FHRAI seeks Government intervention on discounts by travel portals

Source: The Hitavada      Date: 13 Dec 2018 11:08:48


Business Bureau,

SEVERAL hotel and restaurant associations, who are up in arms against two online travel portals over the alleged hefty commissions and steep discounts being offered by them, on Wednesday sought the Government’s intervention in resolving the issue.

Around 270 hoteliers in Ahmedabad have stopped accepting bookings from Make My Trip and Goibibo travel portals, alleging they are offering heavy commission and in discriminate discounts to customers. Besides, the Federation of Hotel and Restaurant Associations of India (FHRAI) had on Monday warned OYO of action,alleginglarge-scalebreach of contracts, jeopardising consumers safety and violation of laws by the hospitality firm.

The room aggregator has, however, strongly denied the charges. “Together Go MMT (Goibibo and Make My Trip)and OYO(have) created a monopoly in the industry which, in turn, has increased their high handedness in dealing with the hoteliers. If the current situation persists,the entire budget hotel owners will get into dire financial straits,” said the Federation in a release. Some ofthe associations seeking the ministry’s intervention include the Mumbai Budget Hotel Association, the Association of Indian Hotels and the Hotel & Restaurant Associations (HRAs) of Gujarat and Delhi.