Who will transport visitors to Budapest after COVID? Corporate responsibility could save the sector in Hungary
The Hungarian Federation of National Private Carriers would get a capital injection for Hungarian tourism businesses, which were destroyed at the end of 2020
– Gábor Dittel, NiT Hungary
BUDAPEST, HUNGARY, June 11, 2021 /EINPresswire.com/ – The Hungarian government has responded to the covid-19 pandemic by fearing the worst and assuming the best at the same time. The tactic may have been deadlier than the virus: 80% of national passenger transport companies have gone bankrupt. However, the Hungarian government intends to continue to profit from the “golden age” that tourism has known in recent years and aims to increase it from 10% to 16% of the country’s GDP by 2022.
The Federation of National Private Carriers would get a capital injection for Hungarian tourism businesses, destroyed at the end of 2020, through group domestic travel, for which it calls on the government’s strategic partners to cooperate responsibly. They have submitted a package of proposals to the Hungarian Tourism Agency offering employment and income opportunities in tourism sectors whose activities have ceased due to the epidemic or whose performance has dropped significantly – reports Travel journalist
2020 vs. 2019
• Commercial accommodation was 58% lower, for a total of 13 million overnight stays.
• Domestic guests spent 39 and foreigners 77% less (9.6 million and 3.7 million, respectively) on overnight stays in commercial accommodation.
• The total gross turnover of commercial accommodation establishments decreased by 59% at current prices and amounted to HUF 228 billion.
• In December, total gross sales of commercial homes were 93% lower than in December of the previous year, indicating that for a very large number of homes, incomes fell to zero.
pre-COVID growth in Hungary
In Hungary, tourism contributes to economic stimulation and job creation at a rate slightly above the world average.
Prior to the pandemic, tourism had become one of Hungary’s main economic sectors, which plays an important role in both GDP production and employment, as well as maintaining the balance of payments. Our tourism indicators have been improving steadily since 2010 and 2019 has also seen an expansion.
Tourism production has been breaking records in Hungary every year since 2010, and in 2019 Hungary closed the best tourism year ever with 12,920 arrivals and 31,538 overnight stays.
626,000 German visitors contributed more than 2 million overnight stays to the tourism turnover recorded in Hungary, despite the continued decline in the number of German visitors. At the same time, with the exception of Germany and Austria, Hungary saw an increase in overnight stays across all of its top ten food markets in 2019.
The largest increase was observed for overnight stays in Israel (+ 10.3%), Romania (+ 8.3%) and the United Kingdom (+ 4.9%), but the expansion in the number of visitors is also visible in the case of customers from the Czech Republic. (+ 3.5%), Russia (+ 3.5%), United States (+ 3.0%), Poland (+ 2.7%) and Italy (+ 0.1%).
In domestic tourism, there was an influx of HUF 190.6 billion in tourism and hospitality businesses in 2019.
Corporate responsibility could save Hungary’s transport sector
While tourism moves people across time and space, the tourism industry relies on mobility systems. The development of international tourism goes hand in hand with the democratization of the transport sector.
The “Sectoral Solidarity” program invites groups of 25 to 50 people made up of family members and employees of multinational companies to a complex national program of one or more days.
These trips are generally based on tourist, thematic, cultural, gastronomic and leisure and adventure tourism programs.
Referring to the growth plan, the Hungarian government has entered into strategic partnership agreements with 88 large Hungarian companies and national subsidiaries of multinational companies since 2012. These strategic partners are the largest employers in Hungary, companies which according to their classification sector, range from the energy sector, to pharmaceutical companies, to commercial, financial and banking companies.
The aim is for strategic companies to sign up for one of the travel packages advertised in the program and participate in these thematic events as much as possible according to their opportunities and role.
Thus, the program can help victims of the tourism sector mainly in the areas of travel organization, travel mediation, bus trips and guided tours.
The inventors expect that the program will primarily generate traffic in tourism sectors that are less clearly starting out on their own, such as the areas mentioned above. But accommodation, catering and cultural tourism businesses can also hope for additional income.
Mobility – the key to tourism
Mobility is a key element of tourism and plays an essential role in moving tourists from their place of residence to their final destination and to various attractions. Transport connects the markets of tourism-generating regions to destinations and facilitates the internal movement of visitors between the components of the tourism experience (p. Own right.
The location, capacity, efficiency and connectivity of transport can therefore play an important role in the physical development of a destination and significantly influence the mobility of visitors and the connectivity of tourism experiences within destinations.
This includes the journey from a tourist’s place of residence to arrival at their final or main destination, and then to ancillary attractions in the region.
The different segments are often referred to as the first and last miles of the trip.
Transport policy is therefore closely aligned with economic development policies (including tourism), since an efficient, competitive and sustainable transport system is a prerequisite for the movement of goods and / or people and, ultimately, to the efficient and competitive functioning of the economy.
Local transport falls victim to COVID in Hungary
Federation of National Private Transporters (NiT Hungary) launched a broad consultation on the program with tourism industry interest groups and government stakeholders.
“NiT Hungary wants to help in this situation with the“ Sector Solidarity ”program and provide a lifeline for the tourism sector. »- declared Gábor Dittel, secretary of NiT Hungary. “The Federation works on cooperation with national and international partners such as the Hungarian organizers of the International Eucharistic Congress and the UEFA organizer, the Hungarian Football Association. – he added.
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