Middle East Conflict Impacts Bangkok Tourism, Shop Owners: Business Down to 20%, Like a Repeat of the Pandemic

The Middle East conflict has severely impacted Bangkok's tourism, especially shops in the Nana district. Muhammad, who runs a perfume shop, reported that business is down to 10-20% of normal, with monthly revenue dropping from 1 million Thai Baht to 150,000-200,000 Baht. World Travel, a travel agency serving Arab tourists, also cut staff due to a sharp decline in customers. Despite a temporary ceasefire between the US and Iran, operators worry the economic impact will persist and could be worse than the COVID-19 pandemic.
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Muhammad, who has operated the Oud Empire perfume shop in Bangkok for over 12 years, told CNA that before the Middle East conflict erupted, his shop was always packed with tourists, but now it's empty, "feeling like the pandemic is repeating itself."

Muhammad's perfume shop is located in the Nana district, an area that has become a small Arab community due to the concentration of Middle Eastern tourists, with Middle Eastern restaurants, clothing stores, shoe shops, and perfume shops lining the alleys. However, the usually bustling markets and streets are now deserted.

Muhammad stated that there are over a hundred perfume shops in Bangkok's Nana district, and their businesses have been severely impacted by the sharp decline in Middle Eastern tourists. He said, "We originally expected many customers after Eid al-Fitr, and it would be very lively, but unfortunately, after the war broke out, many tourists from Arab countries stopped coming, and business is not as expected."

He added that the perfume shop's business is only 10-20% of normal, noting that monthly revenue could reach up to 1 million Thai Baht (approximately NT$990,000) during normal times, but now it's only about 150,000 to 200,000 Thai Baht.

A travel agency, also located in the Nana district and specializing in serving Arab tourists, began rotating staff after the Middle East conflict erupted. In the past, every counter was crowded with people inquiring about travel itineraries, transportation, and meal tickets, but this scene is no longer seen, so the operator temporarily halved the number of counter staff.

Operator Nuttharin Soonthornrohit told CNA that 90% of their "World Travel" agency's clients are Arab tourists. They come to Thailand to visit various cities and islands, and also for health check-ups or medical treatment at hospitals. Since the outbreak of the Middle East war, Arab tourists have stopped traveling, leading to deserted shops and a halving of business.

She helplessly said, "Now is the peak season, not just Arabs, almost all foreigners come to Thailand to play," pointing to the lobby, "but look, there's no one here now."

In addition to the travel agency, Nuttharin also invested in a newly completed shopping mall named NANA Village on another street in the Nana district, most of the shops are still empty. Nuttharin explained that the decrease in Arab tourists has made operators reluctant to rent, and she has tried to lower rents to attract businesses, while also delaying the mall's opening.

The US and Israel launched attacks on Iran on February 28, escalating tensions in the Middle East and impacting Thailand's tourism industry. Although tourists from the Middle East account for a small proportion of Thailand's total foreign visitors, official statistics show that the number of Middle Eastern tourists in February this year decreased by more than half, from 32,831 last year to 16,080.

The US and Iran have currently agreed to a temporary ceasefire, but Nuttharin still worries that if the ceasefire ends, the economic impact will continue, and the impact could even be greater than the COVID-19 pandemic, noting that "customers not coming, and rising oil prices" will be long-term effects.

She said, "I just hope the war ends soon, after all, it will take time to restore the former glory. If the war continues, business will be like during the pandemic." (Edited by Chen Huiping) 1150410

FAQ

What impact has the Middle East conflict had on Bangkok's tourism industry?

The Middle East conflict has severely impacted Bangkok's tourism industry, especially shops in the Nana district. Business has significantly declined, with a sharp drop in Middle Eastern tourists, and some shops are seeing only 10-20% of their usual revenue.

How much has business declined for shops in Bangkok's Nana district?

Perfume shops in the Nana district are seeing only 10-20% of their usual business, with monthly revenues dropping from a peak of 1 million Thai Baht to approximately 150,000-200,000 Thai Baht. Travel agencies serving Arab tourists have also cut staff due to a sharp decline in customers.