New Umrah system to bring down costs

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By Galal Fakkar, Special to Arab News
Publication Date: 
Mon, 2001-04-30 04:41

MAKKAH, 30 April — The cost of services to Haj and Umrah pilgrims is likely to fall considerably this year, according to a senior official of the Makkah Chamber of Commerce and Industry.


The changed regulations under the new Umrah system, which came into effect on April 25, will also help create more jobs for young Saudis in service sectors related to pilgrimage and tourism, said Khalil Bahader, vice president of the tourism and housing sub-committee at the MCCI.


“The permission to perform Umrah year-round will help bring down the cost of Haj and Umrah services because housing and commercial establishments will be able to do business throughout the year instead of depending on seasonal income,” said Bahader, who also heads the White Castle Hotels chain.


The new regulations, allowing pilgrims to visit other areas of the Kingdom, are expected to increase tourism on a national basis.


Sources in the service market expect an 80 to 100 percent increase in occupancy rate at furnished apartments and hotels in the two holy cities from May through September.


Normally at this time, business is minimal, as Umrah visas are issued just before Ramadan.


According to an official of the White Castle Hotels group in Makkah, the hotel chain received over 6,000 bookings from Umrah pilgrims covering the next two months. In the past several hotels belonging to the group used to shut down in the months of May, June and July.


Hassan Saqar, an investor in the real estate and tourism business, said demand for tourist accommodation and villas in Makkah, Madinah, Jeddah and Taif would increase considerably because of the new regulations.


He said the number of Umrah pilgrims this year would cross the 10-million mark.


Transit passengers at King Abdul Aziz International Airport and the Jeddah Islamic Port, who stay for more than 24 hours, will be issued entry visas to perform Umrah and visit the Prophet’s Mosque in Madinah provided they have confirmed onward reservations.


Transport companies are also upbeat as they expect the business to boom throughout the year as a result of the new regulations.


Ahmad Al-Oufi of Ummul Qura Pilgrim Transport Co., which operates a fleet of more than 2,000 buses, said the company hopes to utilize its vehicles year round to carry pilgrims and tourists. A source at Rafideen Co., which operates services to Turkey, Jordan, Egypt and Syria, aired similar optimism.

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