CHINA. Offshore duty free sales in Hainan province rose by +121% year-on-year in the first nine months of 2021 to CNY35.5 billion (US$5.6 billion) according to new data from Haikou City Customs.
Though sales have been impacted over recent months by various COVID-19 outbreaks on the Mainland, 2021 is certain to be a record year for the sector. In 2020, full-year sales (including tax paid items) on the island reached RMB32.74 billion (US$5.05 billion).
Golden Week sales in October 2021, though again affected by the pandemic, will have driven this year’s sales considerably. As reported, revenues for the holiday period between 1 and 7 October soared by +66.9% year-on-year to an all-time high of CNY1.47 billion (US$254.5 million).
Some 50.7 million items were sold during the first nine months, a leap of +158% compared to the same period in 2020, according to figures supplied to The Moodie Davitt Report by the Hainan Provincial Bureau of Intentional Economic Development (Hainan IEDB).
Over 5.1 million customers visited the island’s duty free stores, up +84.5% year-on-year over 2020 when traffic levels were hit hard early in the year by the initial COVID-19 outbreak.
Nine stores currently operate in Hainan: two in downtown Haikou and one at Haikou Meilan International Airport; one at the Mission Hills Resort near Haikou; one in Qinghai Bo’ao Airport; one in Haitang Bay, Sanya; two in downtown Sanya; and one at Sanya Phoenix International Airport.
Note: Every fortnight The Moodie Davitt Report publishes Hainan Curated, in association with Foreo, a selection of all recent stories from the offshore duty free sector in Hainan province.
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