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Tue Jun 9, 7:01 PM

By The Canadian Press

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MONTREAL - Air Canada (TSX:AC.B) increased Tuesday its commission for Canadian travel agents to sell Tango fares from four per cent to seven per cent, less than a week after the airline announced it would reinstate the payments.

The commissions apply to Tango-fare tickets on all flights operated within Canada by Air Canada, Jazz and its commercial partners.

“Industry reaction from our travel partners has been very positive since the introduction last week of a commission to sell Air Canada’s domestic Tango fares,” Air Canada’s chief commercial officer Ben Smith said in a statement.

“We will continue to monitor the marketplace closely, and we will continue to make adjustments as necessary to ensure we maintain our competitive position with our valued travel partners.”

Air Canada does not pay commissions on tickets booked in its higher fare classes or on travel to the United States and international flights.

WestJet recently cut the amount it pays travel agents from nine per cent to four cent, however, the Calgary-based carrier’s commission applies to the sale of tickets for all WestJet seats and destinations, rather than just the lowest fare within Canada.

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