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Indian Tourism and Trade Surge: A Boon for Thailand's Economy and Foreign Policy

Indian Tourism and Trade Surge: A Boon for Thailand's Economy and Foreign Policy
Last Updated: 1 day ago

In 2024, the presence of Indian travelers in Thailand's streets resembled a continuous festival. Over 2.1 million Indian tourists visited Thailand this year alone, revitalizing hotels, taxis, restaurants, and markets. While Thailand struggled with a shortage of foreign tourists after the pandemic, India filled that void.

India Fills the Gap Left by China

The number of tourists from China has significantly decreased recently. Conversely, the number of travelers from India to Thailand is steadily increasing. During the summer months of June-July 2025, Thailand saw the highest number of visitors from India. During this period, Chinese flights saw a drop of approximately 1 million seats, which India balanced out.

2.1 Million Indians, 1.38 Lakh Crore in Revenue

According to data from the Tourism Authority of Thailand, Indian travelers generated approximately 1.38 lakh crore rupees (approximately $16.5 billion USD) in direct and indirect revenue in 2024. From hotel bookings to taxi fares, local market shopping, and dining, money from India strengthened the Thai economy at every level.

India's Impact in Every Sector

The growing presence of Indian tourists in Thailand has boosted not only tourism but also employment and small businesses. Major hotels are making special arrangements for Indian guests, travel companies are creating new packages for groups from India, and markets are introducing new products catering to Indian tastes and preferences.

Tensions on the Thailand-Cambodia Border; India Becomes a Reliable Partner

Tensions are rising between Thailand and Cambodia along their border. A recent clash near the Ta Muen Thom temple involved gunfire between the two countries' armed forces, resulting in casualties. In this environment, Thailand expects special support from its international partners. India is currently playing a crucial role for Thailand, not only economically but also diplomatically.

India-Thailand Trade Relations Also Strengthen

Along with tourism, trade relations between India and Thailand are also growing closer. In 2024, the total trade between the two countries amounted to $16.51 billion. Of this, India exported approximately $4.88 billion worth of goods to Thailand, while importing $11.63 billion.

Main Goods Exported from India to Thailand

  • Machinery and equipment
  • Precious stones and jewelry
  • Automobiles and spare parts

Major Imports from Thailand to India

  • Edible oils
  • Plastics and chemical products
  • Organic chemicals and raw materials for medicines

Indian Influence Seen from Taxis to Beaches

In major Thai cities such as Bangkok, Pattaya, Phuket, and Chiang Mai, the presence of Indian tourists this year has not only revived the hotel industry but has also provided substantial earnings for taxi drivers, local guides, shopkeepers, and restaurant owners.

Why India Has Become Special in Tourism

Three main reasons have emerged for the increase in the number of people traveling from India to Thailand. The first is the visa-free travel policy, which has made travel from India easier. The second is India's growing middle class, which now desires to travel abroad. The third is India-ASEAN tourism promotion, which has specifically promoted Thailand for Indian tourists.

India's Growing Reputation in Thailand

While China's role in Asian markets is decreasing, India's share is steadily increasing. The Thai government is now confidently formulating its tourism and trade plans with India in mind.

India Becomes an Important Part of Thailand's Foreign Policy

Diplomatic relations between India and Thailand have also strengthened. In times of border tensions and regional instability, Thailand sees India as a partner that can stand by its side on every front.

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