SÃO PAULO, BRAZIL – The losses to the hotel sector in the month of April in Rio de Janeiro state, due to the pandemic of the Covid-19 and isolation measures, has been estimated at R$130 million, according to sector representatives. But despite the grim news expected for April and May, officials say that a recovery should begin to be seen by June, and getting stronger during the second half of the year.
“The next quarter we will definitely expect a resumption (of occupancy),” says José Domingo Bouzon, president of the Rio de Janeiro Commercial Forum.
Bouzon met with Tourism state secretary, Otavio Leite, on Wednesday (April 15th) to discuss ways to help the hotel industry in Rio after the loosening of restrictions on movement within Rio and its neighboring states.
“A faster response from leisure tourism is expected (after lessening of restrictions), due to a repressed demand imposed by the quarantine,” added Bouzon.
According to data from trade association Rio Hotels, currently less than five percent of hotel beds are occupied in Rio de Janeiro state and at least 60 hotels have temporarily suspended their activities, notably including the iconic Copacabana Palace, located in Zona Sul of Rio’s capital.
The association says that due to the current social distancing measures adopted by Rio and several other states in Brazil, as well as a virtual halt of international visitors, approximately 5,000 jobs have been threatened in Rio de Janeiro city alone. The entity estimates that the hotel sector may lay off up to twenty percent of hotel employees.
But if the quarantine has put a damper on the sector’s profits from annual events like Holy Week, Easter and Mother’s Day, officials say they are confident that when the state eases restrictions, hotel occupancy and tourism will quickly return.
They are so confident that they have announced a news portal which will feature all the tourist attractions the state has to offer its visitors.
“People are eager to set foot on the sand on the beaches, climb the mountains, enjoy the waterfalls and breathe fresh air,” said Leite during a webconference on Friday (April 17th).
According to Leite, the target will be regional tourism, with visitors from São Paulo, Minas Gerais and Espírito Santo, as well as residents of other cities within the state. Otávio Leite believes that, after the pandemic, the automobile will be the preferred means of transportation for Brazilians.
“The (tourism) portal will have a beautiful image portfolio of the State of Rio and a complete catalog of all our destinations. We will invest heavily in gastronomic events in the State of Rio, not forgetting the motorcycle industry – bike owners have been practicing tourism for a long time,” explained Leite.