JUE 25 DE ABRIL DE 2024 - 16:42hs.
Hope is Bill 442/91

Brazilian hospitality sector keeps expectation for gaming legalization

The hotel industry follows the move to regulate gaming activity in Brazil. In a report on the website Hotelier News, industry leaders talk about last week’s decision in the CCJ and say they expect that gaming sector finally open in the country coming from the project that is being negotiated in the Chamber.

Last Wednesday, the Senate's CCJ (Constitution and Justice Commission) blocked the bill that proposed the legalization of gambling in Brazil. The hotel sector is closely following this move in Brasilia. In a report from Hotelier News, industry leaders commented on the decision.

Despite the negative, the House plenary can still consdier the proposal. However, the hypothesis of a turnaround is considered remote, at least with the text appreciated. The hotel market bets now in the bill that is in consideration in the Chamber of Deputies.

Alexandre Sampaio, president of the Brazilian Federation of Lodging and Food (FBHA), said that the bill that will be analyzed in the Chamber is broader than the one rejected. "The text banned the presence of casinos to resorts and leisure centers, as well as limiting the numbers of cities that could receive them. So, my impression is that the gambling lobby did not embrace the project," he says. "In addition, the House project is also broader in seeking the release of a number of games of chance such as bingo and slot machines. So the proposal got more of a hospitality design project than anything else."

Alberto Cestrone, president of ABR (Brazilian Association of Resorts), reveals that the veto surprised the association. "We worked for the approval, which could bring a significant increase for the resort and tourism sector. The veto surprised, above all, because the text provided tax benefits for each state that received casinos," he says. "Resorts are a natural product to absorb such a venture. It does not need big investments and still has good gastronomy and structure already ready to make it work."

Cestrone endorses the words of Sampaio about the range of possibilitie of the House project. "No doubt it's broader. With this, it can attract more interest from other sector entities,” comments the president of ABR. "At the same time, because it is broader, it can also face greater resistance in the House of Parliamentarians," he adds.

Manoel Linhares, president of ABIH (Brazilian Association of Hotel Industry) believes that Brazil is already very involved with gambling. "The legalization is important. If not, there has been prevented the generation of revenues in the Brazilian economy, and the difficult moment the country is in. That is why the hotel industry supports the project, as it will generate taxes, jobs and attract more tourists," he says.

Linhares also believes that the gaming industry is a great way to "develop regions" and cites as an example the American city of Las Vegas. "Las Vegas has developed a lot and today is an icon with the best hotels, generating positive results for the country," he says.

Manuel Gama, president of Fohb (Forum of Hotel Operators of Brazil), points out that once the legalization of gambling is approved, it will not be so easy to attract foreign tourists. According to Gama, the quality of the projects will be vital to the success of the measure.

"Obviously, in order to work, we need organization and good planning," he believes. For him, to generate quality, it is necessary to limit where and how the establishments will be placed. "It can not be something without limits, that anyone can build. We must make the few enterprises good enough to generate income in Brazil," he says.

Alexandre Sampaio, follow another line. He sees no risk in relation to possible oversupply of casinos in the country. "The market regulates itself," he believes. "For Rio de Janeiro, the city with a strong tourist vocation, it would be great to approve, especially for the Barra da Tijuca hotel sector, which is idle," he adds.

Source: GMB / Hotelier News