The Ministry of Culture, Tourism and Civil Aviation has directed the Civil Aviation Authority of Nepal (CAAN), to study cartels in domestic flights.
The Ministry asked the CAAN for the study after Buddha, Yeti, Shree and Saurya Airlines fixed airfare in cahoots with each other.
Joint-Secretary at the Ministry, Buddhi Sagar Lamichhane, said they had asked the CAAN to study on the issue of the cartel. The Ministry initiates action if a cartel is proved.
He shared such activities would be controlled as fare could not be determined in collusion in the open market and liberal economy. The National Planning Commission is also studying the issue of cartels in the domestic airlines companies.
A committee has been formed under the NPC member Dr Ram Kumar Phunyal to carry out study on it.
The airline companies are blamed for having engaged in syndication based on the minimum and maximum fares determined by the government.
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