Sweden argues for arrivals duty-free

Tina Milton

Print Article E-Mail Article E-Mail Author

The country’s travel-retail industry hopes Sweden will become the first in the EU to offer duty-free arrivals shopping.

State-owned Swedish airport authority Luftfartsverket (LFV) has requested permission from the government to sell duty-free liquor to passengers arriving from outside the EU. If successful, Sweden would be the first EU member state to sell duty-free goods in arrivals since abolition in 1999. It is also requesting permission to sell duty-paid liquor to departing EU travellers.

“We need equal opportunities,” LFV’s partner at Stocholm airport, Arlanda Schiphol Development Co (ASDC) managing director Gert-Jan de Graaff told RavenFox.com. “Norway is our neighbouring country and its arrivals duty-free industry is damaging us a great deal. We are even restricted from selling tax-paid liquor in departures and arrivals.”

LFV recorded a 20% decline in retail sales at its airports when Norway, which remains outside the EU, opened its first duty-free arrivals store at Oslo Gardermoen International airport in 2005.

European Travel Retail Council secretary general Keith Spinks doubts that Sweden will manage to convince the EU to change the law to allow duty-free arrivals. “I understand the position Sweden is in,” he said. “There is a big economic advantage in being able to sell duty-free goods in arrivals. And yet I have no idea why Sweden thinks they are in a position to ask their government to change the rules. The only way the rules can change is if the Swedish government persuades Brussels to put forward a proposal which is then unanimously brought forward by all 27 member states. Sweden does not have a hope of achieving that at this time.”

LFV says that its initial goal is to convince the Swedish government to open up a debate within Europe about relaxing arrivals duty-free regulations. It expects a decision from the government by the middle of this year.