THAI has sent a circular to travel agents, informing them that from September 30, Galileo would not be issuing tickets for domestic flights on behalf of the airline.

THAI's Thailand director, Rangsiman Mokkhasmit, said last week that the letter was issued following a policy decision from the head office. While not providing details, he suggested the decision could be related to a higher booking fee charged by the Galileo system.

An executive from a wholesale tour company said that apart from changing the bank guarantee details, the switch would not affect a travel agent's business.

He said it was the right of the national carrier to decide which distribution system it would use for issuing domestic tickets.

The letter, dated August 23, stated that THAI would stop the link with the Galileo system.

THAI had signed on with Galileo on June 1, 2005, in a bid to expand its market base. Through the Galileo system, travel agents are able to issue domestic tickets directly.

Before that, the only system in place was the Amadeus system, operated under an exclusive agreement between THAI and THAI-Amadeus Southeast Asia, in which the carrier holds a majority stake.

The break with Galileo means THAI-Amadeus regains its exclusive status as the domestic ticketing system.

Suchat Sritama

The Nation