CAMBODIA-THAI RELATIONS: Mixed response to temple decision

Some tour operators report cancellations

Wednesday July 09, 2008
Bangkok POST REPORTERS

The approval of Cambodia's request to register Preah Vihear as a World Heritage Site has drawn a mixed reaction from Thai businesses.

Some say they foresee no impact on their investment, while tourism executives are optimistic that tourists will return. But others voiced concern that the escalating political tension between the countries could worsen the problems.

Cambodia Shinawatra, a subsidiary of Thaicom Plc, formerly Shin Satellite, expects business as usual and said it had made no special preparations for the Cambodian unit.

''We are a commercial company. We expect to have no impact,'' said Thanadhit Charoenchan, chief financial officer of Thaicom.

He also said that Preah Vihear was a different matter from the riots in 2003 when demonstrators trashed the Thai Embassy and offices of Thai companies in Cambodia after a Thai movie star was misquoted as claiming that Angkor Wat belonged to Thailand.

Sakol Sunate of the Trat Tourist Association said the approval would have a positive impact on the tourism industry and that more people would visit the temple from the Thai side.

He also said border trade would continue as usual and relations between the people of both countries would remain normal.

Pongtip Thesaphu, communication director of Unilever Group of Companies in Thailand, said the consumer product trading business was continuing as usual along the border.

''It has nothing to do with the Preah Vihear. ... Whatever the political and economic conditions are, people still have to consume and buy necessary products like consumer goods every day,'' she said.

Tour Suksun managing director Suksun Sinsuwan said the number of tour bookings to Cambodia had dropped 50% since the temple issue flared up.

Thai tourists were concerned about security and had delayed travel, he said, adding that his company has already suspended group tours to Phnom Penh and Siem Reap for safety reasons. ''As I have talked to some Thai businessmen there, they agreed that the issue would affect their businesses,'' he said.

Mukphol Suksin, the assistant manager of Thai-Indochina Tour, said his company's tour bookings to Cambodia had decreased 40%. ''Customers either cancelled or put off their travel pending improvements in the situation,'' he said.

''As far as I know, most Cambodians, particularly educated people, understand that the Preah Vihear temple issue is a political issue between the Thai and Cambodian governments. But I am confident that the issue will fade away and everyone will forget it.''

Tourist arrivals from Cambodia to Suvarnabhumi Airport in the first three months of the year totalled 8,735 visitors, compared with 7,396 in the same period last year. Total 2007 Cambodian tourists arrivals were 99,945.

Bangkok Airways said its flights to Cambodia's two main cities - Siem Reap and Phnom Penh - remained normal, despite the temple dispute.

''It is business as usual. We don't see any troubles looming,'' said an executive of Bangkok Airways, which provides the largest numbers of flights from Bangkok to Siem Reap, one of the airline's cash-cow foreign destination.

The carrier operates six flights a day to Siem Reap and two daily flights to the Cambodian capital.

About 80-90% of Siem Reap-bound passengers are foreign tourists while those on Phnom Penh are an equal mix of leisure and business travellers including diplomats.