Vietnam expects 3.5 MLN foreign tourists
HANOI - Although Vietnam is on course to receive 3.5 million international tourists this year, the continued growth of the tourism industry will depend upon enterprises facing the challenges of international integration, said the Vietnam National Administration of Tourism (VNAT). In July alone, the country received 310,000 foreign tourists, putting the figure for this year so far at more than 2 million, an increase of 23 per cent over the same period last year.
Many cities and provinces, particularly in central Vietnam, have been energetic in their efforts to capitalise on the increase in tourist numbers, and policy changes have also helped the industry.
Last month, three groups of right-hand drive tourist coaches entered Vietnam from Thailand following a relaxation of restrictions on such vehicles, and three more tours are expected in August.
Another factor has been the opening of new routes from Vietnam's domestic airlines to Germany, Japan, and other countries.
The development of Vietnamese tourism was affirmed by US magazine Time's selection of Vietnam as one of Asia's top destinations in its July issue, which praised the Cuc Phuong national park - particularly its endangered primate rescue centre - the spring rolls of Hanoi's Emperor Restaurant, and the famed tailors of Hoi An.
Despite these positive signs, however, VNAT deputy general director Pham Tu warned that more development was necessary if the domestic tourism industry was to cope with global economic integration.
"Although the Vietnamese tourism industry has existed for 45 years, it has only prospered in the last 10 years, so capital, experience and human resources are still limited," said Tu.
"Being a newcomer to international markets, institutions and laws, Viet Nam still struggles to work co-operatively sometimes, and our limited services and infrastructure mean we cannot catch up with other nations.
These problems exist at all levels of our tourism industry, and mean that it is still not competitive enough.
"In future, competition in this field will be very fierce, as international travel companies with large financial resources and expertise in exploiting the global market will attract foreign tourists and put pressure on domestic enterprises," he explained.
These changes are heralded by the implementation of Vietnam's bilateral trade agreement with the US.
Under the agreement, American investors are allowed to establish tourism joint ventures in Vietnam as long as investment levels are below 49 per cent of registered capital, with this figure increasing to 51 per cent in three years, and 100 per cent in five years.
Tu said that international integration for Vietnam was inevitable and had to be faced by enterprises, and cautioned that their success in future would depend primarily on competitiveness and business initiative.
"The Government can only provide support through creating a legal environment which encourages these qualities in businesses," he explained. "Companies can no longer look to the Government for protection, but must overcome challenges themselves." However, Tu was positive about recent progress in the industry.
He explained that Vietnam already signed 24 bilateral co-operative agreements on tourism with many countries in the Southeast Asian region and beyond, and established relations with over 1,000 tourism firms in 50 countries and territories, especially within the Association of Southeast Asian Nations (ASEAN).
"We have effectively participated in regional and global forums such as the World Tourism Organisation, the ASEAN Tourism Co-operative, the Pacific Asia Tourism Association [PATA], the Mekong Sub-region Tourism Development Programme, and also in co-operative programmes on the East-West corridor and the Mekong and Ganges rivers," he said.
Tu also pointed out that Vietnam and the World Tourism Organisation recently organised a conference of Asia-Pacific tourism ministers, which received a very positive international reception.
Many cities and provinces, particularly in central Vietnam, have been energetic in their efforts to capitalise on the increase in tourist numbers, and policy changes have also helped the industry.
Last month, three groups of right-hand drive tourist coaches entered Vietnam from Thailand following a relaxation of restrictions on such vehicles, and three more tours are expected in August.
Another factor has been the opening of new routes from Vietnam's domestic airlines to Germany, Japan, and other countries.
The development of Vietnamese tourism was affirmed by US magazine Time's selection of Vietnam as one of Asia's top destinations in its July issue, which praised the Cuc Phuong national park - particularly its endangered primate rescue centre - the spring rolls of Hanoi's Emperor Restaurant, and the famed tailors of Hoi An.
Despite these positive signs, however, VNAT deputy general director Pham Tu warned that more development was necessary if the domestic tourism industry was to cope with global economic integration.
"Although the Vietnamese tourism industry has existed for 45 years, it has only prospered in the last 10 years, so capital, experience and human resources are still limited," said Tu.
"Being a newcomer to international markets, institutions and laws, Viet Nam still struggles to work co-operatively sometimes, and our limited services and infrastructure mean we cannot catch up with other nations.
These problems exist at all levels of our tourism industry, and mean that it is still not competitive enough.
"In future, competition in this field will be very fierce, as international travel companies with large financial resources and expertise in exploiting the global market will attract foreign tourists and put pressure on domestic enterprises," he explained.
These changes are heralded by the implementation of Vietnam's bilateral trade agreement with the US.
Under the agreement, American investors are allowed to establish tourism joint ventures in Vietnam as long as investment levels are below 49 per cent of registered capital, with this figure increasing to 51 per cent in three years, and 100 per cent in five years.
Tu said that international integration for Vietnam was inevitable and had to be faced by enterprises, and cautioned that their success in future would depend primarily on competitiveness and business initiative.
"The Government can only provide support through creating a legal environment which encourages these qualities in businesses," he explained. "Companies can no longer look to the Government for protection, but must overcome challenges themselves." However, Tu was positive about recent progress in the industry.
He explained that Vietnam already signed 24 bilateral co-operative agreements on tourism with many countries in the Southeast Asian region and beyond, and established relations with over 1,000 tourism firms in 50 countries and territories, especially within the Association of Southeast Asian Nations (ASEAN).
"We have effectively participated in regional and global forums such as the World Tourism Organisation, the ASEAN Tourism Co-operative, the Pacific Asia Tourism Association [PATA], the Mekong Sub-region Tourism Development Programme, and also in co-operative programmes on the East-West corridor and the Mekong and Ganges rivers," he said.
Tu also pointed out that Vietnam and the World Tourism Organisation recently organised a conference of Asia-Pacific tourism ministers, which received a very positive international reception.
Vietnam News Agency - August 02, 2005.
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