ECONOMYNEXT – Sri Lanka will have to reconsider a minimum room rate for hotel rooms after a number of complaints, but there was also a demand for price floors from the section of the industry, State Minister of Tourism, Diana Gamage said.
Tour operators have opposed the price controls, saying it amounts to illegal price-fixing in other markets.
“…[B]ecause of the issues that are happening at the moment, the complaints we are getting from the hotel industry and things we will have to reconsider,” Gamage said at a press conference on Monday.
Gamage said there was support for the minimum room rate from some hoteliers.
“There are hoteliers who are agreeing with us,” Gamage said. “There should be some minimum room rate.”
Sri Lanka’s inbound tour operators have said minimum rates were hurting their ability to compete with East Asia especially for large groups including those coming for incentive travel and conventions. (Colombo/Apr30/2024)