Airports pitch for relaxed alcohol, duty-free allowances

New Delhi: India’s largest airports want to sell more spirits and wine at shops inside their facilities and have sought a relaxation in duty-free limits in the upcoming budget.
India currently allows 2 litres of spirits or wine per passenger. That should be changed to allow 2 litres of spirits and the same amount of wine, according to a letter written by industry lobby group Association of Private Airport Operators (APAO) to finance minister Pranab Mukherjee.
The grouping includes operators of the airports in New Delhi, Mumbai, Hyderabad, Bangalore and Kochi, which account for 65% of passenger traffic. Alcohol, cigarettes, cosmetics, perfumes and chocolates comprise a bulk of purchases from duty free shops, analysts said.
Such allowances at airports such as Dubai, Singapore and Sri Lanka are higher, the grouping said.
“To be in competition with some of these tourist-friendly countries, it would be appropriate for government of India to allow duty free import of two litres of liquor plus two litres of wine in India, provided the articles are purchased only at Indian duty-free shops,” APAO secretary general Satyan Nayar wrote in the 10 January letter reviewed by Mint.
Mukherjee is scheduled to present the Union Budget later this month.
01/02/11 Tarun Shukla/Live Mint

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Categories: Airports Feb 2011