Challenges Faced by Licensed Travel Agencies in Sri Lanka
Sri Lanka is witnessing a growing challenge from unlicensed travel agencies, which are significantly impacting the operations of legitimate businesses. Prebudda Jayasinghe, President of the Association of Small and Medium Enterprises in Tourism Sri Lanka (ASMET), highlighted this issue during the 18th Annual General Meeting (AGM) held in Colombo. He emphasized that the presence of these unlicensed operators is making it increasingly difficult for ASMET members to compete effectively in the market.
Jayasinghe called on the government to take immediate action to formalize these unlicensed operations, ensuring a level playing field for all stakeholders in the tourism sector. This move, he argued, would not only protect the interests of licensed businesses but also contribute to the overall development of the industry.
ASMET’s Key Contributions and Achievements
During the AGM, Jayasinghe outlined the various initiatives and achievements of ASMET over the past year. The association has been actively involved in addressing critical issues such as minimum room rates, visa facilitation, and fair regulation. These efforts have ensured that the voices of small and medium enterprises (SMEs) are heard at the national level.
One of the significant accomplishments was the successful lobbying for vehicle import concessions for registered tourism operators. This initiative aims to reduce operational costs and enhance the competitiveness of local businesses. Additionally, ASMET has collaborated with the UNDP Sustainability Certification Programme, resulting in 26 of its members receiving the Good Travel Seal. This certification is a testament to the commitment of ASMET members towards sustainable tourism practices and enhances their credibility in global markets.
Collaborations and International Opportunities
ASMET has also engaged with the Asian Development Bank to submit detailed proposals for capacity-building support for tourism SMEs. This partnership is a crucial step toward helping members grow stronger and more sustainable in the long term.
In addition, the association has worked closely with Airport and Aviation Services to improve facilities for tourists, enhancing the overall visitor experience. ASMET also participated in Sancharaka Udawa, where members showcased their products under one roof, creating a significant impact.
Another notable achievement was the signing of a Memorandum of Understanding (MoU) with the ASR Alliance in Germany. This collaboration has opened up new international B2B opportunities for ASMET members, further expanding their reach in the global tourism market.
Introduction of the New Tourism Act
A major development in the tourism sector is the upcoming introduction of a new Tourism Act. Vijitha Herath, Minister of Foreign Affairs, Foreign Employment and Tourism, announced this during the 18th AGM. He emphasized that the government has a long-term vision to develop the tourism industry by integrating all related institutions under a common framework.
To achieve this, a National Tourism Commission is expected to be established. This commission will oversee the creation of joint tourism committees at both the district and tourism zone levels. Herath noted that the new law is necessary because the existing legislation is inadequate to meet current industry needs.
The new Tourism Act has already received Cabinet approval and will be implemented with the assistance of the Asian Development Bank. An expert team has been appointed to prepare the Tourism Act, ensuring that it addresses the evolving demands of the tourism sector.
Conclusion
The challenges posed by unlicensed travel agencies highlight the need for regulatory reforms and stronger support for licensed businesses. ASMET continues to play a vital role in advocating for the interests of SMEs in the tourism sector. With the introduction of the new Tourism Act and ongoing collaborations with international partners, the future of Sri Lanka’s tourism industry looks promising.