Despite resorts being full of tourists, shops in one tourist hotspot are suffering this summer. Revenue has fallen in Majorca stores by up to 20% according to Pepe Tirado, president of the Acotur association of tourist services businesses.
Tirado says that illegal street vendors are doing shops, “who pay their taxes”, no favours, and the issue is “rampant” in resort towns. He added that “hotel occupancy is good, but spending has decreased” due to an increase in all-inclusive packages, which Acotur has been campaigning against for years. This is also happening in Majorca’s markets. Traders at Arta Market told the town hall that sales have gone down this summer. The councillor for markets and economic development, Maria Antònia Sureda, said there has been lower spending at markets across the island.
Carles Tarancón of the distributors’ association says supermarket sales have increased but doesn’t attribute this to less tourist spending in restaurants.
He said supermarkets are adapting to customers’ needs, extending opening hours and offering products from the main tourism areas, such as the UK and Germany.
This comes after the president of the CAEB Restaurants Association warned UK tourists of a “difficult” summer in the Balearics due to overtourism protests.
Restaurants on the island have voiced their concerns, with some stating they may not be able to “survive” as occupancy rates struggle to rise above 50%.
Juanmi Ferrer, president of the CAEB Restaurants Association has warned over the possibility of “hundreds” of restaurants closing this year.
“The situation is very difficult. We are very worried about businesses’ bottom lines. Many won’t be able to survive. We haven’t had such a bad summer since before the pandemic.
“At night, it gets a little livelier than for lunch, but nothing like other summers. We’ve gone from being full to having occupancy rates that don’t exceed 60%.”
The president said he believes problems with trading can be pinpointed to May experiencing bouts of bad weather, with trade in June also struggling.