TOURISM minister Ng Yen Yen is confident that Malaysia will meet its target of 25 million arrivals for the year, even though external factors have affected several major source markets.

Thailand, Malaysia’s third largest source of arrivals last year, is undergoing a transitional period, having just endured a regime change following July’s election; Europe and the US are suffering from one financial hiccup after another; while the disasters that hit Japan in March have drastically reduced outbound numbers from the country.

Competition from Singapore, with its new products such as the Universal Studios theme park and integrated casino resorts, was also expected to have an adverse effect on inbound to Malaysia, said Ng.

In spite of the challenges, a rise in tourist numbers from China, the Middle East, India and Russia is expected to take up the slack, and even boost arrivals by 0.2 per cent over last year’s 24.6 million visitors.

Ng said the tourism ministry would focus on these emerging markets, as their spending capacities were quite high, while existing promotions would remain online.

According to Asian Overland Services Tours & Travel director of sales, Andy Muniandy, the Middle East market had been especially resilient, with a surge in visitors from the region in July causing a room shortage in Kuala Lumpur.

“With Liverpool, Chelsea and Arsenal playing in Kuala Lumpur over 10 days in July, we could not get enough rooms because their Middle East fans travelled to the city for these games,” he said.

AOS sent the Middle East customers to various island resorts on arrival in Malaysia, before bringing them back to Kuala Lumpur for the football games.

“This was equally difficult as rooms on the islands were also heavily booked,” Muniandy said.

By N. Nithiyananthan

EVEN as Chiang Mai’s commercial areas were hit by floods late yesterday due to the Ping River overflowing its banks, some seminars and incentives scheduled to begin today have continued as planned.

The Thailand Incentive and Convention Association (TICA) is carrying on with its biennial, 17th Convention Promotion Seminar and Convention Exhibition, scheduled from today till October 1. The event will see about 120 buyers from local professional and medical-related associations, government agencies from Bangkok, as well as about 80 local sellers.

TICA manager Prapaphan Sungmuang said due to the flood and for logistical purposes, all buyers would be relocated from the four assigned hotels (including dusitD2, Shangri-La and Holiday Inn) to stay at the event venue, Le Merdien Chiang Mai.

Asia World Destination Management director, Max Jantasuwan, said a golf tournament incentive for 85 persons from today till October 2 would also go ahead as planned.

According to Jantasuwan, about eight participants arrived yesterday and two other groups came in this morning—all are staying at the Four Seasons Chiang Mai. “For us, there is no direct impact, only that we have to relocate the outside lunch venue,” he said.

Sukanya Janchoo, general manager of dusitD2 and Dusit Princess Chiang Mai, said the flood had affected both properties, but that damage was not severe as preemptive measures had been taken beforehand.

“Both hotels are running at about 20-30 per cent occupancy as this is the low season in Chiang Mai,” she said. “Some guests have been relocated to other hotels, but there are no cancellations on forward bookings.”

By Sirima Eamtako

KOH Samui hotels posted an islandwide average occupancy rate of about 62 per cent in the first eight months of the year, up from 50 per cent during the same period last year.

Bannasat Ruangjan, president of the Tourism Association of Koh Samui, said he was expecting a 60 per cent average occupancy rate for the entire year, taking into account the sluggish performance during the flood in end-March, and the low period coming up in October-November.

“The prospect for next year looks good too, as Koh Samui is getting more flights – from Singapore – (TTG Asia e-Daily, September 27) and new markets such as China,” he said, adding that Chinese visitors to the island were mostly from the high-end segment.

Meanwhile, Saiphayom Somsuk, chief of Koh Samui Tourism Coordination Centre, Tourism Authority of Thailand (TAT), said the office would continue to promote the destination to up-market travellers from both European and Asian markets, and would ramp up efforts to entice honeymooners, weddings and families.

“The codeshare agreement between Bangkok Airways and SilkAir on the Singapore-Samui route will allow us to attract more wedding couples from Australia, on top of the mature wedding market from Europe, especially France and Germany,” she said.

Saiphayom added that Koh Samui had recently been selected by TAT as one of four areas in the country – along with Mae Hong Son, Chiang Khan and Nan – to be promoted as green tourism destinations to high-end visitors.

By Sirima Eamtako

ORCHARD Hotel Singapore, a member of Millennium & Copthorne Hotels (M&C), has unveiled its Claymore Wing, which recently went through a S$10 million (US$7.7 million) overhaul.

All 331 guestrooms in the Claymore Wing, which includes its executive club floors, have undergone a full refurbishment.

The new executive suites, executive club rooms and deluxe rooms have taken on a contemporary appearance, while the executive club lounge features three private meeting rooms with natural daylight features, a business centre equipped with the latest hi-tech equipment, and a television lounge.

Lim Boon Kwee, senior vice-president of Asia for M&C International, the regional arm of M&C, said: “Singapore expects more than 13 million visitors this year, so the refurbishment at Orchard Hotel introduces a breath of fresh air and keeps the hotel poised for long-term competitiveness.”

IRELAND is offering visa-free entry for Indian nationals holding UK visas from now till October 31, 2012.

The visa-free facility, which allows visitors to stay for up to 90 days provided they have cleared immigration at a British port of entry, has also been offered to 13 other nations including China and Russia.

Vijay Dadhich, managing director of New Delhi-based Blue Moon Travels, said: “This will allow seamless travel to a really attractive country that is hitherto unexplored by most Indians. We can now package Ireland with England, Scotland and other popular British destinations for Indian travellers.”

Ireland is expecting a 20 per cent growth in Indian arrivals this year, up from last year’s 15,500 visitors.

BEST Western International has opened the Best Western Kuta Seaview in Kuta, Bali.

The new-built hotel, located 15 minutes from Ngurah Rai International Airport, offers 144 guestrooms in standard, superior, deluxe and junior suite categories.

Facilities include a swimming pool, Taste Restaurant serving Asian and Western cuisine, a 24-hour coffee shop, a rooftop lounge & bar, and two meeting rooms with capacity for 20-50 people.

Best Western has another property in the area – the 75-room Best Western Resort Kuta.

RESULTS of the Visa Global Travel Intentions Survey 2011 showed that the US, the UK and Japan were top travel destinations among 11,620 respondents from 23 countries.

Twenty percent, or one in five respondents, said they are likely to travel to the US for leisure in the next two years; 19 per cent the UK; 16 per cent Japan; and 15 per cent each for France and Italy.

According to Meranda Chan, country manager, Singapore and Brunei, Visa, the “great cultural diversity, amazing scenery and a shopping paradise for holidaymakers” are reasons why the US is a survey favourite.

As for the UK, Chan added: “The upcoming London 2012 Olympic Games could be a pull factor, and it is an indication that sport tourism is proving to be a growing attraction for today’s travellers.”

The survey also found that sentiment for Japan still ran strong, especially in the destination’s key markets in mainland China and South Korea.

“More than one in three (34 per cent) respondents from mainland China and one in four (24 per cent) respondents from South Korea said they are likely to travel to Japan in the next two years. This is in line with PATA Destination Trends that international arrivals to Japan have picked up slightly post-tsunami,” Chan added.

The survey also revealed that global average spend for the last trip taken by respondents in the past two years was S$1,912. Australian respondents were the highest spenders, with an average of S$4,693 (US$3,636) spent on their last trip, followed by Saudi Arabia with S$4,039.

The Visa Global Intentions Survey 2011 was an online and offline survey conducted by Nielsen in February and March.



TICKETING agents in Indonesia want the new management of Mandala Airlines to make a decision on their unclaimed deposits, the result of the airline stopping operations in January, as well as improve its payment system.

Indonesia Ticketing Agents Association (ASTINDO) head of ticketing division, Pauline Suharno, said: “We have sent a letter to Mandala requesting for a meeting to discuss the matter. We would like to hear what options they are giving us, but we would definitely not accept conversion of our deposit into shares (that was offered by the previous management), as it will be complicated. That would also mean that agents need to refund passengers’ unused tickets in cash.”

ASTINDO chairman Elly Hutabarat added: “One suggestion we are giving them is to liquidate the money and to credit that as our deposit again. For example, an agent who had 10 million rupiah (US$1,120) in deposit earlier will get that amount back as their deposit with the new management.”

Pauline also said members would also be negotiating for a better payment system to avoid a repeat of the situation.

Mandala Airlines finally signed a sales agreement with Saratoga Group and Tiger Airways over the weekend, and the airline is expecting to restart operations in three months, according to Saratoga Capital co-founder Sandiaga Uno, as quoted by local media.

Saratoga Group now holds 51 per cent of Mandala shares, Tiger Airways has 33 per cent, with the rest belonging to congruent debtors and old shareholders.

The airline will operate A320 aircraft and will operate as a low-cost carrier, with domestic and regional networks within a five-hour flight time distance. 


PHILIPPINE Airlines (PAL) president and COO, Jaime Bautista, said that PAL would implement spinoff plans for its non-core businesses in catering, telesales and groundhandling operations three days ahead of its October 1 deadline, in response to a surprise strike by PAL Employees Association (PALEA) that stalled operations yesterday.

The strike, which had an impact on ground operations and disrupted the flag carrier’s flights between 7.00 to 19.00, coincided with Typhoon Storm Nasat in the Philippines. As of 15.00 yesterday, the Ninoy Aquino International Airport estimated that as a combined result of the PALEA strike and typhoon, a total of 172 PAL flights and an estimated 14,000 passengers were affected.

On September 24, PAL announced contingency measures to ease transition from outsourcing. This included reducing domestic flights by 30 per cent on 14 routes and cutting international flights by 12 per cent on 11 routes.

Robert Lim Joseph, chairman of Tourism Educators and Movers TEAM Philippines and owner of the Travel Cooperative of the Philippines agency, said: “This should’ve been done earlier, more than a year ago. The outsourcing was inevitable – the market is strained, competition is strong, fuel prices account for 45-55 per cent of total cost. You cannot buy old planes or compromise on safety or security…you have to make PAL lean and mean.”

While Jeepney Tours managing director Clang Garcia expressed dismay at the plight of PAL workers, she said: “PAL secured a loan to take care of the employees’ (separation package). They’re bleeding. They’re being eaten by competition from local carriers.”

Both also expressed concern that the open skies policy was affecting PAL.

“Look at the US – they have collapsed airlines because of open skies. There should be a regulatory board that upholds safety and fair competition,” Joseph said.

Garcia also added: “Because of the open skies policy, the government should think about providing marketing funds to its flag carrier so it will be able to compete.”

IPOH-based Lost World Hotel, which opened in May with 96 rooms, will add a second block of 78 rooms including family suites, starting December 1 at an estimated RM30 million (US$10 million) cost.

The hotel is a core feature of the Lost World of Tambun theme park, which attracts 600,000 visitors a year.

Lost World of Tambun general manager, Calvin Ho, said: “The new block is to cater to families wanting a longer stay at the park. We expect an occupancy rate of 60 to 70 per cent once it opens.”

While consistently running at 100 per cent occupancy during weekends, the hotel currently averages 50 per cent occupancy.

“We expect our occupancy rate to rise with the increased inventory because we will be able to take on bigger groups, which we cannot do at present,” Ho said.

Additional features are a meeting room with a capacity of 200. But just like the existing block, there will be no F&B facility. “We realise that many visitors come to Ipoh to taste the local food. We encourage them to go out and do so,” Ho said.

Singapore-based Lokopoko Travel head, Iwan Yang, said of the development: “The Lost World of Tambun is something we can package for our market. It is hard to say what the response will be though.”

By N. Nithiyananthan