Virtual summit guest says governments must enforce social distancing to ensure tourism can start

Summit News 7th June 2020

Global hospitality will be more competitive than ever as the world reopens, with destinations urged to prepare now for the return of guests.

And for those nations that have Covid-19 under control tourism will return and it’ll happen fast, says Haitham Mattar, senior advisor at the Saudi Arabia Ministry of Tourism, who will be making his third conference appears in eight days pressing for tourism to reopen.

Mr Mattar is a guest panellist at a special virtual summit The Future of Travel & Tourism on Wednesday June 10, 2020.

He will be part of a session titled ‘The way forward: Foresights, initiatives and changing paradigms.’

Mattar has been speaking at two virtual conference last week during ATM’s three-days of virtual webinars and conferences considering the future of travel.

He told conference delegates: “Consumers, travellers, they want to book – live data from Google, Amadeus and others shows this.

“Small numbers for now, certainly, but it is happening – from July forward we will see a return in demand for destinations that have shown they have Covid-19 under control.”

He believes it is the responsility of individual governments to ensure safe, social distancing was enforced if safe travel was to be provided: “We need governments to rigorously enforce physical distancing and other measures to rebuild confidence – but guests will return.

THE FUTURE OF TRAVEL & TOURISM VIRTUAL CONFERENCE June 10, 2020 DETAILS & REGISTRATION

“This is going to be a great opportunity for countries to get back into the market.

“Destinations must have a plan, must have a recovery strategy and must start negotiations with online travel agencies to speak to consumers who are ready to travel.”

His remarks come as countries across the world began to relax strict lockdowns introdcued earlier this year in an effort to save lives and slow the spread of the virus.

Mattar says destinations must be ready for the gradual return of hospitality he shares the belief that domestic tourism is the initial key to unlocking the hospitality sector, ensuring jobs are not lost and facilities can survive.

“We will see a three-phase approach,” he said, “beginning with domestic travel.

“Where you have scale, such as the USA, Germany and others, domestic travellers will be the first to return to market.

“Then regional travel, before going global.”

He continued: “We need to take action today to get people arriving in three months’ time.

“Every destination will reopen, and it will be very competitive once the reopening does start, and people need to prepare today.”

His thoughts were echoed by WTTC ambassador, Gerald Lawless, at the conference on the first day of ATM 2020.

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3. Future: This may not be the last crisis, how can you prepare for any future global catastrophe

This virtual summit uses the latest video technology, viewable on your browser, will bring together more than 2,000 attendees in an interactive environment.

Emirates chief says Covid recovery could take four years

Industry News: 1st June 2020

Emirates Airline President Tim Clark said on Monday it could take the airline four years to rebuild its network that has been decimated by the coronavirus pandemic.

He was speaking during the opening session of three days of webinars and conferences organised by Arabian Travel Market, which went virtual after pandemic restrictions in Dubai. 

“I think probably by the year 2022/23, 2023/24 we will see things coming back to some degree of normality and Emirates will be operating its network as it was and hopefully as successfully as it was,” he said in the webcast interview.

His interview came less than 24 hours after his airline announced it plans to cut jobs due to the COVID-19 pandemic, but had not given numbers.

Emirates issued a statement yesterday saying: “We have looked at all of the possible scenarios in order to maintain our business operations, but have come to the conclusion that unfortunately we have to say goodbye to some of the wonderful people who have worked for us.”

Emirates employs more than 100,000 people and operates a fleet of 270 wide-body aircraft. In March it confirmed salaries would be cut between 25 and 50 per cent after the fleet was grounded.

“The current pandemic has impacted many industries around the world,” said Emirates in its release.

Emirates had already said on May 10 that it would take at least 18 months for travel demand to return to “a semblance of normalcy”, even after reporting windfall profits before the pandemic.

The carrier had suspended flights on March 22 before resuming certain services two weeks later.

Last week, it began operating scheduled, but partial, services to a number of airports, mostly European

The International Air Transport Association (IATA) forecast in April that air traffic in the Middle East and North Africa (Mena) will fall by more than half this year.

 
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Final list of speakers revealed for the future of travel & tourism Middle East conference

Industry News 29th May, 2020

This week HE Issam Kazim, CEO of Dubai Corporation for Tourism and Commerce, has confirmed his attendance at a conference considering the future of travel and tourism in the Middle East.

The event – part of Arabian Travel Market’s three-days of webinars and conferences – will discuss sustainable investment measures for the region’s travel & tourism sector alongside strategies to restore travellers’ confidence and move forward post-pandemic.

He will talk about his vision for Dubai’s success alongside leaders from across the region:

Panel Discussion: Initiatives to revive the travel and tourism industry and secure sustainable investment in the region?

Moderator: Rajan Datar, Presenter and Broadcaster BBC

Speakers

  • HE Marwan Bin Jassim Al Sarkal, Executive Chairman Sharjah Investment and Development Authority
  • His Excellency Khalid Jasim Al Midfa, Chairman, Sharjah Commerce and Tourism Development Authority (SCTDA)
  • HE Saleh Al Gezeiry, Director General for Ajman Tourism
  • Mr. Majed M. Alghanim Tourism & Quality of Life Managing Director, Ministry of Investment, Saudi Arabia 
  • Mr. Nicolas Mayer, PWC Industry Leader Hospitality and Tourism EMEA & Managing Partner Global Center of Excellence Tourism & Hospitality

This is one of three sessions on the day and you can be part of the event with free registration.

Restructuring to Attract Sustainable Investment and Customers in the New World Order.

Register HERE

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Saudi Arabia begins releasing lockdown with end in four weeks

Industry News: 26th May 2020

Saudi Arabia will begin easing its coronavirus curfew from Thursday, it has been announced.

Health Minister Tawfiq Al Rabiah said the easing of restrictions will be undertaken in phases and will depend on how the spread of the virus pans out this week. 

The first phase will begin with expanding capacity to serve “critical patients” and the second will include intensifying Covid-19 tests and early detection.

Speaking a a press conference on Monday, the health minister said the Saudi people had displayed a “high amount of responsibility in practising social distancing.” 

“After five months since this pandemic started, where the global health systems faced great difficulties in dealing with it, our society has become today more aware of this virus and implementing the measures of the social distancing, as it is a new experience for all of us,” he said in remarks quoted by the Saudi Press Agency

Restrictions in place due to coronavirus, including bans on domestic travel, holding prayers in mosques, and workplace attendance in both government and private sector will be lifted, starting May 31, the statement added.

The Kingdom will reopen all mosques outside Mecca from May 31 until June 20 in one of a number of measures announced by the SPA.

From June 21, the Kingdom expects to lift the lockdown entirely and return to normal life, according to SPA.

Al Rabiah said that people should continue taking precautionary measures while leaving their homes by using face masks and hand gloves.

The Health Ministry recorded nine new deaths and 2,235 new cases of coronavirus in the Kingdom on Monday.

The new deaths have increased the Covid-19-related toll in Saudi Arabia to 399 and the total number of confirmed cases to 74,795. 

The number of recoveries has risen to 2,148, taking the total number of recovered cases to 45,668.

The Covid-19 pandemic has severely damaged the Kingdom’s plan to boost its tourism income and create new jobs. In October 2019, the Kingdom of Saudi Arabia revealed its 2030 plan aiming for 10 per cent of GDP to come from tourism within 10 years, up from 3 per cent, building on its enormous annual religious pilgrimage visitors. The Kingdom also set a target of international and domestic visits of 100 million a year by 2030, attracting significant foreign and domestic investment and creating a million jobs.

 
 

 

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Dubai tourism leaders meet key stakeholders to plan for the future

Industry News: 26th May 2020

ABU DHABI, 25th May 2020 (WAM): Dubai’s Department of Tourism and Commerce Marketing (Dubai Tourism) held a virtual meeting with key aviation and hospitality partners to discuss current and post-pandemic strategies and joint initiatives aimed at ensuring the tourism industry’s gradual return to normalcy.

The meeting also discussed global efforts to minimise the transmission of COVID-19 and precautionary measures deployed to safeguard the health of communities across the UAE.

On the same day the UAE Government announced that the number of COVID-19 tests has broken the two million mark, reaching 2,044,493 screenings as part of the national plan to intensify coronavirus detection. Three deaths on Sunday due to COVID-19 complications, took the total number of deaths to 248, and 601 individuals have fully recovered from the virus, bringing the total number of recoveries to 15,657. There are 14,402 patients from different nationalities are currently receiving the necessary treatment.

Attendees the meeting hosted by the Director General of Dubai Tourism, included key executives of hospitality groups including Jumeirah, Emaar Hospitality Group, Marriott International, Millennium, Accor, JA Resorts and Hotels, Kerzner International, Al Habtoor Group, Wasl and Rotana, in addition to aviation sector players like Emirates, Flydubai and Dubai International Airport.

The report released by state newsagency WAM said partners were briefed on the phased approach being adopted to reopen the tourism sector in Dubai, and the marketing communications and activities in progress across key markets to reinforce Dubai’s high global profile including the ongoing #TillWeMeetAgain digital activation.

With the hospitality sector being a key pillar of Dubai’s economy, the discussions between Dubai Tourism and partners focused on the steps being taken to pave the way for the reopening of hotels and other tourism facilities across the city, while ensuring adherence to the strictest guidelines and providing opportunities to revive domestic market demand.

As part of overall efforts to create a positive perception and a conducive environment aimed at instilling confidence among travellers who plan to visit Dubai, the meeting also looked at precautionary measures that have been implemented, both at a citywide level and across specific sectors including tourism, which represent critical touchpoints for visitors and residents during their stay.

One of the key priorities from a marketing perspective, the meeting heard, is to emphasise the safety and security that Dubai provides, and the clear stringent health and safety protocols issued by the Dubai Health Authority based on international standards and best practices aimed at containing the contagion. The meeting also discussed the mechanism to ensure adherence to the guidelines, practical solutions to scan and monitor passengers at Dubai International Airport and the effective management of contact tracing in compliance with privacy standards, following the resumption of air travel.

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All participants at the meeting expressed their appreciation for the way in which government – both at the Dubai and UAE level – have dealt with the threat of COVID-19 including the rational policy decisions that have allowed robust management of the health crisis and mitigation of the economic repercussions by allowing for the gradual reopening of vital sectors like tourism.

Industry executives at the meeting also agreed that the postponement of Expo 2020 was prudent and well-received. It provides the opportunity to hold the event in a more normalised global environment where all countries can actively participate, making it a more representative Expo for the world in 2021. The businesses also reiterated their support to Dubai Tourism to kick-start the sector with collaborative development of promotional programmes and strong customised packages that take into account the current realities of the global market. The stakeholders were unanimous that there was positive sentiment surrounding Dubai as a key destination in the international circuit thanks to the city’s world class health infrastructure, and protocols and processes deployed during the management of this pandemic.

Helal Saeed Almarri, Director General, Dubai Tourism, said: “It must be emphasised that the health and safety of our residents and guests will always remain our top priority as we continue to work with the industry and our government partners not just during this critical period but beyond, to develop innovative approaches, real-time responses, and proactive yet prudent initiatives to ensure that Dubai remains at the forefront of the world’s leading destinations in line with our strategy.

“As we look ahead to a gradual reopening of tourism, we will focus on the key elements that have ensured the industry’s success over the past decade – creating unique value and delivering an uncompromised guest experience. To achieve this, we rely on the solidarity of our stakeholders who have always played a pivotal role. We hope they will continue to lead from the front in positioning Dubai as a must-visit destination.”

Paul Griffiths, CEO of Dubai Airports, said: “Dubai International Airport is prepared to welcome visitors as soon as airports around the word start reopening and pave the way for a phased resumption of air services. As health and hygiene standards will play an influential role in encouraging people to travel, we have put in place a set of health and safety protocols at our airports including all necessary quarantine arrangements and the implementation of sanitisation and disinfection measures to reassure tourists that Dubai is one of the safest destinations to visit. We will also continue to receive incoming flights from select destinations, operate cargo flights, as well as flights to repatriate expatriates and guests to their home destinations.”

Adnan Kazim, Chief Commercial Officer at Emirates Airline, said: “The health and safety of our customers and employees remain our top priorities across our operations, and Emirates has implemented comprehensive measures at every step of the customer journey. This includes thermal temperature scanning before check-in, the mandatory use of masks and gloves for everyone at the airport, protective suits for our crew and ground employees, physical distancing protocols, modified services to reduce contact, enhanced cleaning of all our touch points, and much more.”

Ghaith Al Ghaith, CEO of flydubai, said: “Since the flight restrictions came into effect, we have operated more than 100 repatriation flights to 19 different countries enabling 14,000 citizens to return home. flydubai will continue to work closely with its strategic partners to ensure that all safety measures are in place in line with international standards when flight restrictions are lifted.”

Mohammed Al Habtoor, Vice Chairman and CEO, Al Habtoor Group, said: “Dubai with its wide experience in successfully dealing with challenging situations is capable of restoring tourism momentum and paving the way for the hospitality sector to returns to its previous state. This is also a view shared by our international hospitality partners who have placed great faith in Dubai’s resilience during tough times, as well as in its world-class healthcare system and the range of preventive measures taken across the city such as the effective and regular sanitisation and sterilisation programmes, that will help highlight Dubai as one of the world’s safest destinations.”

Mark Willis, CEO Middle East and Africa at Accor, praised the government’s efforts in reopening the markets and supporting the tourism sector: “Accor is committed to coordinating with Dubai Tourism and all related entities, from both government and private sectors, to ensure we are aligned in making the safety and well-being of our guests and team members our key priority”

Neal Jones, Chief Sales & Marketing Officer, Europe, Middle East and Africa (EMEA), Marriott International, said: “As an international chain that enjoys a longstanding relationship with Dubai, Marriott is committed to supporting the industry’s efforts to regain momentum by rolling out our own initiatives and packages to attract visitors to Dubai when the time is safe for travel.”

 

 

Hard hit Dubai hotels prepare for September recovery

Industry News: 21st May 2020

About 30 per cent of jobs in Dubai’s hotel industry are likely to be lost over the summer until demand recovers from the pandemic, according to research firm STR.

In an updated Bloomberg report today (May 21, 2020) the news outlet said more than a third of the city’s 120,000 hotel rooms will ‘probably remain closed through the typically slow summer months’.

Bloomberg spoke with Philip Wooller, Middle East and Africa director at STR Global. The industry employs about 40,000 people, he estimated.

The job-loss estimate is a “minimum,” Wooller said. “Otherwise you’re asking the owners to reach into their own pockets and, while some might do that, others won’t be able to afford it.”

Almost 17 million tourists visited the city last year, contributing about 12 per cent to economic output.

Hotel occupancy slumped to 23 per cent since the pandemic hit from about 80 per cent one of the highest in the world, according to STR. Average occupancy globally is around 20 per cent and has been mostly held up by demand for accommodation for medical staff and quarantines.

“Dubai’s Hospitality businesses are resuming operations based on issued government reopening guidelines during this pandemic,” the emirate’s media office said in a tweet. “Dubai’s hotel sector is healthy and this prudent approach prepares the industry for an even stronger resurgence post Covid.”

Occupancy is expected to recover to between 50 and 60 per cent by September as demand improves and hotels reopen, Wooller said. Some operators, especially beach hotels, may see demand from residents unable to travel abroad seeking local vacations instead.

Bloomberg reported that closures have hit most hotels in the rest of the Gulf, with nearly 43 per cent of rooms in the Omani capital being shuttered. In Mecca, more than 80 per cent of rooms were closed as the city that hosts Islam’s holiest site, which had the worst outbreak in Saudi Arabia.

Some hotel owners in Qatar are benefiting from the government leasing nearly 30 properties. Qatar, which is set to host the soccer World Cup in 2022, is still benefiting from demand as infrastructure preparation continues. In Dubai’s Emirati neighbour, Abu Dhabi says just 17 per cent of the city’s 29,000 rooms closed. Occupancy is hovering around 50 per cent as the government leases rooms for essential staff and for quarantines, according to STR Global.

READ FULL UPDATED BLOOMBERG NEWS REPORT HERE

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Air France dumps the A380 superjumbo and Emirates wants out of new orders

French flag carrier Air France has announced on Wednesday afternoon that it will retire its nine strong Airbus A380 fleet with immediate effect.

The airline’s fleet of superjumbos was initially set to be retired in 2022, but in light of the Coronavirus, the Air France-KLM Group has decided that it will bring this forward.

The company owns five of its A380s and another four on lease. Most of the fleet has been grounded since March, as the worldwide pandemic brought air travel to a dramatic stop.

Air France said in a statement: “The phase-out of Airbus A380 fleet fits in the Air France-KLM Group fleet simplification strategy of making the fleet more competitive, by continuing its transformation with more modern, high-performance aircraft with a significantly reduced environmental footprint.”

The airline received its first A380 in October 2009 and it’s most recent delivery was in June 2014, making the youngest aircraft in the fleet a mere six years old. Air France’s Airbus A380 fleet will be replaced by smaller long-haul aircraft, including Airbus A350 and Boeing 787 Dreamliner, the carrier says.

The £164million superjumbo is close to the end of its production run after demand switched to smaller jets, and airlines including Air France have been idling the double-decker temporarily because of the coronavirus crisis. 

Air France announced a fresh 500million euro ($548.50million, £449million) writedown as it permanently retires its nine jets, just over a decade after becoming the first European airline to operate them.

The French announcement came hours after aircraft engine maker Rolls-Royce announced 9,000 redundancies across its UK operations.

Emirates – which operates more than 100 A380s and has been one of the few airlines to adopt it – no longer wants to take all eight A380s due to the pandemic and is in talks with Airbus, industry sources said.

Bloomberg earlier reported that Emirates hoped to cancel five.

Both Emirates and Airbus said they were in regular dialogue with each other, declining further comment.

Halting Emirates deliveries could be painful for both sides, with the airline foregoing deposits and Airbus left with parts already ordered and no significant market to dispose of them.

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Dubai Expo 2020 delayed for 12 months amid cronavirus fears

Dubai Expo 2020 becomes Expo 2021 today after it was officially postponed for a year

World Expo 2020 in Dubai will be delayed by a year it was confirmed today (May 4), after weeks of speculation.The United Arab Emirates’ city has invested millions of dollars preparing for Expo 2020 with more than 100 hotels under construction.

Dubai was forecasting 25 million visits over the six months – 145,000 visits for every one of the 173 days the site is open. They expected 11 million visits by people living in the UAE and 14 million from overseas visitors.

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The delay confirmation came today after a two-thirds majority of Bureau International des Expositions, BIE, Member States has already voted in favour of postponing until 2021.

The event will now run from 1 October 2021 to 31 March 2022, a delay that “allows all participants to safely navigate the impact of COVID-19”. It also allows the World Expo to focus on a collective desire for new thinking to identify solutions to some of the greatest challenges of our time, said a report from the UAE state news agency WAM this morning.

H.H. Sheikh Ahmed bin Saeed Al Maktoum, Chairman of Dubai Airports, President of the Dubai Civil Aviation Authority, Chairman and CEO of Emirates Group, and Chairman of the Expo 2020 Dubai Higher Committee, said: “We welcome the decision of BIE Member States to support the delay of Expo 2020 Dubai by one year. We are thankful to Member States for their continued commitment to contributing to a World Expo in Dubai that will play a pivotal role in shaping our post-pandemic world at a time when it will be most needed.

“We have sought to build over the last 50 years bridges, connections, and partnerships around the world because we believe in genuine collaboration to safeguard the future of all. This swift and overwhelming vote reflects the strength of our international partnerships and truly reflects the positive role the UAE and Dubai play with all countries around the world.

“This affirmation by the international community of Dubai’s offering and its ability to deliver, further strengthens our commitment to matching ambition with achievement to hosting an event that will capture the world’s imagination, when the time is right.”

With a BIE General Assembly impossible to stage due to COVID-19 restrictions, Member States voted remotely on the BIE Executive Committee’s recommendation for a delay as proposed by the UAE Government at the beginning of April and recommended by the BIE Executive Committee on 21 April. While the vote remains open until 29 May, the two-thirds threshold was surpassed within a week of voting opening on 24 April.

Dimitri S. Kerkentzes, Secretary General of the BIE, said: “I applaud the swift response by BIE Member States. Their support for the postponement of Expo 2020 Dubai – which will be formally approved on 29 May – is a renewed sign of solidarity and demonstrates the shared will to work together in ‘creating the future’.”

“In their support for the one-year postponement of Expo 2020 Dubai, Member States of the BIE are giving the world the opportunity to reconvene in 2021, when together, we can address the challenges facing humanity and celebrate the unity and solidarity that strengthen us. With its theme ‘Connecting Minds, Creating the Future’, Expo 2020 Dubai will offer the world a unique platform to share the lessons, solutions and ideas for a better tomorrow.”

Expo 2020 Dubai retains its name and remains committed to hosting an exceptional event that will celebrate humanity’s resilience, creativity, culture and innovation – including major technological advances in the fields of medicine and science.

The first World Expo to be held in the Middle East, Africa and South Asia region, and largest ever event to take place in the Arab world, Expo 2020 will welcome 192 countries, plus businesses, multilateral organisations and educational establishments.

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