Asia’s economic stars – China, India

Here are our picks of cities across the region that are emerging as bright spots for corporate travellers  

2013_apr_12-stars

[ CHINA ]
By Hong Xu

CHENGDU

WHY IT’S BOOMING Chengdu, the capital city of Sichuan province, is also the logistics and commercial centre of western China. As of end-2011, 207 of the world’s top 500 enterprises have established branches in Chengdu, mainly in the advanced manufacturing and high-end services like electronics, automobile, new energy and finance.

Though a rising star among China’s emerging cities, certain aspects of Chengdu still need to be improved, said Ding Jianmin, assistant general manager, Shanghai CITS International Travel Service. “A business city needs to be fast-paced and efficient, but Chengdu is not like that. It’s also not attractive enough for talent yet.”

ACCESS/ACCOMMODATION Shuangliu International Airport is the largest aviation hub in central and western China, connected to more than 70 domestic cities and over 20 cities worldwide such as London, Sydney, New Delhi, Los Angeles and Jakarta. Chengdu has extensive rail links, with scheduled trains from Beijing, Shanghai, Guangzhou, Xi’an, Lhasa and Urumqi.

Chengdu boasts international hotel brands such as Crowne Plaza, Sofitel, Shangri-La and InterContinental, with recent debuts like the 208-room Chengdu Tianyi Grand Garden Hotel and the 185-room Fantasia of Lumberg Chengdu Hotel.

According to figures from China National Tourism Administration (CNTA), Chengdu had 127 hotels in 1H2012, with an ARR of about RMB425 (US$68) and an average occupancy rate of 67.6 per cent.

Among the newer MICE venues in the city are the 55,000m2 Chengdu International Convention and Exhibition Centre and the 150,000m2 New International Convention & Exposition Centre Chengdu Century City.

LIFESTYLE ASPECTS Chengdu’s long-spanning history has yielded such cultural sites as the Thatched Cottage of Du Fu, Wuhou Memorial Temple and Wenshu Monastery. Natural beauty abounds in surrounding areas such as the Jiuzhaigou Scenic Area and Huanglong Valley. It is also home to the giant pandas.

 

SUZHOU

WHY IT’S BOOMING Suzhou is a major city located in Jiangsu Province in eastern China, with Shanghai to the east and Zhejiang Province to the south. It is home to the Suzhou Industrial Park, the largest cooperative project between the Chinese and Singaporean governments.

ACCESS/ACCOMMODATION From Suzhou Railway Station, it takes only 25 minutes to Shanghai on the high-speed G trains and less than two hours to Nanjing.

Air traffic to Suzhou still comes primarily through Shanghai’s Hongqiao and Pudong international airports – both are linked to Suzhou via the G trains – connecting the city to major cities worldwide.

Suzhou boasts star-rated brands like Shangri-La, Pan Pacific, Kempinski, Garden Hotel and Regalia Resort and Spa. According to CNTA, there were 131 hotels in Suzhou in 1Q2012, with an average room rate of RMB368 and average occupancy rate of 52.6 per cent.

Suzhou International Expo Center and Suzhou International Convention and Exhibition Centre are some of the city’s prominent MICE venues.

Said Ella Zhou, manager, department of exhibitions, Shanghai Spring International Travel Service: “Suzhou is already well-known among businessmen, and as a result, people are probably more interested in other emerging cities. Meanwhile, commodity and business costs are relatively high in Suzhou.”

LIFESTYLE ASPECTS Suzhou’s 2,500-year history  can be seen in its unique architecture and streets. It is also famous for its classical gardens, with several such as the Humble Administrator’s Garden and the Lingering Garden added to the UNESCO World Heritage list.

“Chennai is sought after for business due to its infrastructure and pool of skilled manpower.” 
C Nagendra Prasad
Chairman
Travelexpress

[ INDIA ]
By Shekhar Niyogi 

CHENNAI

WHY IT’S BOOMING The fourth largest city in India, Chennai has grown exponentially in the last few years with new investments in the automobile, healthcare, banking, IT, electronics and petrochemicals sectors. This port city is also a major hub for exports and imports, and its entertainment industry is the second largest in India after Mumbai. The recent creation of the Chennai-Bangalore Industrial Corridor will further add to its business potential.

ACCESS/ACCOMMODATION All Indian carriers fly to the newly refurbished Chennai airport, which is also connected by international carriers like British Airways, Singapore Airlines, Malaysia Airlines, Thai Airways International (THAI), Emirates and Qatar Airways. AirAsia India, the new joint-venture airline by Malaysia’s AirAsia and Tata Group, will commence operation in 4Q2013 from its Chennai hub. The upcoming metro rail will also be commissioned in 2014.

Based on HVS’ 2012 Trends and Opportunities report, Chennai is expected to grow 154 per cent from 4,904 branded rooms in 2011 to 7,547 rooms in 2016. In 2012, hotel occupancy in the city was 66.7 per cent and ARR was Rs5,551. More than 1,000 five-star rooms entered the market last year with the opening of the 600-key ITC Grand Chola, 326-key Leela Palace and 201-key Park Hyatt.

ITC Grand Chola features the 2,465m2 Rajendra ballroom, 12 meeting rooms and an upcoming auditorium, while Leela Palace offers the 1,080m2 Grand Ballroom and 570m2Royal Ballroom, two meeting rooms and seven boardrooms.

Padmini Narayanan, managing director, Akshaya India Tours, said: “We are witnessing a quantum leap in inbound business travel and MICE demand to the city. The new airport terminal and meeting facilities are generating even more demand.”

Vijay Shrikent, general manager, Vivanta by Taj, Connemara, said: “In 2013, we expect occupancy levels to rise despite the addition of more than 1,000 keys. Inbound travel demand is very strong and growing.”

LIFESTYLE ASPECTS Each December, the month-long Margazhi festival showcases Chennai’s classical dance and music, alongside performances from international and domestic artists.

 

AHMEDABAD 

WHY IT’S BOOMING With a population of over 5.5 million, Ahmedabad in Gujarat is a rapidly growing city with economic growth that has surpassed other Indian cities in the last five years. The apex of a three-city industrial cluster – the other two being Surat and Vadodara – Ahmedabad’s major sectors are textile, automotive, pharmaceutical, diamond processing and chemical industries. Business travellers from Japan, South Korea, France, Germany, Italy, Israel, China and Russia are arriving by the droves in Ahmedabad.

“The region is expected to embark on a growth trajectory with landmark projects such as the Delhi Mumbai Industrial Corridor and Gujarat International Financial Tec-City,” said Himadri Mayank, senior manager, Jones Lang LaSalle India.

ACCESS/ACCOMMODATION Indian carriers link Ahmedabad to major cities in the country, while international carriers such as Emirates, Etihad Airways, Flydubai, Qatar Airways, Saudia, Singapore Airlines and THAI have direct flights to the city. THAI Smile has just launched twice-weekly services from Bangkok since March 31. The city is also connected by an extensive rail and road network.

The 176-room Aloft Ahmedabad, SG Road is opening on April 15, while the 116-room Radisson Blu Hotel, Ahmedabad and the 173-room Holiday Inn Express have launched in January 2013. The 178-room Hyatt Ahmedabad was just rebranded from Ista in March.

According to a HVS hospitality study, Ahmedabad’s total room inventory stood at 1,975 rooms in 2012, having seen a compounded growth of 31 per cent from 519 rooms in 2006-2007. Another 2,550 rooms will be added to the city by 2017, of which half will be in four- and five-star categories.

In 2012, Ahmedabad’s average occupancy rose 10.1 per cent year-on-year to 59.8 per cent. The ARR was Rs4,057 (US$75), down 5.3 per cent from Rs4,285 in 2011, while RevPAR grew 4.3 per cent year-on-year to Rs2,426.

The 13.8 hectare Mahatma Mandir Convention & Exhibition Centre has a 5,000-pax main hall, several breakout rooms and a large exhibition space, with the capacity to accommodate 15,000 pax at any time. MICE spaces are also available in hotels like Le Méridien, Courtyard by Marriott, Taj Gateway, Pride and Hyatt.

LIFESTYLE ASPECTS Nestled in Ahmedabad’s outer fringes, Ame Gujarati offers a unique venue for corporate meetings or dinners for up to 300 pax. Each of the eight air-conditioned all-glass huts with tented roofs can seat 24 guests. The cuisine served is vegetarian Gujarati, with a 20-course buffet spread.

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