The free visa policy for 53 countries and territories has led to a steady increase in tourist arrivals to Thailand, with Chinese tourists leading the way. However, concerns are rising that the expected financial benefits aren’t fully reaching Thailand due to the resurgence of Chinese zero-dollar tours.
According to the Tourism and Sports Economic Division, Thailand welcomed 22,474,172 foreign tourists from January 1 to August 18, 2024, generating 1.05 trillion baht in revenue. The top five countries of origin were China (4,555,262), Malaysia (3,104,092), India (1,294,076), South Korea (1,193,255), and Russia (1,053,724).
Despite the high number of Chinese tourists, Thailand is grappling with the issue of market-disrupting tours. These tours involve foreign companies using Thai nominees to offer tours at extremely low prices, driving Thai tour operators out of business. Minister of Tourism and Sports Sermsak Pongpanich emphasized that the government is actively monitoring and addressing these concerns. Officials are investigating the covert registration of intellectual property, crucial since some laws complicate foreign business operations in Thailand.
Sermsak urged Thai citizens to report any suspicious activities, especially instances where foreigners use Thai nominees to register businesses. “This vigilance is essential to protect our national interests. The revenue from foreign tourists should circulate within Thailand and benefit local traders,” he stated.
Sermsak also highlighted ongoing cooperation with the Chinese government to address these market-disrupting tours. The discussions have been positive, with both countries aiming to prevent incidents that could harm their bilateral relations.
On the domestic tourism front, Somrudi Jitjong, Deputy Governor for Domestic Marketing at the Tourism Authority of Thailand (TAT), expressed confidence in meeting the 2024 target of 200 million domestic trips—a 25 percent increase from 2023 and a return to pre-pandemic levels. This is expected to generate approximately 1.08 trillion baht for the economy.
TAT is aligning domestic tourism campaigns with government policies, aiming to boost trips to 210 million and generate 1.2 trillion baht in revenue. Initiatives include partnerships at the 71st Thai Tiew Thai event at the Queen Sirikit National Convention Center, running from August 22-25, where the “FLASH DEAL: Instant Happiness in the Rainy Season” campaign will offer travel packages, hotels, and other services for 999 baht. Additionally, TAT is collaborating with airlines on a “Super Deal” campaign, offering special weekday ticket prices from September 9 to December 15, 2024.
In September, the “Charming Thailand” event will be held simultaneously in five regions: Chiang Mai, Khon Kaen, Pattaya, Kanchanaburi, and Nakhon Si Thammarat.
“Overall, domestic tourism is performing better this year than in 2019, which is encouraging. However, spending power is adjusting to the country’s economic conditions. Therefore, TAT is focused on increasing the number of tourists to stimulate more spending and ensure the government’s targets are met,” Somrudi added.