BANGKOK, Thailand – Thailand is approaching the tourism high season with strengthening long-haul demand, but lower overall international arrivals and pressure on household spending underline the need to focus on tourism earnings and benefits for local businesses, according to a Joint Foreign Chambers of Commerce (JFCCT) tourism and hospitality update dated October 26.
The report recorded 24.42 million international visitors between January 1 and October 17, 2026, down 4.12% year on year, with tourism revenue of 1.19 trillion baht. Long-haul arrivals increased 10.55% week on week during October 11–17, providing cautious encouragement ahead of the winter travel season.
China accounted for approximately 4.14 million visitors, followed by Malaysia with 3.10 million, India with 1.84 million and Russia with 1.33 million.
The report urged the industry to assess performance through visitor expenditure, hotel business and the distribution of tourism income across destinations, alongside arrival numbers.
Domestic tourism faces additional pressure following floods. The update cited University of the Thai Chamber of Commerce estimates putting flood damage at 22–30 billion baht, equivalent to around 0.1–0.2% of GDP. Repair bills, lost income and higher household costs could reduce spending on holidays, restaurants and entertainment, prompting shorter stays or lower-cost trips.
Travel costs also remain a concern. According to the update, the Finance Ministry is not proceeding for the time being with a proposed 1,000-baht international air departure tax. This proposal is separate from foreign-visitor entry-fee proposals. The report recommended assessing taxes, airport charges and visitor levies together to understand their combined effect on competitiveness.
The Tourism Authority of Thailand’s fiscal 2027 ASEAN strategy targets approximately 4.3% growth in arrivals and 6.2% growth in tourism revenue. Wellness, gastronomy, shopping and cultural experiences were identified as opportunities to encourage longer stays and wider spending.
ASEAN and India remain important markets for diversification. The ASEAN India+ Shoppers in Thailand 2026 initiative involves more than 50 retail, hospitality and lifestyle partners, while India offers demand across family holidays, weddings, business events and leisure travel.
Regional destinations could also benefit from the expansion of Thailand’s certified meetings, incentives, conventions and exhibitions network from 10 to 16 destinations. The additions are Chiang Rai, Ubon Ratchathani, Rayong, Hua Hin–Cha-am, Krabi and Nakhon Si Thammarat.
However, the report cautioned that certification must be supported by reliable transport, trained staff and suitable venues to translate into bookings and local income.
Facing competition from Vietnam, Malaysia, Japan and South Korea, Thailand should improve the complete visitor experience while ensuring investment develops Thai suppliers, employee skills and management opportunities, the report concluded.
Andrew J Wood
Chairman, Tourism Committee
Joint Foreign Chambers of Commerce In Thailand ▫ JFCCT
Website: www.jfcct.org
