Low tariff air carrier, Jet Airways has agreed to pay 3% commission on airfares to travel agents. Earlier, air carriers had stopped to pay 5 per cent commission to travel agents from November 1. The decision has come after agents have stopped to sell air tickets of Jet Airways (India) Ltd. Other air lines including Kingfisher Airlines Ltd and state-run National Aviation Co. of India Ltd (Nacil) are expected to follow the suit in a couple of days.

The president of Travel Agents Association of India (TAAI) confirmed the deal with Jet and said, "We signed a deal with Jet Airways last (Sunday) night, and we will be paid 3 percent commission on air tickets that we book. We have also been assured by Kingfisher Airlines that things will be sorted out and we hope to sign a deal with them in next two-three days when (company chairman) Dr. Vijay Mallya returns from London."

President of Agents Association of India (IAAI), Biji Eapen said that agents have not given up their demand to pay original 5 per cent commission. He said, "While we are now working on the 3% commission with Jet, we are not going to end this here and will definitely be pushing towards the original 5%." The association would also approach Singapore Airlines, Deutsche Lufthansa AG and Qatar Airways to redefine policy toward travel agents.

Shares of Jet Airways declined by 1.32% on the Bombay Stock Exchange on Monday and closed at Rs134.05.