Cebu's tourism industry is undergoing a strategic realignment, with local operators actively pursuing travelers from India and Australia to compensate for the significant reduction in Chinese tourist arrivals in recent years. This shift comes as the sector seeks to diversify its source markets and reduce dependency on any single country.
Recalibrating After Chinese Market Slowdown
Alice Queblatin, president of the Cebu Alliance of Tour Operations Specialists, explained that the industry faced a substantial challenge when Chinese outbound travel decreased dramatically. "When the Chinese left, for obvious reasons, there was no other market that could really come in volume. It had to be India," Queblatin stated, emphasizing that India represents one of the few outbound markets capable of delivering large-scale group travel to the Philippines.
India Emerges as Volume-Driven Opportunity
India has become a primary target for Cebu's tourism sector, particularly for incentive travel and organized group tours. Queblatin highlighted that improved connectivity has made this market viable, with Indian travelers typically routing through London or Middle Eastern hubs like Dubai before continuing to the Philippines. "India is connected to us. Most inquiries come via London. There are many airlines flying through Dubai, making it relatively accessible," she noted.
In related aviation developments, the Philippine News Agency reported that Israel's national carrier, EL AL Airlines, plans to introduce non-stop or direct flights between Israel and the Philippines by 2027. Departures from Israel are expected to commence in March 2027, while flights from Manila await regulatory approvals.
Australia Benefits from Direct Flight Expansion
Alongside India, Australia has emerged as a rapidly growing inbound market for Cebu, largely due to enhanced air connectivity. The introduction of direct flights by Jetstar to Mactan-Cebu International Airport has significantly boosted travel between Australia and the island. "With direct flights into Cebu, Australia has become a new market that's building up," Queblatin observed.
Australian travelers show a distinct preference for adventure-driven and experiential tourism packages. "We discovered they like adventure. They like engaging with people," Queblatin said, citing strong interest in activities such as island-hopping, diving, waterfall exploration, and community-based tourism experiences.
Chinese Market Dynamics and Future Outlook
While Cebu continues to welcome Chinese tourists, Queblatin pointed out that many transactions are still managed through Manila-based operators or established Chinese-linked agencies. She expressed hope that direct inquiries to Cebu-based operators will increase as travel patterns normalize. "We hope that soon the inquiries will be bigger," she remarked.
Industry stakeholders maintain cautious optimism that diversifying source markets—particularly through India and Australia—will help stabilize Cebu's tourism sector against overreliance on any single country. This strategic approach aims to strengthen Cebu's position as a versatile international destination capable of attracting travelers from multiple regions.