Bhummikitti Raktaengam, vice-chairman of the Tourism Industry Council of Thailand (TICT), said the conflict has made many travellers reluctant to fly, particularly from the Middle East, while the Ramadan period, which ended on March 21, also dampened outbound travel. European arrivals were also affected, bringing the overall decline to roughly 30%, reports the Bangkok Post.
He said Thailand had relied heavily on key markets including China, the Middle East and Australia, but the Middle Eastern segment is unlikely to return soon.
At the same time, rising fuel prices have pushed up airfares and operating costs, further weighing on demand.
Despite the slowdown, domestic travel during Songkran is expected to remain a crucial buffer.
Mr Bhummikitti urged the government to stabilise fuel prices and boost travel sentiment to encourage Thais to travel domestically.
"Many people are hesitant because expenses have risen sharply. Confidence-building measures would help stimulate movement and spending," he said, adding that tourism plays a key role in distributing income across the economy. The private sector has proposed relief measures, including asking Airports of Thailand to delay new airport fees and seeking support such as a freeze on electricity tariffs.
Operators are also tightening costs while trying to maintain employment, he said, noting that short-haul markets will be critical in the coming months, though higher oil prices remain a risk.