Political Woes and Violence Kill Thai Tourism

 

Thursday, December 11th, 2008

Source: http://flickr.com/photos/puengpu

Political strife is not unheard of in Thailand.  There have been dozens of coups and power struggles over the past 50 years.  However, these struggles have done little to harm the tourism industry.  Thailand has proved quite resilient.  Even a tsunami and a recent military coup did not dampen tourism numbers.  But a number of recent events inside and outside of the Land of Smiles has caused the once strong tourism industry to struggle like never before. 

Recent strife between pro and anti-government supporters spilled over into the nation’s largest international airport recently.  Anti-government demonstrators are holding Bangkok’s Suvarnabhumi Airport hostage.  They are demanding that the current government step down and hold new elections.  Flights have been diverted to neighboring Don Muang Airport, which used to serve as the country’s hub before Suvarnabhumi was built.  No flights have been allowed to take off.  Several thousand travelers have been stranded for several days in Bangkok.  Many are heading to secondary airports to find a way out of the country. 

Thailand has had ambitious plans to bring more and more travelers to the country over the next few years.  Last year over 14 million tourists landed in the country.  Even with the demonstrations and violence over the past few months, arrivals were projected to increase by more than 2% this year.  The year-end numbers might still see an increase, but it will not last.  Several investment firms and tourism groups are projecting at least a 10% loss in the number of tourists next year.  With destinations like Vietnam and Cambodia growing rapidly, the future after next year could be even bleaker for Bangkok.  This year, 70% of the international visitors were tourists.  The remaining 30% are mainly business travelers.  Their numbers are also expected to fall. 

In short, Thailand’s political woes are finally catching up with it.  The country’s wealth is, in part, due to its past successes in tourism.  Take those away and you begin to wonder what’s left.

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