side are hoteliers who employ a large number of Bermudians and believe cruise ships take away some of their business while they bear a burden of taxation and, on the other side are retail merchants who also employ a large number of Bermudians and do good business from the thriving cruise ship industry.

It is fair to say that while hotels are struggling and losing millions of dollars despite property improvements, the cruise industry appears to be doing well. Clearly there are cruise lines which would like to come to Bermuda but are prevented by the policies limiting the number of ships. A one week trip from the US East Coast to Bermuda is perfect for cruising. The ships are taxed far less than Bermuda's hotels, get to dock in prime locations and are able to employ Third World labour at a fraction of the cost of local labour.

It seems to us that there has to be some understanding that without the hotels Bermuda would not be a tourist resort. Hotels are threatened. A number of smaller properties have closed in recent years and we have seen the demise of the Bermudiana and Club Med, as well as such properties as the Inverurie and Coral Island Club. Some of this is the natural attrition of older properties but much of it indicates basic problems in the hotel sector.

No-one doubts that cruise ship passengers contribute less to the overall economy than hotel guests. However that is probably not true in the retail sector which has grown accustomed to floating hotels parked almost literally outside their doors. The retail sector today is just as threatened by the loss of spending by locals and visitors as the hotels are by the downturn in air arrivals. It is important to remember that the hotels are major contributors to Government's tax coffers just as they are major employers of Bermudians, many of whom would have difficulty finding a job anywhere else in this increasingly sophisticated economy.

Those taking part in the cruise ship debate have to realise that Government and the Minister of Tourism have to consider the entire economy of Bermuda.

They are charged with making decisions which they hope will keep everyone happy. They know the reliance of the merchant community and its employees on cruise ships but they also know the need to keep people employed in the hotels.

Tourism also has to be concerned about numbers and the comfort factor of visitors. It has to be sure that support services for visitors, taxis, mopeds, restaurant seats and such are not so strained as to be unavailable. Hotel visitors do complain if Bermuda is crowded and they do have some disdain for cruise passengers.

Striking a balance is not easy.

The solution, of course, is more air arrivals. Air arrivals have been slipping for years but Bermuda has not overhauled Tourism. We think the only way Bermuda is going to turn the figures around is to professionalise Tourism. In the boom years that would have been unthinkable, but the complications of today's visitor market and the growing competition from other resorts and the inevitable opening of Cuba to the US market all mean that Bermuda must have the best talent available.