Tour Management and Tour Guiding

Course Code - 527

Essentials of legal issues in tour management

Submitted to

Dr. Saud Ahmed

Associate professor

Department of Tourism and Hospitality Management,

University of Dhaka

Submitted by

Group: NEXUS

MBA 12 batch; Sec: A

Department of Tourism and Hospitality Management,

University of Dhaka

Date of submission: 20 February 2022

Group profile
 Name ID Remarks
Tamanna Sharmin 667
Sweety Akter 742
Nayeem Uddin 765
Pervez Hossen 767
Fahmid Rahman 921
MD. Shakil Mirza 941
Abstract
Legal issues are critical to the business operating within the travel and tourism industry of a
country. Though laws and legislation are critical to provide a legal framework for tour
operator, travel agencies, tour guides to ensure the rights of both the tourist and businesses,
the first proper act related to travel and tourism was introduced after 50 years of the
independence. This report consists the analysis of rules and regulations associated with
different entities of the tourism industry from the perspective of both national and
international tourism space. The outcome of the research shows that, these rules and
regulations have different positive impact on ensuring tourist rights while facilitating the
growth of tourism within Bangladesh. The paper also suggests different ways to improve the
rules and regulations from the context of international tourism industry.
Table of Contents
Abstract.................................................................................................................................. 3

Chapter 1: Introduction........................................................................................................... 5

1.1 Background of the Study..............................................................................................5

1.2 Significance of the Study..............................................................................................5

1.2 Research Aim, Question, and Objectives.....................................................................6

Chapter 2: Literature Review..................................................................................................7

2.1 Legal Issues in Tour Management................................................................................7

2.2 Importance of Legal Issues in Tour Management.........................................................7

2.3 Research Hypotheses..................................................................................................8

Chapter 3: Research Methodology.......................................................................................10

3.1 Research Philosophy..................................................................................................10

3.2 Research Method and Strategy..................................................................................10

3.3 Data Collection and Analysis......................................................................................10

Chapter 4: Analysis and Discussion.....................................................................................12

4.1 Travel Agency and Tour Operator Act in Bangladesh.................................................12

4.2 legal issues in a Travel agency, tour operator and tour guiding..................................13

4.3 The Consumers’ Right act and its implication in Bangladesh......................................15

4.4 Identification and laws Encouraging International Tourist...........................................17

4.5 Benefits of key Stakeholders......................................................................................18

4.6 Bangladesh Vs Bhutan – Comparison between Acts..................................................20

4.7 Analysis of Whether Additional Laws Required for Tour Operator and Travel Agency in
Bangladesh...................................................................................................................... 21

Chapter 5: Conclusion and Recommendations....................................................................24

5.1 Conclusion.................................................................................................................. 24

5.2 Recommendations......................................................................................................24

References........................................................................................................................... 26
Chapter 1: Introduction
1.1 Background of the Study
The United Nations World Tourism Organization (UNWTO) defined legal issues related to
the travel and tourism industry are legislation that provides a regulatory framework for the
proper development and management of tourism activities. In a nutshell, tourism law refers
to general government regulations or specific travel and hospitality industry laws. While the
legislation provides a legal framework for tourism business, it also aids in preserving cultural
traditions, conserving natural resources, and providing benefits to the stakeholders such as
fundamental legal protection via a transparent process (Kantur, 2020). The practice and
proper implementation of legislation related to travel and tourism in emerging countries like
Bangladesh can safeguard tourist activities and ensure advantages derived from them.
Tourism law is an exclusive field that usually combines basic laws for businesses or
individuals and rules mainly developed and applicable for the travel and tourism industry.
The goal of travel laws in Bangladesh is to provide a legal framework for the proper growth
and control of tourism operations. These laws are mashed-up state, regional and local laws
governing different parts and activities of the travel and tourism sector. While Bangladesh
has some rules and regulations for the tourism sector, it took nearly 50 years for Bangladesh
to pass a law to regulate the tour operators operating within an industry that has never been
on the policymaker's priority list The Financial Express (2021). As the rules and regulations
are comparatively newly developed, they need special attention and critical analysis from the
perspective of the global tourism industry. This report provides an overview of the laws
governing tour operators, travel agencies, tour guides and explains why they are essential to
travel consumers and other stakeholders.

1.2 Significance of the Study

Tourism in Bangladesh is an indispensable element of the national economy and an industry
of national interest. That's why the industry needs to be harnessed as an engine of socio-
economic growth and cultural affirmation to generate investment, foreign exchange,
employment, and other benefits for the industry's stakeholders. The tourism sector in
Bangladesh is growing but has yet to reach its full potential. To improve the sector's
scenario, existing rules and regulations related to the travel business in Bangladesh need to
be critically analyzed, especially from the perspective of the global market. Critical analysis
of the legal issues will help identify gaps in the legal framework in tour management and
ensure quality in the services of the tour operators to make the tourism sector of the country
run smoothly and attract foreign direct investment in the industry.
1.2 Research Aim, Question, and Objectives
The report aims to analyze legal issues in tour management within Bangladesh.

In achieving the report's aim, it addresses the following question: 'what is the importance of
legal issues in tour management from the perspective in the travel and tourism sector of
Bangladesh?'

In addressing the question of the research, the following objectives were achieved:

 What are legal issues in tour management?

 Why are legal issues in tour management important in Bangladesh?
 What is the strength and weakness of laws and legislation related to tour
management in Bangladesh?
 How can tour management in Bangladesh be improved by addressing the legal
issues in tour management?
Chapter 2: Literature Review
This report section consists of the critical analysis of published papers within tour
management, travel act, consumer act, and legal issues in tourism. The literature review
identified different attributes and relationships between legal issues and tour management.

2.1 Legal Issues in Tour Management

Sharpley (2013) defined tourism law as a unique area of law involving general government
regulations and specific laws and legislation for the travel and hospitality industry. UNWTO
supported the definition. According to the United Nations World Tourism Organization
(UNWTO), tourism law provides a legal framework for the development and management of
tourism while preserving national assets and providing benefits to the stakeholder of the
tourism industry. Different entities within the tourism industry associated with tour
management directly or indirectly, such as tour operator, travel agency, etc., needs to act or
operate according to the legal boundaries.

According to Malhotra (2015) The legal issues or laws in tour management reflects not only
the rights of international and local tourist but also the legal responsibilities of inbound and
outbound tour operators, travel agents, and other significant entities who are directly or
indirectly related to the tourism industry. Kantur (2020) suggested that, the primary concern
of these legal issues within the tourism industry to provide a fair environment for both travel
consumers and service providers within the tourism industry. These laws and legislation
come into play when tourism goods and services are rendered within a situation that
requires regulations to ensure the quality of services or goods to safeguard both the
consumer and provider of travel products.

2.2 Importance of Legal Issues in Tour Management

According to Zeng & Lin,(2019), laws are critical in the tourism industry to regulate, permit,
promote, empower or ban commercial travel activities for both the tour management
organization and tourist or consumer. Kantur (2020) added that laws in tourism management
can be categorized in two types: laws that recognize the tourist's rights and laws that provide
a legal framework for tourism businesses to operate. These laws can derive from different
sources, mainly international, national, regional, and local governments. According to Kabir,
(2021), no such law encompasses all aspects of tourism, from guiding tour operator and
travel agency to ensuring the rights of domestic and international tourists. He added that
legislation on tourism seeks to define unambiguous terms, the rights and responsibilities of
businesses related to providing tourism services. The demand for tourism legislation moves
from the perspective of the tourism industry or for protecting the interest of international
tourists regarding their safety or establishing standards of quality services within the travel
industry. However, these laws also help to ensure sustainable development of tourism,
protecting the interest of the host community and providing economic benefits for the host
people. There are many more important legal issues in tour management and the tourism
industry. According to Hashimoto & Nkyi (2021), tourism laws and legislation ensure the
development of tourism that is for the people of a country to conserve and promote heritage,
national identity, and a sense of unity. One of the most significant areas these laws
emphasize is the recognition of sustainable tourism development as an integral part of the
national socio-economic development efforts. The Financial Express (2021) suggest that
these rules and regulations are usually developed based on achieving different objectives of
a nation's tourism industry.

Legal issues related to tour management within a country helps to develop a national
tourism action plan and work for its adoption and implementation by national and local
governments. It also encourages the activities and programs which promote tourism
awareness, preserve the country's diverse cultures and heritage, and instill a sense of
history and a culture of tourism among the tourist and mass population. According to Zeng &
Lin,(2019), laws and regulation related to tour management ensures equal opportunities for
all business within the tourism industry. It also Encourages competition in the tourism
industry and maximizes consumer choice by enhancing the continued viability of the retail
travel industry and independent tour operation industry. Kantur (2020) on his study
discussed that rules and regulations related to the tourism industry develop responsible
tourism as a strategy for environmentally sound and community participatory tourism
programs.

Overall, legal issues in tour management play a critical role in ensuring the rights of tourists
and providing a legal guideline to tour operators, travel agencies, and tour guides to operate
successfully within the tourism industry of a country. Addressing the legal issues helps tour
operators, travel agencies, and tour guides to comply with international and national laws in
tour management to ensure the rights of both domestic and international tourists.

2.3 Research Hypotheses

Hypotheses are the conceptual statements that are developed based on the current
evidence within the field of study, hence the literature review. Following hypotheses were
developed to complete the research.

H1: Legal issues have a positive impact on the businesses of tour operators, travel
agencies, and tour guides
H2: Tour management laws in Bangladesh encourages international tourist to visit the
country

H3: Laws and legislations of tour management in Bangladesh ensure the benefits of key
stakeholders of the tourism industry

These hypotheses were tested based on the literature review and secondary data aligning
with the aim and objectives of the research.
Chapter 3: Research Methodology
Research is a systematic approach to studying facts and getting to a conclusion based on
scientific facts and evidence (Saunders, 2013). On the other hand, the tools and techniques
pursued by researchers to attain so are called research methodologies. Research
methodology is an important part of the research paper where the researcher mentions the
research strategies and methods that he follows to conduct a particular research study. The
research methodology was developed following the research onion framework.

3.1 Research Philosophy

There is two common philosophical views on conducting research – interpretivism and
positivism. Interpretivism is an idea that depicts that facts that are observable should be
incorporated into the study. On the other hand, the positivism school of thought emphasizes
adherence to Research Philosophy Epistemology Interpretivism Positivism Ontology 24
objectives and argues that reality is always relative, never absolute; it is the observation that
makes us close to reality to understand. The more the observation, the more is the accuracy
to understand the reality. This research was conducted following the positivist view of
philosophy.

3.2 Research Method and Strategy

The research was conducted following the qualitative method, which refers to the collection
of non-numeric data or data which cannot be expressed in numeric format. As the research
conducted a critical analysis of the existing resources within the field of study qualitative
method was effective for the research. The research was conducted following the deductive
approach that involves developing hypotheses and testing them throughout the process. The
hypothesis was developed based on the literature review and tested by the critical analysis
process. The desk research strategy was adopted in completing the report. Desk research
refers to the collection of secondary data within the field of study from different sources such
as websites, journals, etc. As the objective of the report was to critically analyze the existing
evidence to draw constructive facts, desk research was the most appropriate strategy for the
research.

3.3 Data Collection and Analysis

Data collection is the most vital part of methodologies. The researcher collects data from
either primary sources or secondary sources or both. Primary sources 29 provide raw data
that has been collected for the first time solely for a particular research purpose, whereas
secondary data is the data collected already for another research purpose yet gives
substantial insight regarding the research issues. However, due to constraints in the primary
data sources, support from rich sources of secondary data sources were taken that help spot
any outliers if they exist in the data set.

Secondary data were collected from reliable sources such as government websites,
newspaper articles and different journal on tourism management. The collected data were
critically analyzed following the thematic analysis process to test the hypotheses of the
report and develop constructive facts from the outcome of the report. As the researcher only
worked with secondary qualitative data, this method of data collection and analysis was
appropriate for the research.
Chapter 4: Analysis and Discussion
4.1 Travel Agency and Tour Operator Act in Bangladesh
Travel agencies provide travel and tourism-related service and facilities on behalf of core
service providers and offer different types of travel packages against tourism destinations. A
travel agency could be a private retailer or public service holder who is providing tourist-
related facilities including accommodation (hotels), transportation (airline, railway, car
rentals, cruise lines), travel insurance, package tours, guide books and so on. Travel
agencies of Bangladesh are operated based on the Bangladesh Travel agency (registration
and regulation) act 2013. Travel agency act 2013, article 3 has described that to establish a
travel agency in the territory of Bangladesh, organisations have to maintain the regulations
of registration including submitting appropriate papers and certificates, depositing required
fees and taking permission from the civil aviation and tourism ministry for doing business
(Travel agency registration act, 2014). In the registration form, the act required an adjuration
from the travel agency that it can’t take any extra charge from the travel-related service
provider and tourist by providing wrong information. This act indicates that the formation of a
travel agency required government consent and regulation which protect the right of tourism-
related stakeholders.

The act regarding tour operators and tour guides in Bangladesh has established in 2021.
According to this act, a registered authority who are responsible for providing tourist facilities
including accommodation, transportation, entertainment, attraction and so on to a group or
tourist or an individual tourist are called a tour operator (Tour operator and Tour guide act,
2014). This represents that a tour operator is responsible for managing and facilitating a
complete tour package to a tourist group or individual tourist. As Tourism is a combination of
the different industries including accommodation, transportation, food and beverages and
attraction, tour operator negotiate with these parties and combine all the tourist facilities to
develop a package tour for the tourist.

Bangladesh tour operator and tour guide act, article 4 define the term tour guide. According
to this act, a tour guide is a person who is responsible for directing a group of tourists or an
individual tourist to the tourism destination and attractions.

According to this act, article 7, without registration, no person could provide tourism-related
facilities including accommodation transportation, food, attraction, guiding and so on (Tour
operator and Tour guide act, 2014).. This means that without government acknowledgement,
no individual or organisation could enter into tour operating or tour guiding business. For any
foreign tour operator or tour guide, this law required to take permission from the government
of the Peoples Republic of Bangladesh. Like travel agencies, tour operators and tour guides
also need to be registered, collect the certificate and maintain rules and regulations to
perform their business activities properly.

Tours operator and tour guiding act, article 10 have also included punishment regarding
breach of laws. If the registered authority finds any illegal activities of the tour operator and
travel agency it can seize their registration (Travel agency registration act, 2014). Apart from
this, the registration authority can impose financial punishment as well as restrict all types of
business activities. Article 12 has discussed that if any tour operator or travel agency breach
the tour operator and travel agency act they will be imprisoned for a maximum of 6 months
and will get financial punishment for 2 lakh money.

4.2 legal issues in a Travel agency, tour operator and tour guiding
Legal issues have developed to form regulations and to create restrictions so that business
organisations could know their limitations and area of providing service. By maintaining legal
issues, organisations can maintain their business activities so that they could protect the
interest of each stakeholder. Tourism is a growing sector in Bangladesh but in a previous
time, this industry had no established regulations to main. As the sector is a combination of
different industries, it requires an equal contribution of each industry to make the sector legal
and beneficial to all. But it become very difficult to develop different legislation for a different
industry. That’s why the government of Bangladesh has developed a travel and tourism-
related act for these parties who are directly involved in developing and managing the tour
and directing tourists to the destination. The related authority of the tourism sectors is a
travel agency, tour operator and tour guide. The imposed act create both positive and
negative impact on these associates of the tourism sector.

The previous section of this report has discussed some basic acts of travel agencies, tour
operators and tour guides developed by the Peoples Republic of Bangladesh. These acts
are related to the formation of travel agency, tour operator and tour guides, their activities,
ways of conducting business and so on. Each of the acts makes their activities controlled,
limited, specified as well as legal in the context of Bangladesh.

At first, these acts define exactly who are travel agents, tour operators and tour guides. In
the act, the definitions are included. This makes it easy to make people understand who are
they and what their activities are. This reduces the confusion of tourists. Like, If a tourist
wishes to contact a tour operator, this definition will help him or her to know the area of
activities of the tour operator as well as the extent of facilities that he or she could get from
the tour operator (Evaluating the Bangladesh Tour Operators and Tour Guides Act 2022).
On the other hand, this also creates an impact on the organisation which wants to establish
a travel agency, tour operating or tour guiding business. Through the help of this definition,
before starting the business, they could know which types of service they should include
facilitating tourists to establish themselves as a travel agency, tour operator or tour guide.

Again, the travel agency, tour operator and tour guide acts are required to be registered by
the government of Bangladesh. The registration period required different papers and
certificates. This registration process provides legal recognition to the travel agent, tour
operator and tour guide which develop their loyalty and faith among the related stakeholders.
A registered travel agency, tour operator or tour guide can’t do anything illegal according to
their wish as their activities are completely and directly regulated by the government
(Express, 2022). For this reason, tourism stakeholders like a tourist, hoteliers, attraction
providers, airline authorities could deal with them without any hesitation and they feel secure
regarding their investment. It also provides a stressless experience to the tourist in terms of
dealing with them. Travel agency forms require an adjuration paper on nor doing any illegal
activities before establishing the organisation. This develops legal accountability to provide
authentic service to the tourism stakeholders. For this reason, it could be said that the
overall registration process, as well as restrictions imposed on the travel agencies, tour
operators as well as tour guides, create a positive impact on the overall tour management
process as tourism stakeholders.

Again, the act also creates a restriction on foreign tour operators or tour guides. According to
the law, if any TO or TG wants to do business in Bangladesh, he must take permission from
the government. This creates a very positive impact on the tourism business in Bangladesh.
Tour operators or tour guide can do their business without much competition. They can
arrange outbound tours which increase financial benefits of the tourism business as well as
the government. This act allows the government to justify whether foreign tour operators and
travel guides are financially and socially viable or not (Evaluating the Bangladesh Tour
Operators and Tour Guides Act 2022). If government find any positive result, foreign tour
operator or tour guides will get permission to do business. Otherwise, they will be prohibited
from doing business in Bangladesh.

The act of tour operators and travel agencies punish any illegal activities. This will prevent
tour operators and tour guides to adapt any illegal means to generate profit. This part of the
act restricts and controls their activities. This help tourists to enjoy the authentic experience
at legal cost as well as protect the interest of other stakeholders.

Tin a word it could be said that all types of acts regarding travel agencies, tour operators and
tour guides create a positive impact in terms of doing their business spontaneously. The act
prevents adapting any illegal means as well as ensure the authenticity of the business
organisation which ultimately increase trust in the tourist and tourism-related authorities.

4.3 The Consumers’ Right act and its implication in Bangladesh

Bangladesh established the consumer rights protection act to protect the rights o consumers
and guaranteed to provide the specific enactment. The act is introduced to ensure the
consumer right and also formulate policy for the consumer’s benefit. Directorate called the
Directorate of National Consumers’ Right Protection (DNCRP), a quasi-judicial body, assist
CRPA during decision making and performance evaluation and execution. To implement
CRPA act 2009 enforce consumers’ right protection committee in every district, Upazila and
union committees. Consumers’ Right Protection Act 2009 protect from anti consume
activities; anti-consumer activities are such as 1) charging a higher price than the fixed price,
2) adulterating product, 3) contaminating food, 4) misleading advertisement, 5) non-delivery
of the product, 7) less in quantity or length, 8) duplicate product, 9) providing expiry date and
10) endangering life; these anti-consuming activities prevent by CRPA act. CRPA 2009
ensure the consumer right: 1) the right of fulfilling basic needs 2) right to be safe 3) right to
have information and informed 4) right to select what feels necessary 5) right to be heard 6)
right to redress 7) right to education 8) right to a healthy environment.

The CRPA 2009 in Bangladesh aims to ensure the safety and security of service. In this act
section 2(19) states who are the consumers and in section 5 “National Consumer Rights
Protect Paris Had” established where mention the necessary regulation to perform the
purpose of this act. Chapter IV of the Consumer Rights Protect Act (2009) deals with the
nature of offences and the punishment of that offence. It is needless to say that, every
statement of the CRPA, 09 regarding nature of offence and punishment are very much
crystal clear and much more specific, those offences are: 1) not showing price list, 2) not
packaging product appropriately, 3) performing anti-consuming activities, 4) producing
product illegal way or not following the benchmark for production, 5) conduct of fraud with
the customer in any means, 6) producing a counterfeit product or duplicating illegally 7)
selling of any product which is illegal and any product which causes damage to health,
money and life for production negligence. 8) committing any offence repetitively.

Chapter V stated the adjudication process for any offences that are under CRPA, 09 shall be
tried by the 1st class Magistrate or Metropolitan Magistrate. The jurisdiction follows not only the
CRPA 2009 act but also follows the code of Criminal Procedure, 1898 as violating the consumer
right is considered violating humanity. The trial shall be happened within 30 days of complement
and filing the action within the next 90 days, if the charge sheet is submitted to the Magistrate,
the Magistrate shall receive that as cognizable. Moreover, according to section 59, all of those
offences under this Act is bailable, cognizable and compoundable. Section 64 of the CRPA, 09
deals with the procedure of appeal. According to this section, the aggrieved party can file an
appeal to the Session Judge within the limit of 60 days.

Important aspect of Consumer Rights Protection Act, 2009 in Bangladesh

The general protection of the consumers may be derived from principles enunciated in
Articles- 15x and 18xi of the Constitution of Bangladesh. In the Constitution of Bangladesh,
some justifiable fundamental rights are incorporated which are connected with the rights of
the consumers, the fundamental rights are enforceable by the Supreme Court of Bangladesh
following Article 102 read with Article 44 of the Constitution. The important aspects of CPRA
2009 are:

Liability of seller to the third party: According to the CRPA 2009 third person are also
liable for buying and reselling the product. Under the violation of consumer rights, the
consumer can comply and sue the third party which states that in the tourism industry the
third party is also liable as a service provider.

Establishment of the Council (Parishad): To preservation and protection of consumer

rights CRPA established council, these councils are responsible for advising government
policy, spreading awareness and conducting research. For better regulation and monitoring,
CRPA 2009 have 2 councils: a) National level and b) District level

Establishment of Directorate on Consumer Rights: CRPA 2009 established a directorate

in Dhaka, the directorate is responsible for implementation. Directorate authorized the
complaint and investigated and summons the violator.

Filing of Complaint: Under the CRPA 2009, no person can file a complaint directly at the
Magistrate’s court. A person can file a complaint based on the anti-consumer activities to the
Director-General of the National Consumer Rights Protection Directorate or any other person
authorized by him within 30 days of the complained cause of action. Then, within 90 days of
the complaint being received, the charge has to be filed to the Magistrate court with the
approval of the DG.

Concurrent Remedy: Apart from filing a criminal case with the Magistrate court, the civil
remedy can be sought at the civil courts. The civil court is endowed with the jurisdiction to
grant proper compensation which would not go beyond the fivefold amount of the actual
damage.
Act not in derogation of any other law: CRPA 2009 can’t be overruled when the law is in
force. This law does not supersede other laws, rather it is said to be applied as a
complementary law on the same point. If an anti-consumer activity falls within the ambit of
some other rigorous law (for example Special Powers Act 1974), the complainant would
have the option to resort to that law.

4.4 Identification and laws Encouraging International Tourist

A new law and legal framework of the tourism industry is attracting more international
tourists and organizations in Bangladesh which relatively increasing the economic growth
(Rahman, 2021). Experts and critic said, the newly enacted law is helping to gain the trust
and reliability of tourist, tourists are feeling safer than ever and foreign entrepreneurs are
becoming interested to invest in Bangladesh as the new legal framework boost their
confidence. Bangladesh Tour Operator and Tour Guides Act 2021 introduced a new legal
framework for the tourism industry that boost the industry and ensure to rely on the best
services. The welcoming foreign investor and potential investment in this sector. This
welcoming approach is encouraging the local operator to collab, merge or franchise the
international operator to run their business in Bangladesh which bring their loyal customer
attention here and it may tag international tourist.

According to the law, section 4(2) permit foreign travel suppliers to do the operation in
Bangladesh with the permission of legal authorities. The concerned authorities allow the
foreign tour operator to establish a business in this country as per law. But foreign tour
operators must need to have registered in Bangladesh. The legal authorities permit the
permission to conduct business and provide a license (Azad, 2013). If the foreign tour
operator violates the law, have to face consequences like the provision of a minimum of 6
months imprisonment and compensation of a minimum of 200000 takas. The license of the
tour operator ensures tourist safety and prevent tourist from fraud. The law for a tour
operator is necessary for regulating the business in Bangladesh which is closely related to
encouraging tourists to visit Bangladesh (Amjad and Emrana, 2007).

According to the Bangladesh Tourism Board (BTB), due to the COVID pandemic, the
outbound tourist ratio is low but before the pandemic, the outbound tourist number is
increased from the previous year like in 2010 only 139106 people travel to Bangladesh, and
in 2019, 323295 people travel in Bangladesh. Upcoming year this number will increase if
proper regulations are maintained, identification and law enforcement can increase the
number drastically.

Jabed Ahmed, Chief Executive Officer (CEO) of the BTB, said the new regulation, when
might become compelling, would surely construct certainty and trust among unfamiliar
sightseers, and nearby visit administrators would likewise go under standard guidelines,
foreign vacationers would feel and accept that they would not be taken advantage of, as
there is a lawful system in the country, he brought up. Mr Jabed, an extra secretary, likewise
said the neighbourhood administrators need not stress over Section 4(2) of the new
regulation, as it would help them update and be serious. Assuming any unfamiliar visit
administrator comes to work in the country, it would be examined minutely. The public
authority must rush to form rules of the new regulation as well as guarantee its rapid
implementation, the BTB CEO added. (Rahman, 2021)

Dr Santus Kumar Deb, Associate Professor and Chairman of the Department of Tourism and
Hospitality Management, University of Dhaka, said the recently framed regulation would
bring the administrators under legitimate characters and direct them. Naming the law too
coordinated and genuinely necessary, he added that it would likewise build trust and validity
among unfamiliar travellers in regards to their wellbeing and security here, and urge them to
visit the country (New tourism law to lure international companies, increase visitors 2021).

4.5 Benefits of key Stakeholders

The tourism industry is one of the biggest industries in the world. This means that there are
many individuals, groups and organizations who are involved at some level or another. As
demonstrated in the diagram below, several key stakeholders are commonly involved with
the tourism industry.

The legal concerns surrounding tour operators and travel agencies benefit these
stakeholders greatly. The warranty obligation is based on particular criteria for customers'
special protection provisions, and it is a legal contract. In a tour contract, the tour operator's
warranty liability primarily pertains to the responsibility for ensuring the commodities or
things (Tourism.gov.bd, 2022). If the tourism products are defective, the tour operator has
three options for resolving the problem. The first method is for travellers to ask the travel
agency to enhance the tour service if it lacks its general value and specified attributes. It is
also the most crucial and fundamental method. The second method is for travellers to ask
the tour operator to cut the costs if he does not have the means to do so or refuses to do so.
The third option is for tourists to dissolve the travel contract and hold the tourism operator
liable for the basic violation of contract responsibilities if this fault causes the tourism
purpose to be unattainable. Furthermore, if the tour operator's attribution causes the trip
service to lose its overall value and quality, tourism should seek damages compensation
rather than requesting cost reductions or contract termination. Travel contact warranty
responsibility is mostly represented in four aspects:

First, to improve the defects, the goal of travel for most people is to unwind and enjoy
themselves. When the travel service provided by the travel agency is deficient, tourism can
request improvements to ensure that the travel service meets the standard.

Second, the right of claim on expense decreases. Because tourism products are disposable
and lack common value or adequate quality, travellers should request improvements in
advance from tour operators, and request cost reductions when operators are unable or
unwilling to improve.

Third, is the right to terminate the contract. According to the basic principle of contract law, if
one party fails to carry out the contract, depriving the other party of a right they are entitled to
under the contract, the other party has the right to terminate the contract. When a tour
service is not fully equipped with common value or enough quality, travellers have the legal
right to terminate the contract if their request for improvement is not accepted or realized at
their request.

Forth, compensation for property damage. Tourists can seek reimbursement for property
damage, except cost reduction or contract cancellation if the operators are to blame for the
absence of common value or adequate quality.

The rigorous fault warranty liability in a tourist contract requires the trip operator to fulfil the
contract according to the terms of the contract to ensure the integrity of the right and the
quality of the subject matter. The fundamental essence of a tourist contract, which is to
pursue spiritual enjoyment, requires that tourists have the right to seek indemnification when
a travel operator breaches contractual commitments, resulting in mental harm and a waste
of time for visitors.

From these legal issues, tourists get many benefits from the tour operator and travel agency.

If tour operators and travel agencies encourage travellers to buy products, tourism will
benefit the local community as well. The local community then acts appropriately in terms of
hospitality. To help the government understand the state of tourism, tour operators and
travel agencies should follow the country's tour and travel legislation. The government also
receives a significant amount of revenue from tour operators and travel agencies.

4.6 Bangladesh Vs Bhutan – Comparison between Acts

According to the tour operator and tour guide act of Bangladesh 'Tour operator' means any
organization registered under section 6 which organizes and conducts group or individual
tours for tourists including accommodation, meals or transportation, transportation,
sightseeing or other tourist facilities including tourist attractions related to one or more travel
services.

According to the tour operator and tour guide act of Bhutan ‘Tour Operator’ means a person
who habitually or regularly puts together tours or packages comprising of two or more of the
following which is offered to the public, directly or through an intermediary, for an inclusive
price:

 Guided Tours;
 Food & Accommodation;
 Entertainment; or
 Transport;

For these Rules and Regulations the term “Tour Operator”, “Travel Agent” and “Ground
Handling Agent” shall mean the same.

BD act defines Tour guide as 'Tour guide' means any person registered under section 6 who
acts as a guide for conducting group or individual tours for tourists, including travel services,
sightseeing related tourist attractions or other related tourist facilities including travel.

Bhutan act defines tour guide as in this way that Tourist Guide means a person, who,
instead of monetary compensation, describes or interprets the natural and human resources
for the tourists and ensures that professional services and courtesies are laid at the disposal
of the tourist.

Overseas Tour Operators as described in both of these two-country acts shall be those
legitimate business entities having a proper company name, location address phone and fax
numbers, duly licensed and certified by national/local public authorities
(Tourismteacher.com, 2022). The Authority of the country will verify the status of such Tour
Operators before entertaining any communications from them where ever necessary.
Application for a registration certificate. - If any person or organization wants to get the
registration certificate, he/she has to apply to the registration authority along with the proper
documents in the prescribed manner and form and with the fee. This rule applies to both
countries.

In Bhutan, there are different requirements for getting a license. Tourist guides like a cultural
tourist guide, trekking tourist guide, senior tour guide. These all-tour guides need to fulfil the
requirements according to act. In Bangladesh, there are tour guide acts but there are no
specific requirements for tour guide segments. There are general requirements for all tour
guides. This tour guide may not have the qualities. They should be as a cultural tour guide or
trekking tour guide.

There is a significant difference between Bangladesh and Bhutan Tour Operator and Travel
Agency Act. That is the code of conduct. We can see that there is a specific chapter included
in the Bhutan Tour Operator and Travel Agency Act about the code of conduct of tour
operators and travel agencies. In the Tour Operator and Travel Agency Act of Bangladesh,
there are guidelines for tour operators and travel agencies but there is no code of conduct.

4.7 Analysis of Whether Additional Laws Required for Tour Operator and
Travel Agency in Bangladesh
Almost 50 years have been taken by the government to pass a law to regulate the tour
operators who work in a sector that has never been on the policymakers' priority list. In the
late last week, the new piece of legislation, adopted by Parliament, includes a couple of
provisions. One permits foreign tour operators to do business in Bangladesh. The other
makes it mandatory for the local tour operators and guides to assure licenses from the
related government agencies to start and to continue the businesses. The newly adopted
law also requires the punishment of those tour operators/guides who would abuse the law.
The issuance of licences to the tour operators is very important as foreign tourists rely more
on operators for their travel plans and programmes. Though domestic tourists are yet to
develop the habit of hiring the services of tour guides, the circumstances might be changed
quickly. In large numbers, middle-class families are moving towards the potential tourist
places in the country. Their increasing affluence is thought to be a prime cause for the
alteration in their attitudes. IT is expected that this particular class of national tourists will
start taking the services of tour guides soon.

At the moment, to deal with allegations, there are no mechanisms, if there is any, of a
breach of contract between the tourists and tour agency. The mandatory requirement of a
licence and the legal regulations for punishment for violating legal regulations are likely to
deal with the issues partially. However, it has become very important to create an
appropriate body that would closely monitor the activities of the tour agencies. The
government, while working to protect the interests of the tourists, needs to stimulate the work
of the tour guides also. The regulation made in a new law that allowed the foreign tour
operators in the country is moving in the right direction. Such a decision should have been
taken long ago. There is no denying that Bangladesh is yet to allure a significant number of
foreign tourists despite having all the potential. There could be a long list of reasons for it.
Scarcity of proper advertisement could be the first reason. Once in business, the foreign tour
agencies' job will be to make a magnificent online campaign to make motivate the foreign
tourists to visit Bangladesh for enjoyment.

However, it will not be out of place to mention the problems the tour guides, more than 700,
have been facing since the Covid-19 pandemic struck the world as well as the country in
March last year. They sat idle during 2020 and most of 2021 as the travel and tourism
industry made losses worth billions of taka. Several stimulus packages worth over Tk one
trillion to various sectors during the Covid period has been offered by the government, but
allegations have it that the tourism industry did not get the privileges.

Industry insiders tell nearly half of the tour agencies have left the trade failing to cope with
the onslaught of the pandemic and most of them are unlikely to make a comeback. Their
departure will make a big vacuum in this industry. So, it is very essential to make sure their
return or promote the access of new tour guides.

An additional incentive package for this purpose should be offered by the government of
Bangladesh. If the government is truly serious about the promotion of the travel and tourism
industry, it will have to change its policy, regulations and programmes. Only making a piece
of legislation will not be enough for this purpose. There are many things to be done for this
sector that has remained neglected.

In Bangladesh, there are tour guide acts but there are no specific requirements for tour guide
segments. There are general requirements for all tour guides. This tour guide may not have
the qualities they should be as a cultural tour guide or trekking tour guide.

In the Tour Operator and Travel Agency Act of Bangladesh, there are guidelines for tour
operators and travel agencies but there is no code of conduct. So code of conduct for the
travel agency and tour operator should be made and implemented properly for the
enrichment of this tour sector.
An applicant who is currently employed by the Government, a Government-Controlled
Organization or Corporate Body can get a license for operating a travel agency according to
the Bangladesh tour operator and travel agency act. This factor should also be restudied so
that there can’t have any issue of conflict between them.
Chapter 5: Conclusion and Recommendations
5.1 Conclusion
At the end of our discussion, it can be said that, the laws and legal issues regarding the tour
operator and management is changing nowadays. Some experts and stakeholders expect
that the newly approved tourism law is expected to attract multinational operators to extend
their operations in Bangladesh and increase the number of visitors visiting the country.
According to them, the new legal framework will assist international entrepreneurs build
confidence and trustworthiness. The Bangladesh Tour Operators and Tour Guides
(Registration and Operation) Act 2021 will also ensure that travelers receive the finest
possible service, giving the industry a boost. They also predicted that foreign travel
operators will generate some investment opportunities in the country. They believed that in
order to do business in Bangladesh, a local operator needed be partnered with an
international operator, but this provision is not included in the law. Foreign tour operators
can do business in Bangladesh under Section 4(2) of the law with approval from the relevant
authorities. According to the law, tour operators must register. The new law requires local
businesses to get licenses from the relevant authorities. From the discussions above, we
saw that there is a distinct comparison between the law of Bangladesh and Bhutan, where
the law of Bhutan is quite flexible than the law of Bangladesh. The mutual trust and
understanding between the tour operators and tourists need to be developed, which plays a
major role in this regard.

5.2 Recommendations
After studying the comparison of Bhutan law and foreign laws relevant to travel agency
business and tour guide in the previous section, in this section we would like to provide
some suggestions and recommendations for the current travel agency business and tour
guide laws in Bangladesh. The following information will outline new legislation and
revisions that may be more effective in solving the problem and facilitating the tourism
business in general. These are:

To address the issues of a ban for unlicenced tour operators which is primarily a large by
number, a revised explanation of travel agency operations will be implemented, including
ideas from Chinese and South Korean tourism regulations. Bangladesh’s Travel Agency
Business Act should incorporate the South Korean Tourism Law's principle of grouping
tourism-related businesses. The tourism industry is defined as the business of assisting
tourists with their travel plans and offering tourism services such as transportation, lodging,
catering, recreation activities, and tourism services.
The concept of economic liberalization was adopted to strengthen the competitiveness of
SAARC member countries in the global community as a result of tourist promotion among
SAARC countries and around the world. 150 Free trade and investment were concentrated
in the region to lessen reliance on third-country markets and increase member nations'
negotiating leverage in the global economy. Based on the premise of establishing an
economic community, foreign investment can improve people's well-being and living
conditions.

Adopting the concepts of occupational freedom and using labor contracts to fulfill the
relationship between tour operator and tour guide will reduce the problems of tour guides.
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