By Ma. Stella F. Arnaldo / Special to the BusinessMirror
Resorts in Boracay Island are bracing for the impact from the novel coronavirus (nCoV), with a number of them already receiving cancellations on guest bookings from China.
Most resorts, however, are disinclined to grant refunds despite the unusual situation, and in spite of an appeal from Chinese travel agents, according to industry sources. China is the top source market of foreign tourists in Boracay. Data from the Department of Tourism (DOT) Region 6 showed there were 363,832 Chinese tourists from January to September 2019.
In “An Open Letter on Giving Preferential Treatment to Chinese Tourists to Prevent the Spread of the Coronavirus Pneumonia,” dated January 26, 2020, a copy of which was obtained by the BusinessMirror, the China Association of Travel Services, asked for “your full understanding and support. In addition, we look forward to your introducing relative refund and changes policies to minimize Chinese tourists’ financial loss.”
The cancellations of bookings in Boracay come on the heels of Beijing’s order for all its national travel agencies and online travel companies to temporarily suspend business group travel and “ticket + hotel” products effective immediately. The order, contained in the Ministry of Culture and Tourism’s Emergency Notice 29, was issued on January 25, just as China was to celebrate the Lunar New Year.
“Yes,” said a representative of a resort in Boracay, confirming the receipt of cancellation requests from Chinese guests. “We’re looking at replacement business,” the representative added, but stressed no refunds will be made by their resort for the cancellations, just “offsetting or rebooking.”
Other markets
While their resort has yet to receive cancellations from other markets, the resort representative said, “we are anticipating already.” The representative said their latest tally of canceled Chinese bookings were for 400 room nights.
However, a Manila-based tour operator, who requested not to be identified, said they already received a notice of cancellation of a tour group from Sri Lanka. Although the group was only for 15 persons, the entire booking, which included a hotel stay and tours around Manila and Angeles City, Pampanga, cost $7,000 or some P357,000.
For its part, the Hotel Sales and Marketing Association Inc. confirmed that Chinese guests were canceling bookings not just in Boracay, but also in Manila. HSMA President Christine U. Ibarreta said, “There are more [cancellations] in Boracay, but also in Manila.” She said about 10 Boracay resorts have so far reported cancellations from China.
She added, “Some hotels allowed the cancellations and guests can rebook their stay within three months,” or until April this year.
The Tourism Congress of the Philippines has already recommended expanding the Philippines’ travel ban to cover the entire China to protect the health of Filipinos. (See, “Tourism stakeholders: Ban tourists from China,” in the BusinessMirror, January 27, 2020.)
In response, DOT spokesman and Undersecretary for Tourism Development Planning Benito Bengzon Jr. said, “We acknowledge the valuable inputs and recommendations of our stakeholders. We are closely monitoring the situation and will defer to our health and immigration authorities in implementing the appropriate measures the will ensure the safety and well-being of everyone.”
Tourism Undersecretary for Legal Affairs Edwin Enrile said there were no plans by the Civil Aeronautics Board to expand the travel ban outside of Wuhan. “As of Thursday, [the ban is] only for Wuhan. For other Chinese cities, we follow Iata [International Air Transport Association] rules/protocol, regarding screening and quarantine. CAB and Caap [Civil Aviation Authority of the Philippines] are in close coordination with the DOH [Department of Health],” he underscored. The Tourism secretary is vice chairman of the CAB.