Even as the all the carriers in the world move over to e-ticketing on Sunday, not everyone is happy as some expect countries like India would be negatively impacted by this.

The move, spearheaded by the Geneva-based International Air Transport Association (IATA), have resulted seen most of the Indian carriers reaching the 99%-mark in removing paper tickets and have agreed that by June 1 they will be working completely on e-tickets.

In 2004, the IATA board of governors and its annual general meeting?which represents some 250 airlines? asked IATA to lead its Simplifying the Business Programme. Simplifying the business consists of five key projects?100% e-tickets by end 2007 (this was postponed to May 31, 2008), Common Use Self Service check-in, bar coded boarding passes, RFID for aviation and IATA e-freight.

The main justification for the move is that it would lead to huge cost saving to airlines ?allowing them to offer cheaper tickets to passengers. Other benefits to the passengers include the increased flexibility and ease of use, no fear of losing a ticket, easier for refunds, cancellations and updates. In addition, it also opens a whole range of possibilities like self-service kiosks, manage my booking, seat changes, etc.

The benefits to the airlines include the huge cost savings. Electronic tickets save an estimated $5 to $9 per ticket or around $3 billion per year (this number does not include the paper saving but only the savings on distribution and other processes). The tickets are almost impossible to counterfeit, allow better self-service kiosks facilitation at airports, easier interlining and there is increased data security and speed.

Benefits to the travel agent include less paper work and back office operations, fewer disputes and the ease to dispatch to customer via email. Another major benefit of e-tickets is that it help saves around 5 billion A4 sheets per year and twice that amount in back office operations that are required for paper tickets. A lesser known fact is that due to the special carbonised paper used by paper tickets they were more difficult to destroy but e-tickets ? even if printed out ? can be recycled if needed.

While many argue that in India the e-ticket has to be printed out, Ankur Bhatia justifies that these printouts are a small waste of paper as compared to the amount needed to paper tickets. ?Internationally travellers just need to show their passports to travel as their tickets are stored on the airlines system. They don?t even need the print out,? Bhatia said. ?We need to move to that system in India as well. Passengers should be allowed to enter a certain part of the airport without being stopped by the CISF and even the airport developers would want this to allow more number of passengers and their relatives access to the retail options at the airport,? he added.

In 2007, an IATA survey revealed that 88% of passengers prefer electronic tickets to paper tickets. The reasons include ?do not need to bring my airline ticket(s) when I check-in?? (71%), ?I immediately receive my e-ticket confirmation by e-mail? (64%), ?I can access my e-ticket anywhere and at anytime? (49%) and ?I receive a receipt of my booking by e-mail? (34%).

But not everyone is happy with the move. The Travel Agents Association of India (TAAI) sense a motivated move in IATA?s decision to globally discontinue the system of paper ticket issuance from June 1. They feel the move will lead to bigger foreign carriers getting an upper hand in air operations, in India and abroad.

?IATA took this decision without consulting the Indian government or the travel and tourism industry,? a TAAI representative said.

According to TAAI officials, IATA-BSP has deferred the ban of paper tickets in the US as it did not suit the American air carriers. The Canadian travel agents have gone to court against the ban on paper tickets. But IATA has refused to discuss the issue with agents in any country saying the matter was subjudice.

Even airlines like Air India don?t have a say as major foreign carriers hold the clout. That is why the move is being seen as a strategy by those foreign carriers to hit India?s national carrier, after the open sky policy allowed them to start operations in India.

According to TAAI, for the convenience of passengers, agents in India issued paper tickets in situations like interline journeys and where there is a mix of operating carriers, or e-ticket ineligible sectors etc. Once the paper ticket is done away with the passengers can no longer buy multi-carrier trips on single tickets and will have to pay for each leg separately. This will increase fares by 20 to 50%, the TAAI officials allege. Currently, 15% of tickets issued in India are paper tickets, says TAAI.

Other implications are that the tourism industry will suffer because agents in Europe will avoid promoting India, as separate tickets would have to be issued escalating ticket cost. The higher cost will means higher outflow of foreign exchange (especially for interline travel). TAAI believes, inbound travel will only be in single digits. Poorer job seekers in Gulf countries will be unable to afford higher fares and profitable Middle East sectors will be badly affected. Domestic airlines will lose business to bigger foreign carriers, TAAI alleges.

TAAI has written to Civil Aviation Minster Praful Patel to intervene so as to allow for better preparedness of the Indian travel industry. While millions of Indians travel abroad annually, some issues of baggage charge, flight delays, and cancellations are yet to be addressed. Many of the agents have alleged that logistical issues in implementing e-tickets will push up costs.

Quoting rudimentary calculations travel agents say that airlines would incur around Rs 20 crore by way of courier charges only to move tickets from one place to another after the IATA June 1 deadline comes into force. The TAAI officials allege that Africa is only 60% e-ticket enabled while eastern block countries are 50% e-ticket enabled.

Worldwide travel agents are protesting. But they do not want to go to court because their world body of agencies itself is bogged own by serious flaws in its (agencies) programme.

IATA has asked all travel agents to surrender their paper tickets and those who do not comply will stand the risk of losing affiliation to IATA. While no fresh paper tickets will be issued from June 1, paper tickets already issued will be honoured.

But premier airlines solutions provider Amadeus has refuted some of TAAI?s claims. According to Ankur Bhatia, MD with Bird Group that owns Amadeus, in India over 50 airlines have had e-ticket percentages in excess of 95% while 70 of the 77 carriers sold in India last year are e-ticketable. He further adds that no carrier selling more than 500 tickets is not e-ticketable and India is 95% e-ticketing compliant and likely to achieve 100% e-ticketing deadline. According to Amadeus, there has been around 60% increase in e-tickets versus last year as opposed to a 17% increase in total tickets issued.