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Tag: Hotel occupancy

  • New Cannabis Bill to Shutter 50% of Khao San Dispensaries

    New Cannabis Bill to Shutter 50% of Khao San Dispensaries

    A new cannabis control bill is expected to force more than 50 per cent of cannabis shops around Khao San Road out of business, according to Sanga Ruangwattanakul, president of the Khao San Road Business Association.

    The restriction requires dispensaries to employ medical personnel to prescribe the drug at stores, costing operators an additional 30,000 to 50,000 baht per month.

    Endorsed by the cabinet this week, the bill restricts cannabis use to medical purposes in an effort to close regulatory gaps following Thailand’s decriminalisation in 2022.

    Operating Costs Squeeze Small Dispensaries

    Hiring qualified medical practitioners presents a cost hurdle and a staffing deficit. Sanga Ruangwattanakul, president of the Khao San Road Business Association, questioned whether the country has enough qualified personnel to staff dozens of small tourist-facing dispensaries. Retailers unable to absorb the salary burden must pivot to other commercial trades or exit the street entirely.

    Local hospitality operators already face a soft market. Average hotel occupancy in the district slipped to 50 per cent during the third quarter. Forward accommodation bookings for the approaching peak season trail historical projections. That leaves landlords and shop owners with diminished footfall.

    Aviation Bottlenecks Hit Long-Haul Travel

    Geopolitical tensions in the Middle East continue to disrupt transit routes run by Gulf carriers. Those airlines supply the bulk of European long-haul backpackers heading to central Bangkok. Direct flight alternatives from other carriers carry steep ticket prices because of elevated jet fuel costs and limited seat capacity across Asian corridors.

    High airfares hit budget travellers hardest. Hostels and mid-tier accommodations dominate Khao San Road. Local businesses are directly exposed when visitors curtail trip spending or cancel itineraries altogether. Luxury properties in central Bangkok remain insulated by contrast.

    These circumstances severely hinder operators in the Khao San area as most of them are hostels or mid-range accommodations, meaning guests are price-sensitive, compared with premium or luxury properties in other parts of Bangkok.

    Enforcement Gaps and Black Market Risks

    Retail trade groups argue that strict store rules could push transaction volumes back into unmonitored channels. The business association previously pushed for designated tourism zoning rather than blanket clinical mandates. Licensed storefronts keep sales out of residential zones while protecting underage consumers, the group argued.

    Uncertainty over store inspections also clouds compliance. Numerous storefronts claim a medical transition. Operator groups warned that without robust physical enforcement, unregulated sales will persist while compliant shops shoulder the overhead.

    Decriminalisation Reversal Enters Final Stages

    Thailand removed cannabis from its Category 5 narcotics list in June 2022. The decision created a retail dispensary boom across Bangkok, Phuket, and Chiang Mai. The absence of comprehensive follow-up legislation left thousands of independent stores operating in a legal vacuum for four years.

    Parliament will now review the bill to establish statutory penalties and police enforcement powers against unlicensed distributors.

  • Hotel occupancy rates increase in Bali

    Hotel occupancy rates increase in Bali

    The occupancy rates of star rated hotels in Bali averaged 72.40 percent in August or an increase of 1.76 percentage points from 70.62 percent in the previous month.

    “The occupancy rate was quite encouraging when visits by foreign tourists shrank 9.52 percent in Bali compared with the previous month,” head of the Bali branch of the Central Bureau of Statistics (BPS) Adi Nugroho said here on Wednesday.

    Adi said the occupancy rates would boost hotel operators as an occupancy rate of 50 percent is enough to cover operating cost including salaries of employees.

    In August, 2016, Bali recorded 438,135 visits by foreign tourists including 437,929 arrivals recorded by the Ngurah Rai airport and 206 arrivals at seaport.

    The number of arrivals dropped 9.52 percent in August from July but an increase of 44.3 percent year-on-year, Adi said.

    Adi said most foreign tourists stayed at star rate hotels in six of nine regencies in the province.

    The highest occupancy rate was recorded by hotels in the regency of Badung averaging 75.38 percent or up from July, followed by hotels in the city of Denpasar averaging 66.34 percent though declining from the previous month.

    Hotels in the regency of Gianyar followed in the third place with occupancy rate averaging 60.01 percent , down from 66.84 percent in July , the regency of Buleleng recorded an occupancy rate of 57.69 percent up from 52.23 percent and the regency of Karangasem 47.45 percent, down from 50.92 percent.

    Three other regencies – Jembrana, Bangli and Klungkung – have no star rated hotels . They have only inns or non standard hotels.

    Four star hotels recorded the highest occupancy rate averaging 78.16 percent, followed by five start hotels averaging 77.31 percent, one start hotels 64.96 percent , three start hotels 58.55 percent and two star hotels with occupancy rates averaging 56.31 percent.

    Adi Nugroho said despite the significant increase in the occupancy rate. the increase was recorded only in the regencies of Badung and Buleleng.

    In three other regencies, hotel occupancy rates declined including in the city of Denpasar, regencies of Gianyar and Karangasem, Adi Nugroho said.

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