Kota Kinabalu: Travel agencies have been told to prepare for a rise in travel prices following the global fuel price hike caused by the ongoing Middle East conflict.
Airworld Travel and Tour Chairman Winston Liaw Kit Siong said China Southern Airlines has issued a notice on the implementation of fuel surcharge starting April 6.
“Based on past experience, when this happens, other airline operators will follow suit,” he said, referring to concerns among tourism players over the fuel price hike.
Liaw said the fuel price increase would not only affect inbound tour package prices but also outbound travel. “We forecast the Middle East conflict will drag on for at least several months,” he said, and urged the authorities to urgently come up with solutions.
These could include exempting fuel price hikes for all tourism-related transportation vehicles or introducing special policies for aircraft refuelling in Sabah.
“As such, we can urge airlines with existing routes to Sabah not to levy fuel surcharges on Sabah tourism players. After all, Sabah produces oil for Malaysia,” he said.
Liaw said as all airlines impose fuel surcharges on air tickets, the additional cost will be passed on to consumers.
Coupled with rising ground costs quoted by foreign agents, outbound package prices are estimated to increase by 10 to 30 per cent, depending on the routes.
“This fuel crisis is not new to the tourism market. We experienced it in 1979 and 2008 when international fuel prices soared to US$147 per barrel,” he said.
To avoid confusion, he urged that outbound package itineraries clearly state that fuel surcharges are subject to fluctuation and are not included in tour fares.