Thai Hotels Report 170 M Baht Loss after German Tour Company's Downfall

[snoop1130]

 

The collapse of the Germany-based travel agency FTI Group has resulted in a total loss of around £4 million (173 million baht) for Thai hotels, a significant rise from the initially projected £2.6 million (111 million baht) in June. According to the Thai Hotels Association (THA), this financial crisis has adversely affected 179 hotels nationwide, mainly in the southern region where the losses are calculated to be nearly £3.3 million (141 million baht).

 

Hotels in Bangkok and the eastern regions have also felt the pinch, with reported losses summing up to about £450,000 (19 million baht) and £200,000 (8.4 million baht) respectively.

 

The hotels, comprising of both local and international chains, have been unable to recover money owed by the FTI Group. Certain facilities, especially those courting European tourists, have suffered losses greater than £236,000 (10 million baht).

 

In response, the THA has reached out to the Tourism Authority of Thailand (TAT) to seek help from the Tourism and Sports Ministry and the German Embassy.

 

The THA leader has called on the government, led by Prime Minister Paetongtarn Shinawatra, to continue promoting active tourism, emphasizing on maintaining the current pace as peak tourist season draws nearer.

 

Despite facing this financial setback, southern hotel occupancy rates are reportedly steady at around 60%, mirroring figures from last year's monsoon season along the Andaman coast.

 

Hotel owners in the southern region are also optimistic that the new government will proceed with the previous administration's transport infrastructure programs, particularly the construction of a new international airport in Phangnga province. They believe this airport is crucial for managing overcrowding at Phuket International Airport, reported The Pattaya News.

 

Photo: The Pattaya News

 

-- 2024-08-21

 

 

Get our Daily Newsletter - Click HERE to subscribe

[Muhendis]

If the picture of the beach scene accompanying this report is what tourism is about, I will stay here in Isaan.

Sorry for the plight of hotels but I won't be booking.

[watchcat]

I'd rather sit in a tent in the jungle than mixing with this crowd.

[lordgrinz]

2 hours ago, Muhendis said:

If the picture of the beach scene accompanying this report is what tourism is about, I will stay here in Isaan.

Sorry for the plight of hotels but I won't be booking.

 

Yeah, I hate people, especially large amounts of them crammed into one place. I went out of my way to rent a beach-side surfer shack (20ft from the water) on the Island of Kauai back in 2009, the whole beach pretty much to myself for 2 weeks, I even left my computer at home, and only turned the flip phone on to call family and tell them I landed safely. Best vacation I ever had, now I am living in one of the most congested cities on Earth, this is Hell.

[john donson]

many chinese, indians, kuwaties to take their places...

[lordgrinz]

2 minutes ago, john donson said:

many chinese, indians, kuwaties to take their places...

 

Out with the Good Guys, in with the Bad Guys.

[Hawaiian]

22 minutes ago, lordgrinz said:

 

Yeah, I hate people, especially large amounts of them crammed into one place. I went out of my way to rent a beach-side surfer shack (20ft from the water) on the Island of Kauai back in 2009, the whole beach pretty much to myself for 2 weeks, I even left my computer at home, and only turned the flip phone on to call family and tell them I landed safely. Best vacation I ever had, now I am living in one of the most congested cities on Earth, this is Hell.

Hawaii continues to price itself out of the market. Even mediocre hotels are ridiculously priced.  Now the locals are hell-bent on shutting down the money making short-term rental industry, which includes surfer shacks like the one you rented.

[lordgrinz]

5 minutes ago, Hawaiian said:

Hawaii continues to price itself out of the market. Even mediocre hotels are ridiculously priced.  Now the locals are hell-bent on shutting down the money making short-term rental industry, which includes surfer shacks like the one you rented.

 

That would suck, I believe the place I rented on Anahola beach is no longer in business either, but it was a dream come true for me. I spent one night in Honolulu (not a big fan), I wouldn't have but I had to visit an old work companion before taking a short onward flight to Kauai. The Island of Kauai was like vacationing in a small town, also rented a Jeep Wrangler for the occasion, just everything I could've asked for, my type of laidback living style. Even flew around the Island and into the old Volcano while riding shotgun in a helicopter. I love the people (locals) I met on that Island, and I'm jealous of the life they get to enjoy. Now living here in Metropolitan Bangkok, which is like living in Hell on Earth, at least for someone like me.