Operators want better legal enforcement
Tourism operators have called for authorities to crack down on illegal businesses to assure tourist safety and protect those who operate businesses legally.
A number of hotels and tour operators manage businesses without a licence, said Nipon Boonmasuwanran, president of Online Tourism Club Thailand.
Mr Nipon said there are many foreigners working in the tourism sector, such as tour guides, who lack work permits.
These illegal operators have often harmed the overall industry by igniting price wars, cheating, not offering safety management for tourists, among other complaints, he said.
Thailand’s booming tourism industry has prompted a parade of online travel agencies from abroad, and the presence of Airbnb, a home-sharing service, has significantly hurt local hoteliers.
The problems have been intense, and the club has demanded the Tourism and Sports Ministry take more effective action to deal with them.
To bar illegal hotel operations, Mr Nipon suggested the ministry enforce the Hotel Construction and Permission Act.
Some local operators consider online travel agencies (OTAs) market destroyers, as they list illegal hotels and non-registered travel companies and offer extremely low prices to get customers.
Home-sharing businesses like Airbnb are considered illegal in Thailand. This platform should be cracked down on or brought into the legal system, Mr Nipon said.
“This is not fair for the entire market,” he said. “Illegal operators must get licences and follow Thai law. Otherwise, they should be out of the market.”
For Airbnb, he said Thailand can learn from Japan. The Japanese government recently approved a law to allow house owners to put properties for rent under Airbnb deals with limited conditions, but the rules caused problems because many houses violated the laws and were removed from Airbnb lists.
The clampdown on illegal actors could help local operators earn higher income.
Thai operators gain only 30% of total tourism income, while the balance goes to foreign pockets such as OTAs, tour operators and non-registered hotels.
Tourism Minister Weerasak Kowsurat, however, recently instructed the Tourism Authority of Thailand (TAT) to call a meeting with OTAs to seek solutions.
The minister agreed that the country needs more efficient measures to ensure that all parties are acting fairly and to prevent any moves that might tarnish Thailand’s image.
Last week in Krabi, local officers cracked down on seven illegal hotels on Koh Phi Phi after they received complaints from local hotel operators.
Locals said 10 resorts on the island that are under construction might not comply with hotel law. Officials also found that the resorts were hiring many illegal alien workers.
Addressing this issue, Mr Weerasak said resort owners were asked to declare land ownership and get construction permits from local authorities.
There were also a number of diving operators operating without permission, the minister said.
Some small hotels need more time to adapt to laws, according to Mr Weerasak. He cited a case in Chiang Mai.
Last week, Weerachai Seangchak, an owner of small hotels and guest houses in Chiang Mai’s Muang district, led a group of 100 operators to Chiang Mai’s governor, complaining that officials have raided their properties.
The operators also submitted a letter to Prime Minister Prayut Chan-o-cha to inform him that small operators had closed their businesses after authorities informed them that they did not have hotel licences, even though some had been in business for 20-30 years.
“We strongly urge the government to cease cracking down on hotels and give operators time to adjust,” Mr Weerachai said.
The Hotel Act requires that hotels set aside 15% of land for greenery. The rule has affected small operators who have operated for many years with little or no green areas.