Indian cruises continue sail unperturbed amid coronavirus outbreak

Even as the global cruise industry faces a crisis after the coronavirus (COVID-19) outbreak, the domestic cruise segment continues unperturbed.

“The season starting October has seen no cancellations so far and out of 243 pre-bookings, 220 cruise callings have already taken place. Business has, in fact, been smooth,” Yashodhan A Wanage, deputy chairman of Mumbai Port, told Business Standard.

The Indian cruise season typically runs from October through May with the final month being the busiest because of vacations. “All the cruises coming are pre-bookings and no discounts of any kind have been given so far,” said Wanage.

Mumbai is among the busiest ports of call for cruises in the country followed by Goa, Mangaluru and Kochi. Indian cruise routes are currently from West Asia and the Southeast Asia.

“In fact, there are several enquires to divert cruises from China or neighbouring areas to Mumbai Port because of coronavirus. But, we are not taking any risks and the Mumbai Port calls are going as per pre-planned bookings only,” said Wanage.

In financial year 2017-18 (FY18), 40 cruises docked at Mumbai Port. This grew to 140 in FY19. The target for the current fiscal is 243.

Essel Group-owned Jalesh Cruise sees good business opportunity in the domestic market amid the COVID-19 crisis. “We are getting increased enquiries from large Indian corporates, who are looking to divert plans from Thailand to something domestic,” said Jurgen Bailom, president and chief executive officer, Jalesh Cruises.

 

 

Jalesh is a multi-destination cruise with a capacity of 2,000 passengers. “This is a good opportunity for travelers, in case you do not want to travel abroad and avoid airports. Our ships are super safe as they are sanitised four times a day,” Bailom added.

Jalesh Cruises targets vacationers, corporate groups, wedding planners, and event organisers to offer new experiences customised for Indian audiences. The firm currently has its vessels coming from Dubai, and caters to Indian passengers only.

“Self-declaration and other stringent procedures are in place at ports making it safe to travel. With all precautions and measures in place, we do not see a drop in sales and at the same time do not see any reason for discounts,” said Bailom.

Apart from Jalesh Cruises, Sea Eagle Cruises-owned Angriya, which serves Mumbai and Goa, is also active at present.

TIRUN Travel Marketing, the India representative of Royal Caribbean International, on the other hand, has introduced a temporary change to its cancellation guidelines that allows flexibility.

“All guests sailing on or before July 31, 2020 can choose to cancel their reservation up to 48 hours prior to departure. Should a guest wish to cancel after their final payment deadline a Future Cruise Credit (FCC) will be administered in the full amount of each guest’s applicable cancellation fee. Guests can apply these credits to any future cruise of their choice departing on or before December 31, 2021,” said Varun Chadha, chief executive officer of TIRUN.

In the short term, TIRUN is exploring deployment options outside of Asia. To cater to the Indian market, TIRUN, which typically has seven night cruises in Dubai, is allowing Indians to cruise and pay for four or five nights depending on the itinerary and date. It is price protecting these cruises to what they would have paid on a cruise from Singapore.

For other regions such as Alaska and the US, TIRUN is offering 60 per cent off on the second guest, instant saving of up to $150 on select routes, among others.

To prevent spread of COVID-19, TIRUN cruises are denying boarding to any guest who has traveled from, to, or through mainland China, Hong Kong, Macau, Iran, South Korea, and Italy in the past 15 days. Also, any person who has had contact with or helped care for anyone suspected or diagnosed of having COVID-19 in the 15 days prior to embarkation, or who is currently subject to health monitoring for possible exposure to COVID-19, is also denied boarding.

Global cruise companies are reluctant to release data on discounts and cancellations, but industry officials estimate companies are facing 15-20 per cent drop in revenue because of COVID-19.