SOUTH KOREA. Lotte Duty Free and Hyundai Duty Free are the sole bidders for the Incheon International Airport DF1 and DF2 concessions, for which bids closed today, informed sources close to the tender have confirmed to The Moodie Davitt Report.
This will mean the two companies will share the spoils as one bidder cannot win both concessions. Both made offers for each contract.
Each concession embraces liquor & tobacco and perfumes & cosmetics.
As reported, both contracts are up for grabs following the quitting notices served in late 2025 by incumbents The Shilla Duty Free (DF1) and Shinsegae Duty Free (DF2).
To the surprise of some observers, neither party rebid.
Shinsegae Duty Free told The Moodie Davitt Report, “After careful consideration until the final stage, Shinsegae Duty Free has decided not to participate in the current Incheon International Airport duty free tender for DF1 and DF2.
“This decision was made following a comprehensive review of the overall market environment, changes in consumer trends, and the profitability of the business.
Going forward, Shinsegae Duty Free will continue to pursue sustainable growth through a strategy of selection and focus, prioritising operational efficiency and long-term value.”
Nor did any international player bid. China Duty Free Group examined a bid but likely had its hands full negotiating the ground-breaking acquisition of DFS’s travel retail businesses in Hong Kong and Macau and intangible assets in Greater China, announced yesterday.
Incheon International Airport Corporation (IIAC) launched a new tender on 11 December for the two contracts.
Shilla and Shinsegae are set to exit their multi-store contracts on 17 March and 27 April 2026, respectively, in response to heavy operating losses and their failure to renegotiate financial terms with IIAC.
The new concessions will run from the starting day of operation until 30 June 2033 (the tenure can be extended once during the concession period with a ten-year limit)
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