Bhutan tourism on uptrend despite tariff hike

THE hike in daily tariff in Bhutan earlier in the year (TTG Asia e-Daily, February 7, 2012) has not slowed tourism business for the kingdom.

Bhutan sellers at the recent PATA Travel Mart in Manila said they had registered a double-digit growth in visitor numbers since the beginning of the year, and attributed this to heightened awareness of the destination and its catchy slogan, Happiness is a Place, introduced by Tourism Council of Bhutan in March 2011.

In January, the daily tariff for tourist groups of three pax or more was raised from US$200 to US$250 a night during high season, and from US$180 to US$200 a night during low season.

Despite the tariff hike, Choki Dorji, managing director, Blue Poppy Tours & Treks Thimphu, said he had so far registered a 35 per cent year-on-year increase in arrival numbers for 2012. His main markets include the US, Japan and Germany, with groups spending an average of seven to 10 nights.

Laxmi Sherpa, general manager, Sacred Himalaya Travel Thimpu, observed double-digit growth this year from the US and China. She is now looking to tap new markets such as South Korea, Japan and Singapore through participation at international travel trade fairs.

Laxmi pointed out that the tariff was not particularly costly, taking into account its all-inclusive nature. “It includes accommodation in a twin-sharing three-star hotel, all meals, tours with a licensed tourist guide, internal taxes and charges, transport and transfers. You are well taken care of,” she said.

Russell Oquist, president, MG Tour Company US, explained that the raised tariff had little impact on his clients, who are mostly from the middle- and high-income brackets. “The destination appeals to the adventurous and for those looking for something beyond the ordinary,” he said.

However, Oquist said the challenge in selling Bhutan was the unavailability of direct flights from the US. His clients usually pick Bhutan as part of a twin-destination holiday programme, leveraging onward connections to Paro from cities such as Kathmandu, Bangkok and New Delhi.

Sponsored Post