What is most encouraging is that the scientific study of tourism is now undertaken by ITS students and also at the University of Malta where theses prepared by graduands have proved to be excellent reference works and research into certain aspects of tourism.

Today's presentation, which will be made by the Ministry's adviser Mr. Micallef, is a Carrying Capacity Assessment of The Maltese Islands. I thank all those who have contributed to the study and I will leave it to Mr. Micallef to mention the participants by name.

There is plenty of hype in the air about the "wonderful" prospects in store for Malta's tourism in 1999. It is unfortunate that with the industry now in its fourth decade, success is still gauged in terms of volume.

Certainly volume is one parameter, I would even go as far as to say that it is one of the more important factors. However if you ask any Maltese or Gozitan to tell you why the industry works so hard to have the opportunity to play host to tourists, they will all tell you that we do this primarily for very cogent economic reasons.

But then volume, especially in excess, could spell disaster.

Hence the Carrying Capacity Study. For planning purposes we need to know what load our infrastructure in all its aspects can take. What are our human resource needs? Today and tomorrow. There are many other questions which the study answers.

Some fears have been allayed and suspicions confirmed. Within the next month this study will be complemented by another, which should establish an accurate measurement of tourism's impact on the national economy. It also is a very necessary preliminary to Tourism Plan 2, and proves in no uncertain way that one third of gainfully occupied owe and earn their livelihood to tourism.

This is old hat for those who work in tourism, as they daily meet and work with a myriad suppliers of goods and services to the industry, as well as, professionals, tradesmen, manufacturers and producers who all, to some extent, depend on the industry's continued success.

But the surveys also show up another side of the coin, the actual and potential problem areas. This is where solutions are called for. Sometimes they may be quantified in money terms and sometimes correction implies changes in policy, in tack and in attitude.

Tourism is Malta's economic lifeblood. We cannot shirk our responsibilities and keep back from doing what needs to be done. If changes need to be made then we must do them. Even if at a cost. The cost will be greater if we do not bite the bullet when we have to.

My thanks again to Mr. Micallef and his team, to all those who helped in the surveys undertaken since July 1998, and to all involved. I now invite Mr. Micallef to take you through the Executive Brief which has been prepared for this media presentation.

It is through you, ladies and gentlemen of the press and media that we can get through to our main target audience, the Maltese and Gozitan people who individually and collectively have a role to play in support of the tourism industry."