JAPAN. Japanese duty free retailers are suffering badly from the current travel crisis but there is no sign of rental relief from the key airport authorities.
“All retailers are suffering from a big decrease of sales – more or less -30% down,” said Japan Airport Terminal Company (JATCo) senior manager duty free operations Takaaki Iwamatsu. “But no information regarding rental relief from Narita and Kansai Airport Authorities has yet been made.”
The International Air Transport Association (IATA) recently urged Tokyo Narita Airport to follow other airports and cut charges to help airlines cope with the SARS and war-driven slump in air travel. It issued its appeal after Singapore Changi airport said it would give airlines and retailers hefty rebates on landing and rental charges from May 1st until the end of the year (see separate story on the home page). Hong Kong airport is also preparing to give rent relief to its stricken retailers.
An estimated drop of at least 1.2 million Japanese overseas visitors in the March to July period is hitting Japan’s travel retail industry – as well as foreign locations with a strong Japanese clientele.
