Myanmar to upgrade domestic airports

Department of Civil Aviation says it will issue a tender in the last quarter of this year to invite local and foreign companies to invest in 39 underdeveloped domestic airports.

The Irrawaddy oneline newspaper first reported on the proposed tenders,  in November, last year, saying the DCA had called on companies to register their interest and proposals to rebuild and improve 30 of Myanmar’s 69 domestic airports.

The process, which was completed last January, was not a formal bidding process, but served to inform the government agency of the interest and plans of potential airport developers.

DCA general director Tin Naing Tun, was quoted as saying that many companies had registered their interest, but they were mostly local companies.

“Some companies are proposing that they can upgrade all domestic airports… but they should only indicate the specific airports that they will actually upgrade,” he said.

DCA confirmed, Wednesday, it will now issue a formal tender inviting companies to bid for contracts to develop the 39 airports some time “after the rainy season,” in October.

“We will hold more discussions and allow companies to make bids on the tender later this year,” he said.

Earlier, the DCA hoped to attract international corporations as partners to fast track improvements and give the country a top quality network of airports.

At that level, the response has not been promising. Very few international companies will make a commitment to take on an entire network when only a few airports are considered profitable.

According to the department, the government currently spends about US$12 million annually to maintain 69 domestic airports.

The government hopes the plan to outsource airports will help develop the country’s aviation industry and airport capacity. Air safety has become a particular concern after a number of accidents occurred at local airports in 2012 and 2013.

The country’s aviation industry is expected to grow rapidly in the coming years, as estimates suggest foreign tourist arrivals will rise dramatically from 4.2 million in 2013 to 30 million in 2030. (Tourism master plan forecasts).

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Aviation expansion in Vietnam

Prime Minister Nguyen Tan Dung recently approved a civil aviation strategy that indicates the country will need to increase commercial aircraft registered in the country to 250 by 2030.

According to the plan, it calls for airlines to substantially increase air transport to traditional markets in Southeast Asia, Northeast Asia and China.

The strategy identifies other key areas for expansion such as South Asia, East Europe and the former Soviet Union.

To succeed it will have to convince local airlines to invest in more aircraft, while the government will need to put in place incentives for airport developers and ensure airport fees are competitive to encourage foreign airlines to add more services to give better connectivity to support economic growth.

The first step is to raise the number of aircraft serving the country to 210 by 2020, almost double the aircraft count today. By 2030 the fleet should reach 250.

To fulfill the set targets, the aviation sector will continue to invest heavily and upgrade infrastructure such as terminals and parking lots to improve the efficiency and enlarge aviation ports.

Priorities will be given to expanding and upgrading international airports such as Tan Son Nhat, Noi Bai, Cat Bi, Phu Bai, Danang and Cam Ranh and completion of the first phase of Long Thanh international airport.

Moreover, there are plans to turn Chu Lai International airport into a cargo transit centre to serve Southeast Asia and China’s southern region.

The International Air Transport Association (IATA) forecast that by 2014 Vietnam would become the world’s third-fastest growing market for international passengers and freight after China and Brazil.

It predicts passenger traffic through the country will reach 34 to 36 million by 2015.

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Mekong Delta supports increasing tourism

Ministry of Culture, Tourism, and Sports will set up a Tourism Coordinating Office to support Mekong Delta tourism cooperation and increase tourism to the region.

Vice Minister Ho Anh Tuan told local media that the administration will implement the programme to create specific tourism products for the region.

“Tourism has not been managed professionally in the region. There is a severe shortage of employees and no agencies to coordinate activities.”

Communities in the Mekong Delta need to forge closer links among themselves to develop regional tourism products and services.

Critics suggested that communities should focus on promoting ecotourism in Cham Chim National Park, Lang Sen Wetland Reserve, Ca Mau mangrove swamp and Phu Quoc island district.

In addition, village tourism should be developed in Tien Giang, Ben Tre, Vinh Long and Hau Giang provinces and CanTho city, while spiritual and cultural tourism should be the focus in An Giang, Soc Trang and Tra Vinh.

Vietnam National Administration of Tourism’s Hotel Department deputy head, Vu Van Thanh, said there was a need to develop home stay tourism, but communities would need to take the lead.

In 2013, the region welcomed 1.5 million international tourists.

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Cambodia’s tourism powers on

Cambodia’s closed 2013 with a healthy 17.5% increase in tourist arrivals according to the country’s statistics and tourist Information Department.

The country attracted 4,210,165 visits compared to 3,584,307 visits in 2012. Just over 2 million overland trips came from neighbouring Vietnam, Laos and Thailand.

Data released by the Ministry of Tourism, late last week, showed Vietnam was the top supplier with 854,104 trips up 11.9% from 763,136 in 2012.

Other top markets were: China (463,123; +38.7%); South Korea (435,009; +5.7%); Laos (414,531; +63.2%); and Thailand (221,259; +9.8%).

In 2013, 47.9% (2,017,658) of all international visitors arrived by air. Siem Reap Airport received the major share, 28.1% (1,181,281) and Phnom Penh Airport registered a market share of 19.9% (836,377).

Overland travel accounted for 50.3% of all trips (2,117,454) travel through checkpoints with Thailand, Laos and Vietnam while sea travel had a market share of just 1.8% (75,053).

When all modes of transport are considered data showed tourist arrivals to Siem Reap province, home of Angkor Wat, had a market share of 53.1% or 2,237,286 visits.

Asia Pacific was the main source region with a market share of 76.8% and grew at 19.2% to deliver 3,231,892 visits last year.

Oceania grew 29.1% to 152,712 followed by Europe (+14.2%; 698,157), Americas (+7.7%; 263,175), Africa (+4.9%; 5,902), and the Middle East (+3.0%; 11,039).

Outbound trips by Cambodians in 2013 reached 871,646 increasing 10.0% from 792,398 in 2012.

Last December, the country attracted 431,807 international travellers improving 12.9% from 382,326 visits during the same month in 2012.

Cambodian Tourism Minister Thong Khon said China was the second largest source of tourists to Cambodia after Vietnam last year.

“The steady growth of Chinese tourists to Cambodia was thanks to the country’s attractive tourism destinations, political stability and direct flight connections between the two countries.”

He added: “Moreover, good relations between the Cambodian and Chinese governments have encouraged more Chinese tourists and business people to Cambodia… currently, we are working to attract more Chinese tourists, particularly to the Angkor Wat temple and coastal areas.”

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Hotels Plan To Expand To Myanmar Market

With tourism on the rise in Myanmar, hotels are all rushing to expand their existing property or to open new ones.

300,000 visitors in 2010, one million tourists in 2012, two million last year and most probably three million in 2014. By adding a million foreign visitors, the country is in desperate need for more accommodation for visitors.

A huge number of visitors to Myanmar are attracted by its spiritual sites

The Myanmar Investment Commission granted  last year permission for about $US2 billion of investment into hotels and tourism-related projects. It is a matter of urgency as the country targets to welcome 7.5 million foreign arrivals by 2020. It has been a welcome step especially as it follows last year the complete lifting of economic sanctions imposed before by the USA and the European Union.

Myanmar has for now slightly over 9,000 hotel rooms in Yangon including 1,800 from hotel chains, according to Jones Lang LaSalle consulting firm.  Due to sanctions, JLL estimates that only 17% of available rooms in the former capital city are represented by international brand chains. According to a report from the consulting cabinet released last year, the total number of hotel rooms in Yangon is due to reach 8,100 international standard rooms by 2018. Last year, close to 1,000 rooms were underconstruction while in 2014, Yangon should see the addition of another 400 rooms.

Global hotel chains are now in urgent expansion mode. Accor Asia Pacific will open in July the Novotel Yangon MAX followed by a Pullman hotel in 2015. The 300-room property will be the first of Pullman property in Myanmar. Accor will also operate the 100-room Sebel Yangon Myat Min -a premium serviced apartment. Outside the former capital city, Accor is due to open this year the 121-room Novotel Inle Lake Myat Min, located on the banks of Inle Lake as weak as a MGallery in Nay Pyi Daw and the Novotel Mandalay Mingalar. Peninsula Hotels has secured a property to refurbish, the beautiful historical headquarters of Burmese Railways, built by the British in 1877.

Best Western opened its first property last autumn, the 189-room Green Hill Hotel. Best Western got now a contract for a property in Nay Pyi Daw. Hilton signed last year the management of a 300-room hotel property while Pan Pacific entered a joint venture to build a 25-storey 348-room property. Shangri La is one of the international companies with the biggest presence in Myanmar to-date. The group operates the Trader’s Hotel and just opened Shangri La Residences late last year. A large Shangri La property in Yangon is due to be added by 2016.

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First PATA Travel Mart hosted at Cambodia

The Pacific Asia Travel Association (PATA) will hold the 37th PATA Travel Mart 2014, September 17-19 at Diamond Island Convention and Exhibition Centre, Phnom Penh, Cambodia, the “Kingdom of Wonder.” The Mart is being hosted by the Ministry of Tourism of Cambodia.

PTM 2014 will offer delegates the opportunity to buy and sell Asia Pacific travel products in an emerging destination that has diversified its tourist attractions and attracted double digit increases in arrivals over the last 10 years.

PATAmPower statistics show that in 2013 Cambodia’s visitor arrivals increased 8% to over 3.7 million. Tourism accounts for about 16% of Cambodia’s GDP, around US$2.5 billion per year.

In 2014 the first-ever Responsible Travel Pavilion will be a feature of the Mart. The Pavilion will provide a business platform for PATA members and travel industry players who are committed to responsible and sustainable travel. Companies and organizations with proven responsible and sustainable practices are invited to take space in the Responsible Travel Pavilion.

“There is a palpable spirit of optimism in Cambodia,” said PATA CEO, Martin Craigs. “I’m confident that spirit will be apparent on the PTM show floor in Phnom Penh. It will be the right time and place to new business.”

PTM 2013 in Chengdu, China, attracted 550 seller and 473 buyer delegates with over 10,000 business appointments conducted over the days. A similar or larger number are expected in Phnom Penh.

PATA Travel Mart brings together outbound tour operators, wholesalers and specialty travel agents from around the globe. Through scheduled appointments they do business at PTM with inbound tour operators, destination management companies, travel agents, hotels and other related travel companies.

Small as well as big companies are welcome. First launched in PTM 2013, the MicroEnterprise Pavilion serves companies or family business with five to 10 employees operating on US$25,000 or less in start-up capital.

Access to Phnom Penh is easy. The airport is located 10 kilometres or 15-40 minutes from the city centre where the convention centre is located. There are international direct flights to Phnom Penh from Bangkok, Beijing, Doha, Guangzhou, Hanoi, Ho Chi Minh City, Hong Kong, Kuala Lumpur, Kunming, Nanning, Seoul, Shanghai, Singapore, Taipei, Vientiane, and Yangon.

Foreign visitors are now able to obtain a Cambodian visa online easily or upon arrival at the airport. Visitors can get an e-visa online. Instead of applying through a Cambodian embassy, the process is quickly done online at evisa.mfaic.gov.kh.

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Vietnam Tourism 2014's Positive Growth

Vietnam National Administration of Tourism estimates the country welcomed 776,174 international tourists in January an increase of 20.79% over the same month in 2013.

Thailand’s outbound trips to Vietnam ranked 10th at 24,056 visits an improvement of 13.84%.

China continued to lead as the top source market with 158,734 visits increasing 18.51% followed by South Korea, Japan, the United States and Russia.

All of the country’s top markets are in the Asia/Pacific region with the exception of the US (4th), Russia (5th).

The bulk of arrivals in January (618,081) passed through the two main aviation gateways Hanoi and Ho Chi Minh City.

VNAT updated its data on website, late last week, sourced from the government statistics office.

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Tourism Expansions In Ninh Thuan

The provincial Department of Culture, Sports and Tourism has completed a master plan to develop Ninh Thuan into a key national tourism area by 2020.

The plan will outline projects to build more tourism sites and attractions with the aim of attracting 1.4 million domestic and foreign visitors by 2015. The attractions could generate US$55 million in revenue and create for 34,000 jobs.

By 2020, Ninh Thuan forecasts it can attract 3 million tourists and earning US$335 million in revenue.

The coastal province wants to expand tourism from Russia, France, Germany, the United Kingdom, the United States as well as Asia.

Tourism infrastructure, especially transport, electricity and water systems will need to be improved.

In 2013, the province received 1.1 million tourists, an increase of 15.7% in 2012.

Ninh Thuan is a coastal province in southeast Vietnam. It was the historical Panduranga province of the ancient Champa nation and stands 360 km north of Ho Chi Minh City and 100 km south of Nha Trang.

Today it is a popular site for tourism development and residential real estate.

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Hanoi fast tracks tourism

Hanoi city’s tourism authority says it will use tourism a to fast track economic growth in 2014 through a buoyant domestic tourism business and investments in new projects.

According to a domestic tourism promotional plan, the city’s Department of Culture, Sports and Tourism will offer new tours, promote tourism connections between Hanoi and other towns and attract more tourism related investment in the capital.

Developing tourism with other provinces has already resulted in signed cooperative deals with Bac Giang, Lang Son, Tuyen Quang and Ha Giang.

Hanoi will continue to cooperate with France’s Ilde to study how to build and open a Hanoi craft village as a new attraction for international tourists.

The city plans to attend ITB Asia Singapore, later this year and organise road shows in Tokyo, Japan and east Europe (Poland, Czech and Hungary).

Hanoi Department of Culture, Sports and Tourism director, To Van Dong, said: “Apart from tourism promotion activities, Hanoi will invest in tourism infrastructure and improve the quality of tourism services in cultural heritages such as Ngoc Son Temple, Hoan Kiem Lake, Hoa Lo Prison historic site and Van Mieu – Quoc Tu Giam to attract more tourists.”

Hanoi’s Department of Culture, Sports and Tourism will ask the Ministry of Culture, Sports and Tourism to set up a scheme to develop Ba Vi – Hai Stream into a national tourism area by 2020.

Last year, the city received 2.58 million foreign visitors increasing 22.9% in 2012 and nearly 14 million domestic visitors improving 13%.

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Vietnam Being Among Top Long-haul Holiday Destinations

Vietnam, Mexico and Cuba have been highlighted as three of the fastest-growing long-haul holiday destinations for British travelers, according to a new report out today from worldwide travel company Kuoni.

The Travel Edit 2014 by Kuoni looks at the changing habits of British travelers based on sales data over the last three years across a number of holiday categories including wallet-friendly destinations, overall bestsellers, honeymoons and sightseeing experiences.

The report puts Vietnam at the top of the rising star destinations – the country has jumped nine places in the company’s best-selling destination list from 23 in 2011 to 14 in 2013.

Mexico has seen a huge leap from 29th best-selling destination in 2011 to 17th at the end of last year, thanks to its increasing range of high-quality all-inclusive hotels alongside gorgeous beaches.

And early indications are that Vietnam, Mexico and Cuba are already becoming three of the most requested long-haul destinations for 2014, set to rise even further up the best-selling holiday list by the end of this year.

Derek Jones, Kuoni managing director, said: “Vietnam has seen huge developments in its tourism industry over the last few years with investment in a wide choice of hotels and sightseeing options.

“Access to the country has become much easier since Vietnam Airlines launched direct flights from the UK in 2011 and we’re now seeing the impact of that - we expect to see it move into our top ten this year for the first time.”

But there’s no change to the number one bestselling destination for Kuoni for the ninth year running - the Maldives.

“Its mix of super-luxury resorts set on Robinson-Crusoe-style desert islands, as well as excellent activity options such as diving, sailing and visits to local villages means it continues its appeal not just for couples of all ages - but also increasingly for families.”

An early indication of the bestselling destinations for the year ahead is also revealed based on advance sales until the end of January 2014:

Maldives

Thailand

Sri Lanka

United Arab Emirates

USA

Mauritius

Malaysia

Cuba

Antigua

Singapore

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Vietnam And Thailand Establish Cooperation

Vietnam’s Danang City and Thailand’s Khon Kaen province recently signed a Letter of Intent to establish cooperation in tourism, education, culture, investment and trade.

The coorperation was inked 16 January to encourage both destinations to improve competitiveness.

Danang, located in the central region of Vietnam, and Khon Kaen in the centre of Northeast Thailand are on the East-West Economic corridor linking Myanmar, Thailand, Laos and Vietnam.

They have seen modest trade exchanges in previous years. Their export-import turnover was about US$31.2 million in 2012. Only one company from Thailand has so far invested in Danang and three enterprises have opened representative offices.

Danang University also officially included the Thai language in its curriculum in 2006.

Danang welcomed 3.1 million tourists last year, of which 750,000 were foreigners. Only 45,000 tourists from Thailand visited the central city and other destinations in the central region.

Khon Kaen is a major commercial town on the main highway and rail line linking Bangkok and Vientiane the capital of Laos.  At the heart of the northeast region it is known for its universities, commerce and agricultural trade.

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Vietnam preserves ethnic minorities via tourism projects

To strengthen Vietnam’s tourism, the Ministry of Culture, Sports and Tourism will speed up projects that help to preserve and develop ethnic minority culture.

Deputy Minister Huynh Vinh Ai told local media that the ministry plans to build a set of cultural development indicators for ethnic minority groups by 2020.

According to the plan, it will create an inventory of ethnic minority cultural heritage, support cultural development of at least 16 ethnic minority groups and repair 300 relics.

This year, it hopes to upgrade grassroots culture and sports institutions, while raising the profile of ‘Cultural Family’ and the ‘Cultural Village’ concepts.

Ethnic minority festivals have been organised in line with the party’s guidelines and state laws.

Last year, the ministry successfully organised the Vietnam Ethnic Minority Cultural Day 19 April and implemented three projects to preserve villages, hamlets and communes linked to ethnic minority groups.

It also built entertainment sites for children in remote, mountainous and island areas in Lai Chau, Dak Nong, Lao Cai, Quang Nam and Dien Bien.

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Tourism booming in Cambodia

Cambodia’s tourist arrivals registered a 14.9% growth in October 2013 according to the country’s statistics and tourist information department.

The country attracted 334,410 visits compared to 290,959 during the same month in 2012.

Released by the Ministry of Tourism, last week, data showed Vietnam led the field with 67,459 visits increasing 15.0% from 58,671 during the same month in 2012.

Other top source markets were: China (36,676; +18.7%); Laos (36,431; +51.1%); South Korea (29,676; -4.7%); and Thailand (22,129; -2.1%).

In October, 46.7% (156,060) of all international visitors arrived by airline. Siem Reap Airport received the major share, 26.3% (88,072). Phnom Penh Airport gained a market share of 20.3% (67,988) mainly business travellers who needed to contact government departments or budget travellers who starting or finishing their overland trips.

Overland travel accounts for 51.2% (171,198) travel through checkpoints with Thailand, Laos and Vietnam while sea travel is a small at 2.1% (7,152).

In addition, the data showed tourist arrivals to Siem Reap province, home of Angkor Wat, posted a share of 58.7% attracting 196,263 visits, while arrivals to Phnom Penh and other destinations accounted be 41.3% welcoming 138,147.

By region, Asia Pacific accounted for a 78.3% market share and posted a growth of 14.0% supporting 261,970 visits.

Oceania grew 25.0% to 12,543 followed by Europe (+22.3%; 51,462), Americas (+12.5%; 19,858), the Middle East (-18.9%; 688), and Africa (-22.6%; 432).

Outbound trips by Cambodians in October reached 78,287 increasing 11.1% from 70,435 during the same month in 2012.

For January to October, the country welcomed 3,391,621 internatoinal travellers improving 18.2% from 2,868,499 visits during the same period in 2012.

Outbound trips reached 722,680 growing 10.1% for the first 10 months of 2013 year compared to 656,240 trips in 2012.

Cambodia Prime Minister Hun Sen said tourism is an important agenda item for the sustainable development of the country’s economy.

“In spite of a worldwide economic slowdown during the last two years, Cambodia enjoyed continuous tourism growth. The country will welcome 4.2 million foreign visitors in 2013.”

The PM added: “Tourism development is a priority for the government to achieve sustainable development of cultural and natural heritage sites.”

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Myanmar Agrees On Commercial Flights

Myanmar has updated its aviation agreements with South Korea and Bangladesh to open the way for commercial flights.

The respective civil aviation departments of Myanmar, South Korea and Bangladesh amended aviation contracts and updated clauses that were outdated. Most of Myanmar’s aviation agreements date back to the close of World War II and in many instances were not updated.

The country Civil Aviation Department general director, Tin Naing Tun, was quoted by local media as saying: “We had to cancel clauses that were not suitable in the present situation.”

In the new agreements airlines of Bangladesh and South Korea can apply for traffic rights at multiple destinations rather than just Yangon.

Myanmar International Airway and Air Bagan both have secured rights to fly to Bangladesh last year.

Due to the changes in the aviation contract with Korea, KAL and Asiana Airlines can now fly to cities in Myanmar.

Myanmar has aviation agreements with 46 countries and the ones with Europe and, United States were the most liberal dating back to air transport agreements signed in 1949. They basically gave airlines from the US and UK freedom to fly as many services as they liked. The option was never taken up as the country closed and sanctions were introduced to prevent airlines serving the country.

As a member of ASEAN, the country will have to adopt an “Open Skies Policy” in 2015, which will allow ASEAN registered airlines greater access to Myanmar’s skies – and ultimately allow them to serve domestic routes. The policy will be limited to international services to major cities designated by each country leaving the domestic options to much later.

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Vietnam Holidays To Be Bloomed

Vietnam National Administration of Tourism estimates the country attracted 628,695 international visits in October representing an increase of 15.1% over the same month last year.

Thailand’s outbound trips to Vietnam ranked in eighth spot with 21,263 up 4.4% from last year.

China continued to lead the field with 176,852 trips improving 30.6% followed by South Korea, Japan, Taiwan and the United States.

 All of the country’s top markets are in the Asia/Pacific region with the exception of the US (fifth), Russia (seventh), the United Kingdom (ninth) and France (10th).

The bulk of arrivals in October (478,318) passed through two main aviation gateways Hanoi and Ho Chi Minh City.

For January to October, international tourist arrivals reached 6,118,969 increasing 10.4% over the same period last year.

VNAT updated its data on its website, Monday, sourced from the government statistic office.

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