Tourism
Hotels across Thailand angered by European tour group’s failure to pay up
Around 173 Thai hotels are appealing to the PM for help after a European tour group reneged on up to 2 billion baht in unpaid bills. Daily News reports that the TUI tour group has left hotels in Phuket, Phang Nga, Krabi and Surat Thani struggling with significant cash flow problems after trying to renegotiate its contract so that it would only have to pay 25% now, with no confirmation of when the remainder might be paid.
The TUI group, headquartered in Germany, is one of the world’s largest tour operators and prior to the Covid-19 pandemic, had brought many Europeans to Thailand. However, when trips were cancelled as a result of the virus outbreak, it’s understood TUI left many accommodation providers struggling for cash, despite receiving a reported US$2 billion bailout from the German government.
Now 12 tourism organisations, representing 173 hotels have written a letter to PM Prayut Chan-o-cha asking him to contact the German government about the issue. They say they refuse to re-negotiate the contract with TUI and want half the debt to be paid this month, with the remainder settled by the end of October.
SOURCES: ThaiVisa and Daily News
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Dean Pratchet
Wednesday, May 20, 2020 at 2:16 am
The kind of hotels that international groups like TUI use are those owned by wealthy Thai companies. If they go bust it will be good news for more locally owned hotels who can’t afford to do deals like those with TUI anyway.
James Johnson
Wednesday, May 20, 2020 at 8:22 pm
The trips had to be cancelled. Get over it. Nobody owes you money if the holidays were not enjoyed. When will these childish asian people learn… NOBODY HAS TO GIVE THEM ANYTHING!!! 🙂
Robert Seven
Thursday, June 4, 2020 at 2:42 pm
Why are Thai hotels angry about money lost from tour cancellations? They do not refund my money when I cannot travel because of lock-down.
Toby Andrews
Friday, June 5, 2020 at 10:08 am
What do they think the Thai government can do – declare war?
This is a civil matter.
I note that the Thai government sat idly by while the jet ski scammers ripped off tourists for FIVE YEARS.