In response, the Tourism Authority of Thailand (TAT) says it plans to talk with other airlines to expand short-haul markets, reports the Bangkok Post.
The TAT is maintaining its Singapore arrivals target at 1.15 million this year.
Qantas Group, which owns 49% of Jetstar Asia, announced on Wednesday (June 11) that its intra-Asia low-cost airline would be shuttered next month, as the airline faces high airport fees, rising supplier costs and intense competition.
Jetstar Asia will continue operations until the end of July, and its closure does not affect the airline’s domestic and international routes in Australia and New Zealand, as well as Jetstar Japan.
The fleet of 13 Airbus A320 jets are expected to be deployed to Australia and New Zealand.
Chaiyaphat Wasoonthara, president of the Krabi Tourism Association, said the airline’s closure could impact the sector, as Singaporeans are typically high-spending tourists who mostly stay at four- and five-star hotels.
According to the Krabi Immigration Office, last year Singapore was the second-largest market for the province, following Malaysia.
During the first four months of this year, Singapore ranked fifth among foreign arrivals, following Malaysia, Sweden, the UK and India.
Jetstar Asia is one of two carriers operating flights between Krabi and Singapore, offering 18 flights in May, while Scoot operated 45 in the same month, according to the TAT.
Mr Chaiyaphat said the province has diversified to more markets, welcoming new flights earlier this year from Mumbai and Bangalore in India via IndiGo.
This year, Krabi is scheduled to run inaugural flights from Air Arabia and Etihad Airways to help boost arrivals from the Middle East and Europe, said Mr Chaiyaphat.
Pattaraanong Na Chiangmai, the TAT deputy governor for international marketing for Asia and South Pacific, said the agency is evaluating the impact of the airline’s closure.
By capacity, Jetstar Asia is not the largest carrier from Singapore compared to other airlines, such as AirAsia, Thai Airways, Scoot and Singapore Airlines.
Around 400,000 Singaporeans have visited Thailand since the beginning of this year, and arrivals remain on track to reach the 1.15 million target, exceeding 1mn secured last year, she said.
Singaporean tourists spend B7,500 per day on average, with a length of stay of 5.5 days.
Ms Pattaraanong said the agency continues to stimulate the Singapore market via incentive groups and those who opt for health and wellness packages.
It is also promoting other short-haul markets, including Australia, which is Qantas Group’s major hub, after restructuring its fleet and operation.
She said Thailand is expecting new short-haul flights this month, such as Indonesia, China and South Korea.