Vietnam Tourism Surge: Indian Arrivals Hit 501,000 in 2024 as Rivalry With Thailand Intensifies

Indian traveler arrivals to Vietnam have more than tripled in just two years, signaling a seismic shift in Southeast Asian tourism dynamics. As Vietnam aggressively expands air connectivity and simplifies digital entry, it is positioning itself as the primary alternative to Thailand for the world's most populous nation.

Rapid Acceleration of Indian Arrivals in Vietnam

Vietnam has transitioned from a niche destination to a core pillar of its inbound growth strategy. Data from the Vietnam National Authority of Tourism reveals a steep upward trajectory in visitor numbers from India, reflecting a growing appetite for diverse Southeast Asian experiences.

The growth is not merely incremental; it is exponential. In 2022, Vietnam recorded approximately 138,000 Indian visitors. By 2023, that number jumped to 392,000, and by 2024, arrivals reached roughly 501,000. This surge has propelled India into the position of Vietnam’s sixth largest inbound market by volume for 2024.

While traditional powerhouses like China and South Korea still lead in total numbers, the growth rate from India is currently outpacing most established source markets. This trend has triggered a strategic pivot among regional hotel operators and destination marketers to better accommodate Indian preferences.

The Visa War: Thailand's Free Entry vs. Vietnam's Digital Shift

The competition for Indian outbound spending is currently being fought through entry policies. Thailand, long the benchmark for Indian holidaymakers, has leveraged aggressive liberalization to maintain its lead.

Thailand initially introduced a temporary 30-day visa exemption for Indian passport holders between late 2023 and mid-2024. This was later expanded into a broader 60-day visa exemption scheme. By late 2024 and into 2025, this arrangement effectively became open-ended, allowing Indian citizens to enter visa-free for up to 60 days with options for in-country extensions.

Vietnam has adopted a different approach, relying on a streamlined electronic visa (e-visa) system. Currently, Indian citizens can apply online for stays of up to 90 days, including multiple-entry options, provided their passports are valid for at least six months.

While the e-visa is praised for being user-friendly and predictable, the Vietnamese government is eyeing further liberalization. In July 2024, the Prime Minister directed ministries to expand the list of visa-exempt countries, with India frequently cited as a priority candidate for a full waiver.

Aviation Expansion and Strategic Market Positioning

The surge in tourism is underpinned by a dramatic increase in air accessibility. Since mid-2022, a network of non-stop routes has been established, linking New Delhi and Mumbai directly to Hanoi and Ho Chi Minh City. These flights have slashed travel times to between four and five hours.

The impact of this connectivity is evident in the numbers:

• Vietnam Airlines: Transported over 240,000 passengers on Indian routes within the first two years of launching direct services.
• LCC Growth: Low-cost carriers from both nations have added significant capacity, specifically targeting leisure and group travel.
• Secondary Hubs: New connections are now linking secondary Indian cities to coastal hubs like Nha Trang and Da Nang.

Vietnam is also repositioning its "product" to compete directly with Thai staples. Coastal destinations like Da Nang and Phu Quoc are being marketed as high-value alternatives to Phuket and Krabi. Simultaneously, the cities of Hanoi and Ho Chi Minh City are being positioned as rivals to Bangkok for short-break urban tourism.

Diversification into High-Value Travel Segments

Beyond individual leisure travelers, Vietnam is capturing high-spending corporate and social segments. There is a noted increase in:

• MICE Tourism: Large Indian corporations are increasingly booking entire resorts for employee incentive trips.
• Destination Weddings: The novelty and aesthetic appeal of Vietnamese landscapes are attracting the lucrative Indian wedding market.
• Tier 2 & 3 Cities: Travel agents report that younger Indians and first-time international travelers from smaller Indian cities are choosing Vietnam to avoid the perceived saturation of Thai resorts.

Indian Visitor Growth Statistics (2022–2024)

Year	Approximate Indian Arrivals	Growth Status
2022	138,000	Baseline
2023	392,000	Rapid Expansion
2024	501,000	6th Largest Market

Key Takeaways

• Exponential Growth: Indian arrivals to Vietnam grew from 138,000 in 2022 to 501,000 in 2024.
• Policy Gap: Thailand offers 60-day visa-free entry, while Vietnam utilizes a 90-day e-visa system, though a full waiver for Indians is being considered.
• Aviation Driver: Direct flights from Delhi and Mumbai have reduced travel time to 4–5 hours, with Vietnam Airlines moving 240,000+ passengers in the initial launch phase.
• Market Shift: Vietnam is successfully positioning its coastal cities (Da Nang, Phu Quoc) as alternatives to traditional Thai hubs like Phuket.

FAQ

Do Indian citizens need a visa for Vietnam in 2026? Yes, Indian citizens currently require an e-visa or conventional visa. The e-visa allows for stays of up to 90 days and can be applied for online.

How does Vietnam's entry policy compare to Thailand's for Indians? Thailand offers a more liberal 60-day visa-free entry, whereas Vietnam requires a pre-approved e-visa, although the process is highly digitized and efficient.

Which Vietnamese cities are most popular for Indian travelers? Hanoi and Ho Chi Minh City are the primary urban hubs, while Da Nang, Nha Trang, and Phu Quoc are the leading coastal destinations.

The battle for the Indian traveler is no longer just about price, but about who can provide the fastest entry and the freshest experience.

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