Category Archives: Associations

Association Of Domestic Tour Operators Of India (ADTOI) held its by-elections recently and has elected Rajesh Arya of India International Tours & Travels as its new Treasurer and Dalip Gupta of DGS Travel House as the Joint Secretary. The by-elections were held after the resignation of Kamal Gandhi  and Debashis Dey from the above posts respectively.

The Indian Association of Tour Operators (IATO) has announced that its Maharashtra Chapter will come together once again in Karjat on June 21. IATO’s National Committee along with Chairman of Western Region, N.S. Rathor are expected to present for this. Announcing this is Himanshu Agashiwala, Chairman, Maharashtra Chapter, IATO, who says, “Our Maharashtra chapter conducts at least four to five meetings in a year. One such meeting will be held on June 21 at Hotel Radisson Blu in Karjat. It is a day-long event and we have even invited our executive committee from New Delhi to join us. They might stay overnight. This will be third time that the executive committee from Delhi will be attending a Western Chapter meeting. They normally meet in Delhi itself. One of our members Arika Holidays has managed to get rooms and lunch at the hotel for our members.”

Global passenger traffic for April 2017 increased by 10.7 per cent as compared to April 2016, which was the fastest pace in six years, according to data provided by International Air Transport Association (IATA). The international passenger demand in April 2017 rose 12. 5 per cent as compared to April 2016, with all regions recording double-digit year-over-year traffic increases for the first time in 12 years. Total capacity climbed 7.7 per cent and load factor climbed 3.5 percentage points to 81.5 per cent. Demand for domestic travel climbed 7.7 per cent in April compared to April 2016, while capacity increased 6.2 per cent, causing load factor to rise 1.2 percentage points to 83.0 per cent. All markets reported demand increases with the exception of Australia, which showed a 2.1 per cent decline. IATA attributed the strong performance to a pick-up in global economic activity and lower airfares. After adjusting for inflation, the price of air travel in the first quarter was around 10 per cent lower than in the year-ago period and it was estimated that falling airfares accounted for around half the demand growth in April. However, it was also noted that the cabin ban on the carriage of large portable electronic devices (PEDs) from 10 Middle Eastern and African airports to the US seemed to have weighed down Middle East-North America passenger traffic. “April showed us that demand for air travel remains at very strong levels. Nevertheless there are indications that passengers are avoiding routes where the large PED ban is in place. As the US Department of Homeland Security considers expanding the ban, the need to find alternative measures to keep flying secure is critical. If the …

Travel Agents Association of India (TAAI) hosted a session on Goods and Services Tax (GST) for its members in Mumbai. Service Tax expert CA Manish Gadia from GMJ & Co gave an insight on how GST will come into play. TAAI has initiated GST training sessions in cities such as Kolkata, Ahmedabad and now Mumbai. Revealing more is Jay Bhatia, Hon. Treasurer & Tourism Council Chairman, TAAI. “By June 30, we plan to complete these sessions in all the 20 cities across the country where TAAI is present. Subsequently by July-August we will have detailed session as the government gives more clarity on GST. Currently, we are not happy with the GST rates and we will be making representation through FAITH to the government which is definitely going to be reviewed by the government but as of now the current intention of the government is to implement GST from 1st of July. Once it is implemented we have assurance from the government that they will look into the issues faced by agents and take the right steps,” he said. Sampat Damani, Chairman – Western Region, TAAI, commented, “Although we received notifications from the government but still a lot of things are not clear. With GST being very complex we see tourism and hospitality industry getting a big hit. Like demonetisation we may see day to day changes by the government which will be a chaos for the next 6-8 months. We were supposed to go into a paperless scenario but here with 37 returns to be filed annually we are taking a step backward instead of going forward.”

The Indian Association of Tour Operators (IATO) recently organised a seminar with noted Service Tax expert Manish Gadia, Partner, GMJ & Co to talk on GST and to reply to member queries. The session mostly touched upon how GST is likely to affect inbound agents. Himanshu Agashiwala, Chairman, Maharashtra Chapter, IATO, said, “Everyone has been discussing about GST and so we decided to conduct this session in Mumbai. We saw a fantastic response with more than 75 members attending the event. We even welcomed a couple of non-members from the trade.” The association also discussed a few state-related issues before the session including the scarcity of guides, transport tax and upcoming events. Agashiwala also urged members to get more active and help out the committee in various tasks, including volunteering for the Hotel Inspection Committee that IATO is a part of.

The Travel Agents Association of India (TAAI) has started conducting educational workshops on GST for its members across all chapters along with its consultant and Service Tax expert, Manish Gadia, Partner, GMJ & Co. Jay Bhatia, National Treasurer and Chairman (Tourism Council), TAAI, says, “We did a session on GST in Ahmedabad on Saturday, May 27 and are doing another one in Mumbai on June 1. We have planned this pan-India for our chapters and the dates and cities will be announced soon.” The association will conduct another one in Lucknow on June 8. Gadia, who recently conducted a session on the same topic for Indian Association of Tour Operators (IATO) members in Mumbai says, “The main doubt of the IATO members was whether they have to go for five per cent or 18 per cent, whether they have both options, what will be the place of supply, and how can they get the maximum benefit from GST. Any change will always have some pros and cons. Introduction of GST is one the biggest economic reforms for India. So the tour operators will have to change the way they are doing business today.”  

Following the recent announcement of the 28 per cent GST rates for hotels in the luxury category and those that charge a tariff of more Rs. 5000, to be applicable from July 1, the hospitality industry in South India is protesting the move. K. Syama Raju, President, SIHRA, says, “The recent developments and policies belie the importance of our industry and fail to recognise that this Industry is one of the largest employment generators and net foreign exchange earners with an expected exponential growth. It is imperative that we impress the government of our displeasure on these recent developments that are adversely affecting our industry. We commend the authorities for recognising the value of tourism by lower GST rates for one value chain of tourism i.e. travel, tours and transportation but are extremely disappointed that for the other part i.e. hotels & restaurants a regressive GST taxation regime has been applied. Hotel & restaurant businesses are striving to create higher standards and get higher ratings but the more punitive is the GST regime. Economic & visionary development of the industry cannot simultaneously be branded by exclusivity. The main objectives of GST is to minimise the cascading effect of taxation, harmonise the tax base, laws and administrative procedures across the country, creating a common playing field to promote healthy competition amongst the states that will ensure certain standards across the industry and most importantly minimizing tax slabs to avoid classification issues. The industry is coming together to protest on May 30, 2017, to register dissent against the adverse impact of the proposed GST rates in southern states.”

Finnair, the flagship carrier for Finland, has joined the Pacific Asia Travel Association (PATA). Dr. Mario Hardy, CEO, PATA said, “We are extremely pleased to welcome Finnair to the PATA family as our newest aviation member and the first Nordic airline to join in recent years. The airline is not only a leader in sustainable practices but also in pioneering new technologies such as testing face recognition technology for use by travellers when checking in for flights departing from Helsinki airport.” “Finnair is proud to join PATA, as Finnair’s growth strategy is strongly linked to the Asia & Pacific region. We want to further develop our business and intensify the ties between us and important local tourism authorities, associations and regional/local companies,” states Juha Jarvinen, Chief Commercial Officer and Executive Board Member at Finnair.  

Various national travel trade associations in the country are rushing to conduct workshops on GST for their members and inform them on how the tax structure will impact their business. The Indian Association of Tour Operators (IATO) has organised a seminar with noted Service Tax expert, Manish Gadia, Partner, GMJ & Co to talk on Service Tax and GST and to reply to member queries. The Travel Agents Federation of India (TAFI) has also conducted a speaker session on GST. Following close on its heels will be the Travel Agents Association of India (TAAI). Revealing this is Jay Bhatia, National Treasurer and Chairman (Tourism Council), TAAI, who said that the association will be doing a series of workshops on Service Tax and GST along with consultant Manish Gadia across the country.

Realising the potential of the Indian wedding industry, FICCI organised the first-ever Wedding Tourism Summit at The Lalit to give impetus to the booming segment. The gathering was welcomed by Dr Jyostna Suri, Past President, FICCI and Chairperson – FICCI Tourism Committee. Also present at the inauguration were Ajay K Sharma, Deputy Director – Tourism, Govt of Rajasthan, along with Siddharth Chaturvedi, CEO, Eventcrafter and Secretary, EEMA. The Wedding Tourism Summit will conclude on May 26, 2017. The two-day summit gives buyers and suppliers an opportunity to interact and explore potential business opportunities under one roof and also address issues and concerns pertaining to the wedding segment. Suri said, “Weddings not only benefit the hotels where the events take place, but also the destination as well as ancillary services like florists, caterers etc. We need to tap countries like UK where there are many tourists looking for good destinations to get married in and what better place than India, with its historic hotels and other sites. The objective of this platform is to create a bigger awareness of India and the various destinations as a sought-after wedding location.” Suman Billa, Joint Secretary – Tourism, Govt of India delivered the inaugural address where he stated, “If we want to achieve our target of attaining 2 per cent of global international tourist arrivals into India by 2025, we need to address all segments that have the potential to grow, and weddings is definitely one of them. People who come for weddings stay longer and spend more so there is a need for us to come up with a game plan on what we need to do to promote it. We need to look …