Shockingly, those cruise lines are now reducing the amount of business they do in Alaska.
In February, Royal Caribbean International announced that in 2010 it would redeploy the Serenade of the Seas, one of its three ships operating in Alaskan waters. The cruise line cited the high cost of doing business in the Frontier State.
The following month, Carnival Corp. followed suit, significantly reducing the 2010 capacity of the Alaska market’s two biggest players, Holland America and Princess.
Those moves were the culmination of almost constant industry protests since the Cruise Ship Initiative was enacted.
Binkley said the loss of Royal Caribbean’s Serenade of the Seas would mean 42,000 fewer visitors to Alaska in 2010, which translates to an estimated loss of $55 million in tourist revenue.
"I’ve been concerned for some time as I’ve seen the cruise traffic level off for the last three years," he said. "We’ve lost market share."