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Tourism takes a hit

Sofia Echo Com, 27.06.2005

THIS year’s summer tourist season has been suffering a lackluster start, according to media observers, and is unlikely to experience 2004’s revenues. The country has seen a modest 5 per cent growth in foreign tourists, much lower than last year when the slow start of the season was offset by boiling business in July and August. To make matters worse, the slowing growth of tourist arrivals has coincided with a sharp spike in the bed capacity of seaside resorts. According to data from the Bulgarian Association of Travel Agents, the number of beds has risen by 30 per cent since the same period last year. Tour operators are hoping last-minute bookers could save the uncertain season but the cheaper offers will have a hard impact on hotel revenues. Current data on travel agency bookings confirms earlier forecasts which said the season would see a drop in German tourists, due in part to the stagnant German economy as well as the relentless construction projects which has spoiled the image of the Black Sea coast. Ongoing renovations and construction projects forced companies like TUI, Thomas Cook, ITS, May Travel, Altours and First Choice delay the start of the tourist season from two to three weeks, thus undercutting the ambitious plans of hotel and restaurant owners. The influx of British and East European tourists will not be enough to offset the loss of the German market, which has been the focus of the Bulgarian hospitality industry for many years. For a second season in a row, the number of UK tourists is on the rise and is expected to top 260 000, up by 20 000 on 2004. Thomas Cook estimates it will sell 20 per cent more Bulgarian holidays to UK customers this year. In 2004, the company booked 23 000 vacations in Bulgaria. First Choice and Cosmos are also upbeat and expect to make about 80 000 bookings in 2005. May Travel will double last year’s 8000 bookings on the UK market, according to its estimate. It appears though that some state officials are refusing to give way to pessimism. “The country has the potential to meet 10.5 million holidaymakers annually within five years,” Deputy Culture and Tourism Minister Dimitar Hadjinikolov said, citing data from the World Tourism Organisation. Hadjinikolov participated in a conference on Thursday on transport and tourism held at the Black Sea resort of Zlatni Pyasutsi or Golden Sands. To meet this goal Bulgaria needs to set up adequate transport infrastructure and, in this respect, the initiatives of the tourist business is outpacing state policy by at least five years, he said. see source