Sustainable Tourism in St. Lucia
Summary
This 2005 report assesses the sustainability of tourism in St. Lucia, finding that while the sector is a critical economic driver (38% of GDP), it suffers from high leakage due to foreign ownership (55-60% of hotel rooms) and a reliance on package tours. The analysis highlights a vulnerability to external shocks, such as the post-9/11 downturn, and notes a conflict between GATS trade obligations and the government's ability to regulate for environmental and social sustainability. While solid waste management has improved, energy consumption has risen, and the report recommends integrated national planning and voluntary sustainability certifications to optimize local benefits.
Key insights
- Tourism is a primary driver of St. Lucia's economy, accounting for approximately 38 per cent of GDP and 73 per cent of total exports of goods and services. The hotels and restaurants sub-sector alone employs an average of 10.2 per cent of the total labour force.
- The tourism industry in St. Lucia is highly vulnerable to external shocks, as evidenced by the impact of the September 11 events. This period saw a 16 per cent decline in foreign exchange earnings from tourism, which contributed to a 6 per cent reduction in the island's overall GDP between 2001 and 2002.
- Significant economic leakage occurs in St. Lucia's tourism sector due to foreign ownership and the prevalence of package tours. Foreign companies own between 55 to 60 per cent of all hotel rooms, and the proportion of visitors arriving on package tours increased from 35.3 per cent in 2001 to 59.6 per cent in 2003.
- All-inclusive hotels and cruise tourism further limit the distribution of income to the local economy. All-inclusive properties account for 56.6 per cent of rooms, and cruise passengers, who make up over 50 per cent of total annual visitors, contribute only about 8 to 10 per cent of total tourism earnings.
- There is a positive trend in reducing import leakages through increased linkages with the local agricultural sector. Local agricultural purchases by the tourism sector increased by 42 per cent between 2002 and 2003.
- Environmental impacts of the hotel sector are mixed: solid waste generation decreased by 40.7 per cent between 1999 and 2003, but energy consumption rose by 29 per cent over the same period, reaching 53,109,000 kWh in 2003.
- St. Lucia's hotel sector demonstrates above-average consumption efficiency compared to regional benchmarks for small to medium-sized hotels (50 to 150 rooms) in terms of both energy and water per guest-night.
- The General Agreement on Trade in Services (GATS) may constrain St. Lucia's ability to implement sustainable tourism regulations. Specifically, market access and national treatment rules could be used to challenge carrying-capacity limits, environmental standards, or preferential support for local businesses.
- Despite various policy initiatives like the St. Lucia Heritage Tourism Program and the Physical Planning and Development Control Act of 2001, a 2004 review identified gaps including a lack of integrated national development planning and weak enforcement of environmental policies.
Cite the original document
- APA
- Jules, S. (2005). Sustainable Tourism in St. Lucia. International Institute for Sustainable Development. https://www.iisd.org/system/files/publications/tkn_tourism_stlucia.pdf
- Chicago
- Jules, Sharmon. Sustainable Tourism in St. Lucia. International Institute for Sustainable Development, 2005. https://www.iisd.org/system/files/publications/tkn_tourism_stlucia.pdf.
- Wikipedia
- {{cite report |last1=Jules |first1=Sharmon |title=Sustainable Tourism in St. Lucia |publisher=International Institute for Sustainable Development |date=2005 |url=https://www.iisd.org/system/files/publications/tkn_tourism_stlucia.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{jules2005sustainable, author = {Jules, Sharmon}, title = {{Sustainable Tourism in St. Lucia}}, institution = {International Institute for Sustainable Development}, year = {2005}, url = {https://www.iisd.org/system/files/publications/tkn_tourism_stlucia.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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