Tourism industry fears visitor slump

Tourism numbers will suffer if a link between the bomb blasts and terrorism is proven, industry executives say.

The blasts have scared tourists and the government should tell the public whether the three men allegedly behind the blasts in the city were planning a terrorist attack, the executives say.

Kongkrit Hiranyakit, president of policy and planning for the Tourism Council of Thailand, said the police must come up with evidence the bomb attack was not related to terrorism for tourists' fears to be allayed."The government has to beef up security. Even Deputy Prime Minister Chalerm Yubamrung insisted earlier the government could not guarantee your safety," Mr Kongkrit said.

If many countries issue travel warnings to their citizens, tourism numbers could suffer even more.Ten foreign embassies in Thailand have issued warnings to their citizens here to be careful, especially in public places.

If it is found the suspects have links to terrorism, the tourism industry will feel the pain until the Songkran festival, Mr Kongkrit predicted."The tourism mood is damaged and hotel reservations for Songkran are about to begin," Mr Kongkrit said.

The three suspects in Tuesday's bomb incidents are Iranian.Two are in custody, while the third has been arrested in Malaysia.The Tourism and Sports Ministry has decided to postpone its push for visas on arrival to Iranian visitors.

The ministry has been trying to push the Immigration Department to start issuing 15-day visas on arrival for Iranians because their arrivals to Thailand have grown 20-30% in the past three years.The government allows 20 countries the privilege of 15-day visas on arrival.

Susdivachr Cheewarattanaporn, president of the Association of Thai Travel Agents, said the government must also be careful regarding what it says, if it wants to prevent the bomb incident hurting confidence in the economy.

The Tourism Authority of Thailand (TAT) has sent a statement on the blast to its overseas offices. "We must admit the blast has had a psychological impact on tourists, but there has been no effect on room reservations," Prakit Piriyakiet, TAT's deputy governor for marketing communication, said.

Kasien Wattanachaopisut, president of the Thai-Chinese Tourism Alliance Association, said the bombs were not good for tourism as overseas countries would be concerned about security in the kingdom."If it is an act of terrorism, it will affect the tourism industry," said Mr Kasien.

Akapol Sorasuchart, president of the Thailand Convention and Exhibition Bureau, said tourism-related businesses have to clarify the situation to the international community.Tourist Police Division Commander Pol Maj Gen Adis Ngamjitsuksri said normally about 100 tourist police are stationed in Bangkok's tourist areas.

The division has sent more personnel to assist tourists.Meanwhile, an insurance industry executive says the blasts have not spurred inquiries for terrorism coverage."Nobody is rushing to buy coverage after the blasts," Surachai Sirivallop, head of Thai Reinsurance Plc, said.

Police have said the Iranians were targeting individuals, not properties or landmark buildings. "We still believe Thailand is not a prime target of international terrorism," he said.He added the industry is now focussed on selling flood insurance.

Pravej Ongartsittigul, secretary-general of the Office of Insurance Commission, added the blasts have not affected insurance premiums for terrorism coverage. In fact, the premium rate for terrorism coverage has almost returned to normal, after the rates increased substantially to about 1% of the sum insured after the political riots and widespread arson in the city in 2010.

Source - bangkokpost