Prime Minister Boris Johnson has warned that there can be a “very significant expansion” in the number of cases of coronavirus in the UK. The cases reported due to the Covid-19, jumped to 51 in the UK as emergency meetings were hosted to chalk out an action plan wherein the government is considering to seek military assistance. The NHS has now declared the coronavirus a level four incident - the highest category. Amidst such mayhem, how have the British businesses taken a hit and how are community organisations informing and helping the public?
“The loss to our travel business has been catastrophic. Towards the latter end of January, our sales have started declining especially as the news of the virus has come closer to home with places such as Italy having a large outbreak. We can estimate an approximate 10% drop in January, and a further 20% drop in February. However, given there is still no clarity around how the transmission of the virus can be “curbed” and with the surge in the number of cases, and constant government updates around work from home among other things, we believe things will only get worse,” said Deepak Nangla, Managing Director, Brightsun Travel.
Cancelled flights, Umrah and cruise bookings
As the global count of the cases reported across Italy, Iran, South Korea and Singapore crossed the benchmark 1000 cases, some governments across the world are forced to close their borders for the fear of “community transmission”. Deepak explained how the largest travel show in the world ITB Berlin due to take place on 4th March, was cancelled on 28th Feb. The ITB facilitates over 10,000 exhibitors from over 200 countries, including some of the largest travel companies in the world. Over 110,000 people attend this show every year. Not only has the show been cancelled but this has meant a massive impact on the airline industry, hotels, and hospitality sector besides the cruise sector.
Brightsun Travel conducts bespoke cruise holidays and while Deepak explains that none of his clients have been quarantined, cruise bookings have heavily suffered. He said, “Fortunately none of our clients have been quarantined so far. However one of the largest drops in our business has been on cruise bookings. Cruise bookings are typically taken 12-18 months in advance. As well as passengers being concerned if their sailing is within a month, cruise companies are reporting drops in sales for 2021.
“The other area of concern for us is countries closing their borders. For example, Saudi Arabia has terminated all tourist visas into the country, until the spread of the virus slows. This has effectively crippled the Umrah market.”
Other travel agents share a similar grim economic concern and anxiety over dipping business. Manish Sachde at Holidays and More said, “In terms of percentages, we estimate that news around this virus has resulted in a huge drop on our incoming calls resulting in at least a minimum 50% slack of our business. Clients are worried when this is going to come to an end and in the current scenario, we believe it may even near a 100% drop. That is extremely concerning.”
Religious organisation urge individuals not to attend gatherings
Even community and religious organizations are now urging people to avoid large gatherings, human contact and communion services. The temples have urged that if individuals have cold and flu-like symptoms, please do not attend any public events, including Satsang gatherings or sabhas. Please stay at home and, if required, seek advice from NHS 111.
Stockpiling, work from home and boost to local manufacturing
To curb the human to human or “community transmission of the disease” the government has proposed it could consider closing schools and universities and encourage individuals to work from home. Health Secretary Matt Hancock has said the UK is currently in the containment phase. However, he stressed that "If the number of global cases continues to rise, especially in Europe, the scientific advice is that we may not be able to contain the virus indefinitely.”
Now, retailers worry about stockpiling medicines, food and more importantly sanitary products such as masks, soaps, hand gels, and tissues. Consumers have been flocking to Asda, Lidl, Tesco and Sainsbury’s among other supermarkets and report about empty shelves. Worse in some cases these products are being sold at unreasonably inflated rates as the virus causes huge disruption in supply chains and retailers.
However, there is also a flip side to this virus. Over the last few years, retailers across the UK had been cutting costs by ordering their products from Chinese manufacturers. However, Bhavik Masters who has his factory based in Leicester talks about the increase in his business for locally designed knitwear as confidence for the Chinese product dips. He said, "We are seeing an increase in inquiries and confirmed orders coming through. I think it is time for brands to look further afield from China and spread that production risk.”
-------------
What is Coronavirus and what are its symptoms?
It is caused by a member of the coronavirus family that has never been encountered before. Like other coronaviruses, it has come from animals. Many of those initially infected either worked or frequently shopped in the Huanan seafood wholesale market in the centre of the Chinese city.
The virus can cause pneumonia. Those who have fallen ill are reported to suffer coughs, fever and breathing difficulties. In severe cases, there can be organ failure. As this is viral pneumonia, antibiotics are of no use. The antiviral drugs we have against the flu will not work. Recovery depends on the strength of the immune system. Many of those who have died were already in poor health.
