Asita presents Plan Save-5 deposits to agents
Asita presents Plan Save-5 deposits to agents
JAKARTA (JP): The Association of Indonesian Tour and Travel
Agencies (Asita) presented US$12.5 million from its Plan Save-5
savings program to its sub-agents, allaying their fears of unfair
deposit distribution.
"The recent distribution of deposits has eliminated fears that
the agents and sub-agents cannot manage the distribution the Plan
Save deposits fairly," said Andi Mappi Sammeng, the director
general of tourism.
Asita's Plan Save-5 requires its members to turn over five
percentage points of the nine percent commission charged by
airlines.
It was agreed in November 1993 that, after two years, 50
percent of the interest earned would be paid to the Indonesian
Tourism Promotion Board, while the remaining 50 percent could be
withdrawn by the depositors.
Under the International Air Transport Association (IATA)'s new
policy, each tour and travel agency is required to provide
guarantee funds of a minimum of $15,000, or 120 percent of its
average sales, in 15 days. Previously the guarantee funds were
set at only 40 percent.
Under the IATA and Asita agreement, the agencies' deposits can
be used to pay for the guarantee funds.
Since the program was implemented in November 1993, nearly $25
million in deposits and interest has been raised through the
state-owned Bank Bumi Daya.
Asita's chairman, Sri Mulyono Herlambang, said that in
addition to paying for the new guarantee funds, Plan Save-5 was
also aimed at preventing price wars between agencies.
He said that the withdrawal of deposits and their distribution
to sub-agents proved that the plan was by no means causing losses
to the sub-agents as they had previously feared.
"Now the sub-agents can see that they get benefits just like
their agents," he said.
According to Herlambang, of the 248 agents which already have
accreditation from ASITA, 18 still oppose the plan.
Asked about the sanctions on agents which fail to provide
guarantee funds, Herlambang said that the matter would be
discussed this month when Asita holds its meeting in North
Sumatra's provincial capital of Medan. (03)