Travel Trade Oppose Malay I-Visa Rider

The travel trade has collectively opposed Malaysian pre-condition of a bank guarantee for the facility to issue I-visas (Internet visas). Even as the TAAI president talks solutions with Malaysia's tourism minister, Bhisham Mansukhani guages the industry's reaction that boxes in between disapproval and surprise

The travel trade is already rebutting Malaysia's demand for a Rs 3.5 lakh bank guarantee for the issuance of I-visas. The directive was made effective on March 15, 2004 by the assistant high commissioner for Malaysia in Chennai. This move potentially flies in the face of Malaysia's recent success of receiving 1,83,000 Indian tourists in 2002 with a target of crossing the 300,000 figure in 2004. Interestingly, the southern market which has been used as a pilot for this unprecedented rider for visa issuance for any destination promoting to India, is Malaysia's single biggest contributing Indian state with a 40 per cent share of the county’s outbound to Malaysia.

Outsourcing Versus Buckpassing

Malaysia's directive, according to many industry practioners, smacks of buckpassing under the garb of making visa issuance seamless, thereby encumbering the agent with financial and administrative burdens that he never bargained for. Nalin Kapadia, chairman, Stop-n-Shop Travels & Tours Pvt Ltd, fires the first salvo, "The apprehension on part of the Malaysian consulate is perhaps understandable since there have been cases of Indians visiting Malaysia as tourists and not returning. However, its approach is not appropriate in so much as the travel agent cannot be held responsible to investigate and police the flow of Indian tourists into Malaysia. That is the job of immigration services, not the travel trade. To ask the travel trade to furnish documents to authenticate affiliations and certification is fine but expecting agents to accept responsibility for every tourist is unreasonable."

Om Prakash, proprietor, Orbit, hails the industry's convergence against Malaysia's demand, saying that, "I am happy that the industry, across the board, is united against such a move by Malaysia or any other country, should it be enforced. Just recently, I received a letter from Italy's tourism board, informing me that my organisation was part of a list of agents, allowed to issue tourist visas though it also read that if any tourists overstayed or didn't return, the agent would be blacklisted. This is ridiculous. Visa issuance and legislation lies in the jurisdiction of the government. The travel trade should not be dragged into this."

Saved From The Domino

As per industry rections, it was noted that two other countries were also looking at following a similar path. Kapadia enunciated the rammifications, "If, at all, other countries follow suit, it would be very unfortunate and can potentially put Indian outbound in regression." Yet, despite speculations abounding about other notable countries towing Malaysia's new policy, fears of a domino effect remain hitherto misplaced.

Singapore Tourism Board (STB) officials have insisted that their system of providing visas for Indians travelling to Singapore remains passenger-friendly. According to its spokesperson, "We are making every effort to further streamline processes to make it more conducive and stress-free for the travellers." Countries part of the European Union, have also expressed their view in regards to making the procedures less complicated. Any India-specific policy change that demands bank guarantees for visas has been strongly refuted.

Said Georg Hauser, consul, Consulate General of the Federal Republic of Germany, Mumbai, "Travel from India has been extremely active especially to Germany. It is in fact one of the most potential MICE destinations out of India. Our office here in Mumbai has been issuing more visa than what was predicted as a worthy count. In the year 2002-2003 we issued around 21,000 visas from Mumbai, which is a huge number. Our visa office has been extremely busy this year too."

The Italian Consulate based in Mumbai has made efforts to ease the visa processing systems. Salvatore Ianniello, representative in India, Italian State Tourism Board (ENIT) Office, Mumbai, commented, "In order to increase the number of tourists travelling to Italy, the Enit Office in India has expanded its operations through a new project for visa applications. In this regard, two appointed candidates have been placed at the office of the Consulate General of Italy, Mumbai and two in the Embassy of Italy, New Delhi. They have been employed on a contract basis for a period of one year. Their duties will involve processing of visas for Indian tour operators accredited by the Consulate and Embassy of Italy respectively." Most of the consulates were consistent with the fact that any travel agent whether IATA recognised or not, would be black listed if they do not work as per the required rules and regulations laid down by the respective consulates. Malaysia's precedence so far remains its own and one that the Indian travel trade asserts, is untenable.

Peace To The Action

The Travel Agents Association of India (TAAI), as its members have been dearly hoping, has taken a certain stand on the issue. TAAI president Balbir Mayal speaking for an association that contributed upto 84 per cent of Malaysia's Indian inbound, stated,"We TAAI members are opposing the move because the Malaysia High commission is creating a wrong precedence by putting the onus of the traveller on the agent. Nowhere in the world do travel agents have to pay a bank guarantee for obtaining visas. Today Malaysia is asking for Rs 3.5 lakh. If tomorrow the USA and UK embassies ask for, say a Rs 20 lakh bank guarantee, our capital will get stuck. How will we do business? Smaller agents will have to shut shop. We hope the issue will be resolved. We are surprised because Malaysia was so proactive to promote tourism. If it does not resolve the issue, then we will have no alternative but to boycott Malaysia as a tourist destination."

The repercussions to the Malaysian directive are already playing out in Chennai. According to TAAI Southern Chapter VP and chairman RA Govindarajalou, "TAAI agents submitted 450-500 visas per day. But after we have stopped operating from March 15, the number of visa applications have fallen to 70."

Rosli Ismail, assistant high commissioner, Malaysian High Commission, Chennai proffered the Malaysian side of the impasse, "Let me first clarify that the decision was taken at the government level back in Malaysia. From now on all applications for tourist visas have to be sent through the internet, which if we approve after processing, will then require applicants to bring their passports. Earlier some 120 travel agents were registered for processing visas. Now, we have asked for a bank guarantee from outsourced agents of the visa department to ensure that only few responsible travel agents register for the job and that will make functioning easier." Ismail also claimed points in the current stand off, saying that,"As per my knowledge, more than 20 travel agents have already given bank guarantees, while few others have submitted an undertaking for a bank guarantee." Reacting to Ismail's comment, Mayal said, "No TAAI members have submitted the bank guarantee. If agents from any other association have done that, they are jeopardising their future by setting wrong examples. Why should travel agents take the responsibility of tourists when the prerogative of issuing visas lies with the embassy?"

Raji Menon, director Malaysia tourism, Chennai, brushed off any anxiety of this impasse affecting Indian outbound to Malaysia. "We do not really think it will affect leisure tourism to Malaysia as there is transit visa facility and visa-on-arrival facility available to Indian tourists. Indians usually go for combined packages covering Thailand, Malaysia and Singapore. So, Indian tourists arriving from Thailand and Singapore at Joha Baru can simply opt for a visa-on-arrival."

As this edition went to press, Balbir Mayal and RA Govindarajalou were meeting with Malaysia’s tourism minister and senior ministers of immigration and the tourism department to discuss and resolve the issue amicably. Malaysia is standing by its policy on bank guarantee for I-visas while India's biggest travel trade association claims that a frozen stance will jeopardise the country's visibly successful tourism campaign. Much hinges on a negotiation involving two sides that aren't hitherto budging.

(With inputs from Reema Sisodia, Mumbai and Anindita Chattopadhyay, New Delhi)