Ryanair’s decision to cancel all flights to and from the islands of São Miguel and Terceira, in the Azores, from last Sunday, March 29, is raising concerns about the impact on tourism in the region. The measure is associated with an increase in airport taxes and could significantly change access to the archipelago, especially for passengers coming from abroad.
According to , the airline’s departure could remove between 200,000 and 250,000 passengers per year. This is a relevant break in a destination where air connectivity plays a central role in attracting visitors and in the functioning of the local economy.
Fewer calls, more pressure
The reduction in flights should have immediate effects on tourist demand. According to the same source, the loss of direct connections limits access to international markets that were growing, making it difficult to continue this trend.
“We are talking about new markets that will no longer have access to the island, which is always a negative impact,” said Miguel Quintas, president of the National Association of Travel Agencies, cited by the same source, highlighting the importance of these routes for diversifying demand.
Effect on local economy
The decrease in the number of tourists could have consequences for several sectors of the regional economy. According to the same source, the hotel industry will be one of the most affected areas, with a lower occupancy rate throughout the year.
“Fewer tourists, less capacity to fill hotels, even direct impact on restaurants, crafts, cultural activities and all associated business aspects, in this case employment”, explained the executive, describing an impact that extends to the entire economic chain linked to tourism.
Impact on prices
The reduction in air supply may also be reflected in the cost of travel. The radio station adds that the departure of a low-cost company tends to reduce competition, which could lead to an increase in prices charged by other operators.
“On the supply side, there will certainly be an increase in prices and this will have a general impact on the region”, indicated Miguel Quintas, according to the same source, pointing to a direct effect on travelers’ pockets.
Connections that are difficult to replace
Routes such as London and Manchester are expected to be among the most affected, says the same source, as they were important gateways for international tourists. The loss of these connections can reduce the destination’s visibility in these markets. Replacement of Ryanair’s capacity may not be immediate, creating a gap in supply that will be difficult to fill in the short term, especially considering the size of the company’s operations in the region.
Despite the scenario outlined, there is the possibility of mitigation through intervention by the regional government. According to the same source, SATA could play a relevant role in strengthening air supply. “I have no doubt that it will be affected in the short term, I can imagine an immediate reduction in tourists on the island and an increase in prices”, said Miguel Quintas, quoted by the same source, admitting, however, uncertainty regarding the evolution of the situation.
A different European context
The airline’s decision comes at a time when several European Union countries are reducing or eliminating airport fees to stimulate air traffic. According to the same source, this strategy contrasts with that adopted in the Azores.
This difference could affect the destination’s competitiveness in relation to other European regions, in a context in which air accessibility continues to be decisive in attracting tourists and maintaining the sector’s growth.
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