Now, more than ever, there is public pressure, particularly on social media, for the Philippine government to address the high cost of travel in the Philippines compared to traveling to other countries.
The pressure has been so great that media of all forms have joined in the “protest” and lawmakers apparently see the PR values in aligning with the discontented “turistang kanin” or Pinoy traveler.
What’s strange is that lawmakers and government officials focused on airlines and not taxes and government. Policy and decision makers generally look for the quick and easy solution or go after “the usual suspects” while protecting their “sacred cows.”
The majority of the middle and upper middle class have focused their complaints on the Marcos martial law travel tax, where business class travelers are taxed P2,700 while economy class flyers are charged P1,620.
What angers Filipinos is that they get NOTHING in return for the travel tax. It is the government simply being a free loader or a monkey on our backs!
For domestic flyers who fly economy class, there is a perception that air travel in the Philippines is more expensive than flying to a regional destination such as Singapore, Hong Kong, Taiwan or Malaysia.
On the surface, that is quite believable, but it seems that government officials are focused on air fare, air strips and not asking the “why’s.” Yes, the rates may be high or higher but why? What are pushing those prices up?
Columnists have targeted the travel tax as the main culprit. But what about the 12 percent Value Added Tax slapped on the ticket price? What about the other taxes placed on other things in the supply chain? Such as fuel, airline rentals.
The airlines, similar to Meralco, have to include all those hidden charges and we Filipinos don’t notice them. In fact, because of digitalization and online bookings, we only notice the total and not the details behind the details.
Lawmakers and government require airlines to give persons with disabilities, senior citizens, etc., a 20 percent discount from the airfare, just like they do with restaurants, movie houses and pharmacies. The presumption is that the government will reimburse all parties.
Well, that did not happen and is still not happening for the most part. So, is it any wonder that the one-person meal that used to be P750 is now around P1,000 per head and movie houses charge P500, etc? The “inflation” covers the cost of money and bank interest plus taxes!
Many, if not all, of the airports charge fees in exchange for facilities and services, but guess who gets the biggest cut with the least investment from those fees? The DOTr.
The government through bidding and assignment collects a majority share from airport rentals, airline operations, passenger movement, etc. In the case of NAIA, it is public knowledge that the DOTr gets approximately 82 percent of the income.
So, what does the DOTr give back? They say they channel their funds to construction or repair of new and old airports. Last I heard many were being built or renovated by the private sector. To be fair, the DOTr provides needed technical services, etc.
While the DOTr collects airport fees between P200 to P900 per passenger, that is nothing compared to the 12 percent VAT or P1,450 to P5,000 that the BIR-Department of Finance collects, depending on the price of the ticket or destination.
The DOTr indirectly provides some shelter and service but what do we get from the DOF? We don’t get mileage or reward points that we can someday trade for a free flight or seat upgrade. Between the travel tax and the 12 percent VAT, the DOF gets the cake, not just a pie.
If the DPWH gave us ghost flood control projects, the DOF is giving us ghost benefits from the travel tax and the 12 percent VAT.
Speaking of getting nothing, what are we getting from the Department of Tourism in terms of passenger service or, at the very least, representation in Congress and Malacañang concerning the trials and lament of Filipino tourists?
We rely on Facebook, TripAdvisor, Booking.com, Trip.com, WeChat and Alipay as well as the thousands if not millions of foreign and Filipino tourists-influencers who generously provide travel information for convenience and safety of others.
The fact that the DOT has not become the “go-to” guide for all things travel in the Philippines already tells us that they are not doing a good job or have not caught up with digital tourism.
Travel is not just about vacations, destinations or tourism. Travel is a constitutional right, supports education, cultural awareness and understanding. Travel supports business development, distribution of wealth, job creation, infrastructure development, construction, ultimately progress.
Filipinos have to realize and be aware that travel is not simply about excursions, bucket list gimmicks or tourism per se. Travel connects people and unifies the nation through interaction.
The price and value of travel cannot simply be about pesos and centavos. It must not be a burden for Filipinos because the government takes advantage of its power to tax. It is a right, and all Filipinos must fight for the right to travel that we can all afford!
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