Cambodian Travel & Tourism Updates Q4 2024 - Cambodian Transport Infrastructure Projects Are Vital For Growth
As Cambodia continues to revive its tourism sector and broaden its appeal, there have been several government-led initiatives to stabilise and grow this key economic sector for the Kingdom with infrastructure at its core.
The long-term growth hinges on more international reach, more direct flights, and diversification in tourist attractions - so what are the latest tourism and flight developments in Cambodia in Q4 2024?
Techo Takhmao International Airport - On Course for 2025 Operational Launch
The Techo Takhmao International Airport (TIA) in Phnom Penh is understandably garnering a lot of media attention but some of it is probably causing more harm than good with the latest shared among local media making comparisons to Singapore. The online comments have been critical and the sentiment shows there is a level of hesitation and excitement for when the new US $1.2 billion airport is due to open in 2025.
There might be more news this week as the Okhna Charles Vann (Director of Cambodia Airport Investment) CAIC will share more updates on the airport (stay tuned as we will cover the event).
Over recent months, there have been several MoUs signed:
- International Airport Advertising - IAAC Cambodia signed a contract to develop and manage media spaces at Techo International Airport.
- The airport is set to be managed by Cambodia Airports, which is the local subsidiary of VINCI Airports, following the signing of a MoU with the State Secretariat of Civil Aviation in early 2024.
- Lagardère Travel Retail & HSC Group were selected to manage the Duty-Free at the airport.
- Changi Airports is also involved with the new Phnom Penh International Airport and will Manage Retail and F&B Space.
Once fully completed, Techo Takhmao International Airport will be capable of accommodating 13 million passengers per year in the first phase, as many as 30 million passengers in the second phase after 2030, and up to 50 million passengers in 2050 in the final phase.
Siem Reap-Angkor International Airport (SAI) - First Year Of Operations
In its first year of operation, the Siem Reap-Angkor International Airport (SAI) handled just over 1,3 million passengers via 14,500+ flights, according to the State Secretariat of Civil Aviation (SSCA).
The transport links for the passengers to the airport and the associated costs have been some of the biggest challenges - and for the new airport in the capital, the solutions and plans have yet to be fully explained in advance of its expected operational launch in the first half of 2025.
Yunnan Air Investment (Cambodia) Airport Management Co, which operates the Siem Reap airport, confirmed the data and indeed that the airport operates flights to 8 countries, serving 15 cities.
More Flights To New Destinations Are Needed
Although there are more flights in 2024 from and to Cambodian airports compared to recent years (31 domestic and international airlines are operating air services in Cambodia) - many are to pre-existing destinations which do not open up the Kingdom to the broader international market.
On October 22, Cambodia signed an agreement in Kuala Lumpur, Malaysia to boost direct cargo and passenger flights with the UAE and Europe after Mao Havannall, Minister in Charge of the State Secretariat of Civil Aviation (SSCA), signed a Memorandum of Understanding for the implementation of co-terminal rights with the Civil Aviation Authority including Qatar, United Arab Emirates, and Turkey.
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“Co-terminal rights” give the right of the designated airline(s) of each Contracting Party to serve two or more points in another Contracting Party on the same routing and shall only be available as part of an international journey - so this is intended to promote direct cargo and passenger flights between the regions.
SSCA Secretary of State and Spokesman Sinn Chanserey Vutha said, “Due to market conditions, the co-terminal right will allow airlines to operate picking up or drop off passengers in second and third countries before the final destination."
In October, Egypt’s Minister of Civil Aviation Sameh El Hefny met with Cambodia’s Ambassador to Egypt, Ouk Sarun, to discuss ways of improving bilateral civil aviation. Similar air route intentions have been reported with Kazakhstan, Australia, and New Zealand among others over the past 18 months.
At the end of September 2024, the State Secretariat of Civil Aviation announced that they expect five or six new airlines to establish direct connections to Cambodia’s international airports, apparently by the end of the year which seems ambitious. No indication was given of which airlines and to which destinations.
Cambodia To Launch International Sea Ports?
Flying is the most convenient but often the most expensive option to travel so expanding the seaports to more international travel and trade would be beneficial (never mind the long-lasting calls to expand the reach of the rail and road networks).
In October 2024, Kep was just one example highlighted in trying to achieve the goals set out by the Pentagonal Strategy – Phase One’s vision and Kep Province has seen projects such as the divisive development of the 2,700 meters beach, the tourism port of Rabbit Island, construction of coastal roads etc.
There were unconfirmed reports that the Kampot International Tourism Port would start operations by the end of December 2024 after the operator (local conglomerate AZ Group) was appointed and they had to spend at least USD $5-10 million to ensure it is operational.
Reports suggest the port would open up routes from Kampot to Phu Quoc Island, Vietnam (estimated to be a 30-minute journey by boat) and other routes would include Kampot to Trat, Thailand (for a 3-hour journey) with prices still to be announced.
The port was completed some time ago but needed additional work done on dredging the rivers and other compliance measures so the actual launch of operations is unclear and netizens seemed sceptical of those routes being operations by the end of 2024.
One report (attributed to the Cambodian Ministry of Tourism, Ministry of Public Works and Transport, and Ministry of Economy and Finance) alleges that the immigration and customs will be done at the port (which is what the plan was when construction started several years ago) and the Kampot International Tourism Port would have a range of services, shops as well as a MICE and Entertainment Center and duty-free shops.
The separate but confusingly similar-named Kampot Logistics & Multipurpose Port (formerly called the Kampot International Port) was also launched in mid-2024 but this international deep-sea port is expected to be a major artery for Cambodia's maritime transport.
Apparently, a ferry service from Sihanoukville to Trat / Koh Chang is also in the works from November 2024, with a Sihanoukville to Phu Quoc route being offered in December 2024 (again unconfirmed) with tests already having been run from the southern Cambodian coastal city.
Tourist Accessibility - Are Cambodian Visa-Free Arrivals On The Cards?
Although the rollout in 2024 of paperless forms for arrivals (as many as 400,000 users have used the Cambodia eArrival app by the start of October 2024), as well as a more seamless arrival process which has been applauded - there are still calls from within the tourism sector to waive visa fees to be more competitive with the region. However, in a fiscal year in which tax collections are down, the government probably sees this as essential income but that might change.
In October 2024, various reports suggested that Cambodia will consider Thailand’s initiative to simplify cross-border travel through the visa policy known as “6 Countries, 1 Destination”.
Truth be told, these ASEAN and regional Shengen-style visas have been discussed for more than a decade but have never come to fruition. The latest discussions involved Thailand, Cambodia, Vietnam, Laos, Myanmar, and Malaysia and the newly approved (September 2024) Cambodian Minister of Tourism Huot Hak is considering the initiative.