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News | Sunday, 25 April 2010

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Up to 40,000 cancel Malta trip in volcano aftermath – MHRA

Reports of hotels over-charging ‘exception, not the rule’ – MHRA president George Micallef


The financial and economic cost to the local tourism industry in the wake of the airline shutdown appear to have been considerable, with at least 35,000 to 40,000 tourists having been lost in the past week, putting a severe damper on the signs of economic recovery in the industry.
Speaking to MaltaToday, Malta Hotels and Restaurants Association president George Micallef confirmed the drop in figures, adding that the incident was unfortunate due to the fact that April is normally the month when tourism starts picking up.
“As everyone is aware, we are still recovering from what has been referred as one of the worst years for the tourism industry. April is a critical month for tourism as it represents the start of the summer season, and the losses in revenue arising from this crisis will run into tens of thousands of euros. In fact we estimate that by the end of this week Malta would have lost approximately 35,000-40,000 in arrivals. The consequential losses are certainly not good news for the hotel and restaurants sector, and indeed the entire nation,” Micallef said.
The MHRA president also confirmed that the financial implications for the industry as a whole are ‘huge’ with airlines obviously topping the list. Hotels and restaurants suffered a significant loss of business due to substantial cancellations, and with the prevailing uncertainties still, cancellations are still coming in now.
“MHRA’s role in this scenario is to assist its members by way of keeping them informed in a timely fashion, and keeping itself adjourned with all stakeholders, in order that it can intervene as necessary in the interest of its members, and indeed the tourism industry.”
Micallef quashed rumours that airlines were uncooperative with their customers, adding that notwithstanding all the chaos prevalent, service continued at acceptable levels.
“Most airlines have been very proactive in providing the necessary support and information to all those affected by this crisis. Air Malta has been on the forefront in this regard, and we were receiving regular updates every few hours to inform our customers. I think that the key to this unprecedented situation is efficient and timely communication. Since the situation was, and indeed is still very volatile, it is important that everyone is updated with developments instantly so we can adjourn our clients in order that they avoid hassles like having to go to the airport and back empty handed.”
Micallef has been cautious in predicting the long-term effects of the hiatus, which now depends on the unpredictability of the volcano itself.
“As long as the volcanic eruptions do not resume, the negative effect would be short-term, and that it should not impact the recovery of tourist arrival numbers in the future. However if we start to experience sporadic eruptions of the volcano resulting into similar atmospheric consequences, this will create a dangerous level of uncertainty on travelling plans, which will adversely impact the entire tourism industry in the long term.”
When asked about reports of some hotels and other service providers profiting of the chaotic situation by overcharging clients (especially tourists), Micallef said that this was by far a small percentage of all operators who generally provided qualitative service with MHRA, even intervening to waive cancellation charges so as not to overburden the already stranded tourists.
“We did hear of hotels, airlines, travel agents and tour operators who had taken advantage of the situation by upping their charges. However these were more the exception than the rule, and not all the information received was correct. I can confidently say that the vast majority of hotels took up MHRA’s recommendations, and provided assistance to all stranded guests. We are not aware of any reports concerning bad service, and we can safely say that generally, visitors were well looked after by everyone in the tourism industry.”


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