The Tourism Council of Bhutan (TCB) has mandated that all tourists stay in hotels rated three stars or above in Bhutan.
On 26 July, TCB announced that it will inspect the hotels for TCB-certification.
The notification stated, “In view of the requirement for all guests to stay in TCB certified accommodations, the readiness assessment will be carried out only for 3-Star and above hotels. TCB will contact the hotels for on-site assessment to validate the readiness of services.”
According to the President of Bhutan Chambers of Commerce and Industry (BCCI), Tandy Wangchuk, many hotels were asked to upgrade by the government from budget hotels to Blue Poppy 1 and 2 to cater to tourists, however, he said that recent changes to the tourism policy have made it so they can only target regional tourists, which has caused inconvenience in the private sector.
“A directive from the TCB said that these Blue Poppy 1 and 2 would not serve tourists. Those who pay Sustainable Development Fee (SDF) of USD 200 will not stay in the budget hotel. Such decision will impact the private sector, and some people could even lose their livelihood,” he said.
BCCI has submitted that the existing Blue Poppy should be allowed to upgrade to 2-Star hotel and allowed to cater the tourists.
He pointed out that international tourists do not understand the significance of Blue Poppy 1 and 2 rating, but they do understand what 2-Star rating is, which is right below 3- Star.
The Blue Poppies should be upgraded to 2-Star, and those upgraded hotels should be given some type of monetary incentive, similar to how 5-Star hotels are given which is in the existing rules.
He said, “Everyone has traveled outside of the country, and we’ve all noticed how small hotels there are compared to our country’s blue poppy hotels, whether they are South Asian or regional countries. The sole requirement for Blue Poppy hotel is that they be permitted to maintain a sanitary standard and that customer-drawing amenities like WiFi, reception, and the internet be built, these can be developed under the supervision of TCB, and should be allowed to upgrade to 2-Star.”
He also said that the government is investing additional money to upgrade the hotels, therefore, any hotelier who qualifies should be granted soft loans to upgrade.
“In hotels outside the country, bunk beds cost a lot and two rooms share a bathroom; nevertheless, this type of lodging is available across the country at higher costs,” he said.
As per the President, since the Blue Poppy hotels’ tariff will rise when upgraded to 2-Star, ultimately resulting in higher salaries for the staff.
He said that the budget hotel staff receives a salary range of Nu 12,000 to Nu 15,000 currently, but they may receive Nu 20,000 if upgraded to 2-Star.
“Business have to be good at money making to give good salary to the Bhutanese workers with all the benefits, and many will stay back rather than going to Australia,” he said.
Since the international gate is scheduled to open on 23 September, BCCI asked the government for some time to upgrade the budget hotels.
The Bhutan Standard Bureau (BSB), in collaboration with relevant agents, proposed hotel standardization in 2021. Budget hotels were categorized as Blue Poppy 1 and Blue Poppy 2.