TORONTO — Caribbean cruise fares are heading south as a wave of added capacity boosts supply.

As reported by the Financial Times and picked up by other outlets, cruise lines are discounting Caribbean sailings as they work to fill ships in a market where capacity is already above pre-pandemic levels, and still growing. 

The average starting price in September for an inside cabin on a five-to-seven-night January 2027 Caribbean sailing was US$748, down from $846 a year earlier, according to reports.

Passenger capacity in the region is expected to rise 11.5% year over year in 2026, putting it close to 60% above 2019 levels.

NCL’s average fares for Caribbean cruises departing in Q1 2027 were 21% lower in September than at the same point in the previous year’s booking cycle. Carnival’s pricing was down 7% year over year and Royal Caribbean’s was down 8%.

The conflict in the Middle East has affected consumer confidence, pushed fuel prices higher and prompted some cruise lines to redeploy vessels from the Gulf. 

Among them is MSC World Europa, which can carry more than 6,700 passengers. Originally scheduled for Middle Eastern cruises, MSC World Europa will redeploy to the French Antilles and southern Caribbean for winter 2026-2027. According to CruiseTradeNews, the mega-ship’s arrival in the Caribbean will replace the smaller MSC Seaview, which will offer South America sailings.

While base fares may be dropping, onboard revenue is up. Like ancillaries for airlines – generating billions of dollars of revenue – onboard passenger purchases are increasingly a focus for cruise lines. Carnival Corp. reported onboard and other revenue of $2.91 billion for the three months to August, up 6.7% year over year. That was more than three times the growth rate of fare revenue, which reached $5.53 billion.