Tourism operators have warned the new tourism minister to brace for a nosedive in the global economy and fiercer competition next year, urging the government to start planning for the worst-case scenario from this year.
Sorawong Thienthong, the new minister, is the secretary-general of the Pheu Thai Party and an MP from Sa Kaeo, the base of his powerful political family. He was deputy public health minister in 2013.
Thienprasit Chaiyapatranun, president of the Thai Hotels Association, said the number of foreign tourist arrivals this year should meet the government’s target of around 38 million.
However, he said the new minister and the government should look ahead to next year as several negative factors could emerge.
Mr Thienprasit advised Mr Sorawong to continue key strategies under the Ignite Tourism Thailand policy, focusing on the aviation hub and soft power promotions, initiatives that were introduced during the previous administration.
The government under former prime minister Srettha Thavisin showed a strong commitment to prioritising tourism, granting visa-free entry for visitors from 93 countries and accelerating flight capacity.
He said travel demand next year would be unpredictable, as tourism could grow or slow amid global economic uncertainty from several factors, such as the US election this year.
Related ministries, such as Interior and Transport, should collaborate more closely with the tourism sector to ensure ease of travel and safety for tourists in the upcoming high season and through all of next year, said Mr Thienprasit.
“As most political figures are not equipped with in-depth knowledge about the tourism industry, the new minister should appoint experts from the private sector to the team,” said Thanet Supornsahasrungsi, president of the Association of the Chonburi Tourism Federation.
He said many previous policies were endorsed by the cabinet without sufficient market knowledge, particularly the 280 million baht allocated for online travel agents.
This led to income flowing to foreign platforms, distorting the hotel pricing mechanism, said Mr Thanet.
He said that while the Thai tourism sector is fortunate to have established products and a reputation of value for money, the industry still requires active campaigns to attract tourists as major markets are shifting to independent travel based on unique demand and changing behaviour.
Rising stars such as Vietnam are catching up with Thailand in terms of tourism development and attractive prices, luring large numbers of tourists, such as South Koreans, said Mr Thanet.