Boutros: Dubai's duty free reputation will be reinforced

Dubai is to host this year a duty free exhibition - Middle East Exclusive  - in the wake of the industry’s latest figures revealing that the region’s sales have exceeded $800 million.

The event, organised by Dubai-based Channels Exhibitions, will be held from December 1 to 3 at the Dubai World Trade Centre.
The duty free show Middle East Exclusive is being held under the patronage of Shaikh Ahmed bin Saeed Al Maktoum, president of Dubai’s Department of Civil Aviation and chairman of Emirates. It is sponsored by Dubai Duty Free and supported by the Middle East Duty Free Association (Medfa).

“Middle East Exclusive is an industry first for the region which will provide good business opportunities for both exhibitors and visitors,” said Colm McLoughlin, managing director of Dubai Duty Free.
Official statistics compiled by Generation DataBank, the Sweden-based industry-monitoring organisation, reveal that duty free sales in the Middle East have grown an average of 10 per cent a year since 1997.

 The region’s duty free sales, now four per cent of the worldwide market, are expected to double by 2010, according to Generation DataBank. The $800 million-plus sales for the region were achieved in 2002, it said.

Medfa president Mohammed Mounib said the new exhibition was being organised because there was a demand for it. The fact that the region’s duty free industry enjoyed a high status internationally was also a factor.
“This region definitely needs such an exhibition to cope with the development of this dynamic market,” said Mounib. 

Channels Exhibitions managing director Boutros said products on display would cover the spectrum of the duty free sector including fine food, confectionery, luxury cosmetics, perfumes, luxury fashion, fashion accessories, luggage, gifts, giftware, leather goods, tableware, electronics, computers, multimedia, cameras, photographic equipment, mobile phones, writing instruments and destination products.

The show would also include specialised regional products and merchandise not seen at other duty free events, he said.
Luxury and premium products, which have recorded strong performance in the Gulf, will be extensively represented.

Participating brands include Mont Blanc, Damas, Zuppini, Alfred Dunhill, Baume et Mercier Watches, Alessandra Fontanelli Fashion, Revlon, Bvlgari Parfums, Salvatore Ferragamo, Emanuel Ungaro and Masaki Matsushima, Karalia Slims, Gitanes, Habanos Cigars, Von Eiken Cigars, Nokia Fono (representing Nokia), La Ronda Fine Foods, Braun, Maui Jim, Swiss Arabian Perfumes, Ferrero Chocolates, Lindt and Sprungli and Fila Watches as well as destination products from Al Jaber Gallery.

Although not open to the public, the event is projected to attract 2,500 visitors, including key decision makers. Target groups outside the traditional duty free area include hotels, department stores, shopping malls, airlines and quality distributors and agents. Middle East Exclusive is being pitched as a window to the duty free industry.

“The core of our visitors is the duty free and travel-retailing field. They’re linked to other areas like up-market shopping malls, hotels, cruise lines and so on,” said Boutros.
An exhibition for the duty free sector is seen as a logical progression for Dubai which is a driving force in the duty free industry as well as being host of so many other international functions.

The show will reinforce Dubai’s standing as the region’s linchpin of duty free, said Boutros.
From its beginning in 1983, Dubai Duty Free has matured into a company with an annual turnover exceeding Dhs1.1 billion ($306 million), and is now widely recognised as being one of the top five airport retail operations in the world.
First quarter sales for 2003 reached Dhs294 million, representing a 17 per cent increase in sales over the same period last year.

In the first quarter sales of electronics showed a 29 per cent increase, while gold sales rose 13 per cent and perfumes by 20 per cent. During the first three months, Terminal 2 of Dubai International Airport, which primarily caters to charter flights to Eastern European destination, recorded an impressive 40 per cent increase in duty free sales.
As a result of its growth and development, Dubai Duty Free currently employs 1,000 staff representing 32 nationalities and speaking 36 different languages.

In addition to its retail success, the past 12 months have proven to be memorable for Dubai Duty Free in terms of industry and media recognition.
Earlier this year, Dubai Duty Free received 'Superbrand' status at the award ceremony held to mark the launch of the Superbrand Council in the UAE.
A conference organised by Medfa and focusing on the Middle East duty free industry will be staged in Dubai on December 3 and 4 at the Al Bustan Rotana Hotel.
The Dubai Duty Free Golf World Cup, a major attraction on the duty free calendar and organised by Dubai Duty Free, will be staged on December 5 and 6.