The prices of inbound tour packages during the Chinese traditional festival, the Spring Festival, will drop to a record low.

Liang Zhiyi, a manger with Guangdong Nanhu International Travel Agency, says the main reason is that the Chinese government will cut fuel surcharges on domestic flights.

From January, the charge on domestic flights of more than 800 kilometers will decline to 40 Yuan or 5.6 U.S. dollars from 150 Yuan per ticket, while routes shorter than 800 kilometers will fall from 80 Yuan per ticket to 20 Yuan.

But Liang Zhiyi adds that there are also other reasons behind.

"Room prices in many five-star hotels have seen a big drop amid the global financial crisis. Therefore, the prices of our tour packages drop to the lowest level for some years."

The situation with outbound tourism is similar.

Luo Dan is a salesperson with Xi'an China International Travel Service.

"The price of tours to Hong Kong and Macao in January next year is 2180 Yuan, 200 to 300 Yuan lower than the same period of last year. The cost of tour to Australia drops to 12,000 Yuan from last years' 18,000 Yuan."