Tuesday, August 08, 2006

As ticket prices soar, agents want piece of surcharge pie

Mumbai: With fuel prices skyrocketing and airlines escalating their ticket prices travel agents want a piece of the pie as well.
Since the surcharge is an additional cost, over and above the ticket price, it is non-commissionable for bookings made by travel agents. Responding to the move, the Travel Agents Federation of India (TAFI) has now taken up the issue with all full service carriers that include Indian Airlines, Jet Airways, Air Sahara and Kingfisher Airlines.
According to TAFI, since fuel costs are part of the operating cost of an airline and account for 35 per cent of the fare-building process, the surcharge should be done away with and the cost be integrated into the ticket fare, or alternately, the added cost be made commissionable.
08/08/06 Lekha Agarwal/Mumbai Newsline
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