(San José del Cabo, Baja California Sur).- On February 15th, the representative of the Grocery Sector in the National Chamber of Commerce (CANACO) Los Cabos delegation, Armando de la Cruz, stated that at the end of 2024 and the beginning of 2025, they registered a reduction in sales.
De la Cruz considered that one of the main reasons for this phenomenon is the reduction of tourists in the destination. And as the hotel and tourism sector has made known, in 2024 the growth of visitors did not have the same pace as in previous years.
This impacts the local economy since some companies – such as the tourism sector – remain in low season recess or give fewer shifts; fewer tips are also perceived, which are extra income for workers who work under a payroll scheme.
“From January to date we have suffered a 50 or 60 percent drop in sales in some neighborhoods… Our clients are hotel employees, transporters, taxi drivers, and beach vendors, among others, and from there, they earn in tourist sites and the money spills over into popular neighborhoods, it’s like a waterfall,” explained de La Cruz.
In addition, he commented that there is a recession due to social and political events such as the elections in Mexico and the United States, which is the country of origin of the majority of foreign visitors.
Inflation, the variation in the dollar exchange rate, and the slowdown in tourism growth, in addition to the rise in their operating costs, are factors that negatively affect their earnings.
“Some workers return to their city of origin because money no longer goes as far. We hope that it will be in March and April that everything will pick up, in Springbreak when the young people arrive and then later in the summertime, we hope that this will favor our businesses,” he concluded.
Source: Diario Independiente
