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Hajj monopoly fears grow over SAHUC’s new model

The South African Hajj and Umrah Council's move to centralise pilgrimage services has sparked legal threats, political intervention, and concerns over price hikes and job losses.

by Zahid Jadwat

The South African Hajj and Umrah Council (SAHUC) is facing mounting pressure following its announcement to centralise all Hajj travel services, effectively removing independent tour operators from the process.

 

The decision has triggered significant backlash from travel operators, religious bodies, and political parties. They warn of a potential Hajj monopoly that could lead to inflated prices, reduced service quality, and the collapse of a long-standing industry.

 

In response to what it describes as a directive from Saudi Arabia’s Ministry of Hajj and Umrah, SAHUC will now contract directly with a Saudi-appointed service provider. This entity will determine package pricing, which SAHUC will then sell to the public. Local travel agents, who previously managed logistics like accommodation and transport, will only be able to participate as subcontractors under the SAHUC banner.

 

The move has been met with widespread alarm. The Democratic Alliance (DA) has formally requested the Minister of International Relations and Cooperation, Ronald Lamola, to clarify SAHUC’s legal standing to enforce such a change. The party expressed fears from the Muslim community about “an inflated price under conditions of absolute monopoly.”

 

The Sunni Jamiat Ulema (SJU) has initiated legal action, demanding the council reverse its decision. The SJU argues that SAHUC has overstepped its authority and lacks the constitutional mandate for such a unilateral move.

 

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Legal and political challenges mount

The controversy has escalated into a legal and political battle. The SJU, through its attorneys, has accused SAHUC of acting outside its legal mandate and failing to provide evidence that the changes were a direct, unnegotiable instruction from Saudi authorities. The dispute intensified when SAHUC temporarily suspended the SJU from its internal committees, a move SJU’s legal team described as “wrongful, high-handed, and ill-considered.” SAHUC President Moaaz Casoo confirmed the matter was with their legal team, stating the SJU’s participation was paused to avoid a conflict of interest.

 

Adding to the pressure, the DA has submitted parliamentary questions and written to the Cultural, Religious and Linguistic Rights Commission to investigate the matter. The party has demanded transparency from both SAHUC and Minister Lamola, insisting that if the council cannot prove the change was a Saudi directive, it must be seen as a self-created Hajj monopoly and be reversed immediately.

 

Travel industry experts have echoed these concerns, predicting dire consequences for both pilgrims and the local economy. Irshad Malek, CEO of World of Travel, warned that the new system could compromise an industry of approximately 30 agencies and 500 jobs. He argued that foreign operators are “completely naive of the standards of the South African pilgrims,” which have been cultivated over years by local agents.

 

Concerns have also been raised about the financial implications. Malek pointed out that SAHUC’s planned 10% commission, on top of existing registration and service fees, could be “far more than what a travel agent would have earned in the past,” indicating that packages will become significantly more expensive. This potential for a Hajj monopoly to inflate costs remains a central fear for prospective pilgrims.

 

SAHUC has maintained that its hands are tied by the Saudi directive and has committed to transparency.

 

Image: Accor

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