Japan's inbound tourism remains at a trickle as travelers shun group tours

It’s been nearly three months since Japan nudged the door open and welcomed foreign travelers — on strict, guided tours — after over two years of COVID-19 border restrictions.

But, perhaps predictably given the criteria for entry, foreign tourists have returned in a trickle rather than a wave.

The overall number of foreign arrivals to Japan in July stood at 178,679, topping 100,000 for the fourth straight month following the easing of COVID-19 border control measures in March. However, the number of tourists was only 7,903 in July while the figure was just 252 in June, according to data released by the Immigration Services Agency.

With industry stakeholders concerned that foreign visitors may soon make other plans and cancel or postpone visits to Japan, Prime Minister Fumio Kishida announced Wednesday that the government will further ease its border controls to make it easier for foreign travelers to visit, stressing that the relaxed measures will help the industry take advantage of a persistently weak yen.

Kishida said Japan will lift the daily arrival cap to 50,000 from the current 20,000 starting on Sept. 7 and allow the entry of nonescorted visitors on package tours. Individual travelers will be able to enter the country as long as they book flights and accommodation through a Japanese travel agency, according to a government official.

The announcement of the eased travel restrictions comes as foreign travelers appear hesitant to visit Japan due to strict rules on what they can do once they arrive and some complicated pre-arrival procedures, such as the visa requirement.

"The current ruling whereby the tourist has to be fully escorted whilst in Japan has been a deterrent and many people have decided to wait until such time as they can travel the country freely and without being led by a tour guide at all times," said Anthony Luxton, managing director of Japan Holidays, an Australian travel agency arranging tours to Japan, in an email.

Yoichiro Yamakoshi, who heads the Happy Plus travel agency based in Takayama, Gifu Prefecture, said his firm has not welcomed any foreign travelers since Japan reopened its borders.

There were about 10 reservations for group tours in September, but they have all been canceled because visitors "are not sure if they can travel freely here,” Yamakoshi said.

In that sense, "I'm really grateful that (the government will allow nonescorted tours). It's a really big step," he said.

With its historic sites and outdoor activities, Takayama, which garnered attention after being one of the settings in the 2016 blockbuster anime movie “Your Name,” has been a popular destination among both domestic and foreign visitors.

Prior to the pandemic, about 70% to 80% of his firm’s customers were inbound tourists, Yamakoshi said. He added that the firm has reservations in October and subsequent months, so he hopes that business conditions will soon improve.

While tourists will be granted more freedom, some troublesome procedures including obtaining a visa remain unchanged.

Before the pandemic, Japan did not require visitors from 68 countries and regions to obtain a visa for tourism, but now all foreign tourists must obtain a visa to enter.

“As long as foreign travelers are required to get a visa, I don’t think the number will really increase,” said an official at a Tokyo-based travel agency who agreed to speak on the condition of anonymity.

The travel agency official said such pre-arrival procedures are hindering the business of companies as they are burdened with extra work and additional costs, such as preparations for tour guides who have to monitor travelers to make sure that they wear masks.

As such, allowing nonescorted tours, along with the eased PCR testing requirements, will likely reduce their burden. Last week, Kishida said that travelers who have received three doses of an approved vaccine will be exempted from pre-arrival PCR tests, with that measure going into force on Sept. 7.

“If pre-arrival tests find that travelers are infected, we have to cancel reservations at the last minute, so it causes trouble for hotels,” the travel agency official said.

Although it is still unclear how the easing this time will boost the number of inbound tourists, Luxton said Japan is still a popular tourist destination among Australians and many have been waiting for a long time to visit.

"The forthcoming autumn and winter seasons attract a large range of people and these timings are well suited for Australians to visit Japan," he said.