LANGKAWI – Despite a strong rebound in domestic tourism, there is still significant struggles and trepidation among the local travel trade community, which is calling for extensions in loan moratoriums, wage subsidies and aid for marketing.
Recently, a video claiming that more Malaysians are flocking to the neighbouring southern Thai cities of Danok and Haadyai for a break despite the gradual decline of the ringgit against the baht went viral.
The clip showed that there are more exciting attractions there than in Langkawi, prompting consternation from the industry in Malaysia.
Tropical Charters Sdn Bhd owner Datuk Issac Alexander said that the authorities need to do more for tourism because several months of recovery cannot substitute the losses incurred during two years of lockdowns.
In an interview, he pointed out that after the lockdowns came the unprecedented rise in living costs, driven also by an acute shortage of workers.
The Tourism, Arts and Culture Ministry had earlier set a target of attracting 9.2 million tourists this year with the government expected to spend RM26.8 billion to achieve this.
However, local practitioners like Isaac are appealing for more to be done, with strategies that are targeted and effective.
The authorities must take cognisance of moves employed by competing destinations in the rest of the region.
“I must say that our issues also influence other countries. If the Thai tourism authorities can do something about it, then likewise we must also act,” he said.
“It is about becoming competitive and proactive, not reactive only.”
Alexander said that the tourism authorities need to provide more exemptions and more leeway to innovate travel packages. At the same time, big players such as airline companies, travel agents and hotels need to find ways to help mitigate the problems faced by the local players.
“We need to think collectively, not just individually, in boosting tourism,” he said.
He stressed that Haadyai has always been a competitor to the likes of Langkawi and Penang.
If the Thai destination is winning people over, then Malaysian authorities need to understand why and learn from those who are excelling in tourism.
Alexander also lent his support to the suggestion by the Malaysian Association of Tours and Travel Agents (Matta) chairman Datuk K.L. Tan who proposed for the return of the loan moratorium and for the government to revive wage subsidies.
This is because the industry is struggling to recover cost-wise, Alexander said.
“Tourists may be coming but we are struggling to maintain the costing. If we hike prices, there would be an outcry, so the government needs to step in,” he said.
Airliners should work with local operators on costs
Kedah chapter of the Malaysian Nature Society chairman Eric R. Sinnaya said more tourists now opt for Haadyai because travel into Langkawi has become costly and irregular, causing many potential travellers to be disillusioned about going there.
“The ferry companies do not run as many trips as before, citing siltation issues. The airliners’ fares are just staggering at times,” he said.
“Just like nature, we cannot reverse everything into profits within just a few months of reopening. Tourism needs time.”
Sinnaya echoed what Alexander said, pointing out that airline firms and other big players together with government agencies need to work closely with the likes of hoteliers, agents and landmark proprietors as well as investors to ensure travel costs are sustainable.
Perhaps duty-free exemptions can be lowered to a 24-hour stay on the island, from the present 48 hours, to boost tourism here, he added.
“I think we have big problems simmering underneath the industry. So, we need bigger solutions where the big players must buy in.”
He suggested that the industry focus on reducing costing and to revise the labour policies for the industry – make it leaner by incorporating more technology while also allowing workers flexi-hours.
There also needs to be more engagement with both the young and retirees to work in the industry.
Incentives to attract foreign visitors
Malaysian Association of Hotels Perlis / Kedah chapter chairman Eugene Alan Dass also asserted that the industry has not recovered fully.
“What the government should do is to provide incentives to lure foreign tourists to boost the sector further,” he said.
The Human Resources Ministry should also waive the new guidelines where people earning RM4,000 and above in salaries are to be paid overtime, he said.
The current requirement pushes up the operating costs of hotels, added Dass in an interview.
“Travel agents also have to be creative and approach hotels for collaborative packages rather than sit back and wait for people to approach them.”
He pointed to online travel agents who demand steep commissions but are drawing new clients for hotels.
“We need to find new ways to sustain tourism. The old ways are simply bogging us down, said Dass. – The Vibes, September 24, 2022
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