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During the IAAI Kerala State AGM held under the chairmanship of State President, Mr Manu T G Nair in Thiruvananthapuram on 28th March, the members unanimously decided to withdraw their support to Emirates Airlines. Speaking about this move, Biji Eapen, National President, IAAI, said, “In case of non-adherence to regulatory requirements, we have decided not to sell or promote Emirates or any of its ancillary services from April 1, 2017 onwards.”

Mr. Eapen added,
“Our Case WP25752/2013 & WA1136/2015 has now been scheduled for divisional bench hearing in the Hon’ble High Court of Kerala on 25th May 2017 for the implementation, execution, and enforcement of the DGCA Order of 5th March 2010 which categorically states that: ·

The Association had earlier written a letter to Emirates requesting it to withhold its proposed reduction of commission after March 31, 2017 and retain the present level of commission at three per cent gross or more till the Kerala High Court verdict.

The current commission level of 3% is itself hardly adequate to cover the many overheads involved in running a Travel Agency resulting in a large number of Agencies surrendering their IATA licenses while others have closed down their businesses considering it not worth their while with such low incomes. Even for this 1% commission, a Travel Agent has to pay 15% service tax.

News By : Editorial Desk | Posted On: March 31 2017