Hong Kong’s zero-Covid stance and Omicron restrictions continue to batter tourism players
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Hong Kong leader Carrie Lam’s reiteration of the region’s adherence to a “dynamic zero” regime on February 8 has added to the worries of local tourism players, who have had their business disrupted by Omicron infections since January 7.
All local tourism activities, such as Hong Kong Tourism Board’s Spend-to-Redeem Local Tours programme as well as cruises to nowhere, have been suspended.
Holiday World Tours, managing director, Paul Leung, told TTGmice that business had started to pick up in late-2021, thanks to the return of cruises. “Now, everything is halted. We are not sure what the future holds. Perhaps nothing will materialise before June,” Leung lamented.
While there is the Come2HK travel scheme that allows quarantine-free entry for non-Hong Kong residents coming from China’s Guangdong province or Macao, Leung said Hong Kong travel agents have benefited very little from it.
The situation would continue to be tough for tourism and MICE players well into 2023, even if all barriers were lifted tomorrow, opined Destination China, general manager and owner, Gunther Homerlein.
He said: “It is the perfect storm of all bad press Hong Kong received prior to Covid – during the political strife – and during the pandemic. Hong Kong has not yet had a chance to reposition herself.”
Arrivals to Hong Kong went from 55,912,609 in 2019, when the destination experienced social unrest, to 3.57 million and 91,000 in 2020 and 2021 respectively.
Homerlein said local tour operators might have made some money, “but most of us who specialise in international business had little or nothing”.
“There is noting that has been done by the government or Hong Kong Tourism Board to help, support or give the industry hope,” he remarked.
Referencing the Rediscover Singapore voucher programme by the Singapore government and the Singapore Tourism Board, Homerlein said: “It was a well directed and managed programme that allowed the industry not only to thrive, but survive. It also encouraged the development of a lot of very good new products.”
Among hotels, Hong Kong’s stance on Omicron has resulted in banquet business losses. Dine-in services after 18.00 have been banned since mid-January.
A spokesperson with Hyatt Centric Victoria Harbour Hong Kong said the property has responded with a relaunch of its Dinner Box Buffet and In-room Safe Buffet, both of which have been popular with guests. These will remain available until March 4.
For now, Hong Kong’s SME agencies will continue to receive financial aid from the government. The fifth round of the Anti-epidemic Fund, announced on January 14, commits about HK$3.6 billion (US$470.9 million) to supporting initiatives such as the Green Lifestyle Local Tour Incentive Scheme and payouts to eligible tour service coach drivers, travel agency staff and licensed agents.
The sixth round of subsidy, confirmed by chief executive Lam on February 8, will amount to HK$26 billion.