Key questions remain over the proposed structure of any potential re-tender and its timing at Incheon T1.

Lotte Duty Free has told TRBusiness it will ‘strongly consider’ submitting new bids for the concessions it relinquished at Terminal 1 last month as Incheon International Airport Corporation (IIAC) seeks to appoint a follow-up business operator.

However, it is important to note that no official RFP has been issued by IIAC and the nature and timing of any ‘re-tender’ is at this stage inconclusive.

As reported on Friday, Lotte has been notified with terms outlining the timescale for its withdrawal from its perfumes & cosmetics (DF1), leathergoods and fashion (DF5) and all items (DF8) leases. This is expected to take effect on 7 July (whereapon it will trade for a further 120 days before withdrawing).

Kim Joon Soo, Senior Vice President, Head of Merchandising HQ, Lotte Duty Free confirmed the move to re-apply for the licences in what is likely to be a competitive tender process.

“Rebidding is strongly considered – no one knows how the bid will be and when it will be,” he makes clear in an exclusive interview with TRBusiness Correspondent David Hayes. “IIAC is reviewing the situation.”

“There are many issues. [For instance] how long the concessions will be. Some people say [for] the remaining two-and-a half years, others say five years is proper to ask operators to participate in the bid.”

“Another issue is whether they are tendered together or separately, also, whether the concourse is combined as the concourse is not popular [with potential operators]. IIAC is in contact with the customs office to deal with this issue.

“It’s up to the customs office when to announce the next tender and who can enter the bidding.”