Dubai Duty Free expects 2007 sales to hit Dh3.12b

"It has been a fantastic year, and we have been recording 20 per cent year-on-year growth, thanks to the dynamic growth of Dubai," Colm McLaughlin, managing director of the Dubai government-owned DDF, told Gulf News on Sunday.

"It's a great achievement, and we expect to cross the magic figures of $1 billion by 2008 when the new concourse at the Dubai International Airport opens in May 2008 which will allow us larger premises."

DDF's last year's revenue was about half of the total travel retail sales of $1.5 billion. DDF ranks third in the world.

It is expected to start at the new temporary terminal at the Al Maktoum International Airport, which is expected to start commercial operations in mid-2008.

Perfumes have been the top selling category followed by gold, liquor, electronics and general items.

"Per capita spending has been around $45 per passenger, up from the previous year's $42, which is way above the industry average," he said.

Last year, the operations recorded 16 million sales transactions, which equates to 44,000 sales transactions per day, DDF said in a statement yesterday.

Although the DDF's success comes primarily from the growth in traffic through Dubai International Airport - the busiest hub in Mena - its sales growth has somehow overshadowed passenger traffic growth.

Confirming the point, McLaughlin said, "Due to this factor, the per capita spend in the DDF is going up."

Average per capita spend in the global duty free industry is between $15-$20.