Goyaves de Chine or Chinese guavas!

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Have you ever tasted Goyaves de Chine or Chinese guavas? They are small fruits that resemble guavas but are miniature in size.  Goyaves de Chine or Chinese guavas  These small-sized fruits are found in ample in Mauritius in the month of April. They ripen in that month and are a traditional delicacy sold in the streets.  The color of these fruits range from green to red to yellow. The green fruits are not yet ripe and are a bit firmish. The red ones are softer and have a sour taste while the yellow ones are larger in size with a sweet taste.  Chinese guavas or  Goyaves de Chine  These fruits get softer and rot faster. Therefore consume them on the same day you purchase them. Also, this is the reason that vendors pluck them up early from the trees when they are still red.  These fruits are also called cherry guavas or strawberry guavas or lemon guava. It is native in Brazil and also grows in Hawaii.  The skin or peel of the fruit is quite thin and i...
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Will Montonegro Airlines get grounded with no state funding?

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 Montenegro Airlines is in deep trouble. Since August 2020, it has not received any financial aid from the state. And now with the re-lockdowns in several parts of Europe, it is unable to meet the expenses as the revenues have sharply declined this winter. The company has been unable to pay the employee wages from October 2020. 

Montenegro Airlines and its downfall

The aviation company, Montenegro Airlines is in a deep financial crunch. Its expenses are mounting but its revenue is dropping. It has tried to cut down its expenses but in vain. The shortfall has been so much that it has been unable to pay wages to its employees for the month of October 2020. And now with winter setting in, many parts of Europe have witnessed rising coronavirus cases. Hence their governments have imposed re-lockdowns and plane services have been halted. Besides, tourists and travelers have also diminished. This has taken a toll on the Airlines that already was in debts from the start of last year. 

The company told a local newspaper: 

“Since the start of the winter season, the crisis has accelerated and the little revenue we had has been further reduced. Up until today, we have been unable to pay for October’s wages. We also have outstanding payments for aircraft leases, engines and debt towards suppliers. We are doing everything we can to decrease expenses, however, the reduction in revenue and expenses are not proportionate to each other”

“In these circumstances, and without state aid, we are unable to continue operations, even in the short-term. If a company such as Lufthansa has requested and received state aid, then what can be said for us. Since August 31, we have not received any state funding.”

Montenegro Airlines [Source: Airlines-Airports]

The early state funding

Worldwide the aviation industry has seen the highest financial problems. Their planes are grounded since March 2020 and travelers are less. But their overheads continue unabated. Hence, they sought financial aid from the state. Some were provided whereas others have not received it. 

Montenegro received 10.4 million euros of financial grant in July 2020. Another 25 million euros came in August 2020. And that's it. After that, there was no more funding for them. Experts in the field are studying the legality of state law for investment and consolidation in the national carrier. Over a six-year period, the airlines would require 155 million euros to stay afloat. The legislation was made late last year and in return was looking for a major overhaul and restructuring of the national airlines. But after that, coronavirus pandemic came in and upset everything. 

And the country will have a new government soon. Currently, there is a caretaker government and what the new government will decide for the airlines remains largely unknown. 

Will Montenegro Airlines be grounded? 

Montenegro Airlines has made it clear that if the state aid law is not enforced or if they do not get any funding from the government, they would be forced to ground their fleet of aeroplanes. It has also stressed that due to the coronavirus pandemic, its losses have piled up and they alone will not be able to meet the ongoing expenses without financial aid from the state. They added that when a major airline company such as Lufthansa suffered due to the pandemic, how could a small company like Montenegro remain afloat without financial aid?

Grounding of Montenegro Airlines [Source: Independent Balkan News Agency]

Also, read Gender Inequality has increased with the pandemic!

The national carrier said: 

“In this case, foreign carriers would not rush to boost their flights and would be able to increase their fares. The best example of this is Slovenia, whose government, following the collapse of its national carrier, has been forced to give away millions in subsidies to foreign airlines in order to maintain a few flights. Small countries must invest in their aviation sector”

The company has a debt of 97.7 million euros and had a net loss of 8 million euros last year. 

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