NATO submits 18-point memorandum to finance minister

June 18, 2006
2 MIN READ
A
A+
A-

The Nepal Association of Tour Operators (NATO), submitted an 18-point recommendation to Finance Minister Dr. Ram Sharan Mahat for the forthcoming budget.

A press release issued by the NATO on Sunday said, “NATO feels that the points included in the letter will assist in bailing out the tourism industry from the current situation and achieve its potential capacity.”

Stating that Nepalese tourism industry has always been a victim of negative propaganda in the international media, the NATO has urged the government to organize a large number of Familiarization trips, to and from Nepal in order to rebuild the lost tourism image and to regain the lost confidence of tourists,

The NATO also said that a high-powered team should visit major tourist generating markets and effectively promote Nepal in the eyes of the travelers and that tour operators and various marketing campaigns should be launched and the expenses so incurred should be considered as the nation’s capital investment.

The memorandum also said that the current government should provide tax rebates and facilities to the tour operators to revitalize their fleets to enhance their competitive strength.

They also demanded to declare tourism industry as a national industry and also asked not to make any changes in the tax structures.

“Fair competition should be enhanced by making sure that those who are paying taxes are not penalized any further by ensuring that all those who sell travel or deal with tourists must be brought under the VAT umbrella,” the memorandum adds.

The memorandum also urged the government to encourage international flights and develop tourism infrastructures

“Acts that hamper the smooth operation of business activities should be prohibited by law and through understanding of all the political parties of the country. Activities like: strikes, lockouts, chakkajam, bandh, gherao should be completely banned for the tourism industry to flourish,” the memorandum reads.

The memorandum also asked the government to form a participatory high-level independent body for tourism promotion and grievance handling.

The NATO also asked that electricity supplied to the Hotels and other tourism organizations must be at par with the lower tariff rates that are provided to industrial enterprises.

The other demands include to provide incentives to sick industries, take stringent action against willful defaulters, regain confidence of the tourism entities, special amenities for the tourism sector, development of Human Resources and investment in rural development among others.