Palawan’s accommodation and food services industry grew by 13% in 2025, but expensive flights and gaps in infrastructure and planning remain concerns as Board Member Ryan Maminta calls for greater support from the Department of Tourism (DOT).
Provincial Planning and Development Office (PPDO) head Sharlene Daquer-Vilches said the industry generated ₱3.14 billion in value added and surpassed its pre-pandemic output for the first time. The Philippine Statistics Authority (PSA) also reported the industry’s 13% growth.
The recovery figures cover 2025, while Maminta’s remarks during the October 20 provincial board session focused on government assistance and problems facing tourism destinations and travelers.
Maminta urged DOT’s central and regional offices to lead the proposed provincial tourism summit and coordinate with other national agencies on infrastructure, policy implementation and development planning.
He said provincial initiatives needed more national support, particularly in addressing problems in El Nido and Coron. He also proposed inviting aviation agencies and airlines to discuss expensive flights, which he said affect both visitors and Palawan residents.
PPDO figures showed accommodation and food services output increased from ₱2.42 billion in 2023 to ₱2.78 billion in 2024 before reaching ₱3.14 billion in 2025.
“Its output exceeded its pre-pandemic level for the first time, indicating full recovery in terms of real value added, which generated ₱3.1 billion. Higher tourist arrivals and expansion of available rooms provide supporting context,” Daquer-Vilches said.
The industry accounted for 2.4% of the province’s gross domestic product. Its recovery, however, does not establish that all tourism businesses or destinations experienced the same improvement. Accommodation and food services represent only part of tourism-related economic activity.
PPDO figures placed tourist arrivals at 2.13 million in 2025, up from 1.97 million in 2024. The tourism figures include Puerto Princesa City, which PSA measures separately from Palawan province in its economic accounts.
Puerto Princesa recorded 821,504 overnight guests, followed by El Nido with 642,385 and Coron with 336,304. San Vicente recorded 97,096, while Linapacan had 51,926, according to the PPDO.
Daquer-Vilches said tourism spending remains concentrated in the three main destinations. Developing emerging destinations could help more communities benefit from visitor spending.
The PPDO identified reliable electricity and internet services, stronger links between tourism businesses and local food producers, and compliance with destinations’ carrying capacities as priorities. It also outlined plans to diversify tourism corridors and attract digital nomads.
Travel costs have also drawn concern from DOT.
In a May report, DOT MIMAROPA Regional Director Roberto Alabado III acknowledged that higher airfares to Coron and El Nido, along with reduced or suspended flights, were affecting arrivals in Palawan.
He reported a 7.92% decline in arrivals across MIMAROPA during the first quarter of 2026, mainly because of fewer domestic travelers. The figure covers the region and does not represent a Palawan-only decline.
DOT said it was pursuing international travel promotions, meetings with travel agencies, cruise tourism initiatives and dive tourism campaigns to attract visitors. Those activities were reported before Maminta’s October remarks.
The PPDO also warned that flight reductions and higher fuel costs could put pressure on transportation and storage activity in 2026, potentially raising fares and cargo charges.
The accommodation and food services industry’s growth came as Palawan’s overall economic expansion slowed to 0.5% in 2025 from 1% in 2024.
PSA reported that mining and quarrying contracted by 11.8%, while manufacturing declined by 4.2%.
