Thai businesses prep for return of Chinese tourists with caution

Asean News Published 1 year ago on 30 December 2022 | Author TIN Media
THAILAND:

Chinese tourists accounted for nearly a third of Thailand’s visitors prior to Covid, so their pending return has local businesses hoping for a much-needed boost. But a full recovery from the crisis remains a way off.

The Thai government and industry estimates on Chinese visitor numbers for next year range from 3 million to 5 million — a wide spread that reflects some uncertainty over the eagerness and ability of people to travel after Beijing scraps quarantine on Jan 8. Some places are also tightening rules on travellers from China as infections surge there, though Thailand has yet to do so.

Some 11.5 million Chinese visitors went to places like Bangkok, Phuket, Pattaya and Chiang Mai in 2019. While next year’s numbers are set to be much lower, it will still be difficult for Thailand’s hotels, travel firms and entertainment venues to cope. Most businesses aren’t financially able to hire or upgrade facilities quickly after a dry spell of more than two years, during which millions of people changed jobs or headed back to family-run farms.

A labour shortage will be a major issue in seaside provinces like Phuket because of a mismatch between rising demand and inadequate personnel, said Suksit Suvunditkul, president of the Thai Hotels Association Southern Chapter. Top-end hotels are offering bonuses to entice back former employees, he said. “A full recovery hinges on arrivals from China, which are not expected to return en masse in the first half of 2023.”

Chinese tourists won’t bring a flood of cash to everyone either. Before the pandemic, many came on “zero-dollar” packages — pre-paid tours in which participants are shepherded through overpriced stores, restaurants, hotels and even massage parlours owned by Chinese nationals through Thai nominees.

“We used to talk about how post-pandemic tourism quality should improve, but a familiar scenario is likely to occur again once tour groups from China return,” said Wirote Sitaprasertnand, president of the Professional Tourist Guide Association of Thailand.