MADINAH: The Tourism Committee of the Madinah Chamber of Commerce and Industry (MCCI) fears the industry could be hit by more than SR3 billion thanks to swine flu.
“The loss of business within the Haj and Umrah industry this year is going to be at its highest compared to the last 50 years. The negative trend is likely to continue for the next three years at least.
The hospitality sector will be most affected,” Abdul Ghani Al-Ansari, a member of the tourism committee at the MCCI, told Arab News on Friday.
Al-Ansari said half of the hotels were saying that prospects of a upswing this year was bleak because bookings were likely to fall considerably.
“A number of Haj delegations and companies did not pay the last two installments for their bookings so far. If they do not pay up the remaining installments over the next 30 days, the loss would be more than SR3 billion,” he explained.
Al-Ansari, who is also chairman of the Social Responsibility Committee in Madinah, warned the situation could lead to a laying-off of a large number of employees in Makkah and Madinah.
The official also blamed investors for not coming forward to support the ailing tourism sector.
In a related development, representatives of investors in Haj, Umrah and tourism related industries met to discuss ways to tackle the negative impact of the H1N1 virus.
The meeting was headed by Ahmad Al-Safi, chairman of the Committee for Owners and Investors in the MCCI.
The meeting also covered their problems with the General Commission for Tourism and Antiquities. They also decided to launch media campaigns and act in tandem with the Makkah Chamber of Commerce and Industry.
Suggestions made at the meeting included extending the Umrah season to encourage more people to come to Makkah and Madinah. Another proposal to make up the shortfall in the overall number of pilgrims was to allow other countries to exceed their allocated quota.
Some participants also demanded a reduction in rent rates to attract more customers.
