Dip in tourists from Europe on euro zone crisis

Nivedita Ganguly Updated - March 12, 2018 at 12:48 PM.

Inflow of European tourists to Goa dipped in the month of November and beginning of December.

Even as hotel rates and air fares zoom during the Christmas and New Year season, the impact of the euro zone crisis is being felt on year-end tourism in popular destinations like Goa. In winter Goa receives more foreign tourists. This year though, inflow of European tourists to Goa dipped in the month of November and beginning of December. But, the Russian and UK market has remained strong.

According to the travel operators and hoteliers, there has been a five to ten per cent dip from overseas markets in the last one month.

“There has been a dip in the tourist inflow from Europe. But with the Russian New Year coming up in the first week of January, the Russian market is strong and UK too has remained steady,” said Mr Morton Johnston, General Manager, The Leela Goa. Even though the foreign tourist market has shrunk this year, they constitute the bulk of Goa's tourist traffic during this time of the year. With the rupee depreciating over the last two months, they do not mind paying high room rates.

The room rates in most major hotels have gone up by 10 to 15 per cent. But hotels say the dip in the European tourist arrival and rate hikes has not dampened the party spirit and year-end bookings for Goa in most major hotels are fully packed. Vivanta by Taj has raised rates more than three times at its property at Fort Aguada in North Goa. The hotel has launched ‘The Vivanta Barn Festival' on the country barn theme, in association with Blue Frog. Other hotels like Marriott, Hyatt and Holiday Inn, have also increased their rates for the year-end.

The Leela Goa underwent an expansion and refurbishment process at a cost of Rs 100 crore which lasted for about eight months. The resort is now fully back on the hotel map. Major additions to the resort are 20 new luxurious Lagoon Terrace Suites and a new restaurant. The room rates have been hiked by 10 per cent.

“We are all sold out for the New Year and just a few rooms left for Christmas. The impact of the euro zone crisis may not felt immediately on the year-end bookings. But the subsequent months and the monsoon will be the key period to watch out for. UK and Europe are the areas of concern,” said Mr Johnston. With the low traffic from Europe, the tourism industry is looking forward to tap the Indian market.

“Our focus will be more on the Indian market in the next few months which will hold the key,” Mr Johnston added.

>niveditag@thehindu.co.in

Published on December 14, 2011 15:48