SINGAPORE, March 17 — Rising fuel prices linked to the conflict in the Middle East are weighing on Singapore’s travel industry, with ferry operators, cross‑border bus services and tour agencies adjusting operations to cope with higher costs.
Operators told CNA they are consolidating trips, revising schedules and absorbing expenses where possible, warning that the March school holidays and upcoming Hari Raya period will be a crucial test for the sector.
Ferry operators have already introduced surcharges and reduced services.
Batam Fast said fuel costs have tripled since late February, forcing cancellations of low‑demand trips and prompting cooperation with Sindo Ferry to maximise passenger loads.
Marina South Ferries has announced phased fare increases of 20 to 30 per cent, with some charter trips already up by 30 per cent.
YachtCruiseSG reported refuelling costs rising by about 45 per cent, now at S$800 per vessel, leading to fewer daily tours.
Cross‑border bus companies are also under strain.
Cityline Global said diesel prices have jumped around 30 per cent, with Malaysian petrol stations limiting purchases to 20 litres per vehicle, CNA reported.
The firm has cut boarding points and is exploring cooperation with rivals to maintain capacity.
Cityline Global business manager Kevin Tay told CNA: “For example, if I have 10 passengers (and) they have 10 passengers, we could probably (get them) together and travel by the same bus. But the offerings might be slightly different. Even though we are competitors, there are also ways to help each other reduce costs.”
Travel agencies are likewise feeling the impact, with cancellations and postponements of European tours adding to losses.
With fewer flights operating through the Middle East, many travellers are opting for destinations closer to home.
One agency said flights to China are now about 20 per cent more expensive compared to last year, driven by higher fuel costs and surging demand.
