PETALING JAYA: The Malaysian Association of Tour and Travel Agents (MATTA) is calling on the government to introduce diesel subsidies for van and tour bus operators under the Tourism, Arts, and Culture Ministry (MOTAC).
In a statement, its president Nigel Wong Chun Teim acknowledged the government’s efforts to maintain diesel subsidies for the logistics industry to control the cost of living.
However, he said the recent end of diesel subsidy rationalisation and subsequent price increase has significantly impacted van and tour bus operators in the tourism industry.
“Before this price adjustment, our analysis showed that tour vans and buses consumed substantial amounts of fuel monthly, with costs now rising by 54% due to the new diesel price of RM3.35 per litre.
“This increase has caused a considerable financial burden on our sector, challenging our ability to maintain competitive pricing and deliver high-quality services to our tourists, both international and domestic,“ he said.
Wong added that fuel subsidies are crucial for alleviating financial strain on operators and supporting competitiveness, and to ensure MOTAC’s campaign to attract 35.6 million foreign tourists to Malaysia is successful, MATTA is proposing a monthly diesel subsidy quota of 3,000 litres per vehicle.
“This allocation would greatly assist in mitigating the financial burden caused by rising diesel prices and ensure the industry remains competitive.
“We understand the objectives of the MADANI government and we fully support them. However, the industry needs time to adjust, given the contractual obligations that many agents have.
He said a grace period would enable tour operators to fulfil their current obligations without instantly incurring the losses from higher fuel prices.
By implementing this, Wong said, these measures will enable the tourism industry to continue contributing significantly to the country’s economy while ensuring tourists receive great experiences in the country.
“We trust that the government, especially the Finance Ministry and MOTAC, will consider our proposals to support the tourism industry during this challenging period,“ he added.
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