The domestic travel sector has pushed new Tourism and Sports Minister Pipat Ratchakitprakan to outline fresh incentives to revive the segment during low season.
Phuriwat Limthavornrat, president of the Association of Domestic Travel, said local tourism is struggling with the baht’s appreciation, which has lead to many Thais travelling abroad thanks to lower travel expenses.
Others are cutting travel budgets as a result of the weak economy.
“The most urgent issue is tax incentives to improve domestic travel that will distribute income to rural communities,” he said.
Any new tax measures should cover spending for a wider range of tourism products and for a longer period of time than former plans, which ran for only two months, including one that ended last month, said Mr Phuriwat.
Travellers were allowed to deduct the value of their travel expenses, up to 15,000 baht, for travel in major cities, and up to 20,000 baht for travel in second-tier provinces, over May and June. Tax incentives also offered purchases of local-made products under the One Tambon One Product scheme.
He encouraged companies and public agencies to hold seminars or meetings throughout the country, especially in small cities, and use services from some 200 travel agents to manage tour packages.
Mr Phuriwat said all these initiatives will revive local tourism and help accelerate tourism during the low season, which stretched from April to the end of October every year.
The Tourism Authority of Thailand forecasts some 1.17 trillion baht from domestic travels. Together with the revenue from international arrivals, the country hopes to earn some 3.38 trillion baht from tourism sector this year, a 9.5% up year-on-year.
Mr Phuriwat said the association plans to discuss tourism projects with the new minister in the next few weeks, such as providing allowances of 3,000-5,000 baht for the elderly to travel to second-tier provinces.
These travellers would be free to travel at any time of the year, and they normally travel in a group or with family, meaning higher spending.
Establishing standards for tourism attractions is another important topic, he said. Tourism sites, hotels and restaurants will be rated 1-5 stars by the association with a yearly review in order to improve the standards of local tourism.