FOLLOWING three consecutive lacklustre years, Myanmar’s travel industry came back strong in 2010 with increasing numbers of tourist arrivals, as well as a series of surprising developments.
Figures from the Ministry of Hotels and Tourism show that 228,492 foreign tourists visited the country from January to October, a 33.8pc increase on the corresponding period in 2009.
Also in 2010, a record number of foreigners visited Shwedagon Pagoda, with a total of 152,368 tourists stopping at the religious landmark from January to November, a 58.5 percent increase on the same period in 2009 and slightly higher than the old record annual mark.
The old record was set in 2006 when the pagoda attracted more than 152,075 foreign visitors.
Meanwhile, surprise developments in the tourism industry began shortly after the start of 2010 with the acquisition of 80 percent of Myanmar Airways International (MAI) by Kanbawza Bank Group. The remaining 20pc stake was held by the Ministry of Transport through state-run Myanma Airways.
On March 2, Vietnam Airlines inaugurated regular flights between Yangon and Hanoi. The airline also opened a branch office at Sakura Tower in Yangon.
On March 10, the Ministry of Rail Transportation, in cooperation with the Ministry of Hotels and Tourism, kicked off a new train service between Yangon and Bagan. Meant to be a cost-effective alternative to flying, the train had a 40-seat capacity in the upper coach class, 62 seats in second class, two categories of sleeper coach and a restaurant.
One of the country’s beautiful coastal destinations, Ngwe Saung Beach, celebrated its 10th birthday from March 25 to 28. Ngwe Saung, also known as Silver Beach, faces the Bay of Bengal and is the longest developed beach in Myanmar. It is located in Ayeyarwady Region, 47 kilometres (29 miles) west of Pathein and was established as a beach resort on March 11, 2000.
May 1 saw the surprise introduction of visa-on-arrival service, widely considered a major breakthrough for the tourism industry. For the first time, foreign visitors from any country could apply for visa-on-arrival when passing through Yangon and Mandalay international airports without having to make any prior arrangements with travel agencies.
However, four months later the Department of Immigration and National Registration announced it would suspend the visa-on-arrival program until a system could be implemented to more thoroughly check the records of incoming tourists. The announcement was a huge disappointment for an industry preparing for a bumper 2010-2011 season.
Meanwhile, on July 1 the departure tax at Yangon International Airport for Myanmar citizens was hiked from K500 to K3000 after local company Asia World took over management of the airport’s facilities. No change was made to the US$10 departure tax levied on foreign travellers.
The inaugural flight of Malaysia-based AirAsia’s direct service from Kuala Lumpur to Yangon International Airport occurred on July 20. The new route was welcomed by Myanmar workers in Malaysia, since its cheap fares would enable them to visit home more often.
Myanmar in early October introduced a prepaid card system for entrance fees at the country’s heritage sites. The system was implemented at several sites in Bagan, Mandalay, Bago and Kyaikhtiyo (Golden Rock), as well as at Yangon’s National Museum, with plans to later introduce the system at additional sites.
The prepaid cards, which range from $2 to $10, cost the same as a regular entrance fee and are valid for one day. The card’s pin and serial numbers store the visitor’s name, passport number and nationality, which are registered upon entry at the site. The system was designed to make it easier for tourists and travel agents to pay entrance fees.
In early October Htoo Trading took over management of the 208-room Kandawgyi Palace Hotel, located on Kandawgyi Lake in Yangon. Previously the hotel was owned by Bangkok-based Baiyoke Group of Hotels.
The change in management was a major blow to businesses in the Jewellery Trade Centre, which had opened at Kandawgyi Palace Hotel earlier in the year with more than 120 small and medium-sized jewellery outlets.
Vietnam Airlines started service on its second route to Myanmar, between Ho Chi Minh City and Yangon, on November 15. The new flights were expected to attract more passengers than the Yangon-Hanoi route, based on Ho Chi Minh City’s status as the business hub of Vietnam.
One of the biggest surprises of the year occurred on December 3 when domestic carrier Yangon Airways was forced to suspend operations. A statement issued by the airline’s management to local travel operators described the move by the Department of Civil Aviation to suspend its Aircraft Operator Certificate as a “crisis” and “a bolt from the blue”. This was thought to be linked to a failed takeover bid by a rival airline.
The sudden announcement came at a time when the tourism industry was preparing for the busiest time of the year, and presented some difficulties for ticketing agents and tour operators trying to accommodate large numbers of domestic and foreign travellers.
U Phyoe Wai Yar Zar, vice chairman of Myanmar Marketing Committee, described 2010 as an “eventful” year for the Myanmar tourism industry.
“We saw that instituting visa-on-arrival resulted in a 30pc increase in tourist arrivals from May 1 to the end of August. It shows that it is a constructive change in policy and it would definitely help the development of tourism if we can continue to apply that policy,” he said.
“Based on arrival figures, we can expect more increases in 2011, provided that the new government adopts effective policies for the tourism industry,” he said.
U Phyoe Wai Yar Zar said that all tourism-related associations in Myanmar were working together to draft an effective marketing plan, including increased engagement at international trade fairs and forums, under the guidance of the Ministry of Hotels and Tourism.
A spokesperson from a leading hotel in Yangon agreed that 2010 was a promising year for tourism in Myanmar.
“Tourism was boosted due to the many business travellers from the region. Even Yangon is facing a shortage of rooms,” she said.
“I am sure that 2011 will be much better than 2010, and we expect more foreign independent travellers, business travellers and leisure travellers from Europe, the US, Australia and Scandinavia.”
Source: MyanmarTimes