Nepal

Ministry directs CAAN to study airfare cartel

By Rastriya Samachar Samiti

Photo: Nishant Pokhrel/THT

KATHMANDU, DECEMBER 24

The Ministry of Culture, Tourism and Civil Aviation has directed the Civil Aviation Authority of Nepal to study the issue of cartel in domestic flights.

The ministry asked CAAN to conduct the study after Buddha, Yeti, Shree and Saurya airlines fixed airfare in cahoots.

Joint-secretary at the ministry Buddhi Sagar Lamichhane said they had asked CAAN to study the issue of carteling. The ministry has decided to initiate action if the charge ofcarteling is proved.

He shared that such activities would be controlled as fare could not be determined in collusion in an open market and liberal economy. The National Planning Commission is also studying the issue of carteling in domestic airline companies.

A committee has been formed under NPC member Ram Kumar Phunyal to carry out a study on it.

The airline companies have been accused of engaging in syndicate, based on minimum and maximum fares determined by the government.

A version of this article appears in the print on December 25, 2022, of The Himalayan Times.