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Cox’s Bazar tourism industry loses Tk 9,000 crore due to corona crisis


Published : 24 Jun 2020 09:33 PM | Updated : 06 Sep 2020 04:01 PM

Cox's Bazar, the tourist city of Bangladesh, has come to a standstill due to the corona virus epidemic that has spread all over the world. The beach that used to be the hub of millions of domestic and foreign tourists has now turned into a deserted empty shore.

More than 450 hotels, motels, more than 300 restaurants and all tourism-related businesses in Cox's Bazar are closed. Moreover, lockdown is being implemented by declaring red zones there. 

Hotels, motels and restaurants alone have suffered a loss of Tk 127.65 crore in the last three months. However, the Cox's Bazar Chamber of Commerce, an association of traders, is claiming a loss of around Tk 9,000 crore in the tourism related sector during this period.

In the meantime, the entrepreneurs of this sector did not get any incentive and there is no allocation in the newly announced budget for them. About 1 lakh employees associated with the business, have become unemployed and many are trying to change jobs. 

They did not receive any assistance too. Even though the business is closed, they have to keep the electricity on to keep the hotel restaurant normal and the equipment in order. The amount of losses is increasing day by day and the entrepreneurs of this industry do not see any ray of hope in the current situation.

Cox's Bazar beach has been closed to tourists since early March due to the global pandemic of corona virus. After the official announcement, all hotels-motels, guest houses, restaurants, malls, shopping malls adjacent to the beach, beach kitkots, activities of tour operators, everything related to tourism were closed in Cox's Bazar. 

After the number of Corona victims in Cox's Bazar increased, the Red Zone lockdown was implemented again. Initially, the Deputy Commissioner issued a public notice and started the lockdown for 15 days. 

Even then, as the number of victims did not decrease, a lockdown was declared again for 10 days from June 21, which is currently ongoing. Those involved in the tourism industry are extremely worried about the corona virus, the red zone and the lockdown. Among the frustrated are 1 lakh employees involved in the business. Unable to pay the rent many have returned to the village.

Golam Kibria, the founding president of the Tour Operators Association of Bangladesh, said that over the past three months, more than three hundred tour operators, including officers and employees, have been detained at home. 

Their offices are closed, but office rent and electricity bills are running. As a result, many operators are in dire financial straits at the moment. According to him, tour operators are losing Tk 50 lakh per month for office rent, electricity bill and house rent. He also said that they have not received any official cooperation so far.

Mahbubur Rahman, president of the Cox's Bazar Beach Kitkot Owners' Association, said 1,000 people, including owners and employees, had been unemployed for three months. They do not earn any money. Many are already in financial trouble. As a result, we have all become helpless as we did not get any public support.

Hotel boy Rafiqul Islam said, "I have been jobless for three months and I am in dire straits with my family." Hotel worker, Md. Abdul Karim said, “I used to work in a hotel and live in a rented house with my family. Unable to pay the rent, I moved to the village a month ago. Now there is no other way but to go for other professions”.

Abul Kashem, an oyster shell seller on the beach, said, "I used to run my family by selling oyster shell garlands and various items made of oysters shells among the tourists who came to Cox's Bazar. Everything has been closed for three months. I am running my family taking loan from NGOs. I do not know what to do next”.

Karim Ullah, General Secretary of the Cox's Bazar Hotel-Motel Guesthouse Oficers' Association, said there were more than 450 hotels and motels in Cox's Bazar with 1 lakh workers, including officials. 

Everyone is trained for the tourism industry who have been unemployed for the last three months. They did not get any help. If they all change professions it will be very difficult to create new workers for this industry. So something needs to be done for these workers.

Naimul Haque Chowdhury Tutul, President of Cox's Bazar Restaurant Owners' Association, said more than 300 restaurants, closed since March, are in dire financial straits. Even after giving a list of 3,500 workers along with ID cards to the DC, nothing was given to them. 

These workers are now starving. Even though the restaurants are closed, the shop rent is going on. As a result, Tk 1 lakh is lost every month. Therefore, the loss of 300 restaurants in the last three months is about Tk 9 crore.

Abul Kashem Sikder, Secretary General of the Federation of Cox's Bazar Tourism Services Bangladesh and GS of Cox's Bazar Hotel Motel Guest House Owners' Association, said, “We are in extreme anxiety. Our organization's 260 hotels are losing Tk 3 lakh per month. Our total loss every month, is about Tk 7 crore 80 lakh. We have not received any incentives so far. We have sent a written application to the Prime Minister through the DC with the recommendation of Cox’s Bazar Development Authority, Cox’s Bazar Municipality and MP.

Abdul Kaiyum Chowdhury, GS of the Cox's Bazar Hotel Owners Association and MD of Hotel The Cox Today, said, “There are 16 five star quality hotels under our organization. 

Even though the business is closed, we had to leave a lot of officers and employees to keep the various equipments of the hotel operational. Along with that there are electricity bill and bank loan too. Each of our hotels loses Tk 2 crore per month. As a result, the loss in 15 hotels is Tk 30 crore per month”. 

According to him, their loss in the last three months is about Tk 90 crore. Cox's Bazar has made Bangaladesh well known in world tourism and many foreign tourists used to come here. 

The tourism industry, which has been built with so much effort, has to be maintained in any way. He hoped the government will cooperate with them in this regard.

Lion MN Karim, Chairman of Hotel The Ocean Paradise, said, “I am suffering from extreme depression today after investing crores. Like other sectors of the country, our hotels are closed due to corona crisis. 

Even if the business is closed, our loss is about Tk 2 crores every month”. He opined that the government as well as tourism entrepreneurs should work shoulder to shoulder to save the tourism industry. 

“Even though the Prime Minister announced an incentive for us, the banks are not cooperating with us in this regard. I don't know when the hotel will open. I seek the cooperation of the government with incentives in this regard”, he added.

Abu Morshed Chowdhury Khoka, president of Cox's Bazar Chamber of Commerce, said the Corona epidemic has caused a loss of Tk 9,000 crore in the last three months in Cox's Bazar. 

There was no reflection of this in this year's budget. He said that the FBCCI has been informed in writing with various proposals including waiver of bank loans brought to the tourism related incentives.

Cox's Bazar Deputy Commissioner Md. Kamal Hossain said that for three months, hotels and motels have been closed and all issues including the state of the tourism industry have been reported to the concerned higher authorities.