JAPAN’S extensions to its bullet train network, or Shinkansen, which consist of two new stretches spanning areas relatively nascent in terms of international tourism, will be opening at a earlier date than expected.

The extension of the Hokuriku Shinkansen from the popular tourist destination of Kanazawa to the city of Tsuruga was initially scheduled to open in 2025, but that project is now being brought forward by three years.

The Hokuriku region covers four prefectures on the Sea of Japan/East Sea coast and the new track will greatly reduce the time required for visitors to reach the historic city of Fukui, which is 97km north-east of Kyoto and 115km north-west of Nagoya.

The second bullet train extension, connecting Sapporo on Hokkaido with Shin-Hakodatehokuto was due to be ready for operation in early 2036. However, its completion is now being advanced by five years.

Hokkaido, Japan’s most northern main island, is keen to develop its winter sports industry and has been mooted as a destination for the Winter Olympic Games in the future.

The travel industry welcomes the announcement and is already making plans to promote tourism in the areas that will benefit from the extended routes.

“Demand for domestic travel is rising every year,” said Tstsuki Miura of the corporate planning department at HIS.

“HIS will set up a special web page featuring the Hokuriku bullet train from January 30, and we will prepare tours for Japanese as well as foreign travellers to this region,” he said.

The Japanese government estimates that the construction work will cost US$4.5 billion and is looking into raising the necessary investment funds from financial institutions.

BANYAN Tree Hotels and Resorts will be adding 28 new properties within the next four years, and is looking at several projects in South America, the US, Europe and the Middle East.

The additional new properties will be spread across the Banyan Tree (14), Angsana (10) and most recent Cassia (4) brands.

Banyan Tree vice president for sales and marketing, David Spooner, said: “Our first Cassia hotel will go live in Phuket this December. Other destinations (expecting the brand) include Bintan, Lijiang, Sri Lanka, Gold Coast of Australia, New York and London. The group will build and sell the property, then market it for the owners.”

The group will also roll out its fourth brand in 2016, he revealed, which focuses more on the mid-market and will be operated through management contracts.

He added that the rationale behind aggressive expansion is to become a “good collection of brands”.

”We’re a rising brand in Asia and our goal is to compete with Four Seasons. China remains a powerhouse and we have just opened Banyan Tree Yangshuo and Angsana Xian Lintong there, to be followed by Banyan Tree Huangshan, Angsana Chongqing Beibei and Banyan Tree Jiuzhaigou within this year.”

The group is also catering to the growing category of health-conscious guests. Spooner explained: “Hot spring resorts have been in China for a while and it’s getting popular as people are desiring a healthy lifestyle. However, most operators are domestic, so we’ll bring this type of resorts to international level.

“Our new hot spring resorts include Banyan Tree Chongqing Beibei, Angsana Tengchong Hot Spring Village, Angsana Xi’an Lintong (the hotel is open but its hot spring will be ready this May) and Angsana Chongqing Beibei (opening this year).”

Playing down the impact of China’s anti-corruption crackdown on the group’s business there, he said: “Luxury is a very wide term and we don’t cater much to this type of travel, which happens mostly in the city centre.

“The majority of our guests are not related to government travel. In fact, our brand is not blatantly luxury but more discreet and understated luxury.”

MALAYSIA is considering the total abolishment of visa requirements for Chinese tourists, instead of the earlier plan of waiving visa charges.

The Ministry of Tourism and Culture and the Ministry of Home affairs are preparing papers on the possibility of abolishing the visa requirements, to be presented at the Cabinet meeting next week, reported local broadsheet The Star.

Winnie Ng, deputy general manager, Pearl Holiday Travel & Tour, said the removal of visa requirements is a better alternative than waiving the visa fee because it “attracts last-minute travellers and takes away the hassle of visa application”.

Mint Leong, secretary-general of the Malaysian Inbound Tourism Association, said the move would create a level playing field with neighbours Indonesia and Thailand.

However, she pointed out: “It does not mean that just by removing visa requirements, Malaysia will be as attractive as Thailand. We cannot compete with Thailand in terms of pricing and attractiveness of the destination.

“Thus, it is very important for Tourism Malaysia and industry players to work together on creating tactical promotions and new itineraries enticing to the Chinese. While the Malaysia Year of Festivals 2015 campaign will certainly help generate interest in the destination, what is needed now is to create awareness about this campaign to the outbound Chinese tour operators and the Chinese consumer.”

She added: “In the long term, the visa waiver will see an improvement in Chinese arrivals, but a decision made within the next few weeks will be too late for a big impact on Chinese arrivals for the upcoming Lunar New Year.”

SINGAPORE Tourism Board will partner homegrown Temasek Holdings to create a nature-themed attraction for recreation and education in the Mandai precinct, with green public spaces for both locals and visitors, announced the Ministry of Trade and Industry yesterday.

The partnership includes the development of new attractions that will be integrated with the existing Singapore Zoo, Night Safari and River Safari, to be carried out in an environmentally conscious manner.

When completed, the Mandai precinct outside the nature reserves will comprise a total area of about 120ha, including the current cluster of wildlife attractions.

Commenting on the partnership, S Iswaran, minister (prime minister’s office) and second minister for home affairs and trade and industry, said: “Temasek’s concept builds on and significantly enhances the current attractions in Mandai.

“The proposal is sensitive to the area’s unique environment, while including exciting ideas and developments that will bring benefits to both Singaporeans and tourists.”

Additionally, Temasek will be commissioning an environmental impact assessment to evaluate the likely effects of the proposed development, with guidance from the National Parks Board.

The company will also work closely with relevant government agencies, such as the national water agency PUB to ensure reservoir water quality continues to be maintained.

THE South Beach hotel and leisure complex, a new concept in accommodation and hospitality in Asia, will open in Singapore this summer and Japanese travel operators are keen to introduce it to their clients.

A preview of the the property’s opening took place in Tokyo on Wednesday, and South Beach Consortium CEO, Aloysius Lee, told TTG Asia e-Daily the property is “a perfect fit” for Japanese visitors.

“Japanese consumers are always looking for a high degree of style and we deliver that through our HIP (Highly Individualised People in a Highly Individualised Place) concept,” he said. “Japan is sixth in terms of visitor numbers to Singapore and they are an important part of our market because they see the city as a destination instead of a transit point, so they tend to stay longer.

“And we want to see one person staying five nights rather than five people staying just one night,” he added.

The hotel has incorporated a number of features that will appeal to Japanese travellers, on top of the already impressive dining, retail and leisure facilities.

Lee shared: “We have floors set aside solely for ladies and we think that will work well for Japanese clients. While we also have doubled our security measures, we believe more mature Japanese women are now travelling, either solo or in groups, and they want exclusivity and safety, and we are happy to ensure that.”

Toshiyuki Watanabe, manager of the JTB Corp team that oversees the company’s operations in South-east Asia, says Singapore is a burgeoning market for Japanese tourists.

“We are doing around 32,000 people a year in group tours alone to Singapore each year and that makes the destination an important part of our business,” he said.

“A lot of Japanese visited Singapore in the past, but they know there have been big changes there recently and now they want to go and see the ‘new’ Singapore,” he added.

Top activities for Japanese tourists are shopping, dining out and visiting casinos, he said, with “unique” new properties such as The South Beach also adding to interest in the destination.

AIR France inaugurated its new La Première cabin on board flight AF254 to its two key Asian markets of Singapore and Jakarta, departing from Paris-Charles de Gaulle on Monday.

From February, the new Air France cabins will be available on board all daily flights to Singapore and Jakarta, an initiative to “reaffirm the importance of South-east Asia, and to attract and retain premium customers”, said Frédéric Gagey, chairman and CEO, Air France.

Each suite in the cabin offers passengers privacy with full-length curtains and a screen, as well as seats that can be converted into a fully-flat bed, among other things.

Patrick Roux, Air France KLM (AFKL) senior vice president, Asia-Pacific, highlighted Singapore and Jakarta as two prominent hubs in South-east Asia. “We are looking to develop connectivity in the region and perhaps in the future we can look at other newer destinations, but these are the two for now.”

IN SPITE of the terrorism rage that has gripped Paris in recent weeks, tourists from Singapore are still heading to the destination, travel consultants say.

Dynasty Travel marketing communications director, Alicia Seah, said: “Although Paris is currently facing a tight security situation, we have not received any calls of cancellation nor change of destinations.

“Nevertheless, we would advise all travellers to register with the Ministry of Foreign Affairs (MFA), purchase a comprehensive travel insurance and avoid visiting places not recommended by the local guide or tour manager, especially at night.”

Similarly, tours to France have not been unaffected and are running as scheduled for Chan Brothers Travel, according to its marketing communications manager, Jane Chang.

“We ensure customers are well informed of the situation and the prevailing travel advisories or notices if any, prior to departure or reservation. We also advise them to stay away from sensitive areas.”

Hong Thai Travel Services’ bookings to Europe too, are as per normal, revealed its marketing representative.

Alvin Lim, spokesperson for the National Association of Travel Agents Singapore (NATAS), said members the association spoke to said none of their outbound travel groups have been affected so far. NATAS has also advised the purchase comprehensive travel insurance and to e-registration with MFA.

Over in Malaysia, travel agencies TTG Asia e-Daily spoke with also reported no cancellations or impact.

Meanwhile, UNWTO secretary general Taleb Rifai said on Monday the terrorist attacks in Paris are unlikely to have any effect on European inbound tourism.

“Tourism is a very resistant sector, very solid,” he told audience at an economy forum in Madrid, where the organisation is based.

Although he acknowledged that government reactions to the attacks could lead to some changes, such as restrictions in the freedom of movement, he added that visitors are not intimidated and while they would be more careful, “they will keep travelling”.

Additional reporting from David Ing

IN ITS boldest restructure yet, Kuoni has announced it would exit the tour-operating business and is seeking buyers for Kuoni Switzerland, the UK, Benelux, Hong Kong/China, India and operations in Scandinavia/Finland in the course of this year.

Ending over 100-year legacy as one of Europe’s giant tour operators, Kuoni will be a seller rather than buyer to the industry, with B2B hotel and land wholesaling, destination management services and visa facilitation as its core businesses. These already account for 60 per cent of current consolidated turnover.

Kuoni has been moving towards this strategic direction, snapping up B2B operator GTA from Travelport in 2011 and selling off outbound businesses in France, Italy, Spain and Holland in the past two to three years.

The impending sale may affect Asian Trails, a profit-making regional DMC owned by Kuoni, for which Kuoni Switzerland and UK are huge accounts. Under a new owner, they are no longer obliged to use Asian Trails to handle their clients.

However, Asian Trails chairman Luzi Matzig believes it will in fact turn out to be positive. He told TTG Asia e-Daily: “As you may recall, Kuoni sold off its outbound businesses in France, Italy, Spain and Holland two or three years ago. Yet, we are still handling these operators who have been mostly taken over by former managers and staff. It seems that these units, after being freed from corporate ‘guidance’ by Kuoni Zurich head office, developed fresh entrepreneurial spirit and did better than ever before as they were able to adapt more quickly to their individual markets and with very much reduced overheads.
“Therefore I believe that things can only get better once the remaining Kuoni outbound operations are sold and I see the whole development as a positive move.”

Kuoni-owned DMCs in Asia such as Asian Trails and SITA are profitable and, with the region continuing to grow, Kuoni in a statement said it would invest additional resources in Asia, along with the Middle East and Africa, across the three core businesses.

On a pro-forma basis, the new Kuoni employs around 8,000 people with a turnover of 3.4 billion Swiss francs (US$3.3 billion) in 2014. The impending sale cuts 3,800 people and 2.2 billion Swiss francs turnover.

The question remains as to who will buy Kuoni, with the move casting a deeper shadow on the future of tour operating in a stagnant market such as Western Europe, where the evolution of direct bookings of air/hotel makes it hard for generalists to be profitable.