Macau introduces new law on travel agents, tour guides

With an emphasis on “zero-fare” vacations, the Macau government has implemented a new law controlling tour guides and travel agencies that attempts to curtail the practice of local travel companies offering tours at reduced prices.

On Friday, the Macau Executive Council unveiled a draft bill that aims to streamline the travel agency licensing process.

The proposed law states that the Macao Government Tourism Office (MGTO) Director would oversee the issuance of licenses for travel agencies and lower the requirements for technical directors of travel enterprises to enter the industry.

In addition, the bill would clarify the responsibilities of travel agents by defining what they must do to arrange tours and provide ground transportation services.

The legislation forbids travel agents from offering lower-than-cost prices and controls the promotion and distribution of self-financed activities in an effort to outlaw “zero-fare” or inexpensive tours and safeguard passengers’ rights.

The charge prompted MGTO Director Maria Helena de Senna Fernandes to comment, saying, “Some incoming excursions are clearly unjustified at MOP$50 for a trip to Macau, and are therefore blatantly underpriced.” This issue is not addressed by the current regulations. If the new law is approved, I anticipate that it will reduce the amount of unclear conduct.

Zero-fare or inexpensive tours sometimes rely on patrons’ purchases to generate commissions, which might result in coerced sales or arguments.

In addition, there have been tidings of unlicensed tour guides trailing arriving tour groups, so eluding local tour guides, since Macau’s borders reopened in January 2023. In an attempt to regulate this situation, the new law mandates that visits to Macau organized by companies that arrange travel from outside of Macau be managed by a local travel agency.

The law also permits foreign workers to serve as tour guides; however, foreign guides must adhere to regulations governing the employment of foreign workers if a travel agency does not have local guides who are proficient in a particular foreign language. According to Fernandes, “In Macau, there is a dearth of tour guides who speak other languages, especially Indonesian. When approving applications, the government exercises caution. A foreign tour guide must have a license from the Institute for Tourism Studies in order to work for a tourism establishment.

There are now 1,758 tour guides in Macau, including 13 Korean-speaking tour guides who are not residents, three Thai-speaking tour guides, and one guide who speaks a minor language well. There are very few foreign-language guides, and the government takes its time granting licenses.

The Legislative Council will study the proposal before it becomes operative, so it’s unlikely that it will be implemented quickly.

Original story by: IAG