Queensland travel and tourism businesses say they are in "freefall" as the industry reels under the impact of coronavirus and travel restrictions.

Key points: North Queensland's tourism industry is seeing an unprecedented drop-off in bookings

North Queensland's tourism industry is seeing an unprecedented drop-off in bookings Tourism bodies are encouraging those who are well to support local tourism operators to keep them afloat

Tourism bodies are encouraging those who are well to support local tourism operators to keep them afloat Businesses are getting creative to find ways to keep staff and keep their doors open

Some tourism operators in the state's north say bookings are down to less than 30 per cent of regular levels.

Townsville Reef Lodge Backpackers owner Dean Nixon-Harding says business has halved in the last three or four weeks, and that many of his guests are changing their travel plans as restrictions tighten.

"The amount of people that are actually cancelling now has kind of become exponential," Mr Nixon-Harding said.

Accommodation owner Dean Nixon-Harding said fears over COVID-19 had reduced occupancy by half. ( ABC North Qld: Nathalie Fernbach )

Mr Nixon-Harding said he thought some media reports on COVID-19 and the calls for travellers to return to their home countries had caused panic.

"At the end of the day you are looking at people's innermost fears," he said.

"People are not making plans based on the worst-case scenario."

Backpackers delay return

Italian backpacker Luca said he would not risk flying home to Rome anytime soon and hoped to return to the north-western Queensland cattle property where he previously worked.

Luca said he was less worried about coronavirus being in regional Australia.

"I feel safer, the place is bigger," he said.

"In Italy the density of the population is higher, so I feel better here for sure.

"What happened in Italy is going to happen here as well — maybe not with the same [speed] but the virus is very easy to spread."

Dutch national Lucas said he was in the process of changing his return flight as the Netherlands had banned flights coming through Hong Kong.

Lucas will return to a country in lockdown — supermarkets are the only shops open and restrictions on group gatherings are in place.

Lucas, a hospitality worker, does not expect to have work when he gets back.

"It is kind of scary," he said.

"Because if [the government] are taking it this serious, you know there is really something going on."

Lucas from the Netherlands will change his return trip to avoid travel restrictions. ( ABC North Qld: Nathalie Fernbach )

Tourism operators get creative

North Queensland's tourism sector has a lot of experience in bouncing back from natural disasters like cyclones.

But according to the region's peak economic development organisation, the impact of coronavirus far surpasses that of any natural disaster previously endured.

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Townsville Enterprise Limited's director of tourism and events, Lisa Woolfe, said the industry had "gone into a freefall".

"Cancellations are coming in thick and fast," she said.

"Millions of dollars have already been lost out of the local tourism economy and the forward bookings aren't looking great.

"There is just panic, everyone is quite fearful."

Ms Woolfe says some jobs have already been lost, but north Queensland tourism operators are resilient and are getting creative to retain staff.

One dive company purchased hundreds of snorkel mouth pieces so that every guest has a new one.

A Magnetic island seafood shop has put up signs instructing guests to sit on every second table, ensuring some social distancing.

"Businesses will adapt, but it is really important that as our businesses are adapting and transitioning that we do have that government support through legislation," Ms Woolfe said.

"We are in survival mode at the moment and there is a lot that needs to be done to support the industry."

Easter bookings offer hope

With advice and restrictions around COVID-19 changing daily, the April Easter and school holidays might seem like a long way off.

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Ms Woolfe says Easter bookings on Magnetic Island seem to be holding firm, for the moment.

She is encouraging people who are healthy to support local tourism operators by eating out or buying tours as gifts.

"We are not going to fill that gap," she said.

"But we are going to be able to support the businesses to stay open and keep people employed."