This is the view of Sabah Tourism, Culture and Environment Assistant Minister Pang Nyuk Ming who said that the current requirement of up to RM250,000 for aspiring tour operators to get the coveted licence puts bumiputera entrepreneurs at a major disadvantage.
“They are on the losing side because it is hard to secure a business loan of that amount based on a business plan alone,” Pang told FMT.
He added that such a change should have been made long ago especially with the prevalence of the internet and more Sabahans going online across the state.
“I had actually discussed the matter with the tourism and culture ministry four years ago. I proposed that the capital requirement be reduced to between RM20,000 and RM25,000 and for the business owner to be a licensed tour guide.
“But it was not heeded and until now, you do not see many bumiputeras in the business. They only work for the tour operators as tour guides and their incomes remain limited despite the rapid growth of the tourism industry in Sabah,” Pang said.
Branding the current requirement archaic, Pang said nowadays a tour operator only needs a laptop, a phone and a stable internet connection to organise tours without the hassle of printing flight tickets or renting overcharged office space like in the old days.
“Now everything is online. When people go on holiday, the majority do not go to the tour operators anymore because they can find everything online.”
He said that with more people venturing into the business, the better the service will be because these entrepreneurs will be competing with one another to offer the best services at the most competitive prices.
Pang also believes that amending the requirement could solve some of the unemployment problems in the state as well as reduce illegal tour operations which have been a nuisance to the ministry for several years now.
“I think if we asked them to come up with RM20,000 as a guarantee, our youths can find that money. They need to be tour guides though and to get the licence, they will need to fork out another RM7,000 but they can easily get a loan from the government for it.
“So you are looking at less than RM30,000 to start a business and build from there.
“Rather than asking them to come up with RM200,000, where only the very rich ones can do it while our youths can only watch,” he said.
Pang said he will soon meet up with the ministry to discuss the matter and hopes to receive a more favourable answer this time.
“It is time to give our youths a bigger share in the tour operating business, both outbound and inbound,” he said.