Japan faces room shortage as arrivals soar

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Tokyo

THE Japanese government may have plans to attract 40 million foreign visitors a year by 2020, but travel companies are concerned about the lack of infrastructure, especially accommodation capacity, to meet the added demand.

But with eight trillion yen (US$72.4 billion) in tourism receipts expected, Japan is making sure the arrivals targets are met. There are plans to further relax visa requirements and to improve access to regional airports, for instance.

Steps are also being taken to address the lack of rooms, such as the easing of rules for private home rentals. Even then, the popular destinations of Tokyo, Kyoto and Osaka will simply not have enough accommodations by 2020.

“The basic problem we are facing is that we cannot secure sufficient hotel rooms. The rise in the number of people coming to Japan is already so steep that travel agents are not able to cope,” said Tetsuya Takeda, general manager, inbound division, Nippon Travel Agency.

“Even now, we are turning down clients because we cannot secure accommodation, with the situation the most difficult during cherry blossom seasons,” he added.

Geoff Tudor, senior analyst for Japan Aviation Management Research, however, explained that “the government’s plan is to encourage visitors to go to other regional airports, where capacity is still available and local communities are keen to welcome tourists”.

In any case, “four years will not be enough time to create all the infrastructure that is required for 40 million visitors,” stated Takeda, adding that developers are not in any rush to build hotels since it is more profitable to construct office and residential properties.

Japan is also gearing up to host the Olympic Games in 2020, where a surge in arrivals is to be expected.

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