Cusco: Over 100 million soles in losses after 48-hour regional strike

90% of productive activities were completely paralyzed in the imperial city.

The 48-hour strike in Cusco has generated millions of dollars in economic losses. Ninety per cent of productive activities were completely paralyzed, harming several sectors, such as tourism, gastronomy, mining, oil, among others.

Along these lines, Edy Cuéllar, president of the Cusco Chamber of Commerce (CCC), told El Comercio that losses would amount to 100 million soles due to the two-day stoppage of activities as a form of protest against the rise in food, fuel and fertilizer.

Likewise, a report by the CCC's Center for Business Studies specified that around 400 tourists canceled their trips to the navel of the world due to the announcement of the strike, which would mean a loss of more than 2 million soles.

The aforementioned media also pointed out that the Cusco Hotel Chamber was harmed by cancellations and booking changes, with a loss exceeding 5 thousand soles a day.

These data were published yesterday and are related to what was stated today by the Lima Chamber of Commerce (CCL) on the negative effects of this paralysis on the regional economy.

According to the CCL, a total stoppage in Cusco amounts to 69.3 million soles a day, equivalent to 18.4 million US dollars, according to the current exchange rate. In addition, the institution indicated that the sectors most affected are Mining and Oil, since in a single day they recorded 16 million soles, or US$4.2 million.

As for the tourism sector, the National Chamber of Tourism (Canatur) reported that the Cusco region loses millions of soles a day due to demonstrations that have paralyzed travel in the imperial city.

“We are talking about an impact today of no less than US $2.6 million and we can continue to add up for each day of damage in the Cusco region,” said Canatur head Carlos Canales, who said that for each extra day of blockades there will be 4 thousand fewer visitors.

It should be noted that many delegations of national and foreign visitors had to take walks of several kilometers and some were victims of verbal abuse, which could damage the image of Cusco and drive away tourism, the main factor in the development of this region.

The regional manager of Foreign Trade and Tourism (Gercetur), Rolando Mendoza Escalante, considered that economic losses have an impact, much more so in a situation marked by covid-19 and the political crisis that has not yet been overcome.

“Social peace is essential for tourism to work, as constant demonstrations create inconveniences. Let's remember that in these two years the tourism sector was the hardest hit,” Mendoza said.

Given the approach of the high season of tourism, the various actors in the sector are waiting for the formation of technical tables to increase the capacity of tourists in the Inca citadel of Machu Picchu, “an initiative that must lead to sustainable tourism with respect for heritage”.

Not only operators in tourism were affected. So were around 7,000 porters, 5,000 tour guides, 1,000 travel agencies, 1,000 hotels, carriers, taxi drivers, artisans and entrepreneurs of associated activities that generate jobs and jobs.

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