Derani Yachts – part of Phuket’s booming boating sector

As Marine tourism on Phuket and around the Andaman Sea is buoyant especially within boating, brokerage company Derani Yachts is experiencing strong sales and seeing a bright future.

 

“The boating market does not seem to have been affected to the same degree and our sales this year improved considerably compared to previous years,” says broker Håkan Lange who previously worked in maritime organisations and on merchant vessels for many years.

 

“We started a yacht brokerage business in Malaysia in 1996 and was like everybody else affected when the currency crash hit Asia in September 1997, however we maintained a steady growth and added other quality brands over the years but kept the operation lean and mean until there was a change in the market and Thailand then emerged as the obvious place to expand the business into.”.

 

In 2004 he decided to move his yacht brokerage from Malaysia to Phuket where it is well-placed right on the pier inside Phuket Boat Lagoon and amidst the island’s growing number of luxurious tropical lifestyle choices.

 

“As it’s a very popular location I joined the queue and was fortunate to be offered a fantastic location and a new stand alone building that will be available to us just in time for PIMEX (Phuket International Marine Expo) 2004.”

 

Its neighbour property is the new Royal Phuket Marina, the only project among many in the pipeline materializing so far, which offers the fusion between property and marina catering to the influx of investors interested in yachting as lifestyle. PIMEX is being held there since 2007. Royal Phuket Marina offers up to 350 berths for yachts of up to 35 metres.

 

What really made the positive change for development of the Andaman Sea – and Thailand – as a yachting paradise, was the abolishing a few years ago of boat import taxes from over 200 per cent down to VAT( 7%) only. To encourage boating, the Thai Government saw this as an essential step and since then, boat ownership in the country has become a real option and Phuket has emerged as the new preferred marine destination of choice in the region.

 

“The tax elimination and the tsunami are the recent milestones affect the boating industry. People carried on with their plans to buy boats while boat charter had a considerable slow down as a result of the tsunami but has since bounced back and should enjoy it best year ever this coming season.”

 

“Surely, having gone from 217 per cent taxation to 7 per cent has made owning a boat in Thailand and keeping it under Thai flag much more appealing. As a boating destination Thailand has the best overall package to offer to boaters and that is the main reason for yacht sales and service companies to establish a presence in Thailand,” says the broker.

 

With new advantageous conditions and the Andaman archipelago described by industry people as irresistible and among the best cruising waters in the world, Phuket will see more would-be yacht charterers, and many yacht owners from around the world making the island the home for their leisure craft and floating palaces. As long as more marinas are built and the full service facilities required will be provided, that is. Currently only Yacht Haven at the island´s north-eastern tip offers berths for larger yachts.

 

“Especially marinas with facilities are needed. Today Phuket Boat Lagoon is providing the widest range of services although Royal Phuket Marina is offering limited service work given its surroundings of high end condominium’s. Many of the new marinas will mainly act as parking lots, but in order to do any larger jobs, you’ll need to haul out at the Boat Lagoon where it’s pretty crowded during high season and difficult to get access.”

 

“In high season, the existing marinas are pretty full as owners from Malaysia and Singapore bring their boats to Phuket for the season. The charter market is likely to grow here in Phuket especially until supply and demand for marina space is met. But also for people that would like to try boating in Thailand before committing to buying an own boat,” foresees Håkan.

 

Guest marinas and access to fuel are other challenges.

 

“There are no dedicated marinas for visiting boats and given the tidal situation there are some other restrictions. Many popular islands have dedicated moorings that are available on a fist come first serve basis and for the time being that seem to be sufficient. Access to petrol and diesel is something that one has to plan for in advance of doing a particular journey. Lack of quality fuel from certain places could cause a problem and having good water separating and dirt filters is very important. Access to water is another issue that needs good planning,” advices Håkan.

 

Derani Yachts, represents a carefully chosen selection of brands from boat yards around the world, such as Elan sailing boats and power boats such as Posillipo, Rodman, Elan-power, Grady White, Tiara, Pursuit and North Sea Boats. Derani is also dealer for Suzuki Marine outboards in Thailand.

 

“Every week we have new inquiries from people planning to come to Phuket, asking about boat charter opportunities, where Scandinavians seem to favour sailing boats.”

 

During high seasons charter boats are more or less fully booked; for diving, fishing or sailing.

 

“We are currently looking at meeting the demand for charter in various ways and we have access to eleven charter boats of various sizes.”

 

Furthermore well-to-do property buyers, who fancy the island for retirement and second homes abroad, will be keen on golfing and boating.  “Seventy per cent of our customers have invested in some sort of business or bought a house or apartment here.”

 

Read more in part II: Derani Yachts and Phuket's boating boom

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