How Melbourne’s Covid lockdown is ‘crippling’ regional Victoria’s economy

There’s no Covid-19 cases in regional Victoria, but it is estimated the economy will lose between $100-$150 million in just seven days.

Victoria’s seven-day lockdown is estimated to cost the regional economy between $100-$150 million, according to the state’s peak body for business.

And the Victorian Government has not ruled out extending the lockdown past Thursday, with currently at least 51 locally acquired active cases in Melbourne.

Victorian Chamber of Commerce and Industry chief executive Paul Guerra said reduced visitation to our regional areas was “crippling” the visitor economy — a sector which is relying on being out of lockdown in time for people to plan for the Queen’s Birthday long weekend.

Mr Guerra is calling on the Government to ease restrictions for the regions, adding that the state needs a dedicated quarantine facility built, acceleration of the vaccine rollout and every business and individual to ensure QR code compliance.

“The best support we can give regional businesses is to enable them to trade and in order to do that, we can’t have any more lockdowns,” he said.

“With all cases so far confined to metro Victoria the government should look to ease restrictions for regional Victoria as soon as possible.”

Victoria’s chief health officer Brett Sutton could not say whether restrictions in regional Victoria would be eased at a faster rate than Melbourne when asked today by media.

“At the moment it’s reviewing day by day. I don’t know what might emerge tomorrow,” Prof Sutton said, adding that there had been primary close contacts in regional Victoria, although they had tested negative.

Mr Guerra encouraged all affected businesses to apply for financial support announced by the Government over the weekend, including $2500 grants for businesses such as restaurants and cafes, event suppliers, accommodation providers and non-essential retailers.

Last year, some farmers were forced to destroy healthy crops with the closure of restaurants and cafes.

AusVeg chief executive James Whiteside said while “undoubtedly” some perishable food would go to waste, it was too early to tell what impact this lockdown would have on the state’s vegetable producers.

“The Victorian vegetable industry will be more heavily impacted by the lockdown the longer it lasts, particularly for producers of perishable products and those that supply the food service sector,” he said.

In the livestock industry, saleyards have continued operating with limited access.

Although, producers won’t know what happens at major sales with the Regional Livestock Exchange banning market reporters.