Sri Lanka removes arrivals tobacco allowance

John Rimmer

31-Mar-2006

Sources confirm that the Sri Lankan government has carried out its threat to prevent tourists and returning nationals from purchasing tobacco at the country's arrivals duty-free stores

From tomorrow (April 1), tourists and returning nationals will be unable to purchase tobacco products at Sri Lanka's arrivals duty-free stores or on board flights into the country. The government has acted on a proposal to remove arrivals allowances in order to protect the revenues of local producers on the domestic market, an aim the country's main airport duty-free retailer Alpha Orient Lanka has questioned.
 
"This is a pre-election government mechanism to imply that sales lost will be made up on the domestic market," said Alpha Asia managing director Paul Topping. "Statistically this is not true. Interested parties, including government departments caught unaware, are lobbying for a rebuttal of the ban."
 
Topping called on affected companies within the travel-retail industry to make their feelings known to the Sri Lankan authorities.
 
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(31-Mar-2006) - A proposal to abolish Sri Lanka's inbound tobacco allowance could end tobacco sales at Alpha Orient Lanka's Colombo arrivals outlet
(1-Apr-2006) - SRI LANKA. Tourists and returning nationals will be unable to purchase tobacco products at Sri Lanka's arrivals duty-free stores or on board flights into the country from April 1
(1-Apr-2006) - The Sri Lankan government is considering a proposal to abolish the country's inbound duty-free tobacco allowance, a move that would effectively end tobacco sales at Alpha Orient Lanka's arrivals duty-free store in Colombo
(15-Apr-2006) - The precarious future of duty-free tobacco was thrown into relief once again earlier this month when the Sri Lankan government made good its pledge to ban sales of tobacco at the country's arrivals duty-free stores and on board flights into Colombo
(15-Apr-2006) - SRI LANKA. Retailer Alpha Orient Lanka is continuing its lobbying effort against the Sri Lankan government's recent decision to ban sales of tobacco in arrivals duty-free (DFNI April 1)