Tourism set to revive in second half

Tourism operators expect an influx of foreign visitors into Thailand in the second half of the year as political protests end while the world economy rebounds.

Somchai Ratanaopath, managing director of A-One Bangkok and Pattaya, said political tension had prevented any new bookings for May and June, so the end of protests is bound to have an impact.

He said his hotels had achieved 90-95% occupancy in Bangkok and Pattaya from November to March, but red-shirt demonstrations in March and April brought projected occupancy down for May and June to 40-50% instead of a more typical 60-65%.

"Thai tourism will pick up in the third quarter because of a reviving world economy and the fact that tourist operators sell a good product," said Mr Somchai.

A-One Hotel is among 90 Thai operators that joined the Arabian Travel Mart in Dubai this week. He said no customers asked about the political situation in Thailand, showing they were not paying attention or did not care.

Mr Somchai plans to add 350 rooms in Pattaya by early 2013 with an investment of 500-600 million baht. Currently, the group has 518 rooms in Pattaya at the Royal Cruise Hotel and Pattaya Beach Resort and another 213 rooms at the A-One Bangkok Hotel and 123 rooms at the A-One Boutique Hotel.

Seni Puwasetthawon, president of the Tourism Association of Koh Samui, also projected bright tourism prospects for the island in the second half.

He said major agents had asked for discounted tourism packages when the global economy crashed. But since the International Tourism Bourse in Berlin last November, they have asked about how to increase tourism packages, he added.

Though the United Arab Emirates issued a travel advisory instructing its citizens not to travel to Thailand, there have been customers from nearby countries such as Greece, Turkey and Iran.

Chumpol Silpa-archa, the Tourism and Sports Minister, said the ministry was still maintaining its target of 15.5 million to 16 million foreign visitors this year.

He noted that the government had extended measures to help the industry until March next year, including the exemption of visa fees, insurance and funds to help tourism operators.

Mr Chumpol said the cabinet would review the plan again after protests end. It includes 1.6 billion baht in stimulus funds and at least 5 billion for small and medium enterprises.

The minister also met executives of two airlines and four major travel agents in Iran from May 1-3. Iranian visitors last year totalled 117,500, up 32.8% from 2008. In the first quarter of this year, the figure rose 50% year-on-year to 50,700.

Mr Chumpol said Mohan Air organised charter flights between Teheran and Phuket during Iran's New Year festival in March with three flights carrying 1,300 visitors to Phuket.

The airline plans more direct flights to Phuket later, while Iran plans to increase flights to Bangkok to three a week from two now.

Sourced=Bangkok-Post