Hong Kong trade sceptical about mooted 20% cut in Chinese arrival

HONG Kong chief executive Leung Chun-ying’s suggestion to slash the number of mainland Chinese visitors by 20 per cent has generated heated debate but tourism stakeholders suggest the government focus on building capacity instead.

Leung’s consult with the Commission on Strategic Development is aimed at reducing infrastructural strain from the influx of tourists brought in by the Individual Visit Scheme (IVS) when Hong Kong relaxed the rules for FITs coming from six Chinese cities almost two years ago (TTG Asia e-Daily, September 3, 2012).

Supporting the mooted change is Hong Kong Association of Registered Tour Co-ordinators chairman, Wing Wong. “(Chinese FITs) don’t benefit our inbound operators at all, except the retail, hotel and transport operators… They pack the shops and there are long queues at immigration counters. Everything is becoming pricey due to higher demand, so other leisure travellers feel Hong Kong is more costly than before,” he said, adding that a 20 per cent reduction is “acceptable”.

In the retail sector, Yue Hwa Products Emporium’s director and general manager Yu Pang-chun could not agree, explaining that turning the Chinese visitors away would drive business away to other destinations.

But Yu admitted the city’s capacity was insufficient. “The city doesn’t have enough tourism infrastructure and there has not been many new additions over the last 10 years as compared to pragmatic Singapore. Therefore, there is a need to expand the pie and build more infrastructure.”

Likewise Charles Ng, honorary president of Hong Kong Inbound Tour Operators Association, said the cut would not resolve the “root cause”, which is the lack of resources. “Therefore, development of other tourism resources is vital,” he stressed.

“Instead of cutting 20 per cent, we should increase inbound traffic from all markets by 20 per cent or more. Group tour traffic is vulnerable to external factors…With a cut, frontline tour guides will suffer and the local economy will be challenged and ruined,” said Ng.

Hong Kong Disneyland’s managing director, Andrew Kam, said: “Hong Kong Disneyland will closely monitor the development of relevant policies and situations.”

Read how an overcrowded Hong Kong is struggling to accommodate a growing number of Chinese tourists

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