Kannur airport turns into shoppers' delight as GMR opens first duty-free outlet

GMR Airports Ltd (GAL) on Thursday (February 18) launched its first duty-free outlet at Kannur International Airport through its subsidiary, GMR Kannur Duty Free Services Ltd (GKDFSL).

Officials said that GKDFSL, located in the international arrivals section, offers an unmatched shopping experience. It will be offering an assortment of some of the world’s finest brands across liquor, perfume, confectionery, tobacco, travel essentials and authentic handpicked souvenirs. 

The duty-free shop will host over 100 liquor, tobacco and perfume labels in different variants. Premium brands such as Johnny Walker, Glenfiddich, Marlboro, Davidoff, Gucci, Hugo Boss, Calvin Klein will pamper the preference of shoppers and offer their loved ones a wide variety of choices for a perfect gift. 

The newly-opened Kannur duty-free outlet. Image courtesy: DIAL 

“We are now very happy to be partnering with KIAL and are excited about the potential of Kannur International Airport. Our aim is to bring best-in-class brands, offers and shopping experience to the shoppers that are on par with the global best. GKDFSL is committed to becoming one of the best travel retailers in south India by providing unmatched value proposition and enhanced shopping experience to its customers,” said Rajesh Arora, CEO (Business Development), GMR Airports.

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In January 2020, GAL, a subsidiary of GMR Infrastructure Limited, signed a concession agreement with Kannur International Airport Limited (KIAL) for the exclusive production, service, maintenance and management of duty-free shops at the Kannur International Airport.

Under the concession agreement, for a term of seven years, GAL will plan, finance and run duty-free shops at the Kannur International Airport. The term could be extended by another three years. 

Duty-free services at the Delhi and Hyderabad airports have already been operated by GAL through its affiliates. Addition of Kannur duty-free is the first concession outside GMR’s own airport portfolio.  

The Kannur Duty Free outlet will host premium brands such as Johnny Walker, Glenfiddich, Marlboro and others. Image courtesy: DIAL

On December 9, 2018, KIAL was commissioned as the fourth international airport in Kerala, the only state in the country to have four international airports. This is Kerala's second greenfield airport, built on a Public Private Partnership (PPP) model over an area of approximately 2,300 acres. The Kannur airport was able to sustain steady growth even amid the Covid-19 crisis.

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Kannur is an important city in the state of Kerala. The town is the administrative headquarters of the Kannur district and is located 518 km north of Thiruvananthapuram, the capital of the state. Kannur is a popular destination for tourism in Kerala, with its high-quality beaches, plentiful forestry and wildlife. A significant number of diaspora from the Kannur region works in the Middle East, and the Kannur international Airport caters to their flying requirements. 

Duty-free shops sell premium branded high markup goods that are exempted from certain local or national taxes and duties with the understanding that they will be sold to travellers who will take the goods out of the country. However, some countries do impose duties on goods brought in even though they had been purchased duty-free in another country, or when the value or quantity of such goods exceeds the permissible limit. Duty-free shops are often found in the international zone of international airports, seaports and train stations but goods can also be bought duty-free on board aircraft and passenger ships.