Tuesday, April 13, 2021
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Home World Covid-19. More than 35,000 tourist establishments closed in Brazil in 2020

Covid-19. More than 35,000 tourist establishments closed in Brazil in 2020

The crisis caused by the covid-19 in Brazil caused tourism to lose 35,500 establishments, with employment, in 2020, the National Confederation of Trade in Goods, Services and Tourism (CNC) reported this Thursday. According to the entity, this is the biggest annual loss since 2016, when the South American power was still suffering from the effects of the recession, and represents a 13.9% decrease in relation to the units that operated in the country in 2019.

Between February and April 2020, the volume of revenue in the sector accumulated a drop of 68% and, despite the reaction observed in the following months, tourism ended 2020 with an invoicing level 30% lower than that recorded before the pandemic. Other sectors managed to end 2020 in ‘green’, as was the case with the industry, which grew 3% last year.

According to the CNC, the crisis caused by covid-19 reached establishments of all sizes, but the ones that suffered the most losses were micro and small companies, with a total of 30,720 units closed in the last year, which corresponds to 87% of the total . The most affected regions were São Paulo, Minas Gerais, Rio de Janeiro and Paraná.

The drop in spending by foreign tourists in Brazil was one of the main causes for closing doors, since consumption in 2020 reached only R $ 3 billion (about 452 million euros), 50% less than that recorded in 2019 and the lowest volume recorded since 2003, according to the Central Bank.

All tourist segments recorded negative balances, with emphasis on food services outside the home, such as bars and restaurants, hotels, inns and the like and travel agencies.

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The Confederation estimates that, between March 2020 and January 2021, Brazilian tourism accumulated losses of 274 billion reais (41.2 billion euros). These losses forced companies in the sector to eliminate about 397 thousand formal jobs in 2020, of which 211,100 corresponded to bars and restaurants, about 90,700 to road transport and 56,500 to hospitality.

Brazil is currently one of the countries most affected by the pandemic, with more than 340,000 fatalities and about 13.2 million infected. The covid-19 pandemic caused at least 2,890,054 deaths worldwide, resulting from more than 133 million cases of infection, according to a report made by the French agency AFP.



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