Sabah tourism in survival mode
KOTA KINABALU: Tourism players who have gone almost a year without business have started to liquidate their assets such as tour buses and boats to raise money that could sustain them until the tourism industry is revived.
Although some are offering to sell their assets at a much lower price, there are not many takers.
Malaysian Chinese Tourism Association (MCTA) Sabah chapter president Lawrence Wong said tourism players remained optimistic that the industry still has room for growth but it was a waiting game for the Covid-19 vaccination programme to be implemented to put an end to the pandemic.
He said tourism players in Sabah had survived, albeit barely, the first round of Movement Control Order (MCO) imposed on March 18 last year and have been optimistic that the Covid-19 pandemic might persist for another six to eight months before the virus disappeared, like Severe Acute Respiratory Syndrome (SARS).
“However, Covid-19 is spreading all over the world and has become uncontrollable in Europe, United States and other countries.
“The efficacy of the vaccine is not stable as well.”
Under such circumstances, Wong expected the impact of the Covid-19 pandemic to linger for another six to 12 months.
“Tourism players have mentally prepared themselves to hang in there for another year.”
He admitted that tourism players must persevere and be resilient in these trying times, as government assistance alone could not alleviate the pressing issues they faced.
“Indeed, some tourism players are facing cash flow constraints as they have not conducted business for a year.
“Some have started selling their assets such as tour buses and boats to obtain cash to cover expenses for another year.”
Although the tour buses and boats are grounded, he explained that tour operators have to service the bank loans of the tour vehicles.
Furthermore, he said owners have to pay monthly parking fee for the tour vehicles as well, unless they have their own space to park the tour buses or boats.
Besides, he said the tour vehicles could easily malfunction after long period of non-usage.
Despite some tourism players' desire to let go of their tour vehicles, there was not much demand in the market, he said.
“There are hardly any takers even when the buses and boats are sold at a cheap price.”
Wong reiterated that tourism players remained optimistic on the potential of the industry and believed that good days were ahead after the Covid-19 pandemic was over.
“Hence, tourism players are determined to stay in the industry and wait for the ray of light.”
Apart from liquidating their assets, he said some members of MCTA Sabah Chapter have temporarily turned to ecommerce platforms to sell all kinds of products or provide delivery service to overcome this difficult period.
He added that some industry players moved their operations back home to reduce unnecessary expenses.
Fortunately, Wong said the Covid-19 vaccines were now available and many countries like China have commenced their vaccination programme.
“Our country has also purchased the vaccine.
“We hope that Covid-19 could be fully contained in the next six to 12 months to enable the revival of the tourism industry.”