June 2009

Banking on China Print E-mail
MICE industry players who are strong on China inbound are pinning their hopes on better accessibility and lower air fares to stimulate demand for Malaysia as a MICE destination. Since February 1, Malaysia Airlines (MAS) has reduced fuel surcharges for flights from China by US$100, helping to stimulate the market. The airline flies to Beijing, Shanghai, Kunming, Guangzhou and Xiamen.

Longhaul budget carrier, AirAsia X, has just started a new five times weekly service to Tianjin from its hub in Kuala Lumpur. It will also begin flights to Xi’an, Chengdu and Chongqing from Kuala Lumpur later this year, once time slots have been confirmed. Currently, no airline is servicing these routes.

MICE inbound players strong in China said the improved air connectivity and lower air fares would help Malaysia compete against regional air hubs, Thailand and Singapore, for the Chinese MICE market.

BTT Travel Services executive director, Mr Sam Kwan, said his strategy was to identify companies in these secondary destinations that regularly organise incentives overseas and to promote Malaysia as a MICE
destination. He said: “With direct flights, there is also a cost-saving advantage which makes Malaysia a more appealing MICE destination to companies headquartered in main cities with branches in Tianjin, Xi’an, Chengdu
and Chongqing.”

“We are also a value-for-money destination, where hotel rates are one of the lowest in South-east Asia.”

Mr Kwan added the Malaysian Convention & Exhibition Bureau’s newly formed advisory council would also be identifying suitable incentives for airlines, core PCOs, meeting planners and incentive houses to encourage them to bring their business to Malaysia.

The advisory council comprises representatives from the government and leaders from the local MICE industry. 

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