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Monday, December 08, 2008, 13:15 Hrs  [IST]

Jet Airways agrees to give three per cent commission to agents on gross fare

Kingfisher Airlines and Air India expected to follow suit

Jet Airways has agreed to pay three per cent commission to agents on the gross fare of international and domestic tickets. The move to pay three per cent commission does not include its low cost subsidiary, JetLite. The decision was taken after a closed door meeting held yesterday in Mumbai among officials of Air India, Kingfisher Airlines, Jet Airways and the representatives of the six major travel trade associations: TAAI, TAFI, IATO, ADTOI, IAAI and ETAA. The agenda of the meeting was to discuss the revival of the commission system in place of the Transaction Fee model.

According to sources Kingfisher Airlines is expected to revert back with their stance on the issue today, while Air India is expected to give its reply day after tomorrow. Prior to the zero commission regime, which came in to effect from the first of last month, agents were paid five per cent commission on the base fare. Confirming the decision of Jet Airways to pay three per cent commission, Rajji Rai, President TAAI, said that Naresh Goyal, Chairman, Jet Airways had been kind to offer three per cent commission and to respect the interests of the travel agents.


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