Tourism sector faces pressure from growth targets

  • ngày 03/07/2017

To fulfill the GDP growth plan in 2017, the tourism sector needs to attract 13-15 million foreign travelers this year, or 3-5 million more than the last year. 

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However, the increase in number of travelers has put pressure on infrastructure. According to the Vietnam National Administration of Tourism (VNAT), the number of foreign travelers to Vietnam in the first five months of the year reached 5.25 million, an increase of 29.6 percent against the same period last year, which was higher than the 26 percent growth rate of last year.  In order to receive 13-15 million foreign travelers in 2017 as expected, the tourism sector will need to attract 7.75-9.75 million travelers in the last seven months of the year. This would be a record number in the history of Vietnam’s tourism industry. 
To fulfill the GDP growth plan in 2017, the tourism sector needs to attract 13-15 million foreign travelers this year, or 3-5 million more than the last year. 

Though hotel rooms rates are fully occupied at some moments in high season and on holidays, in general, there are still many idle rooms. “There are so many newly opened hotels that even if the number of travelers increases by 30 or 50 percent, the supply will still be plentiful,” said Nguyen Duc Quynh, deputy CEO of the 5-star Furama Da Nang. In the high-end hotel market segment, since May 2017, more than 2,300 hotel rooms, condotels and villas in Da Nang City have joined the market. The same situation can be seen in Phan Thiet City. Though hotel rooms are fully booked on holidays, the average occupancy rate in 2016 was 60 percent. To obtain several million new travelers within a short time, Vietnam cannot have high expectations on markets such as North America or Europe, but should seek closer markets such as China, South Korea and Russia. Travelers tend to flock to Nha Trang, Da Nang, HCMC and Phu Quoc Island.  “If we cannot prepare thoroughly to receive travelers, the high growth rate in number of travelers will not be healthy growth, which cannot bring satisfaction to travelers and economic efficiency,” said Bui Viet Thuy Tien, CEO of Asian Trails Co. “With the 30-50 percent growth rate, this would be a concern as our resources are not ready,” Tien said. The overloading of some airports and traffic jams on streets are two examples. At Cam Ranh Airport, for example, many flights carrying Chinese travelers have to be carried out at night because of passenger overload. Over 3.2 million foreign tourists visited Vietnam in the first three months of 2017, representing a year-on-year increase of 29 percent.

Kim Chi

Source: VietNamNet

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