MercoPress. South Atlantic News Agency

Foreign travelers contribute significantly to Brazil's economy in 2024

Brazilian airlines are adapting to tourism's new reality in South America's largest country

Foreign travelers brought in US$7.341 billion in revenue to Brazil last year, the South American country's Central Bank (BCB) announced on Friday, citing a report from the Ministry of Tourism. These figures represented the best results in 15 years, and an increase of 6.28% compared to the US$6.907 billion in 2023.

 The activity thus surpassed the returns on foreign trade of strategic export products such as cotton or copper ore. Last month alone, foreign visitors spent US$721 million, a year-on-year improvement of 16%.

“This is the highest value recorded in the last 15 years, surpassing even the period of the 2014 FIFA World Cup, when foreign tourists spent 6.914 billion dollars,” the Ministry of Tourism said.

“The arrival of foreign visitors to Brazil not only boosts the economy but also reaffirms Brazil's strength and beauty as a desired destination on the world stage,” Tourism Minister Celso Sabino argued.

Azul

Nearly a week after leading Brazilian airlines Azul and Gol announced their intentions to merge into a large-scale carrier, the former announced Friday the suspension of services to smaller destinations effective March. 10, to cut costs. The company will no longer operate in Campos, Cabo Frio, Correia Pinto, Crateús, São Benedito, Sobral, Iguatú, Mossoró, São Raimundo Nonato, Parnaíba, Rio Verde, and Barreirinha (MA) due to various factors “ranging from the increase in aviation operating costs, impacted by the global crisis in the supply chain and the rise in the dollar, added to issues of fleet availability and supply and demand adjustments,” according to a statement.

In addition, Fernando de Noronha will only be served from Recife, flights from Juazeiro do Norte will be handled at the company's main hub, Viracopos Airport, in the State of Sao Paulo, and due to poor occupancy, operations at Caruaru Airport will be performed by single-engined 9-passenger-seat Cessna Grand Caravan aircraft. “The customers affected are being notified in advance,” Azul explained.

Last week, Azul and Gol's majority stakeholder, Abras, signed a memorandum of understanding to begin negotiations for a merger that would create an airline holding 60% of the country's passenger aviation share.

LATAM

Also this week, Turkish Airlines and LATAM Brasil announced an extension of their codeshare operations adding five new domestic routes from São Paulo's Guarulhos Airport to Aracaju, Manaus, São Luiz, Uberlândia, and Vitória. Passengers may now book flights with either carrier and enjoy reciprocal benefits such as earning and redeeming miles on these codeshare routes.