Relax, detox, spend money
As the wellness trend sweeps the globe, Thailand's spa and health industry is campaigning to improve standards and attract well-heeled tourists.The Thai spa and healthcare business has a promising outlook, with a projection of 7-10% growth to generate up to 15 billion baht of revenue this year.
Thai spa has been recognised as one of the top five services in the world, while Thai hermit yoga postures at Phra Chetupon Wimolmangkhalaram temple and Wat Pho in Bangkok have been registered in Unesco's Memory of the World.Phattiaporn Khiewsanun, the vice-president of the Thai Spa Association, says increased concern for overall health is a global trend, so more and more foreigners are visiting Thailand as a spa destination for seven to 10 days.
These visitors spend a lot of money as they come for health, relaxation and detoxification. Most are Europeans, familiar with spas and wellness, who seek refreshment on holiday before going back to work.
A major problem in the development of the spa business in Thailand is rising standards for treatment and personnel, increasing demand for certified Thai spa and massage therapists domestically and internationally.
Therefore, the association began supervising the quality of spa outlets, personnel and products two years ago by awarding them silver, gold or platinum status based on international standards.
"This is to ensure that the Thai spa business has improved," said Ms Phattiaporn.
Thailand has the capacity to produce around 10,000 trained personnel to serve the industry each year, via vocational schools and universities such as Rangsit, Mahidol and Rajabhat. Fields of study have expanded to health care, medical massage and alternative medical treatment.
Vuthichai Duangratana, the deputy director-general of the Export Promotion Department, said Thai government policy since 2004 has been to push Thailand as the medical hub and spa capital of Asia.
Several government agencies and the private sector have cooperated in developing the Thai spa industry to a certain standard and character.
The department anticipates bright prospects for the export of the spa business in term of products and services, with a focus on Asian markets such as Asean, India, China and Vietnam.
Mr Vuthichai said the Thai spa industry had expanded abroad through integrated consultancy services, ranging from design and management to staff training and recruiting. Thai companies also invest in, sell franchise licences for and manage spas in other countries.
At the same time, the department also promotes Thai spas and services to draw foreigners to get treatment in Thailand.
Obstacles for Thai spa workers include work permits that are limited by quotas or high requirements on deposit guarantees, discouraging operators in other countries from recruiting Thai workers.
Exports of cosmetics, soaps and skin care products are expected to reach US$2.39 billion this year, up 25% from 2010.
In the first half, Thailand shipped a total of $1.18 billion, up nearly 20% year-on-year. Five destinations accounted for 53% of total export: Japan, Malaysia, Indonesia, the Philippines and Australia.
Mr Vuthichai noted that Thailand has higher tariffs on the import of raw materials and packaging than rivals such as China and Malaysia. Thai products are also at a disadvantage in terms of design and quality of packaging when compared with China and South Korea.
Thailand's Food and Drug Administration still has problems with label registration and unclear requirements for pharmaceutical product approval.
The country also lacks research and development, so related government agencies should collaborate to seriously conduct R&D and assist entrepreneurs in improving production technology and efficiency on par with international producers.
Ms Phattiaporn said the association had worked with other agencies to implement supportive activities. Some 20 entrepreneurs in personal care and cosmetics will participate in a business matching event in Hong Kong later this month.
One Thai personal care product with high export potential is herbs, whose varieties recognised internationally include lemongrass, turmeric, phai (Zingiber cassumunar), mangosteen peel, rice, fragrant rice and extract of longan seed.
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