WDFG makes its Brazilian debut

By Doug Newhouse |

Autogrill reports that World Duty Free has won a 10-year duty free departure and arrivals contract at Brazil’s Aeroporto Internacional de Belém.


The new two-store 300sq m total operation is expected to generate modest overall revenues of more than $30m between 2012 and 2022. Currently, Belém International Airport – known locally as Val de Cans – handles around 3m passengers a year. At the same time, WDFG says that this latest gain now brings the number of countries where it operates to 21 [with most outside the UK trading under the name Aldeasa-Ed].

Commenting on the development, WDFG CEO José María Palencia said: “Our entry in Brazil is only the first step in a country where we hope to expand, given its high-growth potential.” The company presently estimates the value of the DF&TR marketplace at around $900m [at least $450m of which is accounted for by Sao Paulo Airport which is now under new ownership and due to go to tender in 2014-Ed].

WDFG says that the country’s rapid growth has boosted airport traffic, with an average annual increase in passenger flows of over 12% for the last eight years – according to State-owned airport authority Infraero. WDFG also notes that the country’s air transport system is expected to receive a boost from future sporting events such as the World Cup soccer tournament in 2014 and the Olympic Games in 2016.

The two stores will both offer ‘a wide assortment’ of fragrances and cosmetics, spirits and tobacco products, sports articles and accessories.

Describing the location, WDFG said: “With around three million passengers in 2011, Belém International Airport is the tourist gateway to the Amazon region. Designed to make maximum use of natural lighting, the terminal is characterized by its sustainable architecture and an ambience that recreates the natural environment of the surrounding territory, with local plants and a system that reproduces the sound of rain.

WDFG claims to be recording double-digit growth in revenues in Central and South America – its main region for travel retail business after Europe and now further claims to be operating around 320 stores across 71 airports and 41 cultural sites in 21 countries. New start ups most recently include the airports of Düsseldorf in Germany and Sangster in Jamaica.

[Photo credit: Wagner Meier].


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