TOURISM Malaysia is on an aggressive mission to recover Chinese arrivals, striking up marketing partnerships with airlines and working with outbound operators in China to arrange for charters.

Tourism Malaysia’s deputy director-general (promotion), Azizan Noordin, said the NTO is still discussing the mechanics of a six-month advertising campaign to promote holiday packages with AirAsia and longhaul affiliate AirAsia X. The two airlines collectively fly to 12 destinations in China.

Meanwhile, Tourism Malaysia’s charter agreement with Hubei Wanda New Airlines Travel Services is bearing fruit, with a charter from Wuhan arriving in Kuala Lumpur early this morning.

The flights, which commenced on June 30, will run three times weekly up to June 29, 2015. With the projected number of 158 flights, they are expected to contribute a total of 26,386 arrivals from China and RM76.2 million (US$24 million) in tourist receipts, said Tourism Malaysia chairman, Ng Yen Yen.

According to Azizan, Tourism Malaysia is in further discussions with airlines and Chinese travel agencies to offer charter services to Kuala Lumpur and secondary destinations such as Penang, Langkawi and Kota Kinabalu.

He said: “We want to work with the market to reassure the Chinese tourist that Malaysia is safe and make it a top-of-mind destination for China.”

Part of the recovery plans, which was rolled out starting end-May, also involves intensifying promotions in China’s second- and third-tier cities, where the population is more open to holidaying in Malaysia.

In addition, the NTO will organise regular fam trips for Chinese travel consultants, the media and top CEOs and decision-makers.

Arrivals traffic from China took a drastic tumble in the wake of the mysterious disappearance of Malaysia Airlines’ flight MH370 on March 8, which was on its way to Beijing with 153 Chinese nationals on board.

Some 30,000 tourists from China cancelled or suspended their holidays up to early 2015 after the incident, and tourism arrival statistics for April 2014 show a 19.5 per cent year-on-year drop in Chinese visitors to 132,158 tourists.

INDUSTRY professionals keen on a deeper understanding of the different Asia-Pacific travel economies can now purchase the second volume of PATA’s Asia-Pacific Visitor Forecasts 2014-2018.

Following May’s release of the first volume, the executive summary, the second volume provides more detailed and extensive quarterly forecast data for each of the 38 destinations within the region for 2014-2018.

These include:

– Between 2014 and 2018, average growth in visitor arrivals is projected at 6.5 per cent annually
– South-east Asia is expected to show strongest average annual growth of 13.3 per cent, followed by South Asia with 7.3 per cent
– Intra-Asia-Pacific travel will increase from 338.6 million in 2014 to 461 million by 2018, thanks to growth in Asia’s middle-class market
– Russian international visitor arrivals into the region are predicted to rise at almost 20 per cent per year over the period, to reach an inbound volume of almost 15 million by 2018

To purchase and read the full report, visit www.PATAstore.com.

MYANMAR’S first floating hotel at Botataung Jetty, Yangon will be launched in early August following extensive renovation to convert the engine-less vessel into accommodation.

Pyae Phyo Oo, operation manager of the Vintage Luxury Yacht Hotel, said the hotel was influenced by 1920s designs and is owned by the local Hla Hla Pa Pa Company.

He said: “From the survey we conducted, we found that about 20 per cent of total arrivals to Myanmar are in the luxury market. They are mostly from Europe – especially Germany, Russia a the Netherlands – and, from Asia, Japan. So our main idea is to attract them to stay in our hotel and enjoy the scenery and beauty of Yangon River while being less than a five-minute drive from downtown Yangon.”

The 2,000 tonne vessel originally from Finland comes with five storeys and offers 104 rooms comprising two Executive Suite rooms, 46 Deluxe rooms (with and without balcony), and 56 Junior Deluxe rooms, two restaurants, two bars, a meeting room that sits 40 pax in theatre-style, two meeting rooms for 25 pax each, a spa, Jacuzzi, business centre and souvenir shop.

Room rates at the Vintage Luxury Yacht Hotel range from US$250 to above US$800. The hotel’s pre-opening deal offers rates at US$99 without taxes for a junior deluxe room.

The company is planning to add a 400-room vessel in future next to the current one.

THE much talked-about Asian Century is expanding its influence into the travel sphere, with Asian destinations clinching five out of top 10 positions in the MasterCard Index of Global Destination Cities 2014.

Released yesterday, the list ranks global cities according to the number of international overnight visitors the cities are expected to receive for the year. Asia-Pacific bested last year’s efforts, when the region took four places.

While Bangkok relinquished its top spot from last year to London, it still came in strong at second place to lead the other Asia-Pacific cities in the top 10, which are Singapore, Kuala Lumpur, Hong Kong and Seoul respectively.

Accounting for the drop in Bangkok’s ranking, Matthew Driver, president, South-east Asia, MasterCard, said: “It is unsurprising due to the political unrest and uncertainty that has plagued Thailand since the latter part of 2013.

“However we are optimistic that Bangkok will come back in the foreseeable future as number one,” he added. The Thai capital is predicted to see an 11 per cent decline in visitors from last year.

According to the Index, Bangkok is projected to receive 16.4 million visitors this year, followed by Singapore in fourth place with 12.5 million (3.1 per cent growth) visitors, Kuala Lumpur in eighth with 10.8 million (+13.1 per cent) visitors, Hong Kong at ninth with 8.8 million (+seven per cent) and Seoul at 10th with 8.6 million (+4.7 per cent) visitors.

Highlighting the prevalence of South-east Asian markets in the top 10, Driver said: “(The South-east Asian) market is clearly supporting the growth of global tourism as we can see the increasing development of tourism infrastructure there and the broad appeal that they are putting up to the world.

“We have to attribute this growth in the (South-east Asian) market also to the LCCs because they have helped make a prominent presence in air travel today which makes it easier to go to some of these destinations,” Driver added.

Meanwhile, Singapore topped the region with highest international visitor spend of US$14.3 billion expected this year, up from US$13.2 billion last year.

Driver said: “We can see how Singapore has a very deliberate strategy to develop its tourism assets, and in Singapore’s push for quality tourism by driving spending up instead of solely focusing on numbers, it is undoubtedly clear that Singapore is doing a good job.”

The top 10 cities in the MasterCard Index of Global Destination Cities are:

1. London
2. Bangkok
3. Paris
4. Singapore
5. Dubai
6. New York
7. Istanbul
8. Kuala Lumpur
9. Hong Kong
10. Seoul

CANADA is allowing nationals of China, India and Mexico who have travelled to the US or Canada within the last decade to acquire a multiple-entry visa with 10-year validity.

Applications for the new CAN+ visa can be processed within five days over the usual 10. The visa was pilot tested in May with a five-year validity and was officially launched this month with twice the length of validity.

Canada also offers Indians, Chinese and Mexican nationals the Super Visa, for those whose child or grandchild resides in Canada; and the Express Visa for business travellers.

Canada issued over 130,000 visas to Indians in 2013.

Ashwani Gupta, managing partner, Amritsar-based Dove Travels, explained: “A third of all Indians travelling to Canada are repeat visitors and will easily qualify for CAN+. Many Indians visit friends and relatives there. The new visa will boost Indian arrivals by at least 15 per cent immediately.”

Reuven Sagi, director, RAS International Tours Mexico, said: “Canada is a popular destination and fast-track visas will grow the outbound tourist traffic by 15 per cent.”

A SLEW of measures to upgrade and modernise India’s rail network – including plans for its first bullet train – was proposed in Parliament yesterday as the new Indian government sought to live up to its election promises.

Railway minister DV Sadananda Gowda said India’s first bullet train will be launched on the Mumbai-Ahmedabad sector. On the table are also a planned ‘diamond quadrilateral’ network of high-speed rail connecting four metro cities (Delhi, Mumbai, Kolkata and Chennai), and deployment of high-speed trains on the nine existing rail circuits.

“(The state-owned) Indian Railways is on its way to fulfil the long-cherished dream of running a bullet train. While bullet trains will require completely new infrastructure, higher speed for existing trains will be achieved by upgrading the present network,” said Gowda.

Routes where high-speed trains will be rolled out include Delhi-Agra, Delhi-Chandigarh, Bengaluru-Chennai and Mumbai-Goa. Some 58 new trains, as well as tourist trains to connect religious pilgrimage destinations, will be introduced.

Gowda gave no time frame for the proposed projects but said US$83 billion will be required over the next 10 years to fund these plans, and the ministry will seek a mix of private and foreign direct investment and public-private partnerships to this end.

Major railway stations will be improved with new food courts, while private companies will be roped in to maintain a higher standard of hygiene.

Welcoming the proposal, Subhash Goyal, president, Indian Association of Tour Operators, expects that an upgraded rail network will encourage international and domestic tourism, noting: “International tourists complain about the food quality and poor hygiene at railway stations.”

Madhavan Menon, managing director, Thomas Cook India lauded the budget as “visionary and a significant step towards developing new tourism hubs”.

Likewise Rajesh Magow, co-founder and CEO-India, MakeMyTrip, said: “This rail budget heralds positive developments for the domestic travel sector. We welcome the decision to push private-public partnerships and open foreign direct investment in rail infrastructure, as it will ensure better services and products for the traveller.”

TRAVEL and tourism employers in Asia must put their heads together to see how they can improve public perception of the industry in order to attract the best talent and skill sets, said panellists at the Asian Travel & Tourism Industry Dialogue: Developing Human Capital & Talent Management.

As a prelude to travel and tourism week TravelRave 2014, the Singapore Tourism Board (STB) kickstarted this year’s multi-city media roundtable series with a panel discussion in Singapore that centred on how to attract more talent to join the industry. The session was moderated by Caroline Boey, senior correspondent-China/special projects, TTG Asia Media.

Solutions mooted included raising awareness of industry success stories, the range of opportunities in tourism and the international exposure the industry offers.

Neeta Lachmandas, assistant chief executive of STB, commented: “While the job opportunities within the tourism industry are phenomenal, we are competing with other sectors for talent. The competition and war for talent is stiff. We need to equip ourselves to make sure that we are getting the best talent, the best skillsets to join our industry.

“As we look at consumption patterns, the reality is that Millennials are going to consume differently. If we want to be relevant to them, I hope we are bringing in young talent into the industry and using the talent to design experiences for the future.”

SACEOS president, Janet Tan-Collis, shared that SACEOS has been developing internationally recognised courses to meet the needs of the next generation. “Let the young people come in and decide where they can make the change,” she urged.

Meanwhile, panellists also highlighted the need to ensure middle management posseses the right set of skills to sustain the industry.

Said Marc Dardenne, CEO of Patina Hotels and Resorts: “My recommendation is for Singaporean managers to travel and get experience out of Singapore. That is how you really learn – by going through challenging situations. In our profession, it is all about having international experience, understanding different customers, being open minded. You learn this when you go out of your comfort zone.”

Agreeing with Dardenne, Margaret Heng, executive director of the Singapore Hotel Association and CEO of SHATEC, commented: “The strongest link within the organisation to retain talent is the middle management. Middle managers play an important role in creating an environment to encourage retention.”

Yesterday’s media roundtable was the first in a series to be held around the region. The next session will take place in Bengaluru on July 10, followed by Beijing on July 21, Shanghai on July 23, and ends in Jakarta on August 26.

TravelRave 2014 will be held from October 27 to 31.

A NEW and sudden directive from India’s income tax authorities requiring travel consultants to report all customer payments exceeding Rs100,000 (US$1,671) within a month from transaction has put the trade in a dilemma.

Travel consultants TTG Asia e-Daily spoke to feel that the July 1 order, which covers cash, cheque and credit card payments, will upset customers who do not want such information being passed on to the Income Tax Department.

Sajan Gupta, managing director of Vayu Seva Tours Kolkata, lamented: “We will lose business if we insist on passing on client details. It is a breach of client confidentiality. Now clients will spread the business, buying four tickets from four agencies to keep each invoice below Rs100,000.”

Syrisa Travels Mumbai’s director, Sonal Swamy, predicted that this would put brick-and-mortar travel agencies at a disadvantage: “Corporate clients will stop booking through us and start buying online as it is not binding on airlines and online portals to pass on similar information.”

Some travel consultants believe an alternative is to separate a purchase into several invoices to circumvent the law.

TTG Asia e-Daily understands that reasons for making reporting transactions compulsory include identifying untaxed transactions and preventing the inflated invoicing of travel concessions for government employees.

A similar directive was issued in 2011 for cash payments but was rescinded after the Travel Agents Association of India (TAAI) voiced concerns.

Iqbal Mulla, president of TAAI at the time, commented on the present situation: “Instead of targeting travel consultants, tax authorities should seek these details from IATA’s Billing and Settlement Plan…every sale across the world is recorded there.”