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Tourism industry seeks flexible renewal policy

Tourism entrepreneurs have urged the government to develop a flexible policy for the licence renewal of registered travel and trekking agencies. According to the travel and trekking agencies, the licence renewal process for travel and trekking agencies should be flexible.

“The Tourism Industry Division had assured us of introducing a system to inform tourism entrepreneurs about the registration and renewal system,” said chief executive officer of Nepal Association of Tour and Travel Agents Dr Hari Sarmah.

According to the travel agencies, if the travel and trekking agencies miss the date of licence renewal, the division scraps the licence and one has to register the company again.

“Government should be liberal towards these revenue generating industries,” said Sarmah, adding that the division must provide information to the companies before they scrap the licence.

However, joint secretary at the Ministry of Culture, Tourism and Civil Aviation Mohan Krishna Sapkota said that under the Internal Procedure Regulation, the ministry allows the travel and trekking agencies an additional time of six months and takes an additional fine of Rs 10,000, if the renewal date of the agency expires.

If the company fails to register after the six-month period then the ministry either scraps the licence or provides extra time depending on the goodwill of the company, he said.

Tourism Industry Division takes a renewal charge of Rs 10,000 from the travel and trekking agencies. Renewal of licences is done every five years. If a firm fails to renew licence on time then an extra six months is given and an additional Rs 10,000 is charged.

“We don’t have any system of informing the companies for renewal as ignorance of law is no excuse,” said Sapkota.

“It’s really difficult for any trekking agency to regain its goodwill once its licence is scrapped,” said chief executive of Trekking Agencies’ Association of Nepal Gangaram Pant. However, he also said that general trekking agencies prefer to register a new company rather than pay the extra fine along with the renewal charge once their licence is scrapped.

source: The Himalayan Times,18 August 2012