Tourism sector in Kerala suffered a loss of up to Rs 25,000 crore

THIRUVANANTHAPURAM: Tourism is one of the sectors which has been deeply hit by the pandemic, said the economic review report. During the pandemic, the sector incurred a loss of up to Rs 25,000 crore. As a result, the government had announced a Covid-19 loss assistance scheme to support the stakeholders in the tourism industry for the revival of the sector.
The pandemic had brought business of all tourism stakeholders to a standstill affecting the livelihood of entrepreneurs as well as employees in the industry.As per industry feedback, this situation may extend for six more months.
Anticipating a 10% growth over 2019, the number of foreign tourists’ arrival estimated for the period from January to September, 2020, was 9,01, 971. However, as per the data from the department, after the onset of the pandemic, the figures for the same period stood at 3,49,575, showing a 61% decline in arrivals.
Similarly, assuming a 20% growth in domestic front, the projected number of tourists arrival between January to September, 2020, was 1,58,21,071. However, only 39,31,591 had arrived during the period. The decline in numbers was almost 75%.
The total loss the sector had incurred between January and September 2020 was Rs.24,971 crore. While the loss in earnings from decline in foreign tourist arrivals is estimated to be Rs.5,274 crore, in the domestic front it is estimated to be Rs 19,697 crore.
The tourism sector had rebounded strongly in 2019 after the 2018 floods and witnessed 8.52% growth in arrival of foreigners and 17.81% growth in domestic tourist arrivals.
The domestic and foreign exchange earnings from tourism sector in 2019 was Rs 24,785.62 crore and Rs.10,271.06 crore, respectively. Total earnings, including direct and indirect means, in 2019 was Rs.45,010.69 crore, 24.13% over 2018.