Monday, September 29, 2008

Airlines Finally Agree To Travel Agents On Transaction Fee

Over the last few months, many high-profile meetings had taken place between Indian travel agents associations (TAAI and TAFI) and the Airlines (Air India, Jet Airways and Kingfisher), on the issue of zero-commission regime set by the airlines. The travel agents had argued that customers wouldn't agree to pay a separate transaction fee resulting in loss for the agent. After the latest round of meeting, the airlines have finally agreed to reflect the Transaction Fee on air tickets.

Both TAAI and TAFI are awaiting feedback from their members on this issue. Only after receiving agreement from both the associations the airlines will implement the same. However, this inclusion will be applicable only from November 1 to December 31, 2009.

According to reports, once implemented, the travel agents would charge a Transaction Fee of Rs 350 per ticket on domestic Economy Class, Rs 500 per ticket on domestic Business Class, Rs 2,500 per Economy Class booklet and Rs 3,500 per Business Class booklet.
..
2