GEORGE TOWN – The tourism industry is being left in the lurch again due to the enforcement of the third movement control order (MCO).
While the festive season should be a time of profit-making from hotel occupancy and restaurant patrons, many are now instead facing cancelled bookings and a surplus of food stock.
Last year, the hotel industry lost some RM135 million in food and beverage revenue as the country was under MCO during the entire fasting month.
Malaysian Association of Hotels (MAH) chief executive officer Yap Lip Seng told The Vibes that, even though MCO 3.0 was expected, the group did not expect it to be implemented so soon and with such short notice, especially during Ramadan.
“We have seen similar situations in other countries, and the governments there provide subsidies to businesses over losses due to the inability to operate, in accordance with either business hours affected or volume, whichever applicable.
“Looking at the deteriorating situation and the likelihood of the MCO being extended, Malaysia needs to plan ahead with a systematic subsidy system for affected businesses.
“Without knowing how long MCO 3.0 will last, we are afraid that hotels will be forced to cut their losses and close,” he said.
Although MCO 3.0 is imposed in selected districts and states, overall restrictions have left hotels in a state of helplessness, a similar situation to Langkawi’s tourism industry, which was badly affected when Kota Setar was placed under MCO last week.
“There is no room for tourism and, at the same time, the government has not announced any assistance for the industry.
“Being prepared for the MCO is one thing, and being placed under MCO during the fasting month while preparing for Hari Raya is another.
“The blanket ban on dine-in has left hotels in a predicament, with only days to reorganise what was planned for the entire month.
“Hotels are not only burdened by excess supplies of perishables but also manpower committed for the period.
“The government did not offer any support or assistance, leaving hotels high and dry with mounting cancellations for room bookings planned for the Hari Raya holidays,” he added.
Though the MCO is necessary, he believes the directive does not address or prevent the spread by asymptomatic persons that will only multiply with time.
He said the government must conduct mass testing and speed up vaccination roll outs, especially for economic frontliners, like hoteliers, and find ways to procure more vaccines.
“At the current rate, it is highly unlikely that Malaysia will achieve herd immunity any time soon,” he said. – The Vibes, May 10, 2021
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