Linas Jegelevičius
Even if the local bars and cafés seem bustling this summer as usual, some of the businesses are in bad shape – coupled with the Covid-19, the war in Ukraine has been ravaging Lithuania’s tourism industry some one thousand kilometres away.
«Things are really bad and there is no glimmer of hope that they will start getting better any time soon. Our in-bound tourism has shrunk nearly 50% – to be exact, 47% – over the last two years. The war is just exacerbating situation. It has just wiped out – literally – many foreign tourists, especially Germans, who think that war is going on in Lithuania or is about to start here,» Evalda Šiškauskienė, president of Lithuania’s Hotel and Restaurant Association (LHRA), told BNN.
Accordiing to her, only the seaside municipalities are doing relatively better this summer.
«More or less, but increasingly many Lithuanians are spooked by the local prices. Due the record-high inflation – at approximately 20% over the last couples of months – they just seem exorbitant to many. As a result, swaths of Lithuanians opt for cheaper Turkish resorts than Palanga, Neringa, Klaipėda or Druskininkai,» she emphasises.
When asked by BNN, Artūras Timukas, owner of the Resort Pub in Palanga, a retreat on the Baltic Sea, sighed off: «Every time my wife calls the suppliers, I feel uneasy – I know we will be hearing new, bigger numbers. We have to update the menu to reflect the rising prices we pay to suppliers.»
According to the LHRA head, «only Israelis» venture to come to Lithuania this summer.
«Perhaps due to their mentality, they are undaunted – Druskininkai (a resort in southern Lithuania – L. J.) see the lion’s share of them,» Šiškauskienė said.
Klaipėda port was planning to welcome 80 cruise ships this season, but now the number has dropped to 70. Again – due to the war.
«Before the war started, there were plans for fewer ships, but the cruise lines refused to visit St Petersburg and send more ships to other Baltic ports, including here,» says Romena Savickienė, director of the Klaipėda Tourism Information Centre.
However, there are now cancellations, she adds. «Many people are refusing to sail here because of security reasons, or cruise companies are cancelling stops at Lithuanian, Latvian and Estonian ports, as for example AIDA has done.»
Over the last decade, the majority of tourists in Klaipėda have been Germans, about 40% of all visitors to the city.
«We are hearing from hotels and other service providers that groups cancelling reservations or postponing trips. Every message that the Baltic countries are in danger, that the Baltic countries could be attacked, has a very big impact on the tourism business,» says the Klaipeda tourism chief.
According to Edita Lubickaitė, director of the Nida Tourism Information Centre, there has been a decrease in the number of German groups, but individual holidaymakers from Germany are still coming.
«Now that Germany is competing with other countries for those ‘exported’ tourists, it is a perfect opportunity for some to say that the Baltic countries are unsafe, that the Baltic countries are very close to war, that their neighbours are very militarised. And it’s regrettable, but it’s working because we have a lot of German groups who have refused to come until July,» says Neringa Mayor Darius Jasaitis.
But Rasa Kmitienė, director of the Palanga Tourism Information Centre, tends to downplay the worries, saying: «Indeed, things are bleaker, but against the backdrop (of the pandemic and the war) they are pretty good in Palanga.»
The local hotels and restaurants are bustling throughout the summer despite the adversities, she says.
«And interestingly, if you were to look around, you’d see not only Ukrainian, German, Latvian, but also Russian and Belarusian car plates. However, when it comes to the last two, fewer – understandably,» Kmitienė told BNN.
Nevertheless, she admitted that the Centre had a couple of excursion cancellations due to war fears.
«Our colleagues, the Western Europeans, did not learn geography well – I could really say so – and they think that bombs are almost falling on us,» says Vilnius-based tour guide Skaidra Kulakauskienė.
According to the guide, foreigners who are frightened by the war cancel their trips massively.
«I talked to my guide friends who work with the Americans, as well as the tour operators who organize those trips. Cancellations reach 99.9%,» she said, adding: «They don’t expect to find such a beautiful Europe, such a clean Europe as before.»
Milda Plepytė-Rainienė, head of the Lithuanian Tourism Association, says that after the coronavirus crisis, the tourism sector is once again facing a crisis that does not allow it to get back on feet. She believes that the government should allocate more funds to make Lithuania attractive to tourists.
«There are a lot of cancellations, especially from Germany, France, Italy, and Switzerland. And the reason is that Lithuania is not seen as a safe destination for them. The situation is complicated and the recovery would require more state support, which should be multifaceted. Greater resources should be allocated to marketing and communication of Lithuania as a tourist destination, also from the perspective of security,» argues Plepytė-Rainienė.
Olga Gončarova, acting director of Travel Lithuania, an agency run by the Ministry of Economy, says that in order to attract tourists, Lithuania is launching a campaign to show that the country is not only safe, but also has a lot to offer.
The president of the Lithuanian Chamber of Tourism, Žydrė Gavelienė, is convinced that «a better communication» is necessary:
«We need to show Lithuania as a safe country to travel to».
Politicians agree with the notion, but say that such communication requires a lot of funds, and for now this issue is just a discussion.
«We probably won’t compete with the funds. But if we could cooperate and especially within the three Baltic states and carry out a joint communication campaign, I think that would give a greater effect,» says Seimas member Andrius Kupčinskas.
The government is set to allot 4 million euros in aid to local tourism businesses. Accommodation service providers whose turnover decreased by at least 40% in 2021 will be able to apply for it. So are tour operators, whose turnover decreased by a third last year.
Meanwhile, outbound tourism has been growing significantly this year after the pandemic and may reach the pre-pandemic levels by the end of the year.