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The Carnival’s cancellation caused an estimated $ 509 million in losses. The entire chain of products, trade and services in the city is affected.
Carnival has arrived and the Brazilian city of Rio de Janeiro is empty and the atmosphere is sad; there are no tourists, the hotels operate at normal speed and the color of the carnival is hiding under the gray asphalt of the streets. This year, the COVID-10 pandemic killed Brazil’s most iconic party, leaving behind thousands of Cariocas living on the show every year without food.
For the first time in Rio’s history, the carnival, which would start on February 12 and end on February 17, was canceled to prevent the coronavirus from being contained. and the economic consequences of this measure are terribly predicted, with losses estimated at 2.7 billion reais ($ 509 million), a figure unprecedented.
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The measure affected street food and drink vendors who quenched the thirst of thousands every year folios (partygoers) in the street groups even in the hotel sector, which is currently seeing its occupancy rate drop by more than 50%.
The craftsmen, designers, carpenters, welders, seamstresses and mechanics who make the carnival shine year after year have also felt the scourge of having nothing to work on.
There are also a large number of musicians, dancers and merchants who imported jewelry, costumes and utensils for the carnival.
The greatest impact has been felt by small businesses and agency workers, mostly poor people living in Rio’s favelas whose livelihoods depend on Carnival.
Fabio Bentes, an economist with the National Trade Confederation (CNC), says that in the tourism industry alone, more than 25,000 people who previously helped meet the demands of Rio’s main festival were no longer hired temporarily in hotels, bars and restaurants. restaurants in Rio.
Samba schools have also had to drastically reduce their staff to keep afloat.
La Portela, the biggest champion of the Rio festival and one of the most traditional samba schools in Rio at 98, is no exception. In 2020, 50 of its members – most of them from COVID – died and the school’s own income practically disappeared as a result of handicaps from the pandemic, affecting 400 people.
“It’s a lot of people. It’s an army that works for every school and these people need a carnival project to support their families,” said Fabio Pavao, vice president of La Portela.
Last year, 2.1 million tourists, about 500,000 foreigners, visited Rio during the festival and left $ 717 million, at the current rate, a record for the beautiful city that has increased in recent years.
Initially, the carnival was conditioned to the vaccine and postponed until July, but in January the mayor’s office canceled it. The decision will entail a significant economic setback, but will prevent crowds and infections. Rio, with a population of 7 million, has 193,000 cases and 18,000 deaths from the virus, the highest number in all of Brazil. (I)