logo
Tourism body estimates revenue to miss B3tn target

Tourism body estimates revenue to miss B3tn target

Bangkok Post9 hours ago
The Tourism Authority of Thailand (TAT) estimates that tourism revenue this year will reach 2.87 trillion baht, a shortfall from the 3-trillion-baht target due to the sluggish Chinese market and global uncertainties, but it still anticipates 7% growth to 3 trillion baht in 2026.
Meanwhile, the Tourism and Sports Ministry has decided to start collecting the 300-baht tourism tax next year rather than this year, in order to avoid unfavourable travel sentiment.
The agency held the TAT Action Plan 2026 meeting on Monday, which gathered 43 domestic and 28 overseas TAT offices to plot the direction for next year.
TAT governor Thapanee Kiatphaibool said Thai tourism this year could be described as a rollercoaster ride, as it has been facing a high level of volatility.
While large markets like China have been hampered by safety concerns, the agency has had to seek other prospective markets, such as the Middle East, and attempt to increase their spending in order to fulfill the market for the remainder of the year.
She said some European markets with high levels of spending are also predicted to record 1 million visitors this year, citing the UK, France and Germany.
The TAT anticipates it will maintain overall revenue at 2.87 trillion baht for this year. It will boost the number of foreign arrivals to no less than 35.5 million — the same level as 2024 — earning 1.77 trillion baht, while domestic trips should contribute at least 1.1 trillion baht.
Ms Thapanee said the stimulus package for chartered flights, including those from China, and co-promotions with commercial flights with airlines globally would help restore the international markets to some extent.
She said that in 2026 the TAT will emphasise driving tourism value and spending over volume. It targets at least 7% revenue growth year-on-year or at least 3 trillion baht in 2026, which would reach the same level recorded in 2019.
She said the agency would pinpoint the segments with highest potential and put more effort into persuading them to visit Thailand, as well as enhancing the country's image in terms of safety while building Thailand as a trusted destination.
Driving sustainable tourism, improving the tourism supply side and promoting soft power are also key areas it will focus on.
Jakkaphon Tangsutthitham, vice-minister of tourism, said Thailand needs to adapt to compete in the global situation where geopolitical uncertainty and severe competition in tourism persist in this region.
Amid these unfavourable conditions, the tourism fee collection is not suitable for this year. The scheme might be delayed until the second or third quarter of 2026.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Thai govt loans to cushion blow of Trump tariffs
Thai govt loans to cushion blow of Trump tariffs

Bangkok Post

time8 hours ago

  • Bangkok Post

Thai govt loans to cushion blow of Trump tariffs

The Government Savings Bank (GSB) has been ordered to provide 200 billion baht in soft loans to support Thai entrepreneurs hit by US President Donald Trump's tariff measures. According to Finance Minister Pichai Chunhavajira, the GSB loans will charge an interest rate as low as 0.01%, while the bank's cost of funds is around 2%. The government will bear the interest rate differential in order to support the liquidity and inventory carrying costs of domestic entrepreneurs, particularly for small and medium-sized enterprises (SMEs), during this current period of uncertainty. For large companies, commercial banks will step in to help them. But if the burden exceeds commercial banks' capacity then the government will assist, said Mr Pichai. He also addressed measures to prevent the subrogation of certificates of origin (COs) for exporting goods to America, saying it is still unclear what percentage of local content the US will require for products exported to its market. However, it is expected to be higher than the current level of 40%, with the new requirement possibly rising to 60%, 70%, or even 80%, said Mr Pichai He added that for calculating local content for goods exported to the US, America will count domestic raw materials, including those sourced from the US and its allies, as part of efforts to manage competition with rival countries. According to Mr Pichai, in the first round of negotiations with the US regarding market access, which aims at allowing American goods to enter the Thai market at a 0% or near-zero import tariff, Thailand proposed eliminating import duties on 69% of all imported goods from the US. Later, Thailand pledged to eliminate import duties on up to 90% of all goods imported from the US and to remove various non-tariff barriers. Once a final agreement is reached on the tariff negotiations with the US, the entire agreement must be submitted to the Thai House of Representatives for approval, Mr Pichai said. He also noted that certain US goods which are not currently imported into Thailand will also be allowed to enter at a 0% tariff rate, in order to further expand market access and open up the Thai market to US automobiles. Mr Pichai said the guiding principle in the negotiations is that a 0% import tariff for US goods should apply only to products that Thailand already needs to import or to those that can be produced domestically but in insufficient quantities. "The impact of the Trump tariff measures should be seen as a crisis that presents an opportunity for Thailand to adapt and enhance the country's competitiveness," he said. "This is a bitter medicine for every country: we need to understand the situation and move in the same direction. We can't expect to gain 100% because it's a zero-sum game.' He added that Thailand's economy relies heavily on exports — up to 58%, though this is down from a previous peak of 70%. Of that, 18% of Thai exports go to the US, which is relatively high. Mr Pichai emphasised that negotiations with the US must ensure mutual benefit and balance, and the outcome must be sustainable — not just short-term fixes. This, he noted, is a challenging task. Historically, the US has had a trade deficit with Thailand amounting to US$30 billion a year. Therefore, Thailand must open up its market to more US products. Nevertheless, of that $30-billion deficit, one-third consists of electronic goods such as notebook computers, most of which are produced in Thailand by US companies with manufacturing bases in the country. According to Mr Pichai, these US companies have been operating in Thailand for 20-30 years, due to the availability of skilled labour that cannot easily be replaced in the US, as well as the presence of extensive supply chains. Relocating production out of Thailand would be nearly impossible. Products exported by these US firms in Thailand are often components used in America's artificial intelligence industry, he said. At the same time, according to Mr Pichai, Thailand is committed to promoting Thai investment in the US, especially in sectors such as agricultural processing, including both human and animal food, along with investment in energy resource development. The US has relatively low energy costs, particularly natural gas, which is priced at just $2–$3 per million British thermal units (BTU), compared to $11 in the international market. He added that Thailand must adapt by increasing reliance on its domestic economy. This includes maximising the use of domestic resources in production for overseas sales and diversifying export markets. However, Mr Pichai cautioned that if the negotiations adversely affect third countries, Thailand must take that into consideration as well, since part of these negotiations involves geopolitical issues, and the country does not wish to bring foreign conflict into its own borders.

Tourism body estimates revenue to miss B3tn target
Tourism body estimates revenue to miss B3tn target

Bangkok Post

time9 hours ago

  • Bangkok Post

Tourism body estimates revenue to miss B3tn target

The Tourism Authority of Thailand (TAT) estimates that tourism revenue this year will reach 2.87 trillion baht, a shortfall from the 3-trillion-baht target due to the sluggish Chinese market and global uncertainties, but it still anticipates 7% growth to 3 trillion baht in 2026. Meanwhile, the Tourism and Sports Ministry has decided to start collecting the 300-baht tourism tax next year rather than this year, in order to avoid unfavourable travel sentiment. The agency held the TAT Action Plan 2026 meeting on Monday, which gathered 43 domestic and 28 overseas TAT offices to plot the direction for next year. TAT governor Thapanee Kiatphaibool said Thai tourism this year could be described as a rollercoaster ride, as it has been facing a high level of volatility. While large markets like China have been hampered by safety concerns, the agency has had to seek other prospective markets, such as the Middle East, and attempt to increase their spending in order to fulfill the market for the remainder of the year. She said some European markets with high levels of spending are also predicted to record 1 million visitors this year, citing the UK, France and Germany. The TAT anticipates it will maintain overall revenue at 2.87 trillion baht for this year. It will boost the number of foreign arrivals to no less than 35.5 million — the same level as 2024 — earning 1.77 trillion baht, while domestic trips should contribute at least 1.1 trillion baht. Ms Thapanee said the stimulus package for chartered flights, including those from China, and co-promotions with commercial flights with airlines globally would help restore the international markets to some extent. She said that in 2026 the TAT will emphasise driving tourism value and spending over volume. It targets at least 7% revenue growth year-on-year or at least 3 trillion baht in 2026, which would reach the same level recorded in 2019. She said the agency would pinpoint the segments with highest potential and put more effort into persuading them to visit Thailand, as well as enhancing the country's image in terms of safety while building Thailand as a trusted destination. Driving sustainable tourism, improving the tourism supply side and promoting soft power are also key areas it will focus on. Jakkaphon Tangsutthitham, vice-minister of tourism, said Thailand needs to adapt to compete in the global situation where geopolitical uncertainty and severe competition in tourism persist in this region. Amid these unfavourable conditions, the tourism fee collection is not suitable for this year. The scheme might be delayed until the second or third quarter of 2026.

Thai commerce ministry eager to boost price, exports of agricultural products
Thai commerce ministry eager to boost price, exports of agricultural products

Bangkok Post

time12 hours ago

  • Bangkok Post

Thai commerce ministry eager to boost price, exports of agricultural products

The Thai Ministry of Commerce is trying to boost prices and exports of rice and langon, along with more measures to support famers, commerce minister Jatuporn Buruspat said on Monday. The production of in-season rice is scheduled to be completed in November and December. The Ministry of Agriculture has been informed by MP Praphat Pothasuthon of Suphan Buri's Constituency 5 about falling rice prices and the struggles faced by farmers since July 9, said Mr Jatuporn. 'Rice is a major agricultural product of Thailand, and we are committed to solving these problems by cooperating with relevant agencies at all levels,' Mr Jatuporn said. He emphasised long-term relief measures for farmers and efforts to expand export markets. At present, the price of unhusked rice with 15% moisture content ranges from 6,400 to 7,400 baht per tonne. For rice with 25% moisture, the price ranges from 5,200 to 6,200 baht per tonne. Glutinous rice is priced between 10,000 and 11,000 baht per tonne, while jasmine rice with 15% moisture is selling for 15,500 to 16,300 baht per tonne. Total rice production for the 2025/26 season is expected to reach 35.28 million tonnes of paddy, an increase of 5.41% compared to the previous season. From January to May, Thailand recorded rice exports of 3.05 million tonnes worth US$1.8 billion — a 25.6% decrease from 2024, when exports were valued at US$2.6 billion. Speaking during a visit to farmers in Chiang Mai on Sunday, Mr Jatuporn said the ministry is working to export 65,000 tonnes of longans, including processed products. A business matching event was held and generated around 200 million baht in sales. In addition, longan farmers in Lamphun have already secured an unlimited export quota for Indonesia, with plans to expand into markets such as India and the United Arab Emirates, Mr Jatuporn added. For the domestic market, the ministry is collaborating with PTT Public Company, Siam Commercial Bank (SCB), and other agencies to open more sales outlets during the harvest season, which runs from July to August. Activities include the organisation of the Thai Fruit Festival. Mr Jatuporn said one of the key issues raised by fruit farmers was a shortage of labour. They also called on the government to support the development of Good Manufacturing Practices (GMP) and Hazard Analysis and Critical Control Points (HACCP) standards to boost export efficiency, including packaging for online deliveries.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store