SRI LANKA. China Duty Free Group (CDFG) has hailed the potential impact of recently announced duty-free regulatory reforms that expand shopping opportunities at its downtown operation at Port City Colombo. Click here for our 11 May story on the changes.
In February, The Committee on Public Finance approved regulations published under the Colombo Port City Economic Commission Act No. 11 of 2021. A notice was subsequently issued via Gazette on 13 February and the Committee on Public Finance formally ratified the changes in late April.
The duty-free complex managed by CDF Duty Free Sri Lanka, as well as that run by One World Duty Free, stand to benefit.
Under the rules, arriving Sri Lankan citizens and residents are eligible to shop within four days of returning to the country (with two visits allowed within this time), while departing passengers holding valid boarding passes can make purchases before travel and collect their goods at airport collection counters before check-in. Accredited diplomats are also eligible under applicable regulations.
Speaking as the regulations were launched, CDF Duty Free Sri Lanka General Manager Dimantha Kinigama stated, “Our key strength lies in our extensive global brand portfolio. The scale of our group operations enables us to offer highly competitive pricing, exclusive duty-free products and fashion and luxury brands not currently available in Sri Lanka—or even within the subcontinent.”
He added, “We are also a digitally-driven retailer. Prices are displayed digitally, customer behaviour is analysed in-store to optimize layouts and promotions, and technology plays a key role in enhancing the customer experience.
“While we operate with CDFG’s global vision, our intention is very much local – to grow and unlock the immense potential of Sri Lanka’s duty-free and retail sector.”
As we noted in our earlier story, officials said that foreign tourist arrivals to the Port City remain low, accounting for just 1.5% of total visitors. The policy shift aims to expand access for domestic shoppers and enhance the commercial viability of the duty-free stores.
The Port City duty-free stores also now permit departing passengers to pre-order liquor downtown. CDF Sri Lanka has introduced a streamlined pre-order and collection service, allowing customers to place orders at the Port City store and collect their purchases at the Bandaranaike International Airport departures terminal.
A CDF Duty Free Sri Lanka statement today also highlighted the location’s growing attraction to locals and visitors.
“With the facilitation of the regulatory reform, consumers will have more reasons to visit CDF Duty Free Sri Lanka Port City Colombo to enjoy the comprehensive experience. CDF Sri Lanka hosts complimentary chocolate tastings, wine sampling sessions, and regular customer engagement activities.
“CDF Sri Lanka staff are carefully selected industry professionals who can guide customers across brands and budgets with confidence and warmth. Port City Colombo also offers excellent dining options, making it an ideal day-out destination. In short, CDF Sri Lanka is about leisure, choice, value, and experience, not just convenience.”
CDFG said its entry into the Sri Lankan market reflects growing interest in the country’s tourism recovery and evolving consumer retail landscape.
“The downtown duty-free model is increasingly viewed by the tourism sector and the regulators as a way to enhance travellers’ spending, improve convenience and strengthen Sri Lanka’s competitiveness as a regional destination”, the statement added. ✈
