Thank you all for your advice. So here is the final resolution after some back and forth with the travel agent. Local car service in Mumbai on both departure and arrival (not via Emirates). Emirates lounge in DXB (more expensive that Marhaba but I took it since the layover is 5 hours and Marhaba had 4 hour limit. Also in case of delays did not want them to get removed from lounge) . Cost of the two items above approx $450. Emirates is not allowing them to add on lounge on return flight since layover is less than 2 hours so we will consider Marhaba. Not purchasing it now since its too early. My parents unforutnatley will not have lounge access in Mumbai but they dont seem to concerned about that so I think its OK. This is lessons learned for both me and them. I always wanted to do direct airline booking like we do for our flights but they seemed to like workign with thier trusted travel agent who put them in this mess. Now they are more open to me doign the booking directly for them. So some silver lining to this whole fiasco.