Although some businesses reported a slight increase in trade over Easter weekend, the general trend remained sluggish, similar to that experienced last year.
Philip Fenech, president of the hospitality and leisure section of the Chamber of Small and Medium Sized Enterprises (GRTU), told The Malta Independent that there had been little change in business activity.
“From reports we have, some bars and restaurants reported slightly increased business over the weekend but overall, there definitely was not the demand we used to see in previous years when locals and tourists alike used to congregate in bars.”
As expected, tourists generated some business in village cores where they attended religious processions and festivities.
“In those areas where tourists frequented the traditional Easter processions, bars reported an upsurge in demand but the majority of establishments reported that business was only slightly better.” Others said that business was “extremely bad”.
Mr Fenech pointed out that in the past week over one million tourists flew to Italy on low cost carriers.
As reported in The Malta Business Weekly last week, the government said that it would be moving ahead with proposals for the tourism industry, regardless of the chorus of disapproval from constituted bodies, including the GRTU, who insisted that the proposals were not enough to stimulate the industry.
“Reports from our members indicate that much more needs to be done if the tourism industry is to experience a boost in results. If the government thinks that its proposals will stimulate demand, then we hope that it is seeing something that we aren’t – for the sake of all tourism operators.”
Mr Fenech said there are major hotel operators in the industry who believe that the proposals are not sufficient to solve the industry’s problems.
“The GRTU is not alone in voicing its concerns. If these hoteliers are unhappy, then there must be something wrong and the government cannot continue to ignore the signs coming from the industry.”
He said that although the bulk of growth comes from the tourism sector, the government appeared to have stuck its head in the sand and did not want to listen to the industry operator’s concerns.
“We never said we wanted to destroy tour operators who have been loyal to Malta over the years. Nevertheless, we cannot continue to ignore the realities that low cost airlines are creating in the world of travel and that trends are changing almost every day.”
Mr Fenech said that several operators are under enormous pressure with ever-increasing costs and overheads making survival difficult on reduced business.
“We are under a lot of pressure from a large number of our members who are waiting for increased business activity due to the fact that things are extremely tight for these operators. At the moment we are not seeing the light at the end of the tunnel but we sincerely hope that the government’s proposals will bring about new demand,” he added.
The Malta Hotels and Restaurants Association is holding a Council meeting today to discuss the government’s response to its motions for tourism incentives and the revitalisation of the industry.