Algarve hotels occupancy rates ‘lowest ever’ in March

Hotel occupancy rates in the Algarve were in March down 45.8% from the same month last year, at 28.6%, the “lowest ever” for that month, according to the region’s largest sector association.

In a statement, the Association of Hotels and Tourist Developments in the Algarve (AHETA) said that the overall average occupancy rate per room was 28.6%, or 45.8% below the figure for 2019, which it said is “by far the lowest ever for the month of March”.

The markets that contributed most to the decline were the domestic market (down 54.5%), Germany (down 51.7%) and the UK (down 48.9%), it said.

Sales volumes in March this year were down 29.8% and the occupancy rate per room so far this year has seen an average decline of 13.8%, along with a drop in sales volume of 1.4%, adds the association.

During the month, “around 60% of available supply closed due to the covid-19 pandemic” with the trend growing after the first two cases in Portugal were reported on 2 March and the first in the Algarve on 8 March.

“Around 10% closed on April 1st, while most of the remaining supply was preparing to do so,” the AHETA adds.

The new coronavirus responsible for the Covid-19 pandemic has so far infected more than 1.3 million people around the world, of whom more than 73,000 have died.

In Portugal, according to Tuesday’s bulletin from the Directorate-General of Health, there have been 345 deaths, and 12,442 confirmed cases of infection.

Portugal has been in a state of emergency since midnight on 18 March and this is to last until 17 April, after the extension approved last Thursday in parliament.