Travel (Travel Detail)

 Basic Situation

Before its privatization in 1991, tourism was run and operated by the Bhutan Tourism Corporation as a  Government enterprise. After the privatization process was undertaken a regulatory body the Tourism Authority of Bhutan (TAB), under the Ministry of Trade and Industries was established to oversee and guide and tourism industry operating under the private sector. Although no specific programmes and strategies were prescribed for the sector in the 7FYP in view of the transition taking place after privatization, the immediate objective for the sector was to increase revenue and foreign exchange earning, While at the  same time focussing on quality so as to strike a healthy balance between economic gains and the protection and preservation of the country's rich cultural, religious and natural heritage. During 7FYP the TAB was mainly engaged in, formulating and implementing sound rules to guide private tour operators; training and certification; filming; product and infrastructure development and promotional activities.

Constraints

The TAB lacks adequate manpower and finance. Both the TAB and the hotel/tour industry face an acute  shortage of trained personnel in all disciplines. There is also a shortage of hotel beds at the height of the season, with private operators resorting to make shift arrangements that are not in keeping with the desired quality of service.

Past Achievements

Bhutan's tourism infrastructure has steadily grown and is making a substantial contribution to the economy. At the beginning of 1996 there were 33 licensed tour operators and 32 hotels, lodges and guest houses approved  by the TAB for tourist accommodation. During the previous three years tourism ranked sixth amongst the top revenue earners and is amongst the top three in terms of foreign exchange earnings.

Tourist Arrivals and Earnings 1992-1995

(million US$)

Objectives and Strategies for the 8FYP                   

Objectives

The objectives of the RGOB to ensure a regulated growth of the tourism sector will continue to be pursued through the 8FYP. The immediate objective of maximizing foreign exchange and revenue will be guided by the policy of "high value-low volume" tourism so as to maximize earnings while maintaining the number of visitors at an acceptable level.

Strategies

- The RGOB regulated tariff rate & structure will continue subject to such changes/revisions as may be necessary.
- The TAB will develop a set of standards for tours, hotel accommodation, food and beverages, guide service and transport.
- Continued efforts will be made to make Bhutan's tourism industry responsible and sensitive to the environment through the promulgation of rules and regulation for tourist activities and increasing awareness and training of tourist and hospitality industry personnel.
- TAB will coordinate with other government authorities to further streamline the issue of approvals and permits for various tourist activities, and develop an effective system ensuring observance of regulation and guidelines.

Programmes for Tourism Development

The TAB's routine functions during the 8FYP will involve monitoring and control of tourism, training of tourism and hotel industry personnel, annual trek route and campsite clean-up operations, participation in international for a and standardization of brochures.

Master Plan for Tourism Development

The Tourism Master plan which is being prepared will be completed during the 8FYP providing a guide to future development of the tourist industry.

Establishment of Hotel Management and Tourism Training Centre

Towards upgrading the skills of tourism and hotel personnel and there fore the quality of the services and facilities provided, the TAB will establish a Hotel Management and Tourism Training Centre during the 8FYP. The centre will provide a proper training venue equipped with the necessary facilities to conduct the required training courses.

FINANCIAL AND MANPOWER REQUIREMENT