Procedures of Shanghai Municipality on the Administration of Travel Agencies
Procedures of Shanghai Municipality on the Administration of Travel Agencies
Procedures of Shanghai Municipality on the Administration of Travel Agencies
(Promulgated by the People's Government of Shanghai Municipality on December 6, 1999, Decree No. 77)
Chapter I General Provisions
Article 1 Purpose and Basis
In order to strengthen the administration of travel agencies in this municipality, protect the lawful rights and interests of the tourists and the travel agencies, maintain the order of the tourism market and help the development of the travel industry in this Municipality, these Procedures are formulated in accordance with the Regulations on the Administration of Travel Agencies (hereinafter referred to as The Regulations) and other relevant the Regulations and in light of the actual conditions of this Municipality.
Article 2 Definition of Travel Agency
Travel agency referred to in these Procedures is defined as a business enterprise that attracts and receives tourists and arranges for their transportation, sight-seeing, accommodations, meals, shopping and entertainment, and provides tourist guiding service and other related services for the purpose of making profits, including international travel agencies and domestic travel agencies.
Article 3 Scope of Application
These Procedures shall apply to the establishment, business management and administrative activities of travel agencies in this Municipality.
Article 4 Administrative Departments
The Shanghai Municipal Tourism Administrative Board (hereinafter referred to as the Municipal Tourism Board) shall be responsible for the administration of all travel agencies in this Municipality.
District/county tourism administrative departments shall, in accordance with their functions, be responsible for the administration of domestic travel agencies within their jurisdiction and work under the professional leadership of the Municipal Tourism Board.
The relevant departments of the people's government at all levels shall, in accordance with their respective functions, help tourism administrative departments to do a good job in the administration of travel agencies.
Article 5 Permit System
This Municipality shall institute a permit system for the business of travel agencies.
No unit or individual shall engage or engage in disguise in the business activities of travel agencies without permission of tourism administrative departments.
Article 6 Business Principles
Travel agencies shall follow the principles of voluntary participation, fairness and good faith and observe commercial ethics in their business activities.
The lawful business activities travel agencies engage in shall be protected by the law.
Article 7 Trade Association
The association of travel agencies of this Municipality is a self-disciplined social organization that operates as a legal person for the protection of rights and interests of the travel agencies in accordance with laws. It works in accordance with laws, the Regulations and its charters, and accepts the guidance and supervision of the Municipal Tourism Board.
Chapter II Permission for Establishment of Travel Agencies
Article 8 Conditions for Establishment of International Travel Agencies
To establish an international travel agency, the following conditions must be met:
1.Having a fixed business office and the necessary operation facilities;
2.Having the necessary administrative and business personnel, including at least one qualified business executive and no less than 3 department executives or executives in charge of professional affairs, professional finance and accounting personnel with a title of master accountant or above and 5 or more foreign languages tourist guides; and
3.Having registered capital of CNY1.5 million at the minimum.
Article 9 Conditions for Establishment of Domestic Travel Agencies
To establish a domestic travel agency, the following conditions must be met:
1.Having a fixed business office and the necessary operation facilities;
2.Having the necessary administrative and business personnel, including at least one qualified business executive and one department executive or executive in charge of professional affairs, professional finance and accounting personnel with a title of assistant accountant or above and three or more tourist guides who speak standard mandarin; and
3.Having registered capital of no less than CNY300,000.
Article 10 Conditions for Establishment of Branch Travel Agencies
A travel agency that receives tourists of more than 100,000 persons per year may set up branch agencies that have no legal person status and have their activities in the name of the travel agency that creates them. To set up branch agencies, the following conditions must be met:
1 Having a fixed business office and the necessary operation facilities; and
2 Having the necessary administrative and business personnel, including at least one qualified branch agency executive, professional finance and accounting personnel, and three or more foreign languages tourist guides if it engages in the international tourism or three or more tourist guides who speak standard mandarin if it engages in the domestic tourism.
Article 11 Conditions for Establishment of Business Departments
Travel agencies in this Municipality may set up branch business agencies that have no legal person status and have their business activities in the name of the travel agency that creates them.
To apply for the establishment of branch business agencies, the following conditions must be met:
1.The travel agency that applies for the establishment of a branch business agency has been engaged
in tourism for more than two years and has had no major accidents in tourist safety or quality during the two years before it submits the application;
2.Business revenues from tourism of the travel agency that applies for the establishment of a branch business agency and the number of tourists it receives and the tours it organizes per year meets the standards set by the Municipal Tourism Board; and
3.Having a fixed business office and the necessary operation facilities;
4.Having regular operation personnel, of which the business department executive must have acquired the qualification certificate required for department executives of the travel agency.
For every business department engaged in the international tourism it creates, the travel agency shall increase its registered capital by CNY200,000; and for every business department engaged in the domestic tourism it creates, the travel agency shall increase its registered capital by CNY100,000.
Article 12 Conditions for Establishment of Permanent Business Offices of Foreign Travel Agencies
Foreign travel agencies may set up non-business permanent offices (hereinafter referred to as permanent offices of foreign travel agencies) in this Municipality to engage in some tourist activities like consulting, liaison, publicity, etc.
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