JetBlue Airways Corp. announced new daily non-stop flights to from New York’s John F. Kennedy Airport (JFK) to St. Maarten’s Princess Juliana International Airport (SXM) last week. St. Maarten would be the 11th Caribbean destination in JetBlue’s flight offerings. For a limited time, customers will be able to purchase tickets to St. Maarten from New York for $99 one way. This offer expires on the 24th of January 2008, after which prices as low as $154 each way will take effect.

According to Dave Barger, CEO of JetBlue Airways “…we're excited to offer daily year-round fares that are almost 30 percent lower than pre-JetBlue fares from New York to the beautiful island destination of St. Maarten. Lower fares means you have more of your budget to spend in beautiful St. Maarten or one of our 10 other Caribbean destinations."

JeBlue’s presence in the Caribbean is welcomed with open arms by its host countries. The airline will provide an opportunity for US travelers to venture into the islands for less and allow them to spend more on accommodation, food and other activities on the islands. Making access easier will help to boost tourism in the area during a time when the state of the US economy is predicted to have a negative impact on the volume of visitors (see Economics of Travel) in 2008. The US provides the majority of visitors to the Caribbean and a decrease in US visitors translates to a decrease in tourism revenue which are a significant pillar in the economies of the Caribbean.

Given the necessity of tourism in the Caribbean, and the negative impact on revenue due to the downturn in the US economy, more low cost airline will find it easier to negotiate deals with Caribbean airports. The arrival of budget carriers is not a new trend, since 2005 low cost airlines have been flocking to the Caribbean. The reason behind this is due to lack of competition, quick turnaround time, and demand for more service to the islands.

In times when tourism numbers are expected to be slowing the islands might just be able to make up the difference with the help of the low cost revolution in the Caribbean.