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Bangkok Post
Bangkok Post
Business

TAT suggests operators still upbeat on recovery outlook

Business operators still have confidence in the country's tourism recovery as campaigns for the general election kick into high gear and the next phase of the "We Travel Together" scheme is projected to have the participation of more than 9,000 hotels, with the aim of stimulating domestic spending, says the Tourism Authority of Thailand (TAT).

TAT governor Yuthasak Supasorn said there had been 2 million foreign arrivals per month since January, which helped build positive momentum for the tourism industry.

He said that with the launch of the fifth phase of hotel subsidy under the We Travel Together programme, domestic tourism should be stronger during the Songkran festival and would also help maintain domestic consumption during the transition period before a new government takes over in the second half of the year.

However, he said this subsidy scheme might be the last one, given that the overall industry had already improved.

Mr Yuthasak said apart from domestic market, the short haul market -- led by Malaysia and India -- could help compensate for the long-haul market which will be softer during the low season in the second quarter.

In the first two months of this year, the total number of international visitors surpassed 4 million. Of the total, Malaysians were the biggest group, accounting for 503,725 visitors, followed by Russians and South Koreans with 375,812 and 316,934 visitors, respectively.

Thapanee Kiatphaibool, TAT deputy governor for domestic marketing, said more than 800 new hotels were being added to the database that included 8,000-9,000 properties in the previous phases of the subsidy programme.

Ms Thapanee said the programme is currently checking each hotel's licence and tax payment records.

She said existing operators who joined the earlier phases of the programme were required to maintain the same room rate as operators who experienced a high occupancy rate might want to increase their room rates.

Marisa Sukosol Nunbhakdi, president of the Thai Hotels Association (THA), said she estimated that overall hotel revenue should recover to 70% of the pre-pandemic level in terms of value which stood at 770 billion baht, according to statistics from the Tourism and Sports Ministry.

She said income should resume to the normal level by the end of 2024.

A THA survey recorded the average occupancy rate nationwide at 64% in January, with the rate expected to drop to 50-60% in the second quarter.

Speaking at the opening ceremony of the 14th Thailand Tourism Awards, TAT unveiled "Low Carbon & Sustainability" as a new award category in addition to their four existing categories in an effort to promote high quality and sustainable tourism.

Mr Yuthasak said business operators who received these rewards will benefit from opportunities, such as receiving discounts in attending trade shows and consumer fairs hosted by TAT.

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