Hyundai Department Store Duty Free, First Step at Incheon Airport... Establishing Duty Free 'Big 4' Structure

Shilla, Lotte, Hyundai Department Store Win Business Rights for 3 Large Corporations
Grand Tourism Hotel, City Plus, Entas Duty Free Selected for 3 Small and Medium Enterprises
Airport Corporation to Reannounce 2 Zones Failed This Month
New Duty-Free Operators to Start Business from September

[Asia Economy Reporter Cha Min-young] Hyundai Department Store Duty Free, a latecomer to the duty-free business, secured the duty-free business rights at Incheon International Airport Terminal 1, establishing the domestic 'Big 4' system. Among the Big 3 including Hotel Lotte and Hotel Shilla, Shinsegae Duty Free was the only one that failed to secure business rights.

According to the duty-free industry on the 9th, Incheon International Airport Corporation evaluated business proposals and price proposals in the bidding for the duty-free shops at Incheon Airport Terminal 1, selecting Hotel Shilla, Hotel Lotte, and Hyundai Department Store Duty Free as preferred negotiation candidates for the three large corporation business rights.

By large corporation duty-free business rights, the DF3 (liquor and tobacco) business right went to Hotel Shilla, the DF4 (liquor and tobacco) business right to Hotel Lotte, and the DF7 (fashion and others) business right to Hyundai Department Store Duty Free. Shinsegae Duty Free, which did not obtain business rights, plans to reconsider participation if a re-bid announcement is made for the two duty-free business rights that were canceled.

Incheon Airport Corporation held a bid for five large corporation business rights on the 27th of last month, but the DF2 (cosmetics and perfumes) zone, which had no participating companies, and the DF6 (fashion and others) zone, which had a single bidder, were automatically canceled. The airport corporation is reportedly planning to re-announce the bidding for the two canceled zones within this month.

Among the three small and medium-sized enterprise duty-free business rights, the DF8 business right was awarded to Grand Tourist Hotel, the DF9 business right to City Plus, and the DF10 business right to Entas Duty Free. SM Duty Free, which participated in the bidding, withdrew during the competitive presentation due to high rent. Busan Duty Free, which participated in the Incheon Airport duty-free bidding for the first time, was eliminated.

The newly selected duty-free operators will operate the duty-free shops from September after obtaining approval from the Korea Customs Service's license examination.

This content was produced with the assistance of AI translation services.