Songkhla's economy is set to remain on a positive trend this year, driven by increased investment in the province's hospitality sector, according to the chief of Songkhla's Chamber of Commerce, Songphon Changsiriwattanathamrong.
"Investors are constructing modern, design-driven hotels, moving away from traditional block-style buildings," Mr Songphon said, noting the shift reflects the changing preferences of tourists, who are increasingly booking independently online, thus diminishing the importance of having a prime location.
"[In addition,] the food processing and animal feed industries are also performing well," he added.
He said agricultural products such as rubber, palm oil, durian, mangosteen, coffee, and bananas are seeing high demand and favourable prices, further driving the local economy.
Sitthiphong Sitthiphatprapha, President of the Hat Yai-Songkhla Hotel Association, revealed that around 10 new hotels -- ranging from boutique properties (20-50 rooms) to large-scale establishments (100+ rooms ) -- are being constructed, with investments ranging from 30 to 100 million baht per property. Together, these developments will add nearly 1,000 new rooms by 2027.
While the hotel market remains stable in 2025, Mr Sitthiphong noted that competition will intensify in 2026 as new hotels with higher investments enter the market. Moreover, fierce competition will also come from rental homes, residences, and apartments, which are all increasing in number.
"These alternatives offer a more affordable option, making them a significant competitor in the accommodation market. Price competition will intensify, particularly from short-term rental operators," he said.
Mr Sitthiphong also highlighted that local investors -- ranging from new entrepreneurs to those with experience in established hotel businesses -- are leading the surge in hotel development. He said that Songkhla's tourism trade is in a healthy state, with approximately 6,000 to 7,000 international tourists arriving daily, with numbers rising to 10,000 on weekends.
During peak holiday periods, the province attracts between 30,000 and 50,000 tourists, which significantly contributes to the local economy.
"Songkhla is well-positioned to strengthen its role as a key economic hub in southern Thailand," he concluded.
