In a bid to attract more foreign travellers, Bhutan is reducing its daily tourist fee by half.
Since September 2022, travellers had to pay an additional USD 200 (approx. THB 7050) per night as part of the ‘Sustainable Development Fee’ (SDF). This is now being reduced to just USD 100 (approx. THB 3525) and is slated to come into effect from September 1, 2023.
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Why has Bhutan reduced its daily tourism fee?
A major reason behind this step is the fact that even a year after Bhutan resumed travel post the COVID-19 pandemic, the country is still struggling to revive its tourism sector and bring in more globetrotters, writes Reuters.
In September 2022, the SDF was increased to USD 200 (approx. THB 7050) from the earlier USD 65 (approx. THB 2291) a night in an attempt to reduce the carbon footprint that travellers bring to the kingdom, according to the report. However, the charge seems to have resulted in a decrease in the number of travellers visiting Bhutan.
With the new update, Bhutan hopes to boost income generated through tourism. The new tax will be applicable for four years and end on August 31, 2027, according to a statement by the Bhutanese government.
The statement says, “This [change in the tourist fee] is in view of the important role of the tourism sector in generating employment; earning foreign exchange, realising the potential for spillover benefits for ancillary industries, and in boosting overall economic growth.”
Along with the waiver, Bhutan will also provide a 50 percent discount on the SDF for children between 6 and 12 years of age. This means that for children belonging to this age group, the tourist fee will now be USD 50 (approx. THB 1,762) per night, clarifies the government. Those aged below six will not be charged the SDF. Additionally, the 24-hour SDF waiver for tourists staying in the border towns will continue, according to the statement.
For Indian visitors (those who have an Indian passport or voter ID), the tourist fee applicable will be BTN 1,200 (INR 1,199) per night. Discounts and waivers on the SDF are applicable to Indian children, too.
The government will conduct periodic assessments of scenarios with respect to both domestic and international tourism. The incentives may be discontinued to promote the High-Value Low Volume tourism policy of Bhutan after August 31, 2027, adds the statement.
Find out more here.
This story first appeared on Travel + Leisure India.
Anushka has worked with publications such as Times of India and Being Indian. A graduate from Xavier Institute of Communications, she specialises in entertainment, food and travel. She also likes to write about sustainability and beauty. When not working, you can catch her reading a book, tending to her plants, cooking or playing an instrument.
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