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TheMoodieReport.com: Mumbai Airport duty free tender comes down to contest between quality quartet – 30/01/07
Source: ©The Moodie Report
By Martin Moodie
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INDIA. A high-quality quartet – DFS Group, The Nuance Group, Dufry and Alpha (trading as Alpha Future) – are understood to be contesting the high-profile Mumbai Chatrapati Shivaji International Airport (CSIA) duty free tender after Expressions of Interest were called last October.

That call drew strong interest from a range of national and international players. As reported, these included an alliance between India Tourism Development Corporation (ITDC) and Aldeasa, Flemingo India and Aer Rianta International, The Nuance Group and Shopper’s Stop, Alpha Airports Group and Pantaloon Retail, Bird Group and Aelia, Dufry and Interglobe, DFS Group, Out of Africa (a division of Tourvest) and King Power Group (Hong Kong). State-owned ITDC is the incumbent retailer.

That list has now come down to four companies. Each has to submit final bids by 23 February for the exclusive three-year contract, which commences on 1 June. A pre-bid meeting took place yesterday.

The qualifying bidders had to have annual sales in excess of US$200 million.

The airport handled 6.7 milllion passengers last year, up +11% on 2005. Its shops trade 24 hours a day.

Sales are understood to have reached INR444 million (US$10.1 million) last year, with branded wines and spirits accounting for two-thirds of that total. Tobacco was the only other big category with sales of INR63 million (US$1.49 million). Fragrances and cosmetics generated sales of INR7 million (US$159,000).

The single terminal will include three units – one 1,355sq m Departures store, a 700sq m Arrivals store and a 145sq m storage department .

Mumbai International Airport Pte Ltd has been granted the exclusive right to develop, operate and manage CSIA for 30 years.