NEWSDESK

PALMA
SALES in some tourist businesses in Majorca are down 50 percent this year and many will find it hard to stay open.
Some 6'000 businesses on the island have been affected by the economic slowdown, according to Jose Tirado, the President of Acotur, which represents tourist businesses on the island.

He said that sales were down 25 percent, in some cases reaching 50 percent.
He said many tourist businesses - including souvenir shops and cafes - in areas such as Calvia, Palmanova, Can Picafort, Pollensa, Alcudia, Cala Millor and Cala d'Or were up for sale. Tirado said the owners of these businesses were not making enough sales to make payments and pay taxes. “There's a large amount of businesses who are going through a difficult time,” said Tirado.
He added that, despite not wanting to sound alarmist, the low spending power of tourists because of the slowdown, the devaluation of sterling and the “all inclusive” packages being offered by the hotel chains was resulting in a “minimal spend on the street” and a “shorter and shorter” tourist season.

Tirado has called on the Balearic Government to put measures in place, which will help bring more tourists to the island all-year-round.
He added that he believed that the current slowdown would continue until the end of this year and into 2009.

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