Mixed reaction from Singapore exhibitons

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The decision to press ahead with TFWA Asia Pacific has met with strong reactions from registered exhibitors to the show, ranging from unequivocal support to outrage at the decision to proceed

Many companies are waiting until early May to make a final decision on their participation. Most are concerned about the level of buyer attendance, which at this stage remains uncertain.

TFWA says it has received many messages of support for the decision to proceed. Other exhibitors are unhappy with the association's approach. One said: "There is still the fact that TFWA is not willing to pay back the exhibition fee or at least part of it. They argue about their regulations and rules, but there is nothing mentioned about SARS in the rules."

TRW understands some companies are considering removing the costs of shipping expensive stands and instead having simple, generic shelving to display their products.

One Belgian supplier said: "Normally we would ship with other companies from this part of the world and share the costs, but if they pull out of their space, or decide to use shelves instead, then we're left with a huge freight bill, so we may be forced into going down the same route. The other question is how many people we send, and whether we have the same presence as normal."

In the liquor category, many suppliers expressed a willingness to attend, but this was partly explained by the fact that several of them had already begun shipping their stand materials to Singapore. "The stand is on the water-we're already past the point of no return," one supplier told TRW. "But if there was a significant worsening of the situation, or if travel was restricted to the point where some visitors to Singapore were kept in quarantine for most of the show, then clearly there would be little point in going. We are relying on the good sense of the Singapore authorities."

Maxxium, Brown-Forman, Allied Domecq and Interbrew confirmed their intention to send a full team to the show. As in recent years, the world's biggest liquor supplier Diageo will not have an official presence in Singapore, but Diageo Global Duty Free managing director Vince Horne said the supplier's plan was to re-evaluate the show with a view to attending in future.

Among suppliers adopting a "wait-and-see" approach are Bacardi Global Brands and Heineken. TRW understands that a company ban on travel to Asia may yet restrict the number of US-based Bacardi executives visiting Singapore, while its Hong Kong-based staff will monitor travel restrictions closely. Heineken will assess the spread of the SARS virus and the cost of cancellation before making a final decision. Kyndal Spirits, meanwhile, confirmed that it had cancelled its stand.

In confectionery, there was a mixed reaction from companies TRW contacted. Kraft Foods World Travel Retail general manager Andreas Fehr said: "We took a decision not to exhibit with our own stand some time ago, before SARS was even on the horizon, but now our local agent Focus Network Agencies has cancelled its stand, so we won't be represented at all. I don't support the decision to go ahead and we have our own information that suggests customers won't show up in the anticipated numbers."

Guylian export and duty-free director Steven Candries cancelled this week. He said: "I was waiting to see if a solution had been found and finally sent an email today. I can't take the risk personally and there are insurance problems because the Belgian government has stopped its own employees travelling and advised businesses against doing so."

Storck Tax Free managing director Paul Ridgway was due to share stand space alongside Kraft and others, co-ordinated by Focus Network Agencies. He said: "I am still undecided about arranging my own stand, although the option is there. I was surprised to hear that the show was still on."

Masterfoods International Travel Retail consultant Stuart Bull commented: "I was involved in the decision to carry on with the show and I expect to be there if it does go ahead unless there is a company ban on travel, which is the case with many companies."

Bonardo Travel Retail managing director Alain Bonardo also intends to be there: "I am going unless the situation gets seriously worse in the next few weeks. But I have a feeling there won't be that many people there. However, a lot of the reaction is emotional and personally I don't feel I'm taking an unreasonable risk."

Opinion remains divided among other companies. Swiss watch supplier Niclas was doubtful about its attendance. Marketing manager Niggi Faeh told TRW: "We are still undecided. We have spoken with some of our clients and they prefer not to attend. For us it's not a question of if Singapore takes all the necessary precautions, it's whether there will be enough buyers at all."

Faeh explained that Niclas would continue to prepare as if it were attending, but would leave open the option of pulling out. "To a certain extent I can understand that the industry has to prove that life must go on. On the other hand we invest a lot resources in such an event and if the attendance is very low how does this help?" Niclas expects to make a final decision by the end of April with the objective being "to win as much time as possible".

German silversmith Thomas Sabo, due to make its first appearance at the exhibition as part of its travel-retail expansion, is "99% certain not to attend," according to export manager Ralf Mock. He added that the management of the company did not feel justified in exposing its staff to the risk of infection.

Margaret Richards Taylor, business development manager at Timex is unsure about exhibiting, partly because of the expected low attendance of buyers. "Although we want to be supportive of TFWA, it is difficult to ask our staff to enter a SARS infected area (and face the difficulties of going home afterwards). Also, what is the use of going to a show if the buyers are not planning to attend?"

Crystal supplier Swarovski will be at the show, however. Vice-president travel-retail Peter Zottl told TRW that Swarovski would be attending, "trusting in TFWA, and also in the Singapore government's handling of this case".

Also attending is Austrian jeweller M. Frey Wille. PR manager Barbara Windisch said: "We intend to exhibit. Though we will review this decision continuously over the next weeks and may react to new developments and information."

Scorpio Distributors is reviewing the situation and will take a final decision in two weeks. Managing director Stuart McGuire said the company disagreed with the decision to proceed. "Of course we want to exhibit at the show, but not if there are no buyers. We've had a board meeting and at present we're going, but we'll be reviewing that in early May."

TRW understands beauty house Scental cancelled its stand yesterday though a spokesperson said it still planned to be at the show in some form. A British-American Tobacco spokesperson said the company's Singapore staff would represent the company and Hong Kong staff would probably not travel.

Other companies who said they would attend include Highland Distillers, Genesis Distribution and Premier Portfolio.

Companies who will not be attending or who have cancelled stands include Zilli, Underberg, Nici, Smashbox Cosmetics, Micys, Satinine, Puig and P&G Prestige Beauté.