Thailand Prepares for Chinese in 2023 as Russian Arrivals Increase

Thailand has seen a surge in Russian visitors, with monthly arrivals doubling in November and nearly seven times higher than in September, far outpacing increases in other countries in the run-up to peak travel season.

The country is experiencing a much-needed tourism boom, with 1.75 million visitors in November, more than quadrupling the number received for the entire year last year, when flights and foreign arrivals were limited due to the pandemic.

According to official data, the government removed the last vestige of its strict Covid-19 entry policies in July to revive the collapsed tourism sector, and since September, Russian arrivals have grown at a faster monthly rate than any other country, including those arising from low bases.

Before the pandemic, Russia was Thailand’s seventh-largest tourism market, with 1.48 million visitors in 2019, but every month in November, it was third behind Malaysia and India, with 108,985 arrivals, up from 44,314 in October and 15,900 in September.

In comparison, Malaysian arrivals fell steadily from 332,493 in September to 258,873 in November, while Indian visitors increased each month incrementally from 116,386 in September to 145,628 in November.

Russian visitors in November accounted for roughly 60% of those who visited in the same month in 2019.

“This year has seen a return of the Russian market, particularly following the Ukraine conflict,” said Stuart Reading, deputy CEO of Laguna Resorts and Hotels.

He credited the strengthening of the rouble against the baht and his chain’s hiring of some Russian-speaking personnel.

This year, the rouble has been one of the best-performing major currencies against the US dollar.

On average, Russian visitors stay for seven to ten nights, while “snowbirds” escaping the harsh winter back home can stay for up to three months.

According to Yuthasak Supasorn, governor of Thailand’s Tourism Authority, Russians make up about a quarter of the island’s visitors, helped by direct flights between Phuket and Bangkok.

“We’re seeing Russian families renting homes and staying from 16 days to a few months,” said Bhummikitti Ruktaengam, advisory chairman of Phuket’s Tourist Association.

“You’ll see Russian families strolling in the park with locals in the evening,” he said, adding that some were staying until March.

According to the TAT, total arrivals could exceed 11.5 million by year’s end, just over a quarter of the record of nearly 40 million in 2019, who spent approximately 1.91 trillion baht.

Thailand Prepares for Chinese Tourists

Meanwhile, the government is preparing to welcome back Chinese tourists after Beijing decided to ease travel restrictions earlier than expected.

On Wednesday, Transport Minister Saksayam Chidchob said he and Tourism and Sports Minister Phiphat Ratchakitprakarn had been invited to a meeting with the Public Health Ministry at Government House on January 5 to prepare for the return of Chinese tourists.

Mr. Saksayam also stated that the Ministry of Public Health is coordinating with the Chinese embassy to obtain information about China’s reopening to help prepare travel measures.

He expressed confidence in the Ministry of Public Health’s ability to handle the Covid-19 crisis.

Furthermore, he said that the return of Chinese tourists is expected to be gradual.

He said the Civil Aviation Authority of Thailand (CAAT) and the Aeronautical Radio of Thailand (Aerothai) are gathering information about the number of flights and tourists for the Transport Ministry, and the ministry has about a week to make plans.

Airlines are expected to file requests with Airports of Thailand (AoT) before the New Year holidays, and flights to Bangkok, Chiang Mai, and Phuket are expected to resume initially. Charter flights are also expected during Chinese New Year, according to him.

7-10 Million Chinese Tourists

He has directed airports to increase ground handling capacity to avoid unnecessary delays or inconvenience. The number of Chinese travelers using AoT-operated airports is expected to be around 7-10 million next year, compared to the pre-Covid figure of 20.5 million.

Mr. Saksayam paid a visit to Suvarnabhumi Airport on Wednesday afternoon, ahead of the New Year rush, and inquired about the airport’s readiness to return Chinese visitors.

Traisulee Taisaranakul, a deputy government spokeswoman, said the government is closely monitoring China’s reopening.

She stated that the Ministries of Foreign Affairs, Public Health, Transport, and Tourism and Sports would be informed of new developments as they become available.

“This is to ensure that Thailand is ready to welcome Chinese visitors,” she explained.

Following China’s reopening, people close to Thailand’s tourism and travel sector estimate that the number of international visitors in 2023 will be 25 million rather than the 20 million predicted.

Thailand’s Tourism Authority predicts 20 million visitors next year. Before Covid, Chinese tourists accounted for 30% of international arrivals or approximately 11 million in 2019.

Vaccinations Ahead of Tourist Surge

Meanwhile, Nanthakarn Suwanpidokkul, deputy director of the Government Pharmaceutical Organization (GPO), stated that the GPO had developed its antiviral drug, molnupiravir, to treat Covid-19.

She stated that the GPO has begun producing the drug, increasing the country’s supply of antiviral drugs and people’s access to affordable treatment. Molnupiravir has so far been obtained from outside the country, she added.

She stated that locally produced molnupiravir will be distributed to hospitals this week and that patients with prescriptions can purchase the drug at any GPO drug store.

Prime Minister Prayut Chan-o-cha has welcomed airlines’ decision to reduce airfares by 20% beginning in January, following the government’s decision to reduce the excise tax on jet fuel to 20 satangs per liter to boost tourism.

Anucha Burapachaisri, a government spokesman, said Gen Prayut was pleased to learn of the Thai Airline Association’s decision and thanked them for assisting the government in stimulating travel and local consumption and reviving the economy. In January, all seven airlines will run promotions with airfares reduced by up to 20%.

In preparation for the return of Chinese tourists, the Tourism and Sports Ministry hopes to provide Covid-19 booster shots to tourists and Thai tourism workers.

Tourism and Sports Minister Phiphat Ratchakitprakarn said the investment would be worthwhile because vaccine prices have dropped to a few hundred baht per shot.

Mr. Phiphat stated that if the average tourist spent 40,000 baht and 7% VAT was collected, the value would exceed the vaccine prices.

“It will help Thailand’s image because we are ranked among the top nations for healthcare security,” he said.

Mr. Phiphat stated that the Tourism and Sports Ministry would investigate the feasibility of this idea in collaboration with the Tourism Authority of Thailand and the Public Health Ministry.

He said that if the government approves the scheme, funds should be allocated to the Public Health Ministry to purchase vaccines.