Spanish Hotels Face 40% Revenue Loss as Morocco Cancels Annual Transit Operation

The hotels located on the A1 and A62, the main roads used by Moroccans residing abroad (MREs) as part of the Marhaba Operation, will suffer the consequences of this cancellation decision, reports the local newspaper Diario de Burgos. "The truth is that the cancellation of the Marhaba Operation is economically detrimental to us," says Íker Ugarte, director of the Fontioso area, which includes a restaurant, a hotel and a service station. But he hopes that with the lifting of the state of emergency, the impact of the cancellation of the Marhaba Operation, for the second consecutive year, will be less than last year. "Unlike last year when the fear of the pandemic was latent, there will be a lot of movement this year thanks to the vaccines," he explains.

To read: Morocco’s Port Exclusion Costs Spanish Companies $500 Million in Transit Revenue

The absence of MREs on these roads will impact the profits of hotels, especially in terms of overnight stays and refueling. "These people travel long distances and at some point they have to stop to rest, sleep and refill the tank," acknowledges the manager of the Fontioso area. "We will notice it a lot, especially in the first two weeks of July, which is the most crucial period for us in recent years thanks to the Marhaba operation," adds Roberto Roque, the manager of the Serrano area, located on the A-62, in Buniel.

These hotel managers fear a 40 to 60% drop in their turnover. It is a "brutal" damage, estimates Jesús Segura, the manager of the Hotel Ciudad de Burgos located in Rubena. "For us, the Marhaba Operation represents 70% of our activity during the month of July. The impact is therefore enormous," he points out, hoping to save the furniture with the organization of the two cycling tours.

In 2020, the cancellation of the Marhaba Operation led to a 20% drop in traffic on the roads used by MREs, according to data from the Provincial Directorate of Traffic.