Along For The Ride: Travel fairs and public finance

During the winter the Balearics go on tour. London before Christmas, Madrid and then the biggy, Berlin in March. These are the venues for the three main travel fairs, chances for the great and good and less great and good of Balearic politics and tourism to press some flesh and have their photos taken.

The islands have been to Madrid for FITUR, the Feria Internacional de Turismo en España. In addition to directors and sinecure holders of whatever the tourism agencies are these days, there are hoteliers, airline top brass and of course the politicos. The latter have been in Madrid en masse. President Antich and tourism minister Barceló have been making the most of what may be their last opportunities to partake of the free vino before being taken down in May's elections like stands at the end of an exhibition.

They have been joined by jolly Joe Ray Bowser, the mental-lapsing leader of the Partido Popular, who's presumably been there to try and learn something about tourism. This is the politician who believes that the Baltic States are competitors to Mallorca. He's a shining example of tourism knowledge and, as such, deserves to become president.

Also along for the craic has been Joe Melià. Not the Joe Melià, a minor British television actor, but the Joe Melià, a minor Mallorcan politician, as in the latest in the list of leaders of the Unió Mallorquina. Amazing that he has dared show his face, given his party's involvement with the corruption cases at the tourism ministry and the little local difficulty it is presently experiencing with the waste scandal. "Oi, Melià, what you doing here? Collecting the rubbish?"

This year they have also dragged along kids from the choir at Escolanía de Lluc, which is attached to the monastery. Known as the "Blauets", one of the choir sang the Sibil·la for the assembled dignitaries. All part of promoting Mallorca's newly bestowed "intangible cultural heritage of humanity", that is the Sibil·la, and all very sweet but also all rather clutching at straws if the tourism worthies seriously believe this is going to be something that will have tourists flocking to the island.

A great deal of attention is paid to FITUR and the other fairs, a reflection of the importance of tourism and of all the press opportunities the fairs afford the politicians and the tourism industry. President Antich has seized the moment to state that investment on tourism has never been as high as it has been during his current period of office.

Not that he has said much about spending on tourism promotion this year. In fact he hasn't said anything, because he can't. The tourism ministry is still in negotiations with the treasury which is desperately hunting down the back of its sofa and inside its jacket pockets for any loose change it can come across to pay for some promotion.

Antich was responding to complaints from the hoteliers as to the apparent tardiness with which money is being made available for promotion. But they, the hoteliers, will be aware of just how dicey the Balearics' financial state has become. It is not as parlous as that of Catalonia which started selling debt to its own people in October because it is more or less shut out of international capital markets, but it isn't in a healthy position. At the same time as the politicians have been enjoying themselves in Madrid, the regional government has decided to follow Catalonia (and also Valencia and the Basque Country) in selling public debt to the initial tune of 200 million euros. Catalonia, despite the sale, is said to have only a couple of months' worth of reserves.

The FITUR fair has been a case of putting on a brave face. By the time the Balearics take Berlin in March, hopefully the debt sale will have been that successful that there will be cash floating around that has been earmarked for tourism promotion. But the Balearics, as with the other autonomous regions of Spain, are firmly under the central-government microscope, Zapatero having warned that the government will intervene if necessary to control the regions' debts. The governor of the Bank of Spain has said that the regions may pose the "greatest risk" to Spain's finances (as reported by "Bloomberg Businessweek" back in October).

All this suggests, therefore, that money is going to be even tighter than might have been imagined, which means that it will be even tighter for tourism promotion. It's not a particularly optimistic picture, and the whole issue of regional funding is likely to get worse. Which makes you wonder what participation at future fairs is going to be like and, more importantly, how capable Mallorca and the Balearics are going be in promoting themselves.

The days of the junkets at the fairs might be over, and if you want just one example of what is spent on them, other than the costs of shipping the politicos and the rest, then look no further than the new stand at FITUR - just over two million euros. Is this a lot? Perhaps not, but it becomes so when you realise what the government is trying to raise through its bonds.


Any comments to andrew@thealcudiaguide.com please.