local industry, forecasting at least 10 percent growth this year.

But it was rejected as complacent by Opposition spokesman Mr. David Allen .

Ministry spending is going up three percent in 1994-5.

The Minister said Tourism produced about a third of Bermuda's gross domestic product, well above the world average of ten percent.

It generated about $600 million and about 10,000 jobs, he said.

But he warned that if the Caribbean continued to invest heavily, then it could be a threat. Just one Caribbean hotel chain, Sandals, had a marketing budget bigger than Bermuda's.

But at the moment he said the US was the Island's major competitor.

He said 303 first-time visitors had been interviewed before they came to the Island and after their vacations.

The results of the survey suggested tourists might not be getting all they expected in terms of accommodation and the private sector had to improve its product.

Arrivals in 1993 were 12 percent up on 1992, he said. That compared with 2.7 percent in Barbados, 3.8 in Aruba, 6.4 in the Bahamas and 7.7 in Jamaica.

A fourth British Airways flight was "in the making''. And more flights might come out of New York and Newark, the Minister said.

He also promised to continue to protect scheduled airlines from charters.

The same number of charters would arrive this year as last year, without disrupting regular carriers.

He reminded people who wanted another cruise ship that the ships now calling had increased capacities. There would also be a ship calling at St. George's and "dumping'' people there, he said.

The Island had to be careful about overcrowding -- he did not want wall-to-wall ships at weekends when Bermdians needed to relax and spend time with their families.

The Caribbean hotel industry had sent an expert here to see how Bermuda had successfully managed its cruise business, he added.

African-Americans, a market with "great potential'', had been surveyed by the department. They had reported they did not want any special treatment.

One result of the survey was that they wanted to see more African-Americans in Bermuda's commercials.

This was a "very, very minor point'', said Mr. Woolridge. Most of the department's ads showed black people in Bermuda shorts. If they were dressed casually in shirts and slacks "you would not know if they came from Bermuda or Timbuctoo''.

The first-time visitors survey in October had revealed 93 percent wanted rest and relaxation from their Bermuda holiday. This could suggest how more visitors could be drawn in -- by stressing the Island's tranquility, safety and civility.

Because of the "cycle of violence'' in the US, people wanted to escape.

"Bermuda is probably the safest place in the world,'' he insisted, noting that recent homicides had not involved visitors.

Mr. Woolridge said Bermuda hotels won good reports for making visitors feel welcome and for attractive grounds. But they lost out on planned recreation for children and nightlife.

He hoped an enterprising young person would come forward and bring back the "glory days'' of Bermudian entertainment.

On calls for Tourism to seek new markets in Europe, he pointed out it cost $58 in public money to bring in an American visitor and $70 to bring in a Canadian.

To get a tourist from Europe cost $275. "That, in my humble opinion, is very little comparison in terms of value for money.'' Mr. Allen demanded to know what had happened to the task force report on Tourism, first announced in 1992.

Everything in Tourism was not "wonderful'', as the Minister had assured. The Island was going in the right direction but had started from the bottom of a deep pit.

He said cruise arrivals last year had been achieved by "desperate'' discounting.

Bermuda had fallen behind and was not spending enough on advertising. The Minister had been misleading in quoting growth rates in other islands.

While Bermuda had lost business in the 1980s, Aruba had enjoyed increases of up to 23 percent.

Such islands had already gained big shares of the market.

Advertising needed to stress Bermuda's culture and the entire range of its ethnic make-up.

He said Mr. Woolridge was not fighting hard enough for his budget and was undermining the European effort.

A "long, hard slog'' would be needed in Europe before rewards were seen. He praised properties like Horizons, where he said 40 percent of guests were European.

The department should target rich Dutch and Italian tourists, as well as wealthy South Americans, he said.

The Minister had contradicted his own charter policy by revealing Apple were flying out of Philadelphia, already a USAir gateway.

He stressed charters could be upscale, and were particularly popular with Germans.

Mr. Allen called for Daniel's Head and some USNAS buildings to be used for tourist recreation and theme parties. Trade shows could be held at the St.

David's base.

A Wedco-type organisation could handle the whole East End, with changing-of-the-guard ceremonies at a fort and imaginative use of other sites.

St. David's could have a museum of local history and folklore, and the commander's house at USNAS would make a good visitor centre.

All these things could boost the struggling Castle Harbour hotel and maybe revive Club Med.

Bermuda's reputation as a place to shop had declined, he said. If duties were removed from goods like watches, perfume, cameras, china and sweaters, this could stimulate the industry and bring in more revenue than was lost.

Tourists needed a proper welcome at the Airport, maybe a tourism film and a non-alcoholic cocktail, instead of the present "dismal'' reception.

On cruise ships, he was not proposing more weekday callers. But it would spread the load and make full use of facilities to have a ship at weekends.

Mr. Woolridge talked about relaxing at the weekend, but taxi drivers and shopkeepers wanted to work and earn money.

Mr. Allen mocked the Minister's assertion that the Ritz-Carlton was "in the pipeline''. He knew someone who had heard a Ritz-Carlton chief say at a dinner that the hotel would never be built.

He called on Government to find a way for tourists to buy duty-free liquor in their hotels, or at least get a rebate.

There should be an office here encouraging films and commercials to be made, he said.

Bermudians should be promoted more into top hotel management, he added.

Ministry of Tourism Ministry responsibility: "To promote and control the tourist industry for the benefit of Bermuda.'' Budget estimate $29,246,000 (last year $28,144,000).

Budget allocation Administration $1,026,000 Marketing $16,871,000 Sales $8,669,000 Activities $2,271,000 Management Information $409,000 The Hon. C.V. Woolridge Mr. David Allen.