Fiji Airways terminates partnership with FHTA

Fiji Airways is reshaping its tourism partnerships, ending its long-standing agreement with the Fiji Hotel and Tourism Association (FHTA) while shifting to direct commercial relationships with individual hotels and resorts.

Fiji Airways and the FHTA signed an MOU in 2023 to support the growth of the tourism sector which allowed members to receive discounted airfares for international trade events and roadshows.

Fiji Airways’ chief executive services officer Kameli Batiweti said terminating the Memorandum of Understanding (MOU) with the FHTA was part of Fiji Airways’ continued approach to managing costs amid economic pressures.

“As part of ongoing global aviation and economic pressures, including fuel volatility, inflation, and rising operational costs, Fiji Airways continues to take a disciplined and proactive approach to managing costs and reviewing operations across every part of the business,” he said.

“This includes a broader review of the airline’s commercial partnerships and arrangements, to ensure they continue to deliver genuine value and support long-term sustainability.”

Mr Batiweti said although the partnership had ended, Fiji Airways would continue its efforts to promote Fijis tourism.

This work includes moving to-ward more direct commercial relationships with individual hotels and resorts across Fiji, allowing for arrangements tailored to each partner's needs.

FHTA chief executive officer Fantasha Lockington acknowledged the termination of the MOU.

FHTA can confirm that Fiji Airways has advised us of its decision to discontinue its Memorandum of Understanding with the association. We were informed of this recently and understand that the airline is reviewing its partner-ships as part of its own strategic

direction,” Ms Lockington said.

She also said all 120 FHTA active members had been informed of the decision.

The termination of the partner-ship came after the FHTA rejected the Government’s claim that the tourism industry supported a proposed five per cent tourism servic-es tax to help fund Fiji Airways.

FHTA said the tax which was an-nounced in the 2026-2027 National Budget would increase costs, hurt competitiveness and was done without proper consultation.

Ms Lockington said suggestions the industry had agreed to the measure were inaccurate.