More than 40% of Majorca's Restaurant Sector will close in the next few months because of the coronavirus pandemic, according to a new survey by PIMEM.
Bar and restaurant turnover fell by 55% in August compared to 2019 and is forecast to fall by 70% by year’s end, says PIMEM President, Eugènia Cusí.
The future of the entire Sector depends on what happens with Covid-19.
"It is difficult to anticipate what will happen when we’re still not clear what will happen with ERTEs, International mobility or safe corridors," said Cusí.
What is clear is that 42% of restaurants will close soon for the winter, 18% will fold and the rest will hang on, in the hope of staying afloat until next season.
Of the 58% of bars and restaurants that stay open, “only 9% will operate as normal, 11% will work at half the normal pace and 37% will cut back to the bare minimum,” she says.
Eugènia Cusí stressed the importance of a "collaborative" dialogue table between public and private Administration.
“We demand that the Balearic Government and the Central Government take responsibility for the economic damages that these measures have caused our businesses,” said Cusí who pointed out that most of Majorca's 10,500 businesses are very small companies.
"We are talking about businesses that have not been able to access aid, but with just a small amount of money they could survive the winter season."
In the coming months, PIMEM hopes to negotiate with institutions and entities, to obtain tax exemption for the Sector and "secure an economic injection for micro-businesses in Majorca.”
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