Businesses count cost of lockdown

AS communities in North Queensland’s cyclone impact zone wake to devastation, many businesses in Townsville might well be counting the cost of two days of lockdown.

Most enterprises in the city closed from midday Monday and will likely reopen today, possibly with the return of sunny skies late today or tomorrow.

Townsville Chamber of Commerce president Troy Popham said the lockdown was a necessary but unfortunate part of dealing with the unpredictable nature of cyclones and protecting people and property.

As to how much it cost businesses, he was unsure but believed it would run into the tens of millions of dollars at a time when they were already doing it tough in a slow economy.

Perhaps the biggest downside might be an opportunity lost in hoped rainfall to fill Townsville’s Ross Dam not eventuating.

“Obviously business had to take the relevant precaution to protect their staff and business premises,” Mr Popham said.

“Generally we have had two days of lockdown.”

Townsville’s streets resembled a ghost town yesterday.

Some businesses such as cafes and fast- food restaurants did open and enjoyed a roaring trade but they were few and far between.

Mr Popham said business, as usual, would wear the cost for the closures.

Most businesses would pay their staff for the time even though they were not trading.

“That is an absolute cost,” Mr Popham said.

“Business will also have fixed costs to pay such as rent. The landlord is not going to cut two days out of the monthly rent,” he said.

Mr Popham said there had been an element of excitement among businesses that the cyclone was coming.

Part of that was caused by the belief it may assist the city’s drought and water shortages. Another was that it would give the construction sector a lift, he said.

Mr Popham said he hoped the rainfall needed to fill the dam might still arrive while the city’s construction sector might also be able to assist the construction markets in the affected areas of Mackay, Whitsundays and Bowen.