The HDC-Shilla Consortium, Hanwha Galleria, and SM Duty Free Shop (operated by Hana Tour) have won downtown Seoul duty-free shop licenses.
As for the license for a shop in Jeju City, it went to the Jeju Tourism Organization. The Korea Customs Service announced on July 10 that it has selected four operators for duty-free shops. A total of seven bidders competed for two slots assigned to large corporations including Lotte Duty Free, Shinsegae DF, Hyundai Department Store, SK Networks, E-Land, as well as the two winners.
As HDC-Shilla Duty Free Shop, the consortium of Hotel Shilla and Hyundai Development Corp., and Hanwha Galleria took the licenses, it is likely that the duty-free market would be shaken up severely. Shilla Duty Free Shop will build the world's largest duty-free shop in Yongsan following a large one within Hotel Shilla, which will give it a leg up in catching up with industry leader Lotte Duty Free.
Hanwha Galleria, meanwhile, will also be able to expand its clout after it secures the license to run a Seoul downtown duty-free shop after winning one in Jeju International Airport. Hanwha will build the shop inside its landmark Hanhwa 63 City building in Yoido. The company will create a tourist attraction by combining the duty-free shop with the existing wax museum, the 63 Sky Art Gallery, the art hall, and the aquarium. The companies that won the licenses will have to open the shops within six months from now.
