Category Archives: Associations

Rajiv Mehra, President, IATO, has shared that they know that SEIS will not be given by the government. Hence, they have requested the Ministry of Finance and Ministry of Commerce that at least for tour operators and travel agents, whatever they earn in foreign exchange, a 5-10% duty drawback should be given to them. “But nothing has happened. We have had no response or no further meetings on this with them. There has been no headway. So, it looks like the government doesn’t want to do that. We have told them that to support the industry, this is the minimum they can do.”

ADTOI management has decided to hold elections to elect the XIII Management Committee Team of the Association comprising of six office bearers and eight managing committee members on Saturday the 6th August 2022. Varun Chandiok, Advocate has been appointed as the Returning Officer to conduct the elections in a free, fair, and peaceful manner.

The CAPA webinar forecast revealed that India’s domestic air traffic is expected to remain in the range of 130-140 million with 60-65 million in the first half and 60-65 million in the second half of FY2023. The international air traffic is expected to reach 55-60 million with approximately 25 million in the first half and 30-35 million in the second half of FY2023. 

IATO urges the government to remove cascading effect of GST on tour operators and GST on tour operators to be charged on deemed value as in the case of Air Travel Agents, where a deemed value of 10% of gross billing of the tour operator may be considered as the taxable value on deemed basis where as it is being charged on gross value for tour operators. 

At the CAPA India webinar, India’s financial outlook FY22-23 revealed that domestic traffic may reach FY19-20 levels this year, but international will take until FY23-24. There is a visible softening of demand due to fuel prices and economic conditions. 2022 is predicted to be another loss-making year, losses will be trimmed, but will remain substantial.

IATO has thanked Finance Minister, GST Council and the Chairman CBIC for favourably considering  two of its recommendations- removal of, GST on services provided outside India to foreign tourists if they take combined package of India and neighbouring countries and  secondly GST for the ferry service hired for transport of passengers including tourists used as public transport from point to point transport in Andaman & aNicobar Islands,  in the GST Council meeting held in Chandigarh.

FHRAI has submitted a representation to Jyotiraditya Scindia, Union Minister of Civil Aviation, highlighting problems faced by inbound tourists with filling the online Air Suvidha form and has requested for its immediate withdrawal. With several passengers having missed their flights to India, the Association has appealed for the Ministry to at least provision physical forms as an alternate to the online forms.

Speaking about India during a webinar organised by PATA India chapter, Liz Ortiguera, CEO, PATA, said, “India has outperformed APAC countries in the recovery with a faster capacity rebuild. While other countries are suffering due to under capacity, India has bounced back nicely. However, with the opening of air services and borders, India needs to plan and execute an aggressive marketing and promotional campaigns to boost the tourism arrivals.”

PATA India Chapter showcased Kerala as a destination in its ‘Jewels of India’ webinar, where Krishna Teja IAS, Director, Kerala Tourism, said that 2022 can be the year of Kerala Tourism. “This is because we have lined up a series of adventure activities and festivals across the year,” he said.

International Air Transport Association (IATA) has said that governments must work with the industry to ensure that aviation and incumbent safety systems can safely co-exist with the new 5G services. Many countries have successfully managed to facilitate the requirements of 5G service providers while including necessary mitigations to preserve aviation safety and uninterrupted services.