AEC will have a staggered start

BANGKOK ASEAN Economic Community, due to start end of this year, should strengthen cooperation and tourism competency between member countries, but many of the components of AEC may not be up and running by the deadline.
It will be more of a rolling start with some components taking off at the sound of the starting pistol, while others will cross the starting-line at a later stage in 2016.
Speaking at ‘Thailand’s Tourism Industry and the Emerging AEC’ seminar, held late last week, the United States’ University of Wisconsin Professor of Law, Charles R. Irish, said: “Even ASEAN accepts that many of the targets for AEC will not be met.”
“Although the AEC will not be fully realised at the end of 2015, supporters of the AEC say that 2015 should not be viewed as a hard deadline, but a significant step towards achieving greater integration.”
inside no 1Once the 10 ASEAN countries are fully integrated under AEC, the market will be the seventh largest economy in the world with a GDP of USD3 trillion. But full integration across all industries will take considerable time. Service industries like tourism are likely to integrate quicker.
“With 650 million people, ASEAN’s potential for growth in economic terms is greater than Europe or North America in the long-term,” he said adding that after China and India, ASEAN also has the third largest labour force that is relatively young.
Much of ASEAN’s size potential is due to Indonesia, which dominates the region population wise with a substantial GDP. It will become a large market for other member countries to tap for outbound travel that could be almost as significant as China and India, but with shorter flight times.
“The young age of ASEAN’s labour force is in sharp contrast to the aging populations of China, other parts of Northeast Asia and most of Europe…in the global economy, a relatively young labour is an important competitive advantage and it is going to become even more so in the decades ahead.”
ASEAN already is a major tourism destination with 98 million visitors in 2013, he noted. Intra-ASEAN arrivals are about 44% of the total. Outside ASEAN, China was the top source with 12.6 million visits followed by Europe (8.7 million), South Korea (4.9 million), Japan (4.7 million), and Australia (4.3 million).
Malaysia and Thailand were the top destinations, but Thailand’s revenue from tourism is double Malaysia’s. The amount spent per tourist in Thailand is USD1,585 while Malaysia is USD836.
He did not identify the research used to support his conclusions on spending in the two countries.
Thailand should continue to develop, monitor and adjust basic tourism policies to take a leading role in the single AEC era.
inside no 1.1In addition, the country should design tourism operations so they are efficient both from the perspective of the supplier and consumer. Create new product development to respond changes in the consumer tastes, technological improvements or other pressures for innovation.
In taking a leading role in tourism promotion in ASEAN, Thailand also should pay close attention to what is happening in other parts of the world.
“A bad example may be more instructive than really outstanding good example,” he claimed.
Also, global and non-ASEAN regional partners may be helpful in the development of objective standards, such as UNWTO, UNESCO, UNEP, Foundation for Environment Education, and OECS (Organisation of Eastern Caribbean States).
Tourism policies also should be designed to maximise employment of the local population. Education for employment in tourism is a key to getting the local population involved in the industry. Technical training in languages, software, and the mechanics of tourism is also necessary.
Movement towards a single visa for ASEAN is also important to provide more convenience for travellers, he said. Thailand and Cambodia’s single visa is an example of what could be achieved.
The growth of low-cost airlines is an important contributor to intra-ASEAN mobility. Bangkok and Singapore are the most globally connected within ASEAN.
But a high-speed rail link within Thailand would be popular with tourists. Rail links with other parts of ASEAN would improve intra-ASEAN tourism and expand multiple destination visits within ASEAN, he said.
“Indonesia would be a potential market to tap for intra-ASEAN tourism … 38% of all citizens of ASEAN are Indonesian and with 250 million people it is the fourth largest country in the world. Whatever initiatives Tourism Authority of Thailand is developing to attract high-end Chinese probably could be adjusted to tap Indonesian market.”
The ASEAN’s Tourism Strategic Plan (ATSP) for 2016 to 2025 will formalised at the 2016 ASEAN Tourism Forum in the Philippines next year.
The vision statement: “By 2025, ASEAN will be a quality tourism destination offering a unique, diverse ASEAN experience, and will be committed to responsible, sustainable and inclusive tourism development, so as to contribute significantly to the socioeconomic well-being of ASEAN people.”

sourced:traveldailynews.asia