Tourism

Trouble in Paradise as Chinese Tourism Numbers Drop Dramatically in Thailand

European budget travellers use to be the main driving force behind Thailand’s tourism industry for decades. But Chinese tourism took off starting in 2012 with the release of a hit Chinese comedy movie Lost in Thailand.

BANGKOK – Phuket’s old town, is a favorite social media and selfie backdrop for tourists from China. The island, which has a year-round population of 500,000, typically attracts about 7m visitors a year, of whom 2m are Chinese.

Thailand’s biggest source of tourism since 2012

Chinese tourists can normally even be relied on to come to Phuket in the May to October rainy season. When Western Tourists mostly stay away.

But this month Thalang Road, in the heart of the old town, has been largely deserted.

Chinese groups cancelled trips to Phuket en masse last year after a boat carrying tourists capsized, killing 47 Chinese tourists.

This season, say tradespeople, things are even worse. According to the local hotel association, occupancy on the island is running at only 40-50 per cent.

Chutimon Konglao, a minivan driver, says this is the worst season she has seen in more than a decade of driving tourists around the island.

“After the boat accident, we could really see an impact, but this year is worse,” she says. “Nobody wants to spend money, and nobody knows what will happen.”

From Phuket’s old town to Chiang Mai’s temples and Bangkok’s backpacker hostels, visitor numbers are falling.

Thailand’s cornerstone tourist industry is heading into a slump.

This month Thalang Road, in the heart of Phuket’s old town, has been largely deserted, void of Chinese tourists. AFP Photo

For decades, Thailand has been a model of how to turn tourism into a national “brand” and a powerful motor of economic growth.

With beaches, nightlife, food, discount shopping and an air of spirituality, Thailand has managed to attract both backpackers and luxury tourists. In the past few years, Thailand has drawn in a record number of Chinese tourists. Who were — until recently — seen as a source of limitless growth.

European budget travellers use to be the main driving force behind Thailand’s tourism industry for decades.

Chinese comedy movie Lost in Thailand

But Chinese tourism took off starting in 2012 with the release of a hit Chinese comedy movie Lost in Thailand.

Budget carriers laid on flights from more than a dozen cities to Thailand. Chinese visitors, including many traveling abroad for the first time, became Thai tourism’s largest source of visitors and income.

The slowdown is beginning to hit related sectors. Thai Airways International, the flag carrier, recently reported that losses doubled in the second quarter. Blaming slowing visitor numbers and intense competition.

Senior executives have taken salary cuts to weather what chief executive Sumeth Damrongchaitham calls “this time of crisis”. Budget carriers Nok Air and Thai AirAsia reported second-quarter losses too.

Prayuth Chan-ocha’s government this week put tourism at the center of a $10bn stimulus plan. Extending free visas on arrival for another six months for several countries.

Vietnam is the Region’s Rising Economic Star

Some economists say Thailand risks falling into a “middle-income trap.” No longer poor but lacking the tools and momentum to become rich when digital, IT and other skills are in demand.

Nearby Vietnam is the region’s rising economic star. Its tourist numbers are growing in the double digits, drawing the kind of younger visitors who first came to Thailand two or three decades ago.

“Thailand is at risk of losing share in the low-budget holiday sector as the tourism markets develop in neighboring Vietnam and Cambodia,” Fitch Solutions said in a recent analysis.

According to Thai government statistics, tourist arrivals are up less than 2 per cent in the year to end-June, but arrivals from China are down by nearly 5 per cent.

Thailand’s main tourism promotion body insists the industry is on its way to setting another record of hosting more than 41m visitors this year.

However, foreign industry analysts and some Thai service providers say the sector is already in a downturn.

Source: Financial Times

Tourism

Interior Ministry Introduces New 180 Day Destination Thailand Visa

People from more nations will be now able to enter Thailand without a visa beginning Monday. This is part of an effort to increase tourism and encourage visitors to stay longer, Interior Ministry spokeswoman Traisuree Taisaranakul said on Friday.

According to Ms. Traisuree, Interior Minister Anutin Charnvirakul has signed four documents that will make it easier for foreigners to travel. These modifications will all take effect on Monday, provided they are published in the Royal Gazette.

The instructions include 93 more nations on the list of individuals who can visit Thailand without a visa, up from 57 previously. People from these countries can stay for a maximum of 60 days. Additionally, from 19 to 31, nearly twice as many nations will be able to obtain visas on arrival in Thailand.

To attract digital nomads, artists, and tourists interested in learning or practicing skills such as cooking and Muay Thai, the country will also introduce the Destination Thailand Visa service.

The new form of visa, which is valid for five years, allows travelers to stay for up to 180 days.

According to Ms. Traisuree, students holding visas for master’s degrees or higher will not be required to leave Thailand immediately upon graduation. They will be able to stay for an additional year to hunt for work or vacation.

In order to enhance the economy and tourism, the cabinet took a general decision on these additional measures in May. The statement was meant to be released in June, but it was pushed back.

Ms. Traisuree believes that this is the greatest sort of visa for persons who want to work from home in the Land of Smiles and explore the nation without the various restrictions and complications that come with conventional tourist visas.

Getting a DTV will give you a 5-year multiple-entry visa that lets you stay in Thailand for a total of 180 days a year, with the opportunity to stay for another 180 days.

Ms. Traisuree said that the Destination Thailand Visa is great if you want to work from home in the Land of Smiles and see the sights without the many restrictions and problems that come with a regular tourist visa. The Destination Thailand Visa will cost 10,000 THB.

Qualifications for the Thailand Destination Visa (DTV)

According to Thai Embassy, to be eligible for the visa, you must fulfill the following conditions (which could change):

You have to be 20 years of age or older
You have to be able to afford the cost of the visa
To sustain your stay in the nation, you must demonstrate that you have at least 500,000 THB in your bank account
Proof of your employment with a recognized company is required.

For digital nomads or remote workers who want to make the most of their travels and yet have the opportunity to work while they’re there, the Destination Thailand Visa is designed just for you. Additionally, it is ideal if you are traveling to Thailand in order to partake in any of the following activities:

Thai food prepared with Muay Thai
Instruction and conferences
Sports medicine therapy
International talent International music and art events

Thailand DTV Visa Benefits

Additionally, there is uncertainty about these details and they could change:

In comparison to other Southeast Asian nations that provide comparable visas, Thailand has less stringent income requirements and charges for the visa. For another 10,000 THB, you can extend the visa once, for a maximum of 180 days.
There are ninety-three foreign nations that qualify for the Thailand DTV Visa.
With this visa, you can lawfully operate remotely for foreign clients and companies while in Thailand.
Your spouse and any children under the age of twenty may accompany you.
You are exempt from paying taxes on your foreign income because the visa allows you to stay in Thailand for up to 180 days.

Drawbacks of a Thailand DTV Visa

You are unable to work for a Thai company that needs a Thai work visa, even though you are still able to engage in some activities and make money. Your DTV will end if you decide to change the kind of visa you are currently on.

Additional information on the visa’s release date and application process will be available in late June or early July of 2024. You will most likely be able to apply for it via the Thai immigration office, a Thai embassy, or a Royal Thai Consulate.

Tourism

Hotels in Thailand Fret as German Itravel Group Files for Bankruptcy

Thailand’s Hotels Association (THA) reports that another German tour operator has gone bankrupt, but that this will have a far less effect than the recent bankruptcy of FTI Touristik.

Following notification from the Tourism Authority of Thailand (TAT), the Thai Hotels Association has now confirmed that the Cologne-based luxury tour operator Itravel Group has formally filed for bankruptcy.

Southern Thailand is home to numerous high-end resorts, which Itravel aims to attract, according to Thai Hotels Association president Thienprasit Chaiyapatranun.

As a result of Itravel’s bankruptcy, he said, the hotels association is currently collecting data from its members.

On Monday, the organization wrote to the TAT and the Foreign Ministry, requesting that they assist hotel operators in keeping up with legal developments surrounding the bankruptcy of the German tour operator FTI, which resulted in a loss of almost 111 million baht for hotels around the country.

Hotels having issues with Itravel

On Monday, during the THA monthly meeting, Mr. Thienprasit noted that they also emphasized the case’s urgency to Minister Sermsak Pongpanit of Tourism and Sports.

In response to allegations that hotel operators with business partnerships with Itravel were experiencing issues with financial transactions, the agency issued an alert to the industry, according to Siripakorn Cheawsamoot, TAT deputy governor for Europe, Africa, the Middle East and the Americas.

He speculated that the losses might be lower with Itravel, an online travel agency that focuses on the niche luxury market, than with FTI, the third operator.

According to the Bangkok Post, at Monday’s THA meeting, Mr. Sermsak stated that the ministry will look into measures to assist hotels, especially since the goal of 3.5 trillion baht in tourism earnings for this year is still very ambitious.

According to Mr. Thienprasit, the organization is opposed to the government’s plans to increase the legal foreign ownership of condominiums from 49% to 75%. This, he added, might lead to an increase in unlawful accommodations and make other condo residents feel uneasy about having more guests around the clock.

Unscrupulous investors

He said that some international investors are already breaking the law by renting out their rooms to day guests, even though the Hotel Act only permits rentals of at least 30 days.

An increase in the foreign ownership quota for condos, according to Mr. Thienprasit, could entice unscrupulous investors and lead to the construction of even more unlawful rooms, which now exceed the number of registered hotel rooms by a factor of two.

The success of Thailand’s hotel industry is highly dependent on the business of tour operators. These collaborations bring in a constant flow of visitors, particularly during busy seasons.

It is more convenient for passengers to book comprehensive packages offered by tour operators, which include hotel accommodations and activities. Because of this arrangement, hotels may anticipate a specific amount of bookings without having to spend a lot on advertising.

Additionally, hotels are able to provide more affordable rates, which appeals to guests who are mindful of their budget. But if tour operators go through slumps or start focusing on other places, this dependence might be disastrous.

Source: Bangkok Post, Thai PBS

Tourism

Embracing Paradise: Your Guide to an Unforgettable Vacation in Los Cabos

Nestled at the southern tip of the Baja California Peninsula, Los Cabos emerges as a paradise where the desert meets the sea, offering a unique blend of natural wonders, luxurious accommodations, and vibrant culture. Whether you seek serene relaxation, thrilling adventures, or cultural explorations, Los Cabos promises an idyllic escape that exceeds expectations.

Discovering Pristine Beaches

Los Cabos is renowned for its stunning beaches, each with its own charm and allure. Sink your toes into the soft sands of Medano Beach, a bustling stretch perfect for sunbathing and people-watching. For a more secluded experience, explore the rugged beauty of Santa Maria Beach, ideal for snorkeling amidst vibrant marine life in crystal-clear waters. Enhance your beach experience with guided tours and snorkeling excursions offered by https://boattripsloscabos.com/, where you can explore the coastline and underwater wonders with expert guides.

Embarking on Aquatic Adventures

Venture into the azure waters of the Sea of Cortez and Pacific Ocean for thrilling water activities. Dive into snorkeling or scuba diving expeditions to discover underwater treasures like colorful coral reefs and curious sea creatures. Set sail on a whale-watching tour during the winter months to witness majestic humpback whales breaching against the backdrop of the Pacific horizon.

Exploring the Baja Desert

Beyond its pristine coastline, Los Cabos boasts dramatic desert landscapes waiting to be explored. Take an ATV or jeep tour through the rugged terrain of the Baja desert, where towering cacti and unique rock formations paint a striking contrast against the deep blue sky. Visit the Sierra de la Laguna Biosphere Reserve for hiking trails that lead to hidden oases and panoramic vistas of the surrounding desert.

Indulging in Culinary Delights

Los Cabos is a culinary paradise, offering a fusion of traditional Mexican flavors with international influences. Sample fresh seafood tacos at local taquerías or dine on gourmet cuisine crafted by world-renowned chefs at upscale restaurants overlooking the ocean. Savor authentic Baja cuisine with dishes like fish tacos, ceviche, and grilled octopus paired perfectly with locally produced wines and craft cocktails.

Experiencing Vibrant Nightlife

As the sun sets, Los Cabos transforms into a lively nightlife destination. Explore the vibrant nightlife scene in Cabo San Lucas with its array of beachfront bars, live music venues, and pulsating nightclubs. Dance the night away under the stars or enjoy a sunset cocktail overlooking the marina, where the atmosphere buzzes with energy and excitement.

Relaxing in Luxury Resorts

Los Cabos boasts a plethora of luxurious resorts and boutique hotels that cater to every traveler’s desire for relaxation and indulgence. Unwind in infinity pools with panoramic ocean views, rejuvenate with holistic spa treatments inspired by ancient Mexican traditions, or tee off on world-class golf courses designed by golf legends amidst stunning coastal landscapes.

Immersing in Local Culture

Immerse yourself in the rich cultural heritage of Los Cabos with visits to historic landmarks like the Mission San Jose del Cabo Church or art galleries showcasing local and international artists. Browse through vibrant markets selling handmade crafts, textiles, and souvenirs, or attend cultural festivals and events celebrating Mexican traditions, music, and dance.

Planning Your Los Cabos Escape

Whether you’re planning a romantic getaway, a family vacation, or a solo adventure, Los Cabos offers a perfect blend of relaxation, adventure, and cultural immersion. With its breathtaking landscapes, diverse activities, and warm hospitality, Los Cabos ensures a memorable vacation that leaves you rejuvenated and inspired, promising a return to its paradise shores time and again.