COLOMBIA. Carilux Duty Free is set to make a major breakthrough in Latin American travel retail by opening its first border duty free store at the Simón Bolívar International Bridge between Colombia and Venezuela. The opening is scheduled for late Q3 or early Q4 2024.
The 200sq m, two-storey outlet, close to Colombian city Cúcuta in the Norte de Santander area, is situated on one of the busiest border crossings in Latin America, which Carilux said would ensure “high visibility and accessibility” for brand partners.
Carilux Duty Free is a joint venture between DFP World Ltd (www.dfpworld.com) led by CEO Matin Saluth and CDFP Carilux Duty/Free Panamericana (cariluxcaribe.com), led by President Julian Esteban Salgado Lopez.
Click on the video for impressions of how the Carilux Duty Free store will appear on opening later this year
Lopez said: “Carilux Duty Free uses DFP World Group’s expertise and local knowledge to turn the main Colombia-Venezuela border crossing and one of the top crossings in Latin America into a major travel retail hub for premium and luxury goods.”
Carilux Duty Free is forecasting retail sales of US$17.6 million in year one and has stated its ambition to become the leading non-airport duty free retailer in Colombia.
Key product categories include premium spirits, tobacco, fragrances & cosmetics and luxury goods. Carilux Duty Free estimates that P&C will account for around 63% of sales, liquor 25% with the balance from the other categories.
Crucially, said the company, it is committed to selling only genuine products sourced directly via suppliers or their authorised distributors for the regional market. There will also be dual pricing for domestic and international travellers. Carilux is calling on brand owners to connect and explore potential partnership opportunities.
The consumer base spans several groups, including Venezuelan travellers returning from Colombia, many of whom make same-day shopping trips; cross-border shoppers from the bustling city of San Cristóbal, Táchira and surrounding areas; plus diplomatic and humanitarian personnel living in the area.
In 2023, crossings at Colombia-Venezuela border points reached 26 million, with average daily volumes of over 73,000 (in peak weeks) and a high of 120,000. Average spend per traveller is estimated at US$25.
Carilux Duty Free said its goal is to further expand the retail concept to all other international border crossings of Colombia.
The company noted: “The whole region offers a unique market with immense potential, and we aim to cater to the high demand for premium and luxury goods among cross-border travellers. By offering a wide range of premium products, we aim to enhance the shopping experience and position ourselves among the leaders in the duty-free sector in Colombia.”
Carilux Duty Free highlighted its expertise and processes across retail spaces, 3D rendering, supply chain, bonded logistics, technology transfer, inventory, marketing, training, safety and HR.
CDFP Carilux Duty/Free Panamericana manages retail operations and other local market expansion projects.
DFP World is a travel retailer, distributor and supplier with interests and investments in Africa and Latin America. “With success in Indochina, West Africa and now Latin America, we focus on niche markets, linking consumer goods with travel retail,” said Matin Saluth.
*Carilux Duty Free is a Silver Sponsor of the ASUTIL Conference 2024, which takes place in Bogotá, Colombia on 19-20 June. ✈
