KARACHI - Global recession hits the local travelling business which is mainly seasonal and dependent on favourable economic and social conditions, the Nation has learnt. Besides global recession, the war on terror has devastating effects on the business as Pakistan has been declared unsafe zone to travel by many countries. Moreover, the ratio of issuing visas for Pakistanis by the First World has been decreased alarmingly and it takes notable time to get even the visit visas. However, the country has also been facing its biggest internal displacement these days especially from the areas which earlier were considered to be hub for tourism. Travelling industry pays Rs one billion taxes to the government and more than 700 travel agencies are currently operational in the country. The insurance guarantee, for the first time, now has become mandatory to benefit the clients. The minimum amount of insurance is Rs 600, while it includes the misplacing of luggage during travelling and even death of the traveller. Its the cheapest insurance so far. Taxes are unfair and out of total, 25 to 30 percent of it, the passenger has to bear while the travel agents on behalf of airlines collect the taxes but dont get a single penny for themselves. Travel agents then moved to indict service charges up to 7 percent which might initiate barter system and that will not be helpful to sustain already deteriorating travel agent business. It is service-oriented sector; therefore, the competition is decreasing as Pakistan is said to be the cheapest country in the world. Yahya Polani, Chairman FPCCI Standing Committee for Aviation, told The Nation that the travelling industry is the best tax paying industry in the country, yet a lot of problems have been penetrating, therefore, taxes should be minimised. He said that despite all the slowdown and recession, the airline industry will grow and it also has to be taken in consideration that Pakistan still has the capacity of having two new airlines for domestic routes. He said that next month would be good for the airline industry. Asked how come the travel agents able to get the passenger visas of different countries without proper documents, he said that black sheep are there in every department so do we have. He told that the travel agents association charges nominal for such services. He appreciated the step the government has taken to issue the machine-readable passports, which will help decreasing the ratio of human trafficking but the need is to make the other countries aware of such changing. On a question, he said that budget is hapless and we are not hoping any miracle for the country to be provided with cure in its ailing time as defense expenditures have cost us a lot. He further said that new budget is useless and it preferred not to be presented, for the last years budget is still not getting pace. He accused the chambers of commerce of not helping the business community but making public relations with the ministers and establishment. He said that the chambers are not raising voice against the issues we are having, while the chambers are not having research and development departments which is strange enough. Travel agents commission has been decreased at the ratio of 0.1pc which has been 9pc initially. Resultantly, travel agents have gone through enormous financial crisis and even sold their houses to sustain the crisis. The main reason was one airlines package according to which the travel agents were given targets to gain commission. It has been observed that in Pakistan, the major airlines have considerably increased the fares just to cover up their financial losses and the most noticeable is of Jeddah route that is comparatively much higher than any other airlines. PIA also has most staff per aircraft in the world which is 400 while India has 300, Europe has 200 and the USA has 125. Interestingly, the airline is facing huge financial losses yet it has become employment bureau where government dumps unemployed people of its political forces. However, he opined, unemployed people should be given social security by the government.