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WTO’s access - Pros and cons of Vietnam tourism PDF Print E-mail
Nov 10, 2006 at 07:26 AM

ImageOver the past years, the tourism sector has made strong development and gradually integrated into the global tourism development process. The position of the Vietnamese tourism has been confirmed and raised.

In the implementation of the strategy to develop tourism and the national action programme on tourism, Vietnam has invested thousands of billions of dong (Vietnamese currency), VND 2,146 billion for the past five years, in tourism infrastructure in key destinations and attracted more than 190 foreign direct investment projects in tourism with a total capital of US $4.64 billion.
Hundreds of new luxury hotels and resorts have been built. The number of hotel rooms and tourism products that have met the standards to serve international tourists has risen. The work to promote tourism and train human resources has been boosted. These factors lead to the fact that the number of international tourists travelling to Vietnam is increasing and reached 3.43 million in 2005.
The Tourism Law has been completed and gone into effect and issued many instruction documents, creating a clearer legal environment in tourism business activities. In the renovation process and international integration, the force of tourism businessmen has also developed and adapted themselves gradually with new mechanisms.
State-owned tourism businesses are being equitised and restructured to the orientation of forming strong tourism groups or parent companies in order to do effective business in the international competitive environment. Vietnam has enhanced international co-operation and relations in the field of tourism, signing 26 government-level bilateral tourism agreements and establishing relations with more than 1,000 travel firms from over 50 countries and territories.
Vietnam has taken an active and effective part in regional and international co-operation forums such as the World Tourism Organisation, tourism co-operation with ASEAN, Asia-Pacific Tourism Association, sub-Mekong region tourism development programme, and East-West corridor co-operation. Recently, Vietnam has successfully organised the APEC Tourism Ministers’ Meeting, gaining high appreciation from international friends.
The Vietnamese tourism sector is standing in front of new opportunities. The position of Vietnam has been raised; the “playground” has been widened and the playing rules are clearer. The integration process into WTO will help boost bilateral and multilateral economic relations between Vietnam and the world, contributing to more transparent and equal business environment in Vietnam.
Particularly, the ability to attract FDI has been improved. This is an important capital source to develop the tourism industry in order to catch up with regional and global development. WTO is opening new investment opportunities. At present, many big economic groups are looking forward to investing in Vietnam, including investment in tourism.
The capital amount has reached US $2.2 billion out of total US $5.15 billion FDI into Vietnam over the past nine months. The integration also creates chances to learn about knowledge, experience, management skills and business operation in tourism field from countries with developed tourism industries, helping train human resources in line with international standards.
Obstacles lifted allow the increase of circulation of tourists among countries. In addition, competitive pressure arisen from integration is also a motivation to boost renovation, completion and improvement of products of travel companies for their sustainable existence and development.
The Vietnamese tourism sector is in the initial period of WTO integration; therefore it has to co-operate and, at the same time, learn about international rules. The sector will face difficulties while the legal system of Vietnam is yet to be complete. In fact, competitiveness of the tourism industry is low because services are yet to be diverse; infrastructure has not yet caught up with the development; the quality of service is low; the price is high and tourism products are poor. Therefore, the rate of repeated arrivals is low.
The deep integration will create strong pressure against Vietnamese tourism companies in competitiveness. Most of tourism companies of Vietnam are small with limited service quality and low management ability. There is a shortage of a contingent of human resources and if any, their knowledge of foreign languages is still poor, not up to the mark. The process of integration will possibly threaten the environment and tourism scenery if there are not any effective management measures and proper attention. This is one of the challenges for the tourism sector in general and travel firms in particular.
The economic integration is an indispensable trend. In the integration process, the State creates transparent and favourable legal environment. It is high time for travel businesses to make their own efforts.
In the coming time, the National Administration of Tourism will give specific guidance on Vietnam’s commitments with WTO so that businesses can be kept well informed to adjust business directions.
Over the past years, the tourism sector has made strong development and gradually integrated into the global tourism development process. The position of the Vietnamese tourism has been confirmed and raised.
In the implementation of the strategy to develop tourism and the national action programme on tourism, Vietnam has invested thousands of billions of dong (Vietnamese currency), VND 2,146 billion for the past five years, in tourism infrastructure in key destinations and attracted more than 190 foreign direct investment projects in tourism with a total capital of US $4.64 billion.
Hundreds of new luxury hotels and resorts have been built. The number of hotel rooms and tourism products that have met the standards to serve international tourists has risen. The work to promote tourism and train human resources has been boosted. These factors lead to the fact that the number of international tourists travelling to Vietnam is increasing and reached 3.43 million in 2005.
The Tourism Law has been completed and gone into effect and issued many instruction documents, creating a clearer legal environment in tourism business activities. In the renovation process and international integration, the force of tourism businessmen has also developed and adapted themselves gradually with new mechanisms.
State-owned tourism businesses are being equitised and restructured to the orientation of forming strong tourism groups or parent companies in order to do effective business in the international competitive environment. Vietnam has enhanced international co-operation and relations in the field of tourism, signing 26 government-level bilateral tourism agreements and establishing relations with more than 1,000 travel firms from over 50 countries and territories.
Vietnam has taken an active and effective part in regional and international co-operation forums such as the World Tourism Organisation, tourism co-operation with ASEAN, Asia-Pacific Tourism Association, sub-Mekong region tourism development programme, and East-West corridor co-operation. Recently, Vietnam has successfully organised the APEC Tourism Ministers’ Meeting, gaining high appreciation from international friends.
The Vietnamese tourism sector is standing in front of new opportunities. The position of Vietnam has been raised; the “playground” has been widened and the playing rules are clearer. The integration process into WTO will help boost bilateral and multilateral economic relations between Vietnam and the world, contributing to more transparent and equal business environment in Vietnam.
Particularly, the ability to attract FDI has been improved. This is an important capital source to develop the tourism industry in order to catch up with regional and global development. WTO is opening new investment opportunities. At present, many big economic groups are looking forward to investing in Vietnam, including investment in tourism.
The capital amount has reached US $2.2 billion out of total US $5.15 billion FDI into Vietnam over the past nine months. The integration also creates chances to learn about knowledge, experience, management skills and business operation in tourism field from countries with developed tourism industries, helping train human resources in line with international standards.
Obstacles lifted allow the increase of circulation of tourists among countries. In addition, competitive pressure arisen from integration is also a motivation to boost renovation, completion and improvement of products of travel companies for their sustainable existence and development.
The Vietnamese tourism sector is in the initial period of WTO integration; therefore it has to co-operate and, at the same time, learn about international rules. The sector will face difficulties while the legal system of Vietnam is yet to be complete. In fact, competitiveness of the tourism industry is low because services are yet to be diverse; infrastructure has not yet caught up with the development; the quality of service is low; the price is high and tourism products are poor. Therefore, the rate of repeated arrivals is low.
The deep integration will create strong pressure against Vietnamese tourism companies in competitiveness. Most of tourism companies of Vietnam are small with limited service quality and low management ability. There is a shortage of a contingent of human resources and if any, their knowledge of foreign languages is still poor, not up to the mark. The process of integration will possibly threaten the environment and tourism scenery if there are not any effective management measures and proper attention. This is one of the challenges for the tourism sector in general and travel firms in particular.
The economic integration is an indispensable trend. In the integration process, the State creates transparent and favourable legal environment. It is high time for travel businesses to make their own efforts.
In the coming time, the National Administration of Tourism will give specific guidance on Vietnam’s commitments with WTO so that businesses can be kept well informed to adjust business directions.

By HOANG TUAN ANH               
(Permanent Deputy Head of the National Administration of Tourism

 

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Vietnamese

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