The first Brazilian border town store this year?

By Charlotte Turner |

Brazil-and-Uruguay-flags-leadCarlos Loaiza Keel, General Secretary, La Cámara de Empresarios de Free Shops del Uruguay tells TRBusiness that the industry could see the first ever store open in a Brazilian border town this year if software issues can be ironed out.

 

An interview with Carlos Loaiza Keel can be found in the March issue of TRBusiness which can be picked up at the IAADFS Duty Free Show of the Americas.

 

In November 2014, Frederico Antunes, a regional MP from Rio Grande do Sul in Southern Brazil advised that the rules on the operation of Free Shops in Brazilian territory were ‘almost finalised.’

 

A year and a half later, there are still no stores, however this could finally change in 2016, says Carlos Loaiza Keel, General Secretary, La Cámara de Empresarios de Free Shops del Uruguay.

 

Carlos-Loaiza-Keel

Carlos Loaiza Keel, General Secretary, La Cámara de Empresarios de Free Shops del Uruguay.

“I had the opportunity to hear from a representative of the Receita Federal, the Brazilian tax authority, some months ago in a conference that was held in Iguazu that was promoted by Marco Maia (among others) who first promoted the law and the most important promoter in the past.

 

“And I heard they were saying that the system is a reality right now, but they are waiting for the software to be OK. They had a lot of problems with strikes in the software company that provides them with the services so they are waiting for the software to be OK in order to let the system begin to work in the Brazilian border.”

 

According to the Receita the first store in a Brazilian border town will open this year, but even Loazia Keel says that he is still not sure about that. He also isn’t certain of the final law stipulations.

 

“Our government offered to Brazil to increase our quota/allowance for Uruguayan customers, who buy in Brazil and the Brazilian Government was receptive of this reciprocity approach from Uruguay.

 

“But the Receita Federal said last year during this conference/meeting I mentioned that they don’t want to have a $300 allowance for the Brazilians buying in Uruguay because they want to preserve a $300 tax allowance for their stores and only $150 for our stores.”

 

 

 

International

Alcohol insights: Conversion up, spend down in Q4

Conversion of visitors in the alcohol category in duty free has risen to 54% in Q4 2023,...

International

Men buy and spend more in travel retail says new research by m1nd-set

Men have a higher conversion rate and spend more when shopping in travel retail, says new...

Middle East

Saudia Arabia's KKIA unfurls T3 duty free expansion

King Khalid International Airport (KKIA) has unveiled the first stage of its much-vaunted duty...

image description

In the Magazine

TRBusiness Magazine is free to access. Read the latest issue now.

E-mail this link to a friend