annual report 2009 - association of bhutanese tour operators | abto
TRANSCRIPT
Annual Report 2009
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ASSOCIATION OFBHUTANESE TOUR
OPERATORS
ANNUAL REPORT 2009AUDITED REPORT JULY 2008 - JUNE 2009
PLANNED ACTIVITIES 2010 - 2011
Annual Report 2009
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Mission stAteMent
“To develop and promote the Bhutanese tourism and travel industry with the highest standards of
service, ethics and professionalism in line with the noble vision of Gross National Happiness.”
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Contents
Board of Directors 5
Representation to Boards and Committees 6
Working Groups 6
Year in Review 7
PART A: Activities, 2009-10 8
1 Operational 81.1 Tourist Tariff 81.2 Survey of Merak and Sakten Trekking Route 81.3 Entry and Exit via Samdrup Jongkhar and Gelephu 81.4 Waiver of Import Duty on Tourist Buses 81.5 Visa Application issues 81.6 Coordination with Druk Air 91.7 Vehicle Movement during SAARC Summit 91.8 Visa online 91.9 Economic Development Policy-2010 91.10 Travel Fairs 91.11 ABTO website 91.12 Insurance Schemes 101.13 Registration under the Civil Society Organization Authority 101.14 Initiated Annual Moenlam 101.15 Earthquake Relief Fund 101.16 Negative List 101.17 Payment Refund to Affected Clients 101.18 Development of Research Unit 10
2 Infrastructure 112.1 Trek Routes Assessments 112.2 Gangtey Alternative trek 112.3 Toilet at Gangtey Gonpa 112.4 Construction of Amenities at Punakha 11
3 Publications 113.1 The Pilgrim: For the Spirited Traveler 113.2 Bhutan Travel Directory 2010 123.3 Pictorial Guide book on wild flowers of Bhutan 123.4 Adventure Tourism Guidelines 133.5 Digital Copy of Business Development Skills 133.6 Digital Copy of Marketing and Packaging 133.7 Handbook on Basic GNH principles 13
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4 Projects 144.1 Strengthening of Tour Operator Associations 144.2 Rural Adventure Tourism Enhancement 14
5 Human Resource Development 155.1 Business Development Skills Training 155.2 GNH Awareness Workshop for Guides 155.3 Marketing and Packaging Training 155.4 Capacity building training for Secretariat staff 165.5 River Rafting Training 165.6 Japan Ecotourism Training 165.7 Short-term Training on Tourism Management 16
6 Tourism Statistics 176.1 Arrival and Revenue Generated (2005-2009) 176.2 Activity Wise Arrival (2005-2009) 176.3 Nationality Wise Arrival for 2009 17
7 Audited Report 187.1 Income and Expenditure Statement 187.2 Balance Sheet 19
PART B: Planned Activities for 2010-11 20
1. Operational 201.1 Trekking and Health Insurance with RICBL 20
2. Publications 20
3. Projects 203.1 Incorporating Socially Responsible Practices 20
4. Sustainability of ABTO 20
5. Work plan for 2010-11 21
6. Organizational Chart 21
Tentative Festival Dates For 2010 22
Tentative Festival Dates For 2011 22
Contents
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Board of Directors
Board of Directors
Board of Directors
BoARd of diReCtoRs
The Chairman and the Board of Directors has the pleasure in presenting the 10th Annual Report of the Association. The report covers the Association’s major activities, audited
statement of financial performance and tourism statistical information for 2009.
Chairman
Mr. Yeshey NorbuManaging DirectorNorbu Bhutan Travel
ViCe Chairman
Mr. Rinzin Ongdra WangchukCo-Partner
Yu-Druk Tours & Trek
Board of direCtor
Mr. Chencho WangdiManaging Director
Exotic Destination
Board of direCtor
Mr. Karma LoteyManaging Director
Yangphel Adventure Travels
Board of direCtor
Mr. Gembo TsheringManaging Director
Dragon Trekkers
Board of direCtor
Mr. Kinley GyeltshenCo-Partner
Gangri Tours & Treks
Board of direCtor
Mr. Namgay TsheringManaging Director
Namgay Adventure Travel
Board of direCtor
Mr. Hishey TsheringManaging Director
Bhutan Heritage & Birding Travels
Board of direCtor
Mr. Sonam D. DorjeeManaging DirectorNirvana Expeditions
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A. tourism Council of Bhutan1. Mr. Yeshey Norbu as Council Member
B. Bhutan Chamber of Commerce and industry1. Mr. Yeshey Norbu as Executive Committee
Member
C. sAARC tourism Council1. Mr. Hishey Tshering as Member
2. Mr. Karma Lotey as Member
3. Mr. Namgay Tshering as Member
d. tourism development fund Management Com-mittee (tdfMC)1. Mr. Yeshey Norbu as Member
2. Mr. Kinley Gyeltshen as Member
3. Mr. Chencho Wangdi as Member
4. Mr. Sonam Dorji as Member Secretary
e. Clean Bhutan (initiative under RsPn)1. Mr. Sonam Dorji as Member
WoRking gRouPs
A. Airline and Reservation1. Mr. Karma Lotey, Chairman, Yangphel
Adventure
2. Mr. Karma T. Rinchen, A Middle Path to Bhutan
3. Mr. Samdrup Wangchuk, Bhutan Free Spirit
4. Mr. Leki Dorji, Passage to Himalayas
5. Ms. Karma Wangmo, Norda Expeditions
6. Mr. Sangay Wangchuk, BTCL
7. Ms. Kinley Lemo Dorji, Bhutan Norphel Tours & Treks
8. Mr. Yeshey Nidup, Zuki Tours & Treks
9. Ms. Sonam Choden, All Bhutan Connec-tion
10. Mr. Tokey Dorji, Happy Holidays
11. Mr. Dorjee Wangchuk, Gangkar Adven-tures
12. Mr. Tashi Gyeltshen, Bhutan Menlha Ad-venture
B. Hotel and services1. Mr. Chencho Wangdi, Chairman, Exotic
Destination
2. Mr. Dipendra Giri, Zamling Tours
3. Mrs. Rinchyan Dolmma, Kinjore Tours
4. Mr. Ramesh Chettri, Padmasambhava Tours
5. Mr. Tshering P Dorji, Absolute Bhutan Travel
C. Human Resource development1. Mr. Kinley Gyeltshen, Chairman, Gangri
Tours
2. Mr. Karma T. Rinchen, A Middle Path to Bhutan
3. Mr. Ratu, Yangphel Adventure
4. Ms. Lily Wangchuk, Absolute Bhutan Travel
5. Mr. Jigme Tshewang, Country Travels
6. Mr. Tshering Dhendup, All Bhutan Connec-tion
d. infrastructure and Product development1. Mr. Hishey Tshering, Chairman, Bhutan
Birding and Heritage
2. Mr. Tshewang Rinchen, Yangphel Adven-ture
3. Mr. Karma T Rinchen, A Middle Path to Bhutan
4. Mrs. Thinley Dem, Bara Lynka Tours and treks
5. Mr. Pema Gyelpo, Bhutan Ancient Tours and Treks
6. Ms. Lily Wangchuk, Absolute Bhutan Travel
RePResentAtion to BoARds And CoMMittees
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7. Mr. Anan Loza, Keys to Bhutan
8. Mr. Tashi Gyeltshen, Bhutan Menlha Ad-venture
9. Mrs. Phub Zam, Yarkay Tours and Travels
10. Mr. Nim Dorji, Snow lion Adventure
e. Media Management
1. Mr. Sonam D. Dorjee, Chairman, Nirvana Expeditions
2. Mr. Sangay Wangchuk, Etho Metho
3. Mr. Dragyel Tenzin Dorjee, Bhutan Tsechu Tours and Treks
4. Mr. Tshering P Dorji, Absolute Bhutan Travel
5. Mrs. Dechen Ongmo, Mahakala Tours and Treks
f. Procedure streamlining
1. Mr. Rinzin O. Wangchuk, Chairman, Yu-Druk Tours
2. Mr. Tshering Tashi, Jojos Adventure
3. Mr. Ugyen Youser, Yangphel Adventure
4. Mr. Karma T. Rinchen, A Middle Path to Bhutan
5. Mr. Duptho, Shangrila Bhutan
6. Mr. Anan Loza, Keys to Bhutan
7. Mr. Tashi Gyeltshen, Bhutan Menlha Ad-venture
8. Mrs. Thinley Dem, Bara Lynka Tours and Treks
9. Mrs. Phub Zam, Yarkay Tours and Travels
g. Waste Management
1. Mr. Namgay Tshering, Chairman, Namgay Adventure
2. Mr. Gembo Tshering, Vice Chairman, Dragon Trekkers
3. Mr. Sunil Kumar Sunar, Amankora Paro
4. Mr. Sonam Jatso, Insiders’ Bhutan
5. Mr. Deepak Tamang, Raven Tours and Treks
6. Mr. Dendup Chophel, Phuensum Norgay Tours & Treks
7. Mr. Karma T Rinchen, A Middle path to Bhutan
YeAR in RevieW
The 2009 was a challenging year for the tourism in-dustry as well as the nation as a whole. The tourism industry was adversely impacted by the economic crisis, the (H1N1) influenza pandemic, and natural disasters which took the lives of innocent people across the nation.
Overall, there was decline in tourist arrivals, and the resulting decline in tourism revenue negatively impacted tourism trends and the socio-economic growth of the country.
However, these misfortunes should not overshadow the significant contributions, achievements and ac-complishments that have occurred within the sphere of our own national policies and outreach operations.
The year set some important milestones, includ-ing the formulation of the Economic Development Policy and finalization of the tourism tariff. Exemp-tions of sales taxes and customs duties on the import of vehicles and equipment for tourism purposes, as well as the increase in the tourism tariff to USD $250 per person per night are just a few of the significant achievements of the past year.
For ABTO, development of a membership network, effective dissemination of information, and solicit-ing feedback was always a concern. Introduction of a monthly e-newsletter and new magazine, The Pil-grim have helped the Association to improve net-work and add value by diversifying communication channels.
In addition to negotiations, the Association has spent time on an organizational assessment to realize own strengths and weaknesses focusing on primary roles and responsibilities and sustainability. In order to add value and improve the delivery of member serv-ices, the Association developed a discount insurance scheme, improved its’ website and membership da-tabase system.
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The Association exists because of the members; therefore, your continued guidance, support and contributions will always be of utmost importance as the Association strives to bring positive changes about in the tourism industry. Therefore, collabora-tion is essential in order to achieve the overall objec-tive of high value and low volume policy in the tour-ism industry.
In brief, the Association would like to present synop-sis of major activities, events and achievements of the Association in the various categories mentioned below.
PARt A: ACtivities, 2009-101 operational
1.1 Tourist TariffThe Executive Order # C-2/498, dated 13th No-vember 2009 issued by the Government raised many reservations and queries among the general members. The main contentions were directives number 5 on “re-allocation of Nu. 26 million from TDF towards Destination Marketing budget” and 5 (f -i) on “Roll out of the integrated channel, price and supply policy that liberalizes the minimum package price and mandatory package via tour operator requirement; yet ensuring royalty rev-enue to the government”
The Association sought views and comments from the general members, which was further deliberated during the several meetings for follow up.
ABTO Board Members with contribution from the general members, prepared ABTO Position Note # 758 and submitted it to various levels for delibera-tion. As a result, town hall meeting was convened with Hon’ble Lyonchhen and relevant dignitaries on 24th February 2010. The major outcome was the fi-nalization of tourism tariff to USD 250/- per person per night.
1.2 Survey of Merak and Sakten Trekking Route
Opening of Merak and Sakten has been in the top list of Association’s petition to the government for many years. The government has finally approved open-ing of Merak and Sakten with effect from September 2010.
1.3 Entry and Exit via Samdrup Jongkhar and Gelephu
ABTO has also been petitioning to the government to allow entry and exit for tourists via the border towns of Samdrup Jongkhar. Finally, Samdrup Jong-khar and Gelephu have been approved during the 1st Tourism Council meeting held on 22nd January 2010. These two towns have also been declared as royalty free zones both for entry and exit for transit purposes only with effect from 1st May 2010.
1.4 Waiver of Import Duty on Tourist Buses The Association has consistently followed up with the government through various submissions on the waiver of import duty and sales tax on import of buses for tourists’ buses and equipments. Finally, the Department of Revenue and Customs, Ministry of Finance has approved exemption of customs duty and sales taxes on import of buses by tour opera-tors. Although, petitions have been made for the ap-proval of vehicle on need basis, the government has announced the import of one bus with minimum of 2,590 mm wheelbase in a period of five years only.
1.5 Visa Application issuesRealizing the negative implications of requirement to submit passport size photograph when applying tourist visas, the Association has raised the issue with the Department of Immigration. Since there was very poor response, the matter was further raised with the Hon’ble Prime Minister during a business community meeting. The Hon’ble Prime Minister had directed the Tourism Council of Bhutan and Ministry of Home & Cultural Affairs for immediate solution. ABTO is still following up on the matter.
1.6 Coordination with Druk Air Regular meetings between Druk Air management and ABTO Board members and the Airline Subcom-mittee were held to address some of the pertinent issues such as Druk Air schedules, ticketing and reservations, token systems, customer services, sur-charges and timely notification.
Druk Air has improved the existing system by mov-ing to a new system with additional features such as the ability to waitlist passengers, online viewing of the available seats, transparency at the counters and also introduced the Internet Booking Engine (IBE) for effective service delivery. The feedback for the new
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1.10 Travel Fairs In the last two and a half years ABTO in collaboration with TCB coordinated travel fairs facilitating the par-ticipation of over 65 tour operators. The major travel fairs included JATA, in Japan, ITB in Germany, WTM in UK, and FITUR in Spain. Since January 2010, TCB has taken over the responsibilities of facilitating and coordinating all travel fairs.
As a member of UFTAA, ABTO had the privilege to send five member tour operators to participate in
system is being compiled by the Association for fol-low up and deliberation with Druk Air.
On the additional and split flights Druk Air has been very cooperative and through our coordinated efforts, around ten flights have been inserted based on the de-mand from tour operators. Further, off-season discount was maintained by Druk Air upon ABTO’s request.
1.7 Vehicle Movement during SAARC Sum-mit
As Bhutan hosted the 16th SAARC Summit in April 2010, ABTO mediated on the restrictions opposed by the government on vehicular movement within Thimphu city. As such, the movement of around 200 tourist vehicles was facilitated during SAARC Submit period through collaboration and coordination be-tween ABTO, RSTA and Traffic police.
Further, ABTO was able to facilitate issuing of permits to Indian tourists visiting Bhutan through licensed tour operators during the SAARC Summit period.
1.8 Visa online The Visa Online project initially initiated by ABTO is now in the testing phase with TCB and the Depart-ment of Immigration.
The Visa Online Process was launched on 27th Sep-tember 2009, coinciding with World Tourism Day. The implementation of the online process is in full swing and hopefully the system will be fully operational by the end of 2010.
1.9 Economic Development Policy-2010After a series of consultations with the general mem-bers on the draft economic policy, ABTO solicited comments on tourism specific issues/clauses for sub-mission to the government. Since ABTO was involved in the draft policy consultation meetings, most views submitted were reflected in the policy paper. Follow-ing the finalization of the Economic Development Policy, the Ministry of Finance circulated the Fiscal Incentive Rules and Regulations 2010 on 2nd April 2010, for all the incentives as prescribed in the policy document. Under the sector specific tax incentives, the tourism industry has the maximum number of incentives including exemption of sales tax and cus-toms duties on import of buses and adventure tour-ism equipments.
the International Tourism Exchange –BIT Milan, in Italy (18th-21st February, 2010) with free of cost. The fair introduced a new concept: BUY WORLD, a global workshop - under the joint patronage of BIT and United Federation of Travel Agents’ Associations (UFTAA) where buyers and sellers worldwide has met to do business. Out of the forty interested tour op-erators, five were selected on a lucky dip basis.
1.11 ABTO websiteThe Association redesigned its website through the project on Strengthening Tour Operator Associations in Bhutan and Costa Rica. The listing of tour opera-tors’ company name is in the form alphabetical or-der arranged within English alphabet. The member
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forum is being designed, which will display impor-tant information and downloads for members only. The general information and synopsis of important downloads and publications will be provided in the home page for general viewers.
1.12 Insurance SchemesABTO has signed a Memorandum of Understanding with the Bhutan Insurance Limited, to underwrite motor insurance policies, fixed assets/ property in-surance to ABTO and its members.
BIL provides the following discounts on insurance premium for the properties of ABTO and its members insured with BIL keeping in view the significant insur-ance business volume from ABTO.
• Motor vehicle fleet discount of 20% on own damage premium subject to insurance of more than 31 vehicles within a colander year
• Insurance rates and coverage is applicable for all types of motor vehicles except two wheelers
• Fire insurance and allied perils policy pre-mium discount of 5%
• Umbrella discount for all other insurance business: 3%
ABTO is further working with RICBL to offer trekking and health Insurance; this will be an additional serv-ice to ABTO members.
1.13 Registration under the Civil Society Organization Authority
ABTO applied for Civil Society Organization (CSO) status as a mutual benefit organization with the Civil Society Organization Authority. Once ABTO become the member of the CSO Authority, it becomes con-venient for the Association to represent tour opera-tors at various levels both national and international for the overall benefit of the tourism industry.
1.14 Initiated Annual MoenlamOn behalf of all tour operators, ABTO organized a Moenlam ceremony on 10th March, 2010 to ex-press our solidarity towards the victims of the recent earthquake(s) in the east and also for the well being
of all the people in the country. ABTO solicited volun-tary contributions from the member tour operators and was able to collect Nu. 50,000/-.
ABTO is planning to organize an annual ceremony in future for the well being of the people and the na-tion.
1.15 Earthquake Relief FundIn order to express the tourism industry’s solidarity towards the victims of the 2009 earthquake(s) in the east; the TDFMC on behalf of the industry had con-tributed Nu. 1.00 million towards the His Majesty’s Kidu Fund from the TDF.
1.16 Negative ListThe restrictions of tourists visitation are always our concern. To simplify tourist visitation, the Association has requested that the government to come up with list of off-limits places and attractions so that the tour operators do not promote these attractions. After a series of consultative meetings with the Ministry of Home and Cultural Affairs, the government has finally confirmed the list of off-limits places and at-traction that will be restricted for tourism purposes. Accordingly, the Association has circulated to all tour operators for reference.
1.17 Payment Refund to Affected Clients As a result of the recent volcanic ash, thousand of European flights have been cancellation thereby compelled travelers either to discontinue or cancel their travel. Such unforeseen situation was a serious concern for the tour operators and affected clients. As such, the Association on behalf of those tour op-erators and clients, requested concerned agencies to reconsider necessary refund after verification. The Druk Air and Tourism Council of Bhutan looked into the matter and considered a waiver/refund to the af-fected clients.
1.18 Development of Research UnitA research unit within the ABTO Secretariat is estab-lished to carry out internal research on tourism sta-tistics and membership incentives. The research unit will be further developed to improve membership system for effective service delivery. A comprehen-sive membership system for ABTO will be designed as per the requirements of member tour operators.
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2 infrastructure 2.1 Trek Routes Assessment
Due to a flash flood and consistent rainfall, most of the bridges along the trek routes were either dam-aged or washed away. ABTO requested that the gov-ernment to assess the trek route in consultation with the relevant agencies. Accordingly, a team from TCB was sent for an assessment and the consequences of the damage were submitted along with estimations for maintenance. Dhur Tsachu Trek was one of trek routes severely damaged and an alternative route from Dhur Tsachu down to Menchugang was identi-fied to continue tourism activities.
2.2 Gangtey Alternative trekIn early 2009, ABTO proposed the development of an alternative trek route in Gangtey because the exist-ing trek route had been deteriorated by the logging activities and road. A team from the TCB Secretariat carried out a feasibility survey on the development of an alternative trek route along the traditional route starting at Phobjikha and exiting at Ninzegang Lha-khang. TCB has planned to build guest lodges along the campsites.
2.3 Toilet at Gangtey GonpaRecognizing the historical importance of Gangtey Goemba overlooking the Phobjikha Valley and the habitat of the rare Black-necked cranes and being aware of the sanitation and hygiene as always a concern not only to the tourists but also for the lo-cal people, the urgent need to have a proper toilet was considered. Accordingly, ABTO and TCB agreed to support and provide the proposed budget for the construction of toilets at the Goemba. A Memoran-dum of Understanding was subsequently signed between TCB, ABTO and Gangtey Goemba to ensure proper maintenance of the amenity and to establish network between the tourism industry and the mon-astery for better coordination, management and promotion of the cultural resource.
2.4 Construction of Amenities at PunakhaThrough the Rural Adventure Enhancement and Sustainable Community Development Project, the basic amenities such as toilets, washroom, water supply and waste disposal pits are developed in Zomlingthang and Samdingkha in Punakha. The fa-cilities will be used for rafting purposes, which will be owned and managed by the local communities of the said villages.
3 Publications 3.1 The Pilgrim: For the Spirited Traveler
ABTO has revamped its previous edition of Discover Bhutan magazine and henceforth the first travelogue in Bhutan published by ABTO shall be titled as “The Pilgrim: For the Spirited Traveler”.
The magazine will feature tourism related travelogue with an added emphasis on culture, travel destina-tions, hot spots, and snippets. It should raise labels and have a social-infotainment element to it too in the form of human stories, features without straying from the travel theme. Additional supplements in the form of advertorials, infomercials and catalogues will be a valued addition. The core focus of The Pilgrim will be on the Bhutanese tourism sector and their role and impact along with the socio-cultural and economic make-up reflecting the ‘tourism-situation’ and ‘condition’ of the country. Stories will focus on but not be limited to:
• The impact of global pop culture.
• Tourism hot spots and travel trends.
• Emerging potentials (opening up of new sectors).
• Model/Inspirational stories related to or influenced/affected by tourism
• Bridge the gap between tradition and mo-dernity.
• Issues reflecting the season and the poten-tial therein.
• Highlighting institutions/ organizations that work with/ help/ aid/ promote/ benefit the tourism sector.
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• National/Regional/District/Business/Per-sonal profiles and personalities related to tourism or model-stories (success stories).
• Government policies related to tourism, cultural heritage and its preservation.
• Policies, plans and promotions related to tourism.
• The magazine will make use of Drukpa and ABTO’s existing facilities.
• The environment.
• Art and craft.
• Culture.
• Conservation and preservation of the above
3.3 Pictorial Guide book on wild flowers of Bhutan
The pictorial guide book contains wild flowers of Bhutan with brief descriptions as a reference for the tour operators, guides and tourists for locating the flowers. The information and photographs were obtained by the Association through the project on Strengthening Tour Operators Associations in Bhu-tan and Costa Rica. A digital copy of the information is available in the book format, which will be up-loaded in the websites (www.abto.org.bt and www.bhutan-costarica.net) for information and reference.
Terrain
For The SpiriTed Travelerpilgrimpilgrimthethe
APPROACHING THE LOST HORIZON
60
OF A Childrenlesser God
26
VoLUme 1 iSSUe 1 jUne 2010 nU.100
“Burnsso good”
94
Telling Talisman
78
The first brochure in a series of specially designed itineraries
the pilGrim tours(Pull-Out)
3.2 Bhutan Travel Directory 2010
The Bhutan Travel Directory 2010 is published and is being distributed to the members, Missions and Em-bassies abroad. The publication is done on a self sus-tenance basis. This is an annual publication of ABTO, which highlights about tourism in Bhutan along with the contact details of the active members of the As-sociation.
Bhutan
Bhut
an
travel
2010trave
l Dire
ctory
2010
Directory
AssociAtion of BhutAnese tour operAtors
www.abto.org.bt
ContaCt aDDRESS:
Tashi Tshering,Blue Mountains Tours and Treks,Changidaphu, Thimphu, BhutanEmail : [email protected]
[email protected] Website: www.cometobhutan.com
-Cultural Tours
-Art of Bhutan Tour with artist guides.
-Weaver’s Tours with visits to weav-
ers’ homes and home stay.
-Bhutan Personalized Trips: with
negotiable itinerary design for your
personal experience.
-Treks
Cover.indd 1 7/22/2011 12:12:22 PM
A Guide to Wild Flowers of Bhutan
10 ASSOCIATION OF BHUTAN TOUR OPERATORS
BUMTHANG
Botanical name: Amaranthus lividus LFamily: AmaranthaceaeLocal name: Ludey Jhar(Nep)Flowering season: May – AugustAltitude ranges: above 1200mDistribution: Chumi, Tharpaling, Chokhortoe
Botanical name: Arisaema concinnum ShottFamily: AraceaeLocal name: Dho(Dzo)Flowering season: May-JuneAltitude ranges: 1700 - 2500mDistribution: Thrumshingla, Wangthangla, Tang, Ura, Gezamphok
Botanical name: Arisaema griffithii SchotFamily: AraceaeLocal name: Dho(Dzo)Flowering season: May-June.Altitude ranges: 2400 - 3000m.Distribution: Ura, Thrumshingla
Botanical name: Hedera nepalensis K.KochFamily: Araliaceae Flowering season: September - OctoberAltitude ranges: 1800 - 3000mDistribution: Tangsibi, Ura
A Guide to Wild Flowers of Bhutan
ASSOCIATION OF BHUTAN TOUR OPERATORS 11
BUMTHANGBotanical name: Arisaema nepenthoides(Wallich) Martius ex Schott.jpgFamily: AraceaeLocal name: Dho(Dzo)Flowering season: May-June.Altitude ranges: 2000 - 3300mDistribution: Thrumshingla, Ura
Botanical name: Arisaema jacquemontii BlumeFamily: AraceaeLocal name: Dho(Dzo)Flowering season: June - AugustAltitude ranges: 2400-4000mDistribution: Yotongla, Chumey, Ura, Thrumshingla
Botanical name: Impatiens edgeworthiiHook.f.Family: BalsaminaceaeFlowering season: June – September. Altitude ranges: 1500 – 2700m.Distribution: Ura, Chumey
Botanical name: Begonia picta SmithFamily: BegoniaceaeFlowering season: July – SeptemberAltitude ranges: 600 – 2800mDistribution: Yotongla, Chumey.
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3.4 Adventure Tourism GuidelinesUnder the Programme for South South Cooperation through the Rural Adventure Tourism Enhancement and Sustainable Community Development project, the Association has drafted the Adventure Tourism guidelines (ATG) through the expertise from Costa Rica. The finalized version of ATG will be provided to the TCB Secretariat as a reference for the develop-ment of adventure tourism products in Bhutan. The soft copy of ATG will be posted in the website, www.abto.org.bt and www.bhutan-costarica.net for refer-ence.
3.5 Digital Copy of Business Development Skills
Under the Capacity Strengthening project, a five days training was be given to Bhutanese tour opera-tors on Business Development Skills to address the needs of the tour operators to enable them to work efficiently through improved service delivery, prod-uct differentiation and more socially, environmen-tally and economically responsible manner. A useful and practical digital copy of the handbook on devel-oping the basic skills of improving business is made for the tour operators. Soft copy of the information will be available in www.abto.org.bt or www.bhutan-costarica.net. In addition to Business Development Skills materials, there are other useful reports such as organizational assessment report, structure of ABTO report, revenue generation report etc, which are done through the same project.
tour operators during the Marketing and Packaging Training under the Capacity Strengthening project funded by Programme for South-South Cooperation. This training focused on how to strategically plan our marketing activities, identify, analyse and segment potential markets, conceive and build packages for target markets, present these packages to the mar-ket with integrated communications, achieve market access through a variety of distribution channels, and use market research techniques to constantly improve marketing performance. Through this material, you will be able to grasp the knowledge to start building your own marketing plan specifically designed to meet the needs and wants of the target market and raise the profile of your business. Through this digital copy, ABTO in-tends to share the essential marketing and product packaging advice that would of help to anyone over-come any marketing challenges, which will be avail-able in www.abto.org.bt and www.bhutan-costarica.net
3.6 Digital Copy of Marketing and Packag-ing
Very helpful materials on marketing and packaging training will also be available at the Association and common website. The material is a collection and compilation of all the useful information delivered to
3.7 Handbook on Basic GNH principlesGross National Happiness (GNH), the development philosophy of Bhutan, is gaining the attention of the people worldwide. Each day, more tourists are keen to be exposed to Gross National Happiness. As such, ABTO conducted an intensive four days conference on “Fundamentals of Gross National Happiness and Spirituality in Bhutan” at the Institute of Manage-ment Studies on July 6, 2009 to 20 tour guides.
The objective of the course was to impart partici-pants with the fundamental information on GNH and Spirituality in Bhutan to better inform their clients.
A handbook on the fundamentals of GNH and Spir-ituality is available in ABTO office.
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4 Projects4.1 Strengthening of Tour Operator Asso-
ciations in Bhutan and Costa RicaThis project aims to strengthen the capacity and influence the tour operator associations and mem-bers in Bhutan and Costa Rica and to improve mar-ket linkages with the United States and Western Europe in a sustainable way. These market linkages will be improved by developing institutional link-ages, destination marketing and by establishing a social, environmental, and economic sustainable base for the private sector with the following spe-cific objectives:
• Improve capacity and restructuring of the tour operator associations (TOA), which can support business development in a pro-poor sustainable manner in both Bhutan and Costa Rica.
• Increase knowledge on and access to the tour-ism markets of the United States and Western Europe by developing sustainable market link-ages between Bhutan and the target markets and Costa Rica and the target markets.
Major outcome of the Project:
• Build capacity of 37 tour operators on busi-ness development skills training
• Build capacity of 37 tour operators on mar-keting and packaging of tourism products training
• Exposed and build capacity of 10 officials from TCB and ABTO through reciprocity visits and training
• Conducted organizational assessment of ABTO
• Conducted desk research for ABTO on rev-enue generation and sustainability
• Developed strategic plan and website
• Equipped office with basic amenities
• Set up WIFI network for sharing of information
Status:
• Completed 95% of the project, one training and designing and printing of publications need to be done, which will be completed in June 2010
4.2 Rural Adventure Tourism EnhancementUnder the Programme for South South Cooperation through funding from the Kingdom of the Neth-erlands, the bilateral project on Rural Adventure Tourism Enhancement and Sustainable Community Development in Bhutan and Costa Rica is being im-plemented by ABTO and Rios Tropicales in Bhutan and Costa Rica respectively. The Project aims to sup-port and introduce sustainable tourism product de-velopment and infrastructure through community participation for income generation and develop guidelines for effective management with the fol-lowing objectives:
• Develop river rafting and kayaking products as well as other adventure activities, man-aged by tour operators with support from implementing agencies.
• Build capacity of tour operators and guides and enhance the quality of service by pro-viding modern equipment.
• Provide awareness on waste and resource management to the local communities, and create positive image for visitors.
Major outcome of the project:
• Developed adventure tourism guideline for adventure tourism in Bhutan
• Build capacity of 16 guides on white water rafting
• Developed capacity of 80 communities on the waste management
• Constructed toilets, washrooms and waste disposals pit in Zomlingthang and Samding-kha in Punakha for tourism purposes, the facilities will be owned and managed by the local communities.
• Exposed 5 officials from TCB and ABTO through reciprocity visit
• Purchased GPS and Satellite phones to be used for tourism purposes for value addition and sustainability.
Status:
• Completed 98% of the project, publication and account settlements underway.
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5 Human Resource development 5.1 Business Development Skills Training
Under the “Strengthening Tour Operator Associations in Bhutan and Costa Rica and Improving Market Link-ages for Sustainable Tourism with the United States and Western Europe” project under Programme for South South Cooperation, a weeklong intensive training on Business Development Skills was given to 37 tour operators in July, 2009.
The training was a very successful one with over-whelming response from the participants. The train-ing ensured full relevance to the Bhutanese context, while drawing on regional and international exam-ples, cases, etc. where this added genuine value for effectiveness. The training emphasized pragmatic approaches with effort taken to highlight skills and information that are immediately applicable through multiple sources and types (for example, real-life practical examples, analogies, short videos and etc.). Reference lessons learned and stressed on themes from previous course sessions in order to reinforce content and learning.
A special award was introduced to encourage mean-ing participation and interaction, which proved to be effective for achieving the objectives of the training.
The details of the training materials will be avail-able in the websites (www.bhutan-costarica.net and www.abto.org.bt).
5.2 GNH Awareness Workshop for GuidesABTO conducted an intensive four days conference on “Fundamentals of Gross National Happiness and Spirituality in Bhutan” at the Institute of Manage-ment Studies from the July 6, 2009 to 20 tour guides.
The objective of the course was to endow partici-pants with the fundamental information on GNH and Spirituality in Bhutan to enable them to interact fruit-fully with their clients.
GNH, the development philosophy of Bhutan, is gaining the attention of the people worldwide. Each day, more tourists are keen to be exposed to Gross National Happiness.
In effect, since our tour guides and operators are the first emissary of Bhutan who comes into contact
with the tourists, it was felt that they should know the fundamentals of GNH. Failing to generate basic discussions on GNH and Spirituality with the tourists would mean marring the image of the travel agent in particular and that of Bhutan in general. It has be-come critical that our tour guides and tour operators are GNH educated so that the curiosity of the tourists are satisfied and consequently they will visit Bhutan again and again; each time with new clients for they would market Bhutan by sharing their beautiful ex-periences in Bhutan.
The course on Gross National Happiness and Spiritu-ality will not only help open the doors but invite and excite individuals with stimulating concepts, prac-tices and measurement of GNH.
5.3 Marketing and Packaging TrainingWith the increasing number of visitors every year and also with their ever changing needs and demands, it offers us an opportunity to reposition ourselves. As such ABTO has embarked on delivering this impor-tant four days training under the “Capacity Strength-ening of Tour Operator Associations in Bhutan and Costa Rica” project funded by the Programme for South-South Programme to 37 participants in March, 2010.
Despite unprecedented rates of economic growth, tourism earning remains a major challenge for sev-eral countries of this region. For the tourists, visit to Bhutan is simply “Value for Money” and quality as it should be. Our brand name touches an emotional chord with our policy: high value, low impact tour-ism. And for us it is a source of pride in an outstand-ing expanse of tourism in the region.
This training was focused on how to strategically plan our marketing activities, identify, analyse and
Annual Report 2009
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segment potential markets, conceive and build packages for our target markets, present these pack-ages to the market with integrated communications, achieve market access through a variety of distribu-tion channels, and use market research techniques to constantly improve marketing performance.
During the four days training, Mr. Benjamin Carey, a tourism expert from the UK dispelled the marketing myths and shared essential marketing and product packaging advice through his expertise in the busi-ness. The participants were able to grasp the knowl-edge to start building their own marketing plan spe-cifically designed to meet the needs and wants of the target market and raise the profile of their business. Training Methods and Approaches;
• Understanding the hydrology system of the rivers
• Rescue technique, safety kayaking and first aid
• Raft preparation and guiding along the riv-ers
• Learning new swimming techniques in dif-ferent river currents
• Managing tourists on rafts and during emer-gencies
5.6 Japan Ecotourism TrainingUnder the Japan International Cooperation Agency (JICA) funding, ABTO facilitated five member tour operators who are involved in nature and adven-ture based tourism activities to participate in the 4 weeks “Training for Developing Ecotourism by Utiliz-ing Natural Resources in Asian Countries” in Japan in January-February, 2010.
The selection was carried out by the ABTO Human Resource Committee comprising of ABTO Commit-tee Members and officials from TCB Secretariat.
5.7 Short-term Training on Tourism Man-agement
Under the TICA (Thailand International Cooperation Agency) funding, Royal Government of Thailand, ABTO received two slots for one month tourism man-agement course in Phuket, Thailand through BCCI. Two tour operators were accordingly nominated for the training by the ABTO Human Resource Commit-tee comprising of members from ABTO and TCB.
5.4 Capacity building training for Secre-tariat staff
Under the ‘Capacity Building’ project funded by Programme for South-South Cooperation, 5 staff of ABTO Secretariat received two weeks ex-country trainings in various topic such as public relation, con-flict resolution, complaint management, computer-based accounting, strategic financial and HR devel-opment and management, computer-based office administration and inventory management.
5.5 River Rafting TrainingUnder the Programme for South-South Cooperation through Sustainable Development Secretariat, Gross National Happiness Commission (GNHC), the bilat-eral project proposal on “Rural Adventure Tourism Enhancement and Sustainable Community Develop-ment in Bhutan and Costa Rica” is jointly being man-aged by ABTO and Rios Tropical. Under this project, 16 tour guides were trained in river rafting by two rafting experts from Costa Rica and one from Bhutan.
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6 tourism statistics6.1 Arrival and Revenue Generated (2005-
2009)
Year Arrivals % Increased/decreased
Gross Revenue (US$ in million)
% Increased/decreased
2005 13626 47.32 18.546 482006 17342 27.27 23.919 28.972007 21094 21.64 29.846 24.782008 27636 31.01 38.829 15.232009 23480 -15.03 31.874 -0.179
1 Tourism Statistics
1.1.1 Arrival and Revenue Generated (2005-2009)
Year Arrivals % Increased Gross Earnings in $US in millions % Increased
2005 13626 47.32 18.546 48 2006 17342 27.27 23.919 28.97 2007 21094 21.64 29.846 24.78 2008 27636 31.01 38.829 15.23 2009 23480 -15.03 31.874 -0.179
1.1.2 Activity Wise Arrival (2005-2009)
Activity 2005 2006 2007 2008 2009Trekkers 613 766 903 4247 863Cultural 13013 16576 20191 23389 22619Total 13626 17342 21094 27636 23482Trekker % 4.5 4.4 4.3 15.4 3.67Cultural % 95.5 95.6 95.7 86.6 96.32
05
1015202530354045
2005 2006 2007 2008 2009
Gross Earnings in USD in Millions
Gross Earnings in $US in millions
Gross Revenue (US$ in million)
6.2 Activity Wise Arrival (2005-2009)
Activity 2005 2006 2007 2008 2009
Trekkers 613 766 903 4247 863
Cultural 13013 16576 20191 23389 22617
Total 13626 17342 21094 27636 23480
Trekker % 4.5 4.4 4.3 15.4 3.68
Cultural % 95.5 95.6 95.7 86.6 96.32
1.1.3 Nationality Wise Arrival for 2009
SL.# NATIONALITY 2009
1 USA 4786
2 United Kingdom 1968
3 Japanese 3136
4 German 1587
5 Australian 970
6 French 1189
7 Chinese 1143
8 Dutch 780
9 Canadian 556
10 Spanish 485
11 Italian 759
12 Singaporean 708
13 Thai 975
14 Swiss 543
15 Austrian 420
16 Belgian 364
17 Brazilian 178
18 Russian 270
19 Polish 184
20 Malaysian 367
21 Finnish 161
22 New Zealander 122
23 Swedish 88
0
5000
10000
15000
20000
25000
2005 2006 2007 2008 2009
Trekker
Cultural
6.3 Nationality Wise Arrival for 2009
NATIONALITY 2009
USA 4786
United Kingdom 1968
Japanese 3136
German 1587
Australian 970
French 1189
Chinese 1143
Dutch 780
Canadian 556
Spanish 485
Italian 759
Singaporean 708
Thai 975
Swiss 543
Austrian 420
Belgian 364
Brazilian 178
Russian 270
Polish 184
Malaysian 367
Finnish 161
New Zealander 122
Swedish 88
Korean 49
Mexican 125
Danish 153
Taiwanese 83
Norwegian 92
Irish 59
Portoguese 116
Turkish 51
Israeli 159
Nepalese 41
Philipino 59
NATIONALITY 2009
Czech 77
South Africa 32
Slovenian 83
Hungarian 49
Estonia 14
Greek 107
Ukraine 28
Indonesia 98
Lithunian 4
Sri Lanka 6
Argentina 59
Chili 8
Luxemburg 16
Island
Romania 19
Venezuela 8
Latvian 3
Lebanon 1
Vietnam 25
UAE 1
Columbian 14
Kuwait 4
Burmese 5
Jordan
Cuba
Pakistan 5
Iran 2
Yugoslavia 1
Egypt 18
Mongolia
Peru 6
Bulgaria 12
Others 49
Total Arrival 23480
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18
7 Audited Report7.1 Income and Expenditure Statement
Annual Report 2009
19
7.2 Balance Sheet
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20
1. operational
1.1 Trekking and Health Insurance with RICBL
ABTO is negotiating with the Royal Insurance Corpora-tion Limited for developing trekking insurance policy, which is designed to address the specific needs of the foreigners and nationals. It is also designed to cater to the requirement of the guides and other support staff employed by the tour operators. In addition, ABTO is looking for Health Insurance scheme for the members availing quality medical treatment from India.
2. PublicationsThe following publications will be issued in the up-coming days:
• The Pilgrim Magazine
• Travel Directory 2011
• Information brochure
• Product catalogue
• City Map
• Newsletter
3. Projects 3.1 Incorporating Socially Responsible
Practices Global tourism and travel has changed in the past decade to offer varied new options that help both host-country nationals and visi¬tors alike. With a change in the mind set of a growing group of con-sumers to benefit host countries’ locals and environs, and at the same time wanting to better understand the culture and realities of the places they visit, it is of utmost importance for the travel professionals to in-corporate Corporate Social Responsibility in our core business through socially responsible practices.
Tourism in Bhutan has been known far and wide for being ecologically, socially and culturally respon-sible and over the years, it has gained enormous reputation having been associated with the unique national development philosophy of Gross National Happiness. To uphold this distinction and mantin our sustainability is a concern for all tourism stakehold-ers in the country.
Under the Programme for Innovative Partnerships for Development, Danida, ABTO, in its capacity as a leading tourism stakeholder aspires to make posi-tive contributions to minimize negative economic, environmental, and social impacts through a well defined code of conduct/ ethics for tourism and tour operators in particular.
4. sustainability of ABtoAlong with the submissions made against the liber-alization of tariff by ABTO, we also made submission on the continuation of TDF (ABTO’s Position Note # 758 dated 21st January on tariff liberalization/ TDF) with equal ownership. The copy of the submissions was also circulated to the members on 22nd January 2010.
However, TCB has carried out an independent review on TDF and has proposed as follows: -
• All tourism related associations to be funded through TDF for certain period of time.
• ABTO’s fund from TDF to be phased out in another 5 years and has to sustain on its own.
• TDF to be managed by a committee com-prising of all sector associations (TCB, ABTO, Hotel, Guides, Handicrafts Associations) under the TCB
With no matching fund coming forth from the gov-ernment, unequal representation of ABTO in the TD-FMC and release of Nu. 26 million as per the Execu-tive Order to TCB as destination marketing budget out of approximately Nu. 28 million in the TDF, it was suggested that the TDF be done away with.
Further, ABTO’s reliance on TCB/ TDF for annual budg-et and other activities has implication on ABTO’s sta-tus to be an independent organization.
Hence, after due deliberations among the ABTO Board Members, it was recommended that TDF col-lection till 30th June to be divided equally between TCB and ABTO. Henceforth, to do away with the col-lection of USD 10 per tourist per visit and ABTO to generate its own fund.
PARt B: PlAnned ACtivities foR 2010-11
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21
Doing away with the collection of TDF and distribu-tion of the amount collected will be further discussed during the next TDFMC meeting, which would be around mid June, the exact amount than will be in-formed to the members accordingly.
Activity July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June
2010 2011
Operational
Trekking/Health Insurance with RICBL
Audit
Publication
The Pilgrim Magazine
Travel Directory 2011
Information brochure
Product catalogue
City Map
Newsletter
Project
Incorporating Socially Responsible Practices in Tourism Activities
In the meantime, Board members have instructed the Secretariat to come up with proposals on reve-nue generation schemes to be presented for delib-eration during the 10th AGM. Views and suggestions from the members were sought.
5. Work plan for 2010-11
6. organizational Chart
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22
FESTIVAL PLACE DATESPunakha Drubchen Punakha Feb 18th – Feb
22nd
Punakha Tshechu Punakha Feb 23rd – Feb 25th
Chorten Kora Trashiyangtse Feb 28th – Mar 15th
Gomkora Trashigang Mar 23rd – Mar 25th
Paro Tshechu Paro Mar 26th – Mar 30th
Chukha Tshechu Chukha Mar 28th – Mar 30th
Ura Tshechu Bumthang April 24th – April 28th
Nimalung Tshechu Bumthang June 19th –June 21st
Kurjey Tshechu Bumthang June 21st
Thimphu Drubchen Thimphu Sept 12th – Sept 16th
Wangdi Tshechu Wangdue Phodrang Sept 15th – Sept 17th
FESTIVAL PLACE DATESTamshingphala Choepa
Bumthang Sept 16th – Sept 18th
Thimphu Tshechu Thimphu Sept 17th – Sept 19th
Tangbi Mani Bumthang Sept 22nd – Sept 24th
Jambay Lhakhang Drup
Bumthang Oct 22nd – Oct 26th
Prakhar Tshechu Bumthang Oct 23rd – Oct 25th
Mongar Tshechu Mongar Nov 13th – Nov 16th
Pemagatshel Tshechu Pemagatshel Nov 13th - Nov 16th
Trashigang Tshechu Trashigang Nov 14th – Nov 17th
Nalakhang Tshechu Bumthang Nov 21st – Nov 23rd
Trongsa Tshechu Trongsa Dec 15th – Dec 17th
Lhuntse Tshechu Lhuntse Dec 15th – Dec 17th
FESTIVAL PLACE DATES
Punakha Drubchhen Punakha 10 to 12 Feb
Punakha Tshechu Punakha 13 to 15 Feb
Tharpaling Thongdrol Bumthang 18 Feb
Tangsibi Mani (Ura) Bumthang 17 to 21 Feb
Bulli Mani (Chummi) Bumthang 19 to 21 Feb
Chhorten Kora Trashiyangtshe 18 Feb & 4 Mar
Gaden Chodpa (Ura) Bumthang 2 to 4 Mar
Gomphukora Trashigang 13 to 15 Mar
Talo Tsechu Punakha 13 to 15 Mar
Zhemgang Tshechu Zhemgang 13 to 16 Mar
Paro Tshechu Paro 15 to 19 Mar
Chhukha Tshechu Chhukha 17 to 19 Mar
Domkhar Tshechu Bumthang 13 to 15 April
Ura Yakchoe Bumthang 14 to 17 May
Padsel-Ling Kuchod Bumthang 22 & 23 May
Nimalung Tshechu Bumthang 8 to 10 July
Kurjey Tshechu Bumthang 10 July
Gangtey Kurim Wangdue Phodrang 29 July
Thimphu Drubchen Thimphu 1 to 5 Oct
Wangdue Tshechu Wangdue Phodrang 4 to 6 Oct
Gangtey Tshechu Wangdue Phodrang 4 to 6 Oct
FESTIVAL PLACE DATES
Tamshing Phala Chhoepa Bumthang 6 to 8 Oct
Thimphu Tshechu Thimphu 6 to 8 Oct
Gasa Tsechu Gasa 6 to 8 Oct
Thangbi Mani Bumthang 10 to 12 Oct
Shingkhar Rabney Bumthang 1 to 5 Nov
Jakar Tshechu Bumthang 3 to 6 Nov
Black Necked Crane Festival Wangdue Phodrang 12 Nov
Jambay Lhakhang Drup Bumthang 10 to 14 Nov
Prakhar Duchhoed Bumthang 11 to 13 Nov
Sumdrang Kangsol Bumthang 22 to 25 Nov
Mongar Tshechu Mongar 2 to 5 Dec
Trashingang Tshechu Trsashigang 2 to 5 Dec
Tang Namkha Rabney Bumthang 4 & 5 Dec
Singye Cham Bumthang 10 Dec
Chojam Rabney Bumthang 10 to 13 Dec
Nalakhar Tshechu Bumthang 10 to 12 Dec
Pemagatshel Tshechu Pemagatshel 2 to 4 Jan 2012
Trongsa Tshechu Trongsa 2 to 4 Jan, 2012
Lhuentse Tshechu Lhuentse 2 to 4 Jan, 2012
Nabji Lhakhang Drup Trongsa 9 to 13 Jan 2012
Shingkhar Metochodpa Bumthang 9 Jan 2012
tentAtive festivAl dAtes foR 2010
tentAtive festivAl dAtes foR 2011
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