THE two-year old Setia City Convention Centre is planning to build a new 6,000m² hall adjacent to the main entrance to cater to large conventions.

The hall, which can be divided into two, will be connected to the main convention centre via a covered walkway.

Setia City Convention Centre head, Francis Teo, said the extension was necessary to cater for exhibitions of up to 350 booths and big conventions with up to 8,000 people in theatre style.

Upon completion in mid-2016, the total floor space at Setia City Convention Centre will be close to 10,000m².

Teo said: “There aren’t many venues in Klang Valley that can accommodate large conventions. We are building this extension as we see demand for space for exhibitions and large banquets.”

Ganneesh Ramaa, manager, Luxury Tours Malaysia, said: “This new development is good for the industry. There are many hotels within the vicinity of Petaling Jaya, Subang Jaya and Shah Alam to support the convention centre and to attract international events here. I predict rental will also be cheaper as it is located outside Kuala Lumpur city.”

OUTBOUND tour operators handling MICE business in Malaysia are projecting a drop in business next year no thanks to the ailing ringgit, but destinations with cheaper local currencies will enjoy the silver lining of more Malaysian business.

The ringgit has weakened substantially month-to-date against many major and regional currencies.

Topaz Travel & Tours managing director, Stephen Thomas, said: “We locked in rates a year ahead and had quoted (prices to) the clients in ringgit, and now we have to absorb the difference.”

While the cost of packages are certain to go up next year as a result, Stephen predicts popular MICE destinations are those where the ringgit remains stronger than the local currency.

This includes countries such as Indonesia, Thailand, the Philippines, Sri Lanka and China. He cited that there were also enquiries for incentives to South Africa.

Richard Vuilleumier, managing director of Panorama Tours Malaysia, also believes that South-east Asia destinations where suppliers provide quotes in local currencies or ringgit and not in US dollars will be favoured for Malaysian MICE.

The weaker ringgit means Malaysian MICE planners will look for ways to cut costs “such as choosing alternative destinations, accommodation or cutting down on meals”, he commented. “Longhaul destinations are sure to be the hardest hit.”

While some events are moving closer to home or downgrading accommodation and expenses, Adam Kamal, CEO of Rakyat Travel, is dealing with the situation differently.

“In 2Q2015, we expect a reduction in MICE movement overseas. Instead, we predict more domestic movement as companies cut costs. Thus, in this current environment, we are marketing domestic destinations more aggressively.”

BACOLOD is chasing big MICE dreams as it sets up a convention bureau and brings more infrastructure to the market.

A city ordinance signed in June this year will see the creation of the Bacolod Meetings and Conventions Promotions Board, to develop incentives, and the Bacolod Conventions Bureau, to promote and implement strategies and support for MICE.

Furthermore, November saw the opening of SMX Convention Center Bacolod, the largest convention center in Visayas with a capacity of 4,000 pax for concerts and 2,800 pax in banquet style.

Dennis O Salvador, SMX Convention Center’s assistant vice president and director of sales, said: “The opening creates demand for the international market to explore Bacolod. We’re already getting leads for events two years from now.”

Ryan T Uy, SMX Convention Center vice president, strategic sales and income management, said event organisers no longer have to look elsewhere because Bacolod can now host MICE events.

Plans are also afoot to build a 200-key hotel, likely a Park Inn By Radisson, and a 150-key Seda Hotel in the city over the next couple of years.

These developments have led to the choice of Bacolod as the host of MICE Conference, the Philippines’ biggest meetings event, in 2016.

THE Indonesia Convention Exhibition (ICE) topped off last week with development at the 80 per cent mark. While completion for the US$318 million project is slated for March, business begins in January.

Danny Budiharto, president director of ICE’s owning company Indonesia International Expo, said: “Michael Bublé will stage his concert here on January 19, with some 10,000 people in attendance. This symbolises the start of the venue’s operations.”

Danny explained the topping off marked the beginning of a new era in Indonesia’s exhibition history and a shift in the country’s convention and exhibition business.

Built on 22ha of land in BSC (Bumi Serpong Damai) City, Tangerang, with a total floor space of 200,000m2, ICE offers 10 exhibition halls with an indoor area of 50,000m2 and an outdoor exhibition space of 50,000m2.

ICE’s meeting facilities will include a 3,600m2 convention hall and 33 meeting rooms capable of accommodating up to 10,000 people.

The venue will also be equipped with support services such as in-house food production, F&B outlets, parking space for 3,000 cars and a four-star hotel with 300 rooms.

ICE, which is managed by Deutsche Messe, is expected to put Indonesia on more equal footing with other MICE destinations in South-east Asia.

Mark Schloesser, president director of Deutsche Messe Venue Operations, said: “Deutsche Messe is committed to leverage the MICE industry in Indonesia by making ICE the preferred destination for conventions and exhibitions in the region.”

The company has so far received enquiries and bookings for tradeshows, conferences, social functions, and more than two concerts to be staged at the venue.

Apart from signing on domestic conferences and exhibitions, Deutsche Messe is targeting international events. Explained Schloesser: “We will not get to the highest (revenue and occupancy levels) in the next two to three years as a new facility usually takes that long to ramp up…We expect to reach the prime operational phase in five years, (with) a lot of big major events coming from within and outside the country.

“Our target groups now are local and national exhibitors and events within Indonesia, followed by those from the South-east Asian countries and other parts of the world,” he added.