The Qatari dollar marks the dynamics of tourism, not only for travelers who can go abroad but also for those who choose to spend the summer in Argentina. With a dollar a $ 331the number of tourists crossing the border has decreased dramatically and at the same time this affects domestic prices: with stagnant supply and growing demand, the costs of holidays in Argentina also jump.
In the last twelve months, the costs of hotels and restaurants measured by Indec have jumped by 99%, against a consumer price index of 66%.
At the same time, so far in 2022, the expenses of Argentines abroad have reached 5.5 billion dollars.
To curb the outflow of foreign currency, the government has chosen to make the tourist dollar more expensive, with an additional 25% personal property tax for those expenses that exceed USD 300 per month. Therefore, this Qatari dollar is valid for any consumption in excess of this amount, regardless of the country in which it was produced.
So far, the Qatari dollar has had a significant effect, according to initial data. From Despegar they point out that since he began to govern – on 13 October last – overseas travel sales fell by 30%.
Paula Cristi, general manager of Despegar for Argentina and Brazil, stressed that “once the new tax was formalized and implemented, both sales and searches decreased compared to previous weeks. International sales fell by an average of 30%”.
Regarding what happens with local tourism, Cristi stated that “the prices of industry they are dynamic for different reasons. Just to name a few, hotel rooms or airline tickets may vary depending on the availability of our suppliers, load factor, seasonality, type of service, anticipation of purchase, average length of stay, etc. . “
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However, the demand for local tourism remains strong. “Many destinations have grown, as in the case of Puerto Iguazú, which was a 204% increase in sales over the previous week. The ranking of the 5 most chosen within the country so far is led by Bariloche, followed by Puerto Iguazú, Salta, Mendoza and Córdoba, “said Cristi.
Pablo Aperio, director of Travel Services, indicated that following the announcement of the Qatari dollar, the purchase of international flights decreased by 27%. In any case, “on Cyber Monday, operations corresponded to 76% of sales of international products and 24% of domestic products. By number of transactions, it was above the May Hot Sale, when they suddenly decided to remove the quotas for travel abroad “.
At Travel Services, the average international CyberMonday ticket was $ 460,000 and the national team $ 47,000. This marks a jump of 110% and 43% respectively compared to May prices. But it must be taken into account that the international ticket has become more expensive due to the top-ups on the tourist dollar, which today has 35 points more, and the increase in the dollar, while the domestic bill rose more than the inflation of the past six months was 39%.
“In Travel Services we see that the impact of the Qatari dollar for the summer holidays will be limited as in the face of rumors, many people have anticipated measures and bought. We expect this measure to have a major impact on sales immediately after January 2023, which is basically the month of high flow of overseas travel, “Aperio said.
Carlos Nuñez, executive director of the Argentine Forum of Business Travel Consultants (FACV), said that “overseas sales have been paralyzed since the week following the measure. What has happened is that there is a change of habit. in the user: now you pay in dollars because if you have to pay by credit card in pesos it is more expensive “.
“Undoubtedly, domestic destinations are more expensive than having a higher dollar. It is subject to supply and demand, ”Nuñez said.
Behind the increase in tourism in Argentina is the decline in supply, especially in air connections. According to data from the Viajala Barometer, today the country has air traffic 20% lower than 2019 levels. On domestic routes it is 11% lower than pre-pandemic levels and on international routes by 31%.
Compared to 2019, flying to other countries from Argentina is on average 559% more expensive, while the average cost of flights to domestic destinations increased by 384%. The accumulated inflation in that period was 236%.
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Source: Clarin
