Bhutan waives Sustainable Development Fee (SDF) for MICE events

The Department of Tourism Bhutan has announced a new initiative to support the Meetings, Incentives, Conferences, and Exhibitions (MICE) sector. Effective immediately, organisers of MICE events are now eligible to apply for a waiver of Bhutan’s daily Sustainable Development Fee (SDF), a move designed to bolster one of the most significant revenue streams of the tourism sector. This initiative aims to enhance the MICE market’s impact, which extends through every layer of Bhutan’s tourism industry, including local businesses and event venues.

In 2019, Bhutan welcomed 904 MICE travellers, predominantly from Japan, the UK, Germany, and India, who significantly contributed to the local economy and community.

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

1. Eligible MICE events require a minimum of seven participants, excluding organisers, speakers, or hosts.
2. Participants may receive a waiver for the SDF for up to four nights per event (excluding travel days).
3. The event must be organised by a DOT-certified Bhutanese tour operator or hotel.
4. The SDF waiver applies exclusively to the participants. Accompanying partners, children, and friends are not eligible.
5. Eligible events can be scheduled throughout the year without blackout dates.
6. Applications for the MICE SDF waiver must be submitted at this link at least one month prior to the event.
7. Applicants are responsible for obtaining any additional required clearances or approvals.
8. Only events categorised as Meetings, Incentives, Conferences, and Exhibitions qualify for the SDF waiver.
9. 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.
10. MICE participants can extend their stay in Bhutan as tourists by paying the applicable SDF.

Process

1. The applicants must submit their request via an online form (link provided above), at least one month before the event.
2. The summary of the event and a detailed day-wise program of the visit must be submitted at the time of application.
3. 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 as applicable through www.visit.doi.gov.bt
4. 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.
5. 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.

“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 to 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,” concluded Dorji Dhradhul, the Director General of the Department of Tourism.

The Sustainable Development Fee (SDF), serves as a daily contribution by tourists towards the nation’s development. The SDF is utilised transparently and responsibly by the Royal Government of Bhutan. This fund 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, ensuring a serene experience for visitors. Last September, Bhutan introduced a 50 per cent reduction in the SDF rate, effective until August 31, 2027, with incentives for children. The new rates are USD 100 per adult per night; while children between the ages of 6 and who have not yet turned 12 pay a reduced rate of USD 50 per night. Children who have not yet turned six years old do not pay any SDF fee.