SOUTH KOREA. The Shilla Duty Free was today awarded the five-year duty free concession at Jeju International Airport.

Shilla beat off hot competition from its arch-rival, Lotte Duty Free, to win the concession.

The retailer takes over from Hanwha Galleria, which resigned the concession (due to run until April 2019) earlier this year due to the downturn in Chinese tourism caused by the THAAD crisis. As reported, Korea Airports Corporation revised the terms of the contract and slashed the guarantee levels.

With the row between China and South Korea apparently easing (though not fully resolved), Shilla’s timing appears to be optimum.

In a statement, The Shilla Duty Free said: “Hotel Shilla Co, the largest duty free operator in the Jeju area and operator of The Shilla Jeju (Hotel), will continue our contribution to the island’s overall tourism industry. Hotel Shilla Co will also deliver our best efforts to fulfil our corporate social responsibility on Jeju Island to build a sustainable and healthy relationship with the local community.”

A Lotte Duty Free spokesman said: “Lotte Duty Free shop did its best to bid for the Jeju Airport duty free shop, but unfortunately did not obtain patent rights. In the future, Lotte Duty Free will continue to make efforts to revitalise the Jeju region through the development of the Korean tourism and tax free industries as well as the Jeju downtown store.”

Is Jeju Island about to witness a resurgence of Chinese travel? The Shilla Duty Free may have got its timing just right.

NOTE TO AIRPORT OPERATORS: The Moodie Davitt Report is the industry’s most popular channel for launching commercial proposals and for publishing the results. If you wish to promote an Expression of Interest, Request for Proposals or full tender process for any sector of airport revenues, simply e-mail Martin Moodie at Martin@MoodieDavittReport.com.

We have a variety of options that will ensure you reach the widest, most high-quality concessionaire/retailer/operator base in the industry – globally and immediately.

Similarly The Moodie Davitt Report is the only international business intelligence service and industry media to cover all airport consumer services, revenue generating and otherwise. We embrace all airport non-aeronautical revenues, including property, passenger lounges, car parking, hotels, hospital and other medical facilities, the Internet, advertising and related revenue streams.

Please send relevant material, including images, to Martin Moodie at Martin@MoodieDavittReport.com for instant, quality global coverage.

All such stories are consolidated in our popular Tender News section (see home page dropdown menu) that has been running since 2003.