The Duty Free World Council and Tax Free World Association anti-illicit trade declaration received a strong endorsement from the travel retail industry at an event held today at the TFWA World Exhibition and Conference in Cannes, France.

The event marks the next step in the Duty Free: Trusted, Transparent, Secure campaign. The campaign, jointly launched by the DFWC and TFWA in 2022 is a global campaign to coordinate and demonstrate a clear stance by the duty free industry against illicit trade, counterfeiting and intellectual property theft.

Attendees at the event heard an address from DFWC President Sarah Branquinho, followed by a panel discussion with senior industry figures Nuno Amaral (ARI), Lucio Rosetto (Lagardere Travel Retail), Thab Musleh (Qatar Duty Free), and Michael Schmidt (Dubai Duty Free), moderated by TFWA Managing Director John Rimmer.

Speakers at the event were unanimous in their commitment to opposing illicit trade and other criminal activities wherever they occur, and reiterating the industry’s desire to collaborate with governments and enforcement agencies at every opportunity. Each had tangible examples of the way that illicit trade poses economic and reputation risks to the industry, and the need for a concerted all of industry approach to reinforcing the industry’s credentials as an authentic and trusted channel.

Branquinho also set out the anticipated next steps for the DF:TTS campaign, noting an intention by DFWC and TFWA to use the declaration in focused stakeholder engagement in 2024, and a commitment to growing industry participation further.

Speaking at the event, Branquinho said:

“Our industry needs to be synonymous with honesty, authenticity and integrity. We already boast one of the most transparent and secure supply chains in the world, and we have a strong history of close collaboration with customs authorities and enforcement agencies across the globe.”

“We are proud of the level of support in our industry for the declaration, and we encourage all retailers and suppliers to sign up to this important initiative.”

Speaking at the opening of the TFWA Conference earlier in the week, TFWA President Erik Juul-Mortensen highlighted the importance of a clear zero tolerance stance against illicit trade across the industry:

“We need to reinforce our credibility and clearly and publicly position ourselves as a model business, committing to the values that governments, regulators – and our customers – want to see: authenticity, trading honestly, and taking a zero-tolerance approach to illicit trading, counterfeiting and intellectual property theft across every product category.

These criminal activities unfairly tarnish our collective reputation as an industry when counterfeit goods are fraudulently mislabelled as ‘duty free’ to add authenticity. They cost industries like duty free and travel retail millions every year in lost sales opportunities.

I salute the retailers and suppliers who have already shown leadership by signing up to the Duty Free: Trusted, Transparent, Secure campaign, and I urge every retailer and supplier here today to do the same.“

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The DFWC and TFWA expect to make announcements regarding further retailer and supplier signatories at the upcoming TFWA World Exhibition and Conference to be held in Cannes in October 2023.
 
Welcoming the new signatories DFWC President Sarah Branquinho said: 
 
“The DFWC and TFWA are pleased to gain the support of Delhi Duty Free, King Power Thailand and King Power Group (Hong Kong) adding to that of other retailers in demonstration of our shared stand against all forms of illicit trade, counterfeiting and intellectual property theft, and to hold their commercial partners to that same standard. 

We welcome the support of other travel retail operators and suppliers who share this commitment and wish to be a part of the campaign which is increasingly gaining momentum.” 
 
Speaking on behalf of Delhi Duty Free, Chief Executive Ashish Chopra said: 
 
“We are proud to join our industry colleagues in taking this clear and strong stance against illicit trade, counterfeiting, intellectual property theft, and any form of criminal activity that threatens the reputation of the travel retail sector. 
 
“This is an important issue for our industry, and we encourage other retailers and suppliers who have not already signed the declaration to join us in doing so.” 

King Power Thailand Chief Commercial Officer Antares Cheng said:

“We will commit to fight against all forms of illicit trade. There is no place in our industry for companies to engage in illicit trade and we are proud of the hard work our industry does to ensure there is a zero-tolerance approach to all forms of fraudulent behaviour. We want to encourage all our partners to join us to protect our industry.”

Speaking on behalf of King Power Group (Hong Kong), Group Chief Executive Sunil Tuli
said:

“We are proud to stand with other leading travel retailers in the fight against all forms
of illegal and illicit trade that cause irreputable harm to our industry.

Our industry’s supply chain is robust and transparent, and we have a rich history of close collaboration with customs and enforcement authorities around the world. It is our collective responsibility to work with industry partners, enforcement agencies and governments to bring illicit trade to the end.

We look forward to partnering other retailers and suppliers in this ongoing fight to
prevent illicit trade in our supply chains.”

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Travel Retail Norway has today joined as a signatory to the Duty Free World Council and Tax Free World Association anti-illicit trade declaration – the latest leading travel retailer to sign the declaration.

Operating in travel hubs across Norway, the addition of Travel Retail Norway to the declaration reinforces the industry’s strong and ongoing commitment to combat illicit trade, counterfeiting and intellectual property threat.

DFWC and TFWA launched the anti-illicit trade declaration in July 2023. By signing the declaration, signatories commit to a zero-tolerance approach to illicit trade within their own organisation.

Welcoming the decision of Travel Retail Norway to sign the declaration, DFWC President Sarah Branquinho said

“DFWC and TFWA are pleased to welcome Travel Retail Norway to the growing list of retailers publicly committing to never permit any form of illicit trade, counterfeiting or intellectual property theft, and to hold their commercial partners to that same standard.

We welcome the support of any travel retail operator or supplier to wishes to be a part of the declaration, and we continue to encourage members of our industry to join us.”

Speaking on behalf of Travel Retail Norway Deputy Chief Executive Haakon Dagestad said:

“We are proud to join our industry colleagues in taking this clear and strong stance against illicit trade, counterfeiting, intellectual property theft, and any form of criminal activity that threatens the reputation of the travel retail sector.

Our industry’s supply chain is robust and transparent, and we have a rich history of close collaboration with customs and enforcement authorities in Norway and around the world.

“This is an important issue for our industry, and we encourage other retailers and suppliers who have not already signed the declaration to join us in doing so.”

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Another of the world’s largest global travel retailers, Duty Free Americas, has today joined as a signatory to the Duty Free World Council and Tax Free World Association anti-illicit trade declaration – the eighth leading travel retailer to sign the declaration.

With over 200 stores in airports and border crossings throughout the Americas, the addition of Duty Free Americas to the declaration marks a major extension of the duty- and tax-free industry’s public commitment to combat illicit trade, counterfeiting and intellectual property theft.

DFWC and TFWA launched the anti-illicit trade declaration in July 2023. By signing the declaration, signatories commit to a zero-tolerance approach to illicit trade within their own organisation.

Welcoming the decision of Duty Free Americas to sign the declaration, DFWC President Sarah Branquinho said:

“The DFWC / TFWA anti-illicit trade declaration continues to grow in strength, and I am very pleased to welcome Duty Free Americas as the most recent signatory to this important initiative.

Our industry boasts one of the most transparent, trusted, and secure supply chains in the world, and this campaign sends a clear message to our millions of customers around the world that they can shop in duty- and tax-free stores around confident that the products they are purchasing are authentic and genuine.”

Signatories to this declaration are making a firm public commitment to never permit any form of illicit trade, counterfeiting or intellectual property theft, and to hold their commercial partners to that same standard. We welcome the support of any travel retail operator or supplier to wishes to be a part of the declaration, and we continue to encourage members of our industry to join us.”

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Part of the LVMH group and operating in important markets such as Europe, North America, China, Japan, and the wider Asia Pacific region, the addition of DFS to the declaration marks a major extension of the duty- and tax-free industry’s public commitment to combat illicit trade, counterfeiting and intellectual property theft.

DFWC and TFWA launched the anti-illicit trade declaration in July 2023. By signing the declaration, signatories commit to a zero-tolerance approach to illicit trade within their own organisation. 

Welcoming the decision of DFS to sign the declaration, DFWC President Sarah Branquinho said:

“The Duty Free World Council and Tax Free World Association were proud to launch the anti-illicit trade declaration in July of this year with a strong contingent of supportive retailer signatories at the outset.

The signature of DFS is a major addition to the declaration and can only serve to further strengthen it and set an example for other retailers and suppliers around the world. We now have seven of the largest travel retailers in the world signed up. In the months ahead we hope to bring further positive news as other retailers and brand owners commit to supporting the anti-illicit trade declaration.

Our industry boasts one of the most transparent, trusted, and secure supply chains in the world. Customers around the world shop in duty- and tax-free stores because they have complete trust in the provenance and authenticity of the quality products we sell. This campaign reaffirms that trust, and sends a clear message to our millions of customers around the world that they can shop with confidence in duty- and tax-free stores.”

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12 July 2023

The Duty Free World Council (DFWC) and Tax Free World Association (TFWA), the representative organisations for the global duty- and tax-free industry, have welcomed the first cohort of duty- and tax free retailers signing a new zero-tolerance declaration on illicit trade, counterfeiting and intellectual property theft. The declaration has been created as the next step of the Duty Free: Trusted, Transparent, Secure campaign, which was previously jointly launched by DFWC and TFWA in June 2022.

Duty- and tax-free retailers, ARI, Dubai Duty Free, Dufry, Gebr. Heinemann, Lagardère Travel Retail, and Qatar Duty Free are the first to sign this initiative, with more retailers expected to join in the near future.

The initial signatories of this initiative collectively account for approximately $25bn of travel retail sales (2019) and rank amongst the largest and most successful duty- and tax-free retailers in the world.

A significant number of major brand owners have also made clear their willingness to make the same commitment, and a separate announcement on brand owner support will be made in the near future.

By signing this declaration, retailers commit to a zero-tolerance approach to illicit trade within their own organisation. They are also requesting their suppliers follow suit with a clear anti illicit trade policy. This builds on the commitments already made by a number of duty- and tax-free retailers through the UN Global Compact.

This commitment will be a key tool to demonstrate a united front and will further demonstrate that the duty- and tax-free industry is in no way associated with the growing problem of illicit goods fraudulently labelled as duty-free.

Marking the launch of the declaration DFWC President, Sarah Branquinho, thanked the initial
signatories for their strong support and encouraged others to follow their example:

“There is no place in our industry for companies that engage in illicit trade. Illicit trade in all its forms causes substantial societal harm and costs our industry significant lost sales opportunities. It can also cause our industry reputational harm when illicit or counterfeit goods are fraudulently mislabelled as ‘duty-free’ in an attempt to lend authenticity to the product. Ultimately, consumers should be aware that when they purchase goods labelled as duty-free outside of a licensed duty-free retailer, it is very likely to be a counterfeit product.

“Our industry already boasts one of the most transparent, trusted and secure supply chains in the world. We are proud of our industry’s credentials and commit to maintaining these high standards.”

Commenting on today’s launch, Branquinho added: “Today, some of the major players in our industry are making clear their ongoing stance against illicit trade and will be encouraging their suppliers to follow suit. There can be no room for doubt – the duty- and tax-free industry has zero tolerance for illicit trade in all its forms. We want to send a clear message worldwide – when you shop in a duty-free shop, you can do so with complete confidence!

“Our announcement today builds upon the decades of trust that we have built up with our customers, governments, customs authorities, and industry partners. DFWC, TFWA and the initial signatories are keen to grow the momentum behind this initiative and are confident the industry will be fully behind it.”

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Secretary General of the European Travel Retail Confederation (ETRC), Julie Lassaigne, reminded delegates at the Travel Retail Consumer Forum of the importance of better communicating the duty- and tax-free industry’s strengths.

Source: TR Business

At the panel “Travel Retail in Ten,” which explored how the industry will change over the next 10 years, Lassaigne encouraged the travel retail industry to advocate for the advantages of shopping in the channel, such as the authenticity of goods. 

To this end she highlighted the Duty Free: Trusted, Transparent, Secure campaign developed in partnership with the Duty Free World Council. 

You can read more about the DF TTS campaign and its key asks of policymakers by reading the DF TTS position paper here.

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At the session “Fighting for duty free“, she updated delegates on the Duty Free: Trusted, Transparent, Secure campaign, and reminded them of the importance to champion the industry’s transparent and secure supply chain credentials.

As the duty- and tax-free industry’s trade association for South America, the ASUTIL Conference bought together the region’s brands, suppliers, retailers at airports and border crossings, airline and ferry concessionaires, and airports, airlines and maritime operators themselves.

Branquinho reiterated the industry’s zero-tolerance approach to illicit trade across the duty- and tax-free industries, and urged all delegates to get behind the Duty Free: Trusted Transparent Secure campaign.

You can read more about the campaign and its key asks of policymakers by reading the DF TTS position paper here.

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In his opening remarks, TFWA President, Erik Juul-Mortensen drew attention to the campaign’s recently announced collaboration with the Organisation for Economic Co-operation and Development’s Business at OECD (BIAC) Associate Expert Group. Speaking to delegates, Juul-Mortensen noted that membership of the group will enable the DF:TTS campaign’s members to meaningfully contribute to relevant and ongoing policy discussions on illicit trade at an international level. To this end, they will participate in a range of policy groups that have been mandated to closely collaborate with various OECD Committees and policy bodies.

Business at OECD represents the leading business federations in OECD countries and over 7 million
private businesses across sectors and of all sizes. Its partnership with TFWA, a founding member of the DF:TTS campaign, provides a significant opportunity for both to contribute to the development of policy and best practice in the ongoing fight against illicit trade, counterfeiting and intellectual property theft.

On behalf of the DFTTS campaign, TFWA will look to take part in the OECD Anti-Illicit Trade Expert
Group (AITEG) to provide evidence-based and structured input to OECD activities on illicit trade and
contribute on related OECD policy drafts, and actively participate in meetings of the OECD Task
Force on Countering Illicit Trade (TFCIT).

For more information on the OECD’s Business at OECD community, visit businessatoecd.org/global-network

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Photo: TRBusiness

At the first conference session on day two of the IAADFS Summit of the Americas, leaders from the duty free and travel retail industry discussed key developments from across the region, and ongoing threats such as illicit trade, counterfeiting and intellectual property theft.

“We need to amplify our existing credentials as an authentic and trusted industry, and demonstrate our commitment to combatting criminality wherever it occurs”, speakers said.

They added that “the Americas are an important region”, and praised the industry’s extensive efforts in ensuring illicit trade does not gain a foothold in the duty free channel: “The ongoing support we receive from the industry in this region is very welcome and we ask for your continued support in the months ahead.”

Speakers highlighted the “unfair and inaccurate” allegations which the industry is defending itself against in regards to illicit trade. W

Photo: DFNI

The workshop-style session was hosted by John Rimmer, Managing Director, Tax Free World Association (TFWA), one of the Duty Free: Trusted, Transparent, Secure campaign’s key spokespeople.

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