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Bali to Regulate the Pricing of Tourism Products?

Bali's Provincial Government Weighing Pros and Cons of Fixing Prices for Bali Hotels, Tours and Attractions.

(12/11/2010) The provincial government of Bali is considering introducing standard pricing policies for the island's tourism products covering hotels, tour packages and transportation options.

According to Beritabali.com, a "standard pricing policy" would be embodied in either a gubernatorial decree or a provincial regulation.

Defending the rationale for the proposed policy, the 2nd Assistant Governor of Bali, Ketut Wija, said such a policy would help avoid "price wars" between Bali tourism operators.

He bemoaned the fact that Bali is being sold cheaply when, in fact, the islands seeks quality visitors. Said Wija: "In order to obtain quality tourists, one step we must take is to avoid selling Bali too cheaply; our hotels are too cheap; our food is too cheap, and our transportation is too cheap."

Wija said that in the future development of Bali tourism, we must look and the supporting infrastructure and the carrying capacity of this small island. He said that on its most basic level Bali, with it's a resident population of 3.9 million, can only effectively host 1.5 million visitors each year. Despite this limitation, Bali will have welcomed over 6 million domestic and foreign visitors in 2010, exceeding this capacity limit by 300%.