Malaysia's Gift to Hatyai: The Unplanned Economic Boom

Travel
8 Jan 2024 • 9:30 AM MYT
Mihar Dias
Mihar Dias

A behaviourist by training, a consultant and executive coach by profession

image is not available
Floating Market. Image by Penang Foodie

By Mihar Dias (C) Copyright January 2024

In an unexpected turn of events, Malaysia's decision to cancel its celebration, visitors to Hatyai during the holiday season appears to be a loss for our nation and a significant gain for the vibrant southern Thai city.

As Malaysian tourism dwindles, Hatyai celebrates an unprecedented surge in visitors, doubling to a staggering 20,000 daily during the Christmas and year-end festivities, injecting 10 billion baht into the local economy.

Hatyai Songkhla Hotel Association president Sitthipong Sitthiphataraprabha attributes this influx to Hatyai's irresistible combination of delectable and diverse food choices, easy accessibility, and affordable hotel options, drawing Malaysians in droves.

While Hatyai has established itself as a favoured destination for budget-friendly getaways, one can't help but wonder about the missed opportunity for Malaysian businesses.

On ordinary weekdays, Hatyai enjoys a steady flow of 5,000 Malaysian visitors, doubling to nearly 10,000 on weekends. The year-end holiday season, however, sees a joyous surge, with an average of 20,000 Malaysians daily on peak weekends.

This festive period witnesses Malaysian tourists generously contributing approximately 10 billion baht to Hatyai's economy, with an average spending per person reaching 10,000 baht.

Sitthipong emphasizes the unprecedented demand for Hatyai's hotel rooms during peak holiday weeks, particularly in the downtown area, which is a hot spot for Malaysian tourists.

With around 20,000 rooms available, including 8,000 to 12,000 concentrated downtown, Hatyai's hotel industry is experiencing a boom, leaving one to ponder the lost opportunities for Malaysian hospitality providers.

As the Tourism and Sports Ministry reports Thailand welcoming 27.25 million tourists, with Malaysians topping the list at 4.43 million, it prompts reflection on Malaysia's decision.

While other countries contribute significantly to Thailand's tourism, Malaysia's poor showing during the holiday season is palpable.

Therefore, Kedah Menteri Besar may want to review its policy on closure of entertainment outlets and cancellation of celebrations on major holidays to partly reduce the outflow of precious revenue to our northern neighbour.

So, in a twist of irony, our cancellation turns into Hatyai's unexpected economic gift. Perhaps it's time for Malaysia to reconsider its approach to such celebrations, recognising the potential economic benefits that our neighbours are happily reaping.


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