Airlines to cut long-haul flights to Thailand...

[stogie bear]

Several major airlines including Thai Airways International are cutting long-haul flights into Thailand next year in line with a forecast 12-per-cent drop in the number of inbound tourists, said the Association of Thai Travel Agents.

ATTA president Apichart Sankary said that although the Tourism Authority of Thailand targets 17 million visitors next year, only 15 million may arrive.

Starting from today, THAI will suspend its New York-Bangkok service. The company has also reduced flight frequencies, re-routed flights with particular impact on its US operations and introduced other cost-cutting measures.

"Other airlines such as Lufthansa are also considering reducing long-haul flights between Thailand and Europe," said Apichart.

Thailand is expected to miss this year's visitor target of 15.7 million. ATTA, which encompasses inbound travel agencies, expects the number to reach only 15 million.

While domestic tourism will be more sluggish than last year due to political conflict, Apichart attributed the lower number of foreign visitors to efforts in Europe and the United States to lure tourists from the Middle East.

Maitree Narukhatpichai, president of Phuket Tourism Association, admitted that foreign tourists' bookings for the island this month had dropped 15-20 per cent from last year's level due to political tensions, which were driving away visitors from major markets.

Seni Phuwasethavorn, president of the Koh Samui Tourism Business Association, said the high season would not be as active as last year due to the higher cost of travelling.

For instance, the ferry fare from Surat Thani to the island will soon be increased by 20 per cent. Currently, Samui's hotel occupancy rate is at 60 per cent, down from 70-80 per cent in the same period last year.

The Nation

Well, maybe after all this time the airlines are finally getting tired of flying empty planes all over the place just to 'protect their routes' and maybe we are gonna be paying more to travel soon...

Is the hike in oil going to make you change your plans or is it business as usual?

The middle eastern airlines get their gas for free so I don't think it'll make much difference to my life.

[daveduke007]

I fly long-haul with Etihad or Emirates so not worrying about the "gas" too much yet

[stogie bear]

me too... Add Qatar and a couple of others to that list, too...

[aktiv-passiv]

Flying abroad (esp. to LOS) will be the last thing I cut in my budget. And, if necessary, I would shut or sell everything down here and buy a one way ticket.

I always wanted to be a paperback writer, anyway.

[katoeylover]

I may have to move to economy to keep up the number of flights!!

[SamplerDoc]

(katoeylover @ Jul. 01 2008,10:08) I may have to move to economy to keep up the number of flights!!  

Say it aint so, that is pretty drastic KL

[Looker]

Definitely will be travelling less this year. But not entirely for the costs hike reasons..I'm just tired of travelling

[Naang Faa]

I hope they cut the BA flight to Thailand...or wherever they decide to fly me round Asia!!
...i still got a weed on about that adventure!
x

[marshal]

At the moment it will not effect me. I will only be able to manage once a year, maybe even once every two years so i will end up paying whatever the price is!

[BAM]

(daveduke007 @ Jul. 01 2008,08:22) I fly long-haul with  Etihad or Emirates so not worrying about the "gas" too much yet  

They might get cheap fuel at home but when they refuel for the trip home from Bangkok they'd have to pay the going rate that everyone else pays... unless they have some special way of doing it?

That sucks about the NYC to BKK Thai flight being cancelled... Snick's not going to like that!

[dummy_plug]

It won't affect me too much, but I've seen the prices rise noticeably. A ticket from SFO to BKK now runs roughly $1,000 to $1,200 on Asiana or China Airlines, the cheapest carriers. I usually take United that their fares are up to $1,500 or so. I would guess that fares on average are up about 40% from two years ago. It sounds like a lot, but it really only adds about $300 for the ticket. For guys like me, who probably spend about $3-$5k for the entire two week trip its not that much of a difference for me to not want to go any more. The real reason why people don't travel so much is that just staying home and living is pretty expensive. I burn through about $300 on petrol for my SUV commuting to work and around town for leisure, so thats going to hurt me more than a one-off plane ticket.

My advice for would-be travellers is to buy tickets now. I feel oil is going to continue to rise which will force the airlines to reprice their tickets down the line. Might as well lock in the rate now if you can.

[rxpharm]

The Arab Gulf Airlines are affected by the high prices as well. This story about Emirates, the most profitable airline for the past several years reflects the challenges facing the airline industry. As long as oil remains over 100 USD a barrel, there will be less services and more charges either through increased ticket prices, or fees for previously free services.

Dubai-based airline Emirates has cancelled plans to launch direct flights to Durban, South Africa as rocketing fuel prices impact the carrier€™s profit margins.

Emirates had intended to launch services to Durban in December, but plans have been deferred until further notice, UAE daily Emirates Business 24/7 reported on Thursday.

A spokesperson for the carrier said high fuel prices have forced the company to evaluate route operations to best utilise its aircraft fleet.

Like other airlines, the high oil prices are making a dent in our profitability. We are monitoring the situation closely and trying our best to absorb the increased costs," the spokesperson told the newspaper.

Surging oil prices, up nearly 40 percent this year to a record near $140 a barrel, have hit the margins of airlines worldwide, and sparked the collapse of several budget carriers so far.

Link to article: Emirates axes Durban flight

Increased prices for everything is a world wide condition. Don't be surprised when prices for p4p increase as well throughout the world, as long as the oil prices stay high.

[Snick]

(BAM @ Jul. 01 2008,14:43) That sucks about the NYC to BKK Thai flight being cancelled... Snick's not going to like that!

Snick's pretty damned pissed. Especially since he was going to be flying back in November AND that flight would give him enough bonus miles to get a gold card and a free trip.

Now he will have to fly thru Tokyo and crash with his friends there for a day or two and waste time hunting for new halfs.

[dummy_plug]

(rxpharm @ Jul. 01 2008,19:03) Don't be surprised when prices for p4p increase as well throughout the world, as long as the oil prices stay high.

Actually there was an article on CNN (too lazy to look for link at the moment lol) about brothels in Nevada offering stimulus check specials and gas card bonuses for customers. As their business is heavily dependent on truckers passing through, the cost of gas in the USA has caused some truckers to driver fewer miles (i.e. consolidating their loads to be more efficient) which means less passer-bys for these brothels. In response, the P4P industry has had to offer discounts actually to offset the loss in regular business to entice customers to come. Too bad its Thailand, and the Thai logic and mode of thinking will actually cause the girls to RAISE prices in response to lower customer demand - thereby fueling the fire of getting less and less business.

http://www.kvbc.com/Global/story.asp?S=8511919

Actually, here's a link to the story as reported in a local news site.

[PigDogg]

Family tourism will get hit harder than sex tourism. Paying 400 USD dollars extra per flight is not that big a deal since there are no "acceptable" local alternatives.

But I suppose the typical sex tourist may take longer but less frequent trips.

And some people just don't have money anymore. They were fueling their lifestyle with home equity lines of credit.