"Tourism" is considered one of the main engines driving Thailand's economy. However, the recovery of the tourism sector after COVID-19 may not be easy. Although tourism numbers have improved in the short term and are currently a key mechanism for revenue inflow, in 2022, around 11.2 million tourists visited Thailand, while in 2023, it is expected that the number will rise to 29.7 million, particularly with the return of Chinese tourists.
According to an analysis by Kiatnakin Phatra Financial Group, the change in the tourist structure in 2022, with the absence of Chinese tourists, has led to a decrease in tourism revenue per capita. This raises concerns about what might happen if such uncertainties arise again in the future, especially if Thailand continues to rely too heavily on tourism. The challenge of project-based issues poses a long-term growth challenge, and Thailand must urgently find new engines to sustain its economic progress.
In the past, Thailand's tourism sector has focused more on quantity than added value. Data shows that tourism revenue has consistently increased by an average of 10-15% per year, but 80-90% of the annual revenue increase comes from the rise in the "number of tourists," while per capita spending has not increased and has even decreased during the COVID-19 period. This emphasis on tourist numbers may be a factor contributing to the unsustainability of Thai tourism.
Moreover, the tourism revenue of over 2 trillion baht each year is concentrated in major tourist cities, particularly Bangkok, Phuket, Chonburi, and Surat Thani, where just four provinces account for more than 80% of total tourism revenue. The overuse of resources has also led to environmental and social issues, as the influx of tourists has resulted in waste, sewage problems, and significant damage to natural resources. Thailand ranks among the top countries in greenhouse gas emissions from tourism and in the discharge of waste into the sea. However, these issues are often overlooked in the narrative of Thailand's tourism success. If the environment continues to be destroyed, Thai tourism may ultimately struggle to compete with other countries.
So, what can be done to ensure the continued progress of Thai tourism? It is crucial to integrate development with opportunities for the growth of small businesses to create high employment and significant branding opportunities for the country. It has been found that a key approach to enhancing tourism from the current state is for the Thai tourism sector to increase value and efficiency, improve productivity by developing the skills of the workforce in tourism, and leverage digital technology. Additionally, the tourism sector should connect more with other economic sectors, particularly upstream industries such as agriculture, OTOP businesses, and various community products.
Certainly, for tourism to thrive, financial resources must be distributed across all regions of the country. Therefore, the public and private sectors must collaborate to create attractions that encourage tourism to spread beyond major cities. This can be achieved through infrastructure development and transportation improvements that make travel to secondary cities and new tourist destinations easier and more convenient.
Regarding the environment, it is essential to work together to reduce environmental impacts by collecting data, establishing clear indicators, raising awareness among both operators and tourists, and creating standards and incentives that encourage local communities to participate in the preservation and conservation of resources.
Certainly, developing new strategies in the tourism sector will help increase both value and sustainability for long-term growth. If Thailand can increase per capita spending by tourists while linking the distribution of benefits to other economic sectors, it could enhance growth potential by over 4.6% of GDP, equivalent to the number of 15 million tourists, without needing to increase the number of tourists, which would have less negative impact on society and the environment.
The goal of success for Thailand's tourism sector should focus on creating quality and balanced growth while minimizing adverse impacts on the local population as much as possible. This will ensure that the tourism sector becomes a true engine of Thailand's economy in the long run.
Rent: 150,000/month
Huai Khwang Huai Khwang BANGKOK
267 sqm 4 Bathrooms