Hotels face struggle amid high season

Association calls for land tax amendment

- NARUMON KASEMSUK

The robust tourism outlook anticipated for the upcoming high season is insufficient to offset the 7% contraction in foreign markets year-to-date, while hotels struggling to earn income cannot easily shutter their operations due to ongoing fixed costs such as the Land and Buildings Tax.

Thienprasit Chaiyapatranun, president of the Thai Hotels Association (THA), said a realistic target for tourism arrivals this year is 33 million, down from the 35.5 million posted last year.

He said many hotels failed to make a profit during the low season, but they cannot temporarily close their operations as a revenue stream is needed to cover fixed costs, such as the Land and Buildings Tax.