UMRAH package agents stand to lose about RM300 million in business after Saudi Arabia suspended the minor Muslim pilgrimage to curb the spread of Covid-19, said Umrah and Hajj Tourism Agency Association (Papuh) president Razali Mohd Sham.

He said the suspension is expected to affect at least 50,000 Malaysian pilgrims who had planned to go on umrah.

He said the Saudi government’s move was necessary, but it has severely affected local umrah tour and travel operators.

“From the data we received, our members will suffer losses of about RM300 million from this travel suspension for our pilgrims,” he said in a statement today.

He added that the losses include accommodation and travel charges, as well as payment to handlers in Saudi Arabia.

The latter payment is non-refundable, he added.

“We think that at the rate Covid-19 is spreading, it will continue into Ramadan,” he said.

He hoped the situation would return to normal by the haj season in July.

Don’t cancel bookings 

Razali also advised pilgrims not to cancel their umrah packages but to defer them.

He told them to contact their agents to work out a new plan, adding that some airlines have agreed to delay the flight dates.

“This is the best move for all so that we can help each other during this tough time,” he said.

He said the Saudi embassy had informed Papuh that the kingdom will reappraise the suspension on April 15.

Previously, Razali was reported as saying 200 to 300 travel agencies have been hit hard by the travel curbs.

He also said small umrah entrepreneurs also faced the risk of closing down.

The Saudi government initially suspended visas for pilgrims visiting Mecca, as the coronavirus spreads across the Middle East, and has since extended a travel ban to all international travellers. – March 26, 2020.