Mr Grigson, on a quick visit to the island before the diplomatic corps meets the new Prime Minister in Bangkok today, said that the island had many virtues and attractions and was clearly popular with Australians.
But he said he had been made aware of problems with tuk-tuks and jetskis especially.
Australians wanted value for money amid the economic crisis, and if Phuket suffered more serious problems, some might holiday at home or go to Bali instead.
Dr Preecha said his aim was to care for visitors from around the globe, including Australia. He had a four-point aim: safety, security, justice and cleanliness.
Mr Grigson said he thought those priorities were a good idea.
Dr Preecha also said that he favored the concept of a tourist court but it was not within his power to create one.
He agreed that small cases should be speedily dealt with, and tourists should not have to stay on the island for unduly long periods over petty crimes.
Dr Preecha said that the tourism outlook for Phuket in 2009 would only become clear from March onwards.
Ambassador Grigson and Australian Consul-General Stephen Candotti were entertained last night by Honorary Consul Larry Cunningham at the Chava Resort in Surin.