India Reverts to Visa-on-Arrival for Thailand Entry

Thailand's Cabinet has rolled back the 60-day visa exemption that had applied to 93 countries, with India among the most consequential markets affected. Indian travellers now revert to a visa-on-arrival arrangement, broadly resembling the system in place before 2024. For foreign residents and property owners in destinations such as Phuket and Bangkok, where Indian visitor flows have become a structural part of the hospitality economy, the policy shift is worth watching closely.

The practical mechanics are modest. The visa-on-arrival fee sits at 2,000 baht, with an e-visa alternative at 1,000 baht. Travel operators serving the Indian market argue that neither figure is high enough to deter demand, particularly given that Thailand remains one of the most competitively priced international destinations accessible from major Indian cities. Direct flight networks from Mumbai, Delhi, Bengaluru, Chennai and a widening list of second-tier hubs continue to support consistent year-round arrivals.

Last year, more than 2.48 million Indian tourists visited Thailand, and by early June this year arrivals had already passed 1.1 million, placing India third among inbound markets behind China and Malaysia. The Tourism Authority of Thailand had been targeting 2.55 million Indian visitors for the year on the assumption that visa-free access would remain. With the policy reversal, that figure may be revised downward, though the agency has indicated mass-market group travel will absorb most of the drag while luxury and independent segments hold steady.

For property investors in Phuket, the Indian market matters more than headline numbers suggest. Indian weddings, wellness retreats and multi-generational family holidays have underpinned villa rental yields in Bang Tao, Layan and Kamala, often filling shoulder-season weeks that European and Chinese visitors leave open. Bangkok hotels, particularly those clustered around Sukhumvit and Pratunam, have similarly built operational models that assume sustained Indian footfall. A modest paperwork hurdle is unlikely to dismantle either pattern, but operators will need to track booking pace through the next two quarters.

There is a counter-argument from within the trade that the visa-on-arrival format actually serves Thailand's longer-term interests. Visa-free entry had reportedly been exploited by a minority of travellers overstaying or working illegally, eroding goodwill toward the broader Indian visitor base. A formal entry process, even one as light as a stamp on arrival, allows authorities to screen and document arrivals more systematically. For residents of condominium projects in tourist-heavy districts, who have at times raised concerns about short-let abuse, tighter entry controls are generally read as a positive.

The Tourism and Sports Ministry is reportedly preparing to propose a compromise: a 15-day visa exemption for Indian nationals, recognising the market's top-five status among Thailand's source countries. Travel agents suggest such a window would cover the vast majority of Indian trips, including the bulk of wellness packages, which typically run between seven and 14 days. A 15-day exemption would also align Thailand more closely with the regional norm, where Vietnam, Malaysia and Sri Lanka all offer comparable terms to compete for the same traveller.

Diversification of Indian travel within Thailand is another trend that property watchers should note. While Phuket and Bangkok still capture the largest share, travel agents are actively promoting Koh Chang, Chiang Mai, Chiang Rai and Pai, following familiarisation trips coordinated by the tourism board. This dispersion benefits secondary property markets where new hospitality-led residential projects are being launched, particularly in the north, and it suggests that Indian demand is maturing beyond the standard beach-and-shopping circuit.

For foreign buyers weighing rental yield assumptions on Thai property, the underlying message is reassurance rather than alarm. Indian travel demand is structurally tied to price, flight access and proximity, none of which are altered by the visa shift. The administrative texture has changed, not the fundamentals. Operators who have built portfolios around Indian guests should expect a brief recalibration in mass-tour bookings, while the higher-spending independent and luxury segments, which matter most for branded residences and premium villa rentals, are expected to continue largely as before.