Bhutan waives sustainable development fee for MICE

While aiming to boost MICE revenue, Bhutan wants to uphold its carbon neutrality.

Lofty scenes in Bhutan.
Lofty scenes in Bhutan. Photo Credit: Marcus Westburg

The Department of Tourism Bhutan (DOT) has waived Bhutan’s daily Sustainable Development Fee (SDF) for MICE in a move to bolster one of its most significant revenue streams in tourism. In 2019, Bhutan welcomed 904 MICE travelers, predominantly from Japan, the UK, Germany, and India.

Last September, Bhutan introduced a 50% reduction in the SDF rate, effective until August 31, 2027, with incentives for children. The new rates are US$100 per adult per night.

The Sustainable Development Fee (SDF) serves as a daily contribution by tourists towards the nation's development. It aids various sectors such as healthcare, education, environment, culture, and economy, fostering long-term sustainable opportunities for Bhutanese citizens. As a carbon-neutral nation, Bhutan leverages the SDF to uphold its exceptional forest cover and carbon neutrality.

Dorji Dhradhul, the director general of DOT
Dorji Dhradhul, the director general of DOT
“The MICE market is one of the highest revenue contributors to the global tourism industry. Recognising the significant economic advantages that MICE business can bring into Bhutan, we feel it is very important to provide incentives to attract more group business Bhutan. As such, we are pleased to waive the daily sustainable development fee for MICE events.”

MICE event organisers can apply for an SDF waiver under the following conditions:

· Eligible MICE events require a minimum of seven participants, excluding organisers, speakers, or hosts.

· Participants may receive a waiver for the SDF for up to four nights per event (excluding travel days).

· The event must be organised by a DOT-certified Bhutanese tour operator or hotel.

· The SDF waiver applies exclusively to the participants. Accompanying partners, children, and friends are not eligible.

· Eligible events can be scheduled throughout the year without blackout dates.

· Applications for the MICE SDF waiver must be submitted at this link at least one month prior to the event.

· Applicants are responsible for obtaining any additional required clearances or approvals.

· Only events categorised as MICE qualify for the waiver.

· A comprehensive report, including the event's outcomes and photographs, must be provided to the Department of Tourism within one month after the guests' departure.

· Extensions as tourists will be subject to the SDF.

The process

· The applicants must submit their request via an online form, at least one month before the event.

· The summary of the event, and a detailed day-wise programme of the visit must be submitted at the time of application.

· Once the application is reviewed and approved, DOT will inform the applicant and at that point they can apply for their visa/entry permit application form.

· The applicant should submit the list of participants including their designation, company details, and their passport copies for approval prior to the event. The passports must be valid for at least six months from the intended date of departure from Bhutan.

· A summary of the event, including the outcomes and photographs must be submitted by the organising agency to the Department of Tourism within one month of the departure date of the guests.