Tourism group says industry needs solutions, not prolonged discussions

Tourism group says industry needs solutions, not prolonged discussions

Malaysian Tourism Federation wants Putrajaya to act decisively on rising costs, especially for fuel.

The Malaysian Tourism Federation said travel agencies are unable to adjust prices because of long-term contracts signed months in advance.
PETALING JAYA:
The Malaysian Tourism Federation (MTF) has urged the government to deliver quick and effective solutions to help the tourism industry deal with rising costs stemming from the war in the Middle East.

In a statement, MTF warned that prolonged discussions without tangible results would not ease the sector’s mounting cost pressures.

The federation said travel agencies were unable to adjust prices because of long-term contracts signed months in advance, forcing them to absorb unexpected costs, especially rising fuel prices.

It said the situation was compounded by reliance on third-party transport operators – including buses, boats and ferries – which are also increasing rates because of higher operating expenses.

“Engagement with ministries is appreciated, but what the industry urgently needs is decisive action that delivers results on the ground,” said MTF president Sri Ganesh Michiel.

“The current cost pressures are not just numbers on a page. They threaten the sustainability of services, jobs and Malaysia’s competitiveness as a tourist destination,” he added.

He called for immediate relief measures, including fuel support for transport operators, temporary cost assistance for travel agencies, short-term stabilisation policies and a coordinated cross-ministerial approach to ensure timely interventions.

Last month, tourism groups including the Malaysian Association of Tour and Travel Agents and the Malaysian Inbound Tourism Association warned that the increase in global fuel prices due to the war was putting operators under heavy financial pressure.

They said many operators were already tied to fixed-price packages for domestic and international travellers. They also expressed concern that operators’ businesses could fail, warning that this would have a detrimental effect on the broader tourism sector.

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