The Malaysian Tourism Federation (MTF) has made an urgent call for
the government to offer relief to sections of the tourism industry that
have been impacted by diesel price hikes in Malaysia.
Van and tour bus operators have been badly affected by the price
increases of diesel fuel, MTF said, with the roll-on impacting the
entire tourism eco-system, including tour operators and travel agencies.
The MTF is calling for fuel subsidies for those affected.
“It is not just a simple matter of passing the extra cost charged by
transportation owners to the tourists, but to honour these contractual
tour package arrangements and obligations that have been established for
the next six to nine months,” said MTF president, Datuk Tan Kok Liang.
“Tourism business involves business goodwill and relationship and
some of these key source destinations are price sensitive, in
particularly the Indian, ASEAN and China markets,” Tan added.
The MTF president said the government “must recognise that most tour operators are micro, small, and medium enterprises”.
“These businesses are already fighting for survival in a fiercely
competitive market, both regionally and globally. The additional
financial burden from increased diesel costs is putting extra pressure
on their companies.”
He cited the experience of a tour company handling an international
incentive of 10,000 pax for a six-day programme having to absorbed
additional cost of RM300,000 (US$64,000) “as the bus operators declined
to compromise”.
The rise in the price of diesel fuel in Malaysia has risen by RM1.20 per litre.
“Each month, tour operators are losing approximately RM 3,600 per bus
(US$762), based on an average consumption of 3,000 litres per month,”
Tan added.