June 06, 2008, Travel News You Can Use, By Judy Newell

Travel News You Can Use
By Judy Newell June 6, 2008 San Miguel de Allende

News from Mexico

Mexico plans value-added-tax rebates for tourists

Tourism officials in Mexico confirm that the country will introduce value-added-tax rebates this summer for cruise passengers and other travelers who’ve bought goods during their visits. Starting as early as next month, tourists can apply at kiosks located in five major airports—Cancún, Guadalajara, Los Cabos, Mexico City, and Puerto Vallarta—for refunds on purchases totaling at least 1,200 pesos (about US$115) made at approved stores with cash or with credit and debit cards issued outside Mexico. More kiosks will be added at cruise ports and other airports next year.

Travel to Mexico grows

International travel to Mexico increased by 6.6 percent during the first quarter of the year, according to a report from the central bank. Tourists spent an average of US$830 dollars per person, or a total of $2.07 billion.

Even overnight stays in border cities show a slight increase, while hours-only visits stay the same. The vast majority of the more than 20 million foreigners who arrive every year spend only a few hours in border cities. Reports about bloody battles among narcotics traffickers were expected to slow down border tourism, but the effect appears to have been minimal.

Marriott lights smoking lamp

Smokers now can light up at the JW Marriott in Mexicos City’s posh Polanco neighborhood, but nowhere else. The hotel’s lawyers have won an injunction against the enforcement of a local ordinance that bans smoking within confined spaces. More than 150 other establishments have filed for similar relief, but to no avail.

The Marriott legal team obtained the injunction, arguing that the law should not be enforced until a federal court has affirmed its validity.

Meanwhile, many restaurants and bars have put up “no smoking” signs, often adding phrases like “Don’t blame us” or “This is not our fault.”

If you are planning to visit more than two cities in France on your next holiday, the new e-ticket package from RailEurope will let you save time and money while staying flexible in your travel arrangements.

With the e-ticket package you can travel in first class anywhere in France for the lowest price possible with ultimate flexibility; trips can be booked two months in advance or an hour before your train departure and you can cancel your trip up to one hour before departure.

Your first train e-ticket will cost you US$199 to go “Anywhere, Anytime” in France. Your second e-ticket will cost you $50 to go—that’s right—“Anywhere, Anytime” and all other trips will cost you just $50.

With the outrageous cost of gas in Europe, it’s really a great deal for summer travel.

Foreign tourism in US—on the road to another record

As dollar-poor Americans cut back on their travel abroad, the stampede in the other direction shows no signs of abating. More foreigners than ever made their way to the US in January and February, according to new data from the Commerce Department.

Almost 18 percent more Canadians traveled to the US early in the year than in the same period last year. It’s a sign of how much the currency tables have turned. Until recently, one hardly ever saw the word “strong” next to the word “loonie.”

Other countries that came through with double-digit increases include Germany, France, Brazil, China and Italy. Among the top 20 travel-generating countries, the overall increase was 13.2 percent for the two-month period. At that rate, foreign tourism is on track to set yet another record for 2008, as it did in 2007, and serve as a much-needed economic bright spot.

Airlines

AA will charge US$15 for first checked bag

American Airlines will begin charging $15 for a passenger’s first checked bag, the first major American carrier to do so. There is a current charge of $25 for the second bag, which remains.

American’s AAdvantage Gold, Platinum and Executive Platinum members, first class and full-fare coach customers will be exempt. This takes effect on June 15, just in time for the summer season.

The airline also announced it will cut its domestic capacity by up to 12 percent in the fourth quarter by grounding planes and cutting back its workforce. American cited high fuel costs, economic concerns and competition. Look for more increases in fees as well.

What next? Pay toilets on airplanes? Or how about this: Oxygen masks that drop down to offer passengers better air in those cramped, smelly cabins. One swipe of the American Express card and bingo, you’re in a meadow in springtime rather than in some foul 737 circling Dallas.

National air carrier of Kazakhstan

Yes, you can now be one of the first to fly on Air Astana, the national carrier of Kazakhstan! Routes are from Europe, Asia and Dubai to Almaty, Astana and Atyrau in Kazakhstan, connecting from US hubs.

You can even join the Nomad Club, Air Astana’s frequent flyer program. Air Astana passengers can receive same-day visa processing from the Kazakhstan Embassy in Washington, DC.

Fueling future flights

After pledging US$3 billion to fight global warming, Richard Branson announced the creation of Virgin Fuels, in which he plans to invest $400 million in green energy projects.

On February 24, Virgin Atlantic became the first airline to complete a flight powered by biofuel. The 20-percent mix of coconut and babassu oil was carried in one of four fuel tanks on a flight from London to Amsterdam. Branson said the historic flight marks the first step toward reducing the airline industry’s carbon footprint.

Many environmentalists said the flight was merely a publicity stunt; however, Branson told Time magazine that it was proving the impossible.

Too many seats, too few passengers

Only four of the dozen airlines operating in Mexico sold more than 60 percent of their available seats during 2007, government statistics reveal. Only when they sell more than 60 percent are airlines supposedly able to cover their costs.

Hardest hit last year was Aviacsa, which registered an overall occupation of 37 percent compared to 65 percent in 2006. As a result, Aviacsa canceled 227 flights during 2007.

Many low-fare airlines began flying in 2006 and 2007. Now, especially in the wake of higher fuel costs, several are reducing their schedules, returning recently acquired aircraft and, in the case of Volaris, adding a fuel surcharge to the cost of a ticket.

Aeromexico CEO Andres Conesa has been complaining that fuel in Mexico costs up to 10 percent more than it does in the US.

Sources: Mexican Tourism News, OSSN, RailEurope, The New York Times, Travel Agent Central, Travel Weekly, Travel Age West

Judy Newell, a writer and travel industry executive, heads the custom tour company Perfect Journeys that specializes in luxury and adventure travel. Contact her with comments or suggestions at JudyNewell_03@msn.com or go to her website www.PerfectJourneys.net.