The Malaysian Insight

JOHOR’S F&B sector is feeling the pinch due to declining tourist arrivals from Singapore, said industry players.

They attributed the drop to delays at immigration counters and tensions between the countries since Pakatan Harapan took over Putrajaya.

Tourist arrivals from Singapore dropped by 14.7%, resulting in only 10.62 million visitors from across the Causeway last year compared with 2017.

This caused Malaysia to miss its target of 26.4 million tourist arrivals in 2018, recording just 25.83 million.

Malaysia-Singapore Coffee Shop Proprietors’ General Association president Ho Su Mong told The Malaysian Insight that Johor-based members complain that their businesses have taken a hit due to the decline in Singaporean tourist arrivals.

Their income has fallen by 30%, said the association.

Ho said Singaporean tourists are put off by the lengthy process at Malaysia’s immigration checkpoints.

“Johor’s tourism industry thrives on visitors from Singapore. This has also impacted the services industry in a big way.

“Besides the overcrowded checkpoints and long waiting hours, the ongoing tensions between the two countries also have an effect.

“Many choose not to come here because of the problems between the countries,” he said, referring to the airspace and maritime border dispute, as well as Putrajaya’s call for Singapore to pay more for the raw water it buys from Johor.

Malacca, another hotspot for Singaporean tourists, has seen a decline in coffee shop business, too.

Ho said he does not understand why it takes an hour to clear immigration in Johor, and cited as an example the smooth procedure at China’s Hainan Island.

The long wait does not bode well for Malaysia if it wishes to continue attracting Singaporean tourists, he said.

“Why does it take so long? Do they need to upgrade their system?”

Federation of Hawkers and Petty Traders’ Association Malaysia president Yow Boon Chuan said hawkers in the southern state have registered a dip in business since Chinese New Year.

“Business has been bleak since CNY because of decreasing tourist numbers and the economic downturn.”

He said hawkers and small businesses are the hardest hit.

Yow said overcrowding at checkpoints is a long-standing issue, and that the group has repeatedly highlighted the problem to the government.

Tourists contribute about 30% of night market hawkers’ income, he said.

He said things would not be as bad if the economy was in good shape, as locals would have higher purchasing power.

Malaysian Chinese Tourism Association president Albert Tan Sam Soon said the decline in Singaporean tourist arrivals in Johor can also be attributed to low airfare, which allows them to fly to Penang, Thailand, Vietnam and Indonesia instead.

He said CNY is the peak period for tourist arrivals in Malaysia.

Tan concurred with Ho, that tensions between Malaysia and Singapore have affected tourist arrivals from the republic.

Previously, Tourism Malaysia director-general Musa Yusof said the declining number of tourist arrivals from Malaysia’s southern neighbour may be due to congestion on the Causeway, and Singaporeans’ increasing preference for a “new and different experience”. – April 2, 2019.