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    Dragoman shuts down for foreseeable future

    Overlanding specialist Dragoman has revealed plans to go “dormant” for the foreseeable future in the wake of the Covid-19 pandemic.
    The company said it was going to “sit tight” until the resumption of long-haul travel is again feasible.
    All future bookings for those who have yet to travel are being refunded in full, the 27 Dragoman trucks – parked up all over the world – continue to stay off-road, and the (much longer than originally foreseen) wait for normal long-haul travel to resume continues, the company said in a statement.
    Charlie Hopkinson, a director of Dragoman, explained: “This has been a very tough decision to take. 
    “We thought back in 2020 that a chink of light meant we’d soon be overlanding again, albeit perhaps to countries closer to home than the norm.  ADVERTISEMENT“But we are now 16 months into the pandemic, and long-haul travel in the way that Dragoman has operated for the past 40 years is, sadly, unlikely to be possible in the short- to medium-term.
    “We have got to batten down the hatches and to sit it out as best we can, much as we hate the idea of doing so.”
    He added: “This means refunding our loyal customers who have yet to travel and agents worldwide, suspending our operations and closing down our HQ. 
    “No new bookings will be taken until we see light at the end of the tunnel and feel confident that we can re-start our operations.”
    This year saw Dragoman’s 40th anniversary of overlanding worldwide.
    The company has taken 77,000 passionate travellers to myriad destinations worldwide during those 40 years – across Asia, trans Africa and trans North and South America. 
    “We are desperately sad to have to bid au revoir to everyone for now – our loyal in-house road crew and expedition leaders, engineers, reservations team and admin staff, all of whom have worked hard to keep things ticking over; our sales agents worldwide and in the UK; the many associated businesses with whom we’ve been linked, some for the full 40 years,” said Hopkinson.
    “To those who have bookings with us, we would appreciate your patience until we contact you, please; we have only a small skeleton team working at present, and we will contact everyone in strict date order. 
    “It will take time, but you will hear from us just as soon as possible. 
    “Please do not try to reclaim your funds via your credit card company – this will take a great deal of time and effort on your part, and it also means that we will be unable to refund you ourselves; thank you.”
    Hopkinson concluded: “This is not the end. 
    “The decision to pause is to ensure that Dragoman can – and will – live on in the future.”

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    UKHospitality Cymru calls for reopening in Wales

    It is time to lift remaining restrictions on the hospitality industry and give visitors to Wales simple and clear messages about staying safe.
    That is the view of UKHospitality Cymru (UKHC) ahead of a Welsh government today.
    UKHC executive director, David Chapman, commented: “The Welsh government review is a chance to lift remaining restrictions and help businesses in Wales to manage the huge influx of summer visitors.
    “Let’s keep it simple: open up, stay savvy, stay safe.”ADVERTISEMENTHe added: “On July 19th we’re expecting England to fully open up and from that moment we need to make sure visitors to Wales are welcomed with a set of simple directions about how to stay safe and enjoy their holiday while they are here.
    “Welsh government ministers are suggesting we have to now learn to live with the virus; it’s time to make it simple and easy for those looking to take their first restriction-free break in eighteen months.
    “We don’t want hospitality workers to be at the receiving end of visitor confusion, disappointment or annoyance about what can or can’t be done; let’s make it as straightforward as possible. 
    “Open up now, stay savvy and stay safe.
    “They should be the watchwords of the new normal of living with Covid-19 in Wales in a post-vaccine environment.”

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    On the Beach raises new funds through share offering

    On the Beach Group has raised £26 million through the sale of new shares in the company.
    The travel agent sold a total of 7,870,000 placing shares at a price of 330 pence each.
    The figure represents around five per cent of the existing issued capital.
    The price represents a discount of approximately five per cent to the closing share price of 348 pence per share yesterday.
    Numis Securities and Peel Hunt acted as joint bookrunners for the placing.

    On the Beach last month reported losses of £22 million for the first half of the year, as the company prepares to relaunch operations in September following the Covid-19 pandemic.

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    UKHospitality urges review of self-isolation rules

    UKHospitality has called for the government to “immediately review and amend” its test and trace guidelines on self-isolation.
    The body argues the current rules are proving “massively disruptive” for hospitality businesses across the UK and leading to venue closures and reduced operating hours.
    The current system forces already struggling hospitality businesses to shut their doors, and can result in whole teams needing to self-isolate.
    The trade body also warned of the damage that any similar approach would wreak on wider society, triggering mass isolations.
    Kate Nicholls, UKHospitality chief executive, said: “For some weeks we have been telling government about the severe staff shortages at venues, compounded massively by the absence of staff members who have been told to isolate despite not having shared shifts with colleagues who tested positive.ADVERTISEMENT“We need urgent clarification of isolation policy to reflect the enormous success of the vaccine roll out and we urge the Cabinet Office to amend the current isolation policy as soon as possible, and certainly ahead of the July 19th, to address the challenges of the current system.
    “A sensible and pragmatic approach would be to extend the ‘test to remain’ system for vaccinated staff to hospitality.
    “That would avoid businesses being forced to close, losing thousands of pounds of revenue at a time when cash reserves are low or non-existent following 16 months of closure and punitive trading restrictions.”
    She added: “If the system remains as it is, there’s a threat of mass isolations, which would hugely damage trade, putting many companies at risk of failure.
    “Hospitality is eager to trade its way back to prosperity, so ideally the government should act to ensure that vast swathes of the population are not unnecessarily confined to their homes due to rules formulated before the successful vaccine roll out.
    “A strong focus on testing when cases are identified, rather than isolating fit and healthy people, would help to avoid mass isolations.”

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    UNWTO predicts $4tr tourism loss following Covid-19 pandemic

    The crash in international tourism due to the coronavirus pandemic could cause a loss of more than $4 trillion to the global GDP for the years 2020 and 2021, according to the United Nations Conference on Trade & Development (UNCTAD).
    The estimated loss has been caused by the pandemic’s direct impact on tourism and its ripple effect on other sectors closely linked to it.
    The report, jointly presented with the UN World Tourism Organisation (UNWTO), says international tourism and its closely linked sectors suffered an estimated loss of $2.4 trillion in 2020 due to direct and indirect impacts of a steep drop in international tourist arrivals.
    A similar loss may occur this year, the report warns, noting that the tourism sector’s recovery will largely depend on the uptake of Covid-19 vaccines globally.
    “The world needs a global vaccination effort that will protect workers, mitigate adverse social effects and make strategic decisions regarding tourism, taking potential structural changes into account,” UNCTAD acting secretary-general, Isabelle Durant, said.ADVERTISEMENTWith Covid-19 vaccinations being more pronounced in some countries than others, the report says, tourism losses are reduced in most developed countries but worsened in developing countries.
    Covid-19 vaccination rates are uneven across countries, ranging from below one per cent of the population in some countries to above 60 per cent in others.
    According to the report, the asymmetric roll-out of vaccines magnifies the economic blow tourism has suffered in developing countries, as they could account for up to 60 per cent of the global GDP losses.
    The tourism sector is expected to recover faster in countries with high vaccination rates, such as France, Germany, Switzerland, the United Kingdom and the United States, the report says.
    But experts do not expect a return to pre-COVID-19 international tourist arrival levels until 2023 or later, according to UNWTO.
    The main barriers are travel restrictions, slow containment of the virus, low traveller confidence and a poor economic environment.
    UNWTO secretary-general, Zurab Pololikashvili, said: “Tourism is a lifeline for millions, and advancing vaccination to protect communities and support tourism’s safe restart is critical to the recovery of jobs and generation of much-needed resources, especially in developing countries, many of which are highly dependent on international tourism.”
    A rebound in international tourism is expected in the second half of this year, but the UNCTAD report still shows a loss of between $1.7 trillion and $2.4 trillion in 2021, compared with 2019 levels.
    The results are based on simulations that capture the effects of international tourism reduction only, not policies such as economic stimulus programmes that may soften the pandemic’s impact on the sector.

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    NYC & Company launches extensive recovery campaign

    NYC & Company has launched the first phase of “It’s Time for New York City,” the largest-ever, multi-phased global tourism marketing and advertising campaign from the body.
    The $30 million tourism recovery campaign is being rolled out as restrictions are lifted, more people are vaccinated and as travel resumes in the United States and beyond.
    The new investment is made possible through American Rescue Plan Act funds secured and awarded by United States senate majority leader, Charles Schumer, and mayor, Bill de Blasio.
    The campaign will run in three phases and will include television, digital, outdoor media and partnerships.
    The initiative reminds visitors of the unrivalled energy, excitement and the abundance of life, endless experiences and resiliency that make NYC the most iconic destination in the world. ADVERTISEMENTThe announcement comes as New York City expects to welcome 36 million visitors this year – still down by nearly half from the record 67 million visitors welcomed in 2019.
    “The summer of NYC is here – and now it’s time to tell the whole world about how this city is building a recovery for all of us,” said de Blasio.
    “Tourism impacts hundreds of thousands of jobs across the five boroughs, and its return will fuel our recovery even more.
    “The greatest travel destination in the world is ready to welcome back visitors from around the region, country, and globe, and we can’t wait to greet them.”
    The campaign will first target travellers in 23 markets across the United States, followed by Mexico, Canada and Latin America, with plans to expand farther internationally as other key markets reopen for leisure and business travel.
    The multi-phased campaign will launch with a cooperative marketing and advertising partnership with AAA Northeast to boost regional travel this summer.
    As part of the second phase of the campaign, a television and video spot will launch nationally in early July, asking American travellers to consider a trip.

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    ABTA: Travel no longer willing to be a ‘political orphan’

    The travel sector is unwilling to be a “political orphan” any longer, ABTA chief executive, Mark Tanzer, has told an industry audience.
    “Responsibility for outbound travel is spread across a number of government departments – and a single individual or department is needed to represent the interests of the sector,” he argued.
    Tanzer was speaking at the Travel Matters conference earlier today.
    Aviation minister, Robert Courts, had been due to appear at the event but pulled out at the last minute, a move Tanzer said was symptomatic of a wider disregard for the sector in government.
    “We had hoped to have the minister for aviation join us here today, but unfortunately he has withdrawn because of a late diary clash.
    “His absence today, necessary as I am sure it is, is nonetheless symbolic of a wide – in fact widening – gap between government and the outbound travel sector.”
    He added: “When you look at how other countries have supported their sectors, we have not matched that level of support.
    “We are way behind, and in many ways, we are the outliers in not having done this.
    “We at ABTA have been making this case for months now and the urgency is increasing.
    “The more of the summer season that is lost to travel restrictions, the more perilous the situation becomes.”ADVERTISEMENTTanzer explained 57 per cent of ABTA members said in February this year they only had cash for a further six months – “so jobs will be lost in the coming months,” he added.
    ABTA has organised a Day of Action tomorrow in order to get this message across to the government.
    “There is a bias against outbound travel in this country, with the government believing all money should be spent in the UK on domestic trips,” continued Tanzer.
    “This is unfair, our members, who sell outbound trips from the UK, contribute a tremendous amount to the economy.”
    He added: “The government has further damaged the immediate prospects for international travel by warning against leisure travel to amber list countries.
    “This is despite having its own system of testing and quarantining on return, adding another major customer disincentive to the hurdles that are already in place.”
    He concluded: “This is the darkest hour for the travel industry.
    “Though it is said the darkest hour is just before dawn, we need to see the light soon.”

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    WTTC warns losses will mount if travel reopening is delayed

    The UK will lose up to £639 million a day during July if international travel remains off limits, according to an open letter to the UK prime minister from the World Travel & Tourism Council (WTTC).
    The global tourism body has written to Boris Johnson warning the UK faces a possible £20 billion loss if international travel is effectively delayed until August.
    Up to 218,000 more jobs in the sector are also at serious risk of being lost, if no action is taken now, the WTTC added.
    The letter to Johnson, signed by WTTC members including TUI, Silversea Cruises and the Travel Corporation, praised the progress made with the highly successful vaccine rollout, which the government should take advantage of, to allow the resumption of safe international travel and reactivate its economy.
    Virginia Messina, WTTC senior vice president, said: “If international travel remains off limits for the whole of July, WTTC research has shown that every day, the UK would lose a staggering £639 million, severely delaying the economic recovery and competitiveness.ADVERTISEMENT“Stalling the resumption of international travel could cost the country dearly.
    “We simply can’t afford any further delay – we are running out of time and money, with many more businesses in danger of going bankrupt, which would result in more jobs losses.
    “However, there are steps that the government can take now so that by June 24th when the green list of travel destinations is updated, we can get travel safely moving again, bring certainty to a market begging for stability and help power the economic recovery.
    “Only through these measures will the future be brighter for many and will we be able to achieve a long term, inclusive and sustainable recovery.
    “The restoration of free cross-border mobility is essential to help drive the economic recovery from the pandemic.”
    Image: Gonzalo Facello

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