Thailand’s tourism industry likely to suffer 35% revenue drop

The Thailand Abhisit government is making tourism a top priority for Thailand. The confidence level of the people has dropped down because of growing fears about influenza. The flu pandemic is all the more aggravating the situation. However, travel industry experts are confident that Asia is well prepared to handle a potential health crisis. In fact, Dale Lawrence, director of Corporate Communications, Pacific Asia Travel Association said that in the Asia Pacific region, we are very experienced in dealing with it, in the wake of the SARS crisis of 2003.

Thailand’s tourism industry could suffer a revenue drop of 35 per cent this year due to prolonged political instability and the global economic crisis, aside from the H1N1 issue, last year’s closure of Bangkok’s airports and continued protests at the Government House have dampened travelers confidence in Thailand as a safe tourist destination. About 200,000 jobs could be lost ant the government is hoping that incentives such as reducing visa fees and flight landing charges will entice visitors.

Deputy Prime Minister Kobsak Sabhavasu is trying to extend assistance to travel businesses with the aim of stopping redundancies. He talked to the business people especially in tourism, asking them not to lay the employees off and also that the Govt. would help shoulder some of the courses for them to retrain people at their workplace. But critics of this plan said it is not feasible in the long term as the government may have to borrow money to stay afloat.