Tour operators diversify markets amid war threat

Tour operators diversify markets amid war threat

Agence France-Presse, Kuala Lumpur

Southeast Asian tour operators are diversifying their markets
with offers to exotic destinations like Mongolia and Indochina to
cushion the blow of a war in Iraq, an industry group said
Thursday.

Malaysian Association of Tour and Travel Agents (MATTA)
president Tunku Iskandar Tunku Abdullah said war jitters have led
to a shift from long-haul travel to shorter flights to Asia,
Australia and New Zealand.

But he said the industry was more prepared now than it was
during the 1991 Gulf war which led to a slump of more than a
year. Tour operators have also become more innovative after the
Sept. 11, 2001 terrorist attacks in the United States.

"The effect is quite small at the moment," he told a news
conference.

"After September 11, I think Southeast Asian tourism players
are quite resilient now. We know more what to do, we know how to
diversify our markets. We know how to look for new destinations."

He earlier announced that some 250 Malaysian tour and travel
agents would offer cheap tickets and promotional packages at a
three-day MATTA international travel fair starting Friday.

Despite the looming war, MATTA projected a sales turnover of
over 150 million ringgit (US$66 million), up from 110 million
recorded during the previous travel fair in October.

Nearly half of the turnover is expected to come from Malaysia
Airlines, which projected sales of up to 75 million ringgit on
tickets being offered at discounts of between 35 and 50 percent.

Tunku Iskandar said MATTA could achieve its target as sales in
previous fairs after the Sept. 11 tragedy and the bombing in the
Indonesian island resort of Bali last year had surpassed its
expectations.

MATTA expects some 100,000 visitors to the fair, which is held
twice a year during the traditional low-peak seasons in March and
October to boost tourism, the country's second largest foreign
exchange earner.

Organizing chairman Ronald Chan said this year's fair focused
more on travel to untapped destinations such as Mongolia,
Indochina, South Korea and Nepal.

To encourage people to travel, he said some "proactive"
companies at the fair would offer full refunds for travelers who
cancel their tours if war breaks out.

Sixteen state-owned tourism boards including those from
Australia, China, Dubai, Egypt, Luxembourg, India, Japan and New
Zealand are taking part, as well as airlines and hotels.