Aer Rianta International-Middle East is a company on the move. After securing lucrative contracts in Oman (airport) and Bahrain (inflight), managing director John Sutcliffe tells DFNI editor-in-chief Dermot Davitt how it plans to open a new inflight division and add border stores to its portfolio.

The 18th annual Frontier Duty Free Association Convention in Vancouver last month demonstrated why the Canadian border business is capturing the attention of the global industry. Despite a controversial tax on tobacco and the enduring effects of September 11, many operators have reported growth this year and are set to expand. John Rimmer reports.

DFNI talks to Middle East Duty Free Association president John Sutcliffe about the fledgling regional body?s aims, and the key issues facing its members.

It has been a while coming, but sunglasses are now firmly on every buyer?s list of ?must have? products. And with more proactive moves from suppliers and retailers, the category is entering the fashion mainstream, says Kevin Rozario.

Dubai Duty Free spokesperson Ria Espenilla tells DFNI: ?A fixed body of staff, who understand and appreciate consumers? needs and are fully trained on all aspects of sunglasses retailing, is always helpful in increasing sales.?

...twin product stores, that is. Swiss travel-retail distributor Niclas is renewing its airport presence with its two-year-old watches-and-sunglasses retail concept watch&see. Kevin Rozario speaks to ceo Christian Dotta about the future of the new ?twinning? model, which has evolved from an older sunglasses formula.

As one of the leading retailers in a region regarded by some commentators as having the best opportunities for growth in the cigar sector, Abu Dhabi Duty Free?s decision to expand its cigar offer is a wise one. And after a dramatic drop in sales over the past year, the renovation could not be more timely. Gavin Lipsith speaks to duty-free manager Hani Gress.

For many years Cuban supplier Habanos was the big fish of the premium cigar sector, with 80% of global sales volumes. But over the past few years non-Cuban brands have made serious ground, aided by better consumer knowledge and increased professionalism among suppliers. Gavin Lipsith examines the growing popularity of non-Cuban cigar brands.

One of the thornier issues to arise from the US embargo on trade with Cuba is that of international trademarks.

Dutch supplier Agio?s Balmoral Dominican Selection is one of the newest shortfiller products on the market, and export manager Hans Rijfkogel believes it can compete with certain Cuban longfiller brands.

Spanish operator Aldeasa has been developing its specialist cigar outlet Cava del Cigarro in Spanish airports since 1998.

Dubai Duty Free is set to surpass its sales target of Dh1bn ($272m) this year. But the operator harbours even bigger ambitions, and has an annual target of $500m firmly in its sights. Managing director Colm McLoughlin explains how he aims to reach it.

Against a backdrop of deepening political uncertainty, Kuwait Duty Free has significantly increased its business?and managing director Anthony Chalhoub believes that the future could be full of golden opportunities. Jonathan Brown reports.

Copenhagen Airports (CPH) retail development director Alan Bork is leaving the company to pursue other opportunities in the industry. No replacement has yet been named.

After three months, Nick Hillyard has ended his consultancy role with King Power.

SINGAPORE. The Civil Aviation Authority of Singapore (CAAS) has extended its 15% rent discount to its Changi airport tenants for a further three years. The relief was initially introduced on July 1 for six months to help tenants overcome the effects of a downturn in traffic that has hit the airport since September 11. In addition, the government has launched a review of Changi?s competitive strategy against what transport minister Yeo Cheow Tong called ?a backdrop of continued uncertainty in the global aviation industry and intensifying airport competition?.

MIDDLE EAST. Aer Rianta International?Middle East (ARI-ME) is considering opening a border store on the frontier between Bahrain and Saudi Arabia. It would be the company?s first venture into border stores in the region. The news, first reported by DFNI?s new e-mail service DFNI eXTRA, emerged as ARI announced a new venture in the inflight retail business and comes as the group seeks to diversify its operations.

UAE. Dubai Duty Free is on course to almost double sales over the next five years to $500m, according to managing director Colm McLoughlin.

ARGENTINA. As DFNI went to press, talks were continuing over the future of InterBaires? contracts at Argentina?s leading airports following the company?s takeover by Deutsche Bank Trust Americas Corp on November 15.

SCANDINAVIA. SAS Trading is close to completing a strategic review of its business, which so far this year has led to changes in its supply chain, IT structure and merchandising. The changes were mainly prompted by the loss of duty-free contracts worth about $60m at Sweden?s airports, awarded to The Nuance Group last year. The final stage in implementing a new strategy involves a restructure that sees the departure of director international business development Robert Hernadi, and gives more decision-making power to regional managers.

US. Leading inflight concessionaire Duty Free Air and Ship Supply (DFASS) has made its first move into airport retail in the US, where it is to operate nine speciality gift stores at Los Angeles International airport (LAX). DFASS will act as a sub-contractor to WH Smith, whose gift concessions it will take over subject to approval by the board of the LAX airport authority.

By Dermot Davitt  Editor In Chief

ROMANIA. Bucharest Otopeni International airport authority AIBO is close to announcing the winners of the tender for the former duty-free space at the location. The space has been empty since operator EDF Asro was evicted in March, and the Romanian government?s recent decision to ban airport duty-free has forced the landlord to seek duty-paid retail bids.

BOTSWANA. Botswana?s struggling airport duty-free market urgently needs investment, according to downtown operator V&V Group marketing director Vikash Ponangi. He said facilities at the country?s main airport in Gaborone need to be improved, and more branded goods need to be made available to passengers.

UK. Former Air 2000 inflight retail manager Tina Sanders has created a new company, Omnida, to provide inflight services to airline operators. And the company has already gained its first contract, with UK airline Astraeus.

EUROPE. A group of 20 European travel retailers attended a conference in Brussels last month on the subject of crossborder overcharges in the Visa credit card system. The meeting, hosted by  Kappé International president Jacques Parson and moderated by The Duty Free Business and Moodie International, heard that travel retailers are being overcharged by up to Eur70m ($70m) by credit card groups.

PHILIPPINES. The delay in opening the new terminal three at Manila?s Ninoy Aquino International airport, ordered by president Gloria Arroyo, was purely about security and not retail revenue issues, according to Duty Free Philippines (DFP). DFP general manager Michael Kho said the new terminal, where DFP said it would be operating, could open by February 2003.

CHINA. Confusion surrounds the fate of the planned new Salvadore Ferragamo boutique, one of eight in Beijing International airport?s showcase fashion mall which was due to open in October.

Leading liquor supplier Diageo is planning the general roll-out of its new range of Baileys gift packs that were test-launched in World Duty Free and The Nuance Group outlets this summer

Operators at the Frontier Duty Free Association Convention show in Vancouver last month named Canadian liquor distributor Peter Mielzynski Agencies (PMA) best national supplier.

Abu Dhabi Duty Free has reaffirmed its commitment to developing cigar sales with the announcement of plans to open a dedicated 100sq m (1,760sq ft) cigar area within its renovated shopping complex.

Swiss duty-free operator and distributor Weitnauer has denied any involvement in a smuggling and money-laundering operation, as alleged by several European governments against US tobacco manufacturer RJ Reynolds.

Guerlain is entering the arena of travel-retail exclusive fragrances with the launch of With Love.

Paco Rabanne has introduced a new edt which it claims reinforces, complements and supports its predecessor Paco Rabanne pour Homme.

Helena Rubinstein?s latest skincare product Expressionist is designed to fill a crucial gap in the company?s portfolio.

Guerlain has developed a new skincare concept in its Issima franchise?Happylogy.

Caviar House has started to roll out a new concept aimed at changing consumer attitudes to caviar.

UK novelty and speciality confectionery supplier Churchill?s Confectionery, which is best known for its Travel Sweets, is expanding its product range and planning to enter new markets.

Nestlé International Travel Retail (NITR) intends to stage a series of Nestlé Festivals at key Gebr Heinemann stores next year, featuring a variety of promotions.

The Sanford Group, which purchased the renowned Waterman and Parker pen brands from Gillette in 2000, has made clear its intention to build a strong writing instruments business in the tax-free channel.

Hawkswell Associates is bolstering its position in the inflight market with several new launches.

French luxury crystal supplier JG Durand has augmented its Tasting collection with the launch of three new vodka shot glasses designed to complement the Stretch, Bayadere and Tweed lines.

Italian jeweller Bvlgari has had a welcome boost following the announcement of third-quarter results, despite a difficult year so far.

Swatch has launched its Turnover range of watches, complete with James Bond tie-in model, to coincide with the release of the latest Bond film Die Another Day.

Italian sunglasses manufacturer Safilo is preparing to move its brands into four new stores at Los Angeles International airport following DFASS?s concession gains there.