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Tuesday, December 29, 2015

Sabah eateries face hard times

KOTA KINBALU - After facing a severe drop in business this year, restaurant owners in Sabah are bracing for tougher times ahead.

Sabah Restaurants Fellowship Association president Lim Vun Chan said that they were predicting further decline in business next year as the trend of cautious spending and lower tourists arrivals from China is likely to continue.

“Our business for this year dropped by 25%. It will only get worse next year.

“This is mainly because the people are more cautious following the implementation of the Goods and Services Tax (GST) and the weak ringgit, which contributed to an increase in the prices of almost everything in the market.”

Lim said they were also hit by a decline in the number of “rich tourists” from China coming to Sabah.

“Around 80% to 90% of the Chinese tourists visiting Sabah are budget travellers who don’t really spend.

“We know for a fact that many of the rich China tourists have opted for other destinations like Europe, Australia, Thailand and even the Philippines,” he said yesterday.

Lim said many travel agents in China were not promoting Sabah as much as they did previously.

Those who were tasked with promoting tourism in the state should explain about the security situation here, he added.

He cited the Nov 17 beheading of Sarawakian Bernard Then Ted Fen by the Abu Sayyaf in the southern Philippines island of Jolo.

The 39-year-old engineer was abducted along with restaurant manager Thien Nyuk Fun, 50, from the Ocean King Seafood Restaurant in Sandakan on May 15.

Thien was released by her captors on Nov 8 but they killed Then after the breakdown in negotiations over ransom payments.

Lim said that there was no doubt about Immigration Department statistics which showed the arrival of foreign tourists but the question remained on how much it really impacted the overall tourism industry.

“Businesses including restaurants are facing tough times.

“We hope the authorities will come up with measures to revitalise our tourism industry,” he said

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