TokyoTomo Travel Guide

During a regular media briefing, Takaya Okuyama, Director & Secretary General of JATA, Japan Association of Travel Agents, commenting on the domestic agency commission which All Nippon Airways aims to slash, said that it will before long strongly urge the airline to maintain the currently applicable clauses related to the agency contract system. JATA is not in the position to negotiate with ANA on the agency commission specifying a rate of commission, but intends to “strongly urge the airline to maintain and foster a mutual relationship between the airline and travel industry under the same umbrella.

Okuyama, while showing his understanding for the severe business conditions and climate continuously faced by the airlines, intends to include in a letter of request to ANA a strong message that it should be logical for both parties to cooperate even under a severe market environment in efforts to stimulate and boost the travel demand. In this context, JATA is going to request for the current agency contract to remain unchanged.

In view of the reduction of the agency commission, ANA is said to have already started negotiations with its major travel agencies. Okuyama said, “Since JATA is not a contracting party, it has no intention to interfere with the ongoing negotiations,” adding, however, that it is a challenging issue for JATA how to represent the interests of small and medium- sized travel agencies without conflicting with the existing antitrust law..

A specific date for the request by letter is not decided yet. It first needs an approval of its domestic travel committee, Okuyama reminded, to submit the letter of request to ANA under the name of JATA chairman. According to JATA public relations office, its domestic travel committee meeting is slated for November 26, but it may be also possible that the approval will be obtained prior to the meeting by phone to the respective committee members. Toshifumi Tabata, JATA’s Director Outbound Travel explained also on November 18 that he suggested to the Domestic Travel that the said request letter be forwarded to ANA as early as possible based on the previous experience with the reduction of the international agency commission. He also indicated a possibility of further clarifying with the Japan Fair Trade Commission as to how much JATA is allowed to influence the burning issue with ANA.

Source: Travel Vision

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