Duty Free Shops in the Philippines
By Graceekwenx
@Graceekwenx (3160)
Philippines
January 22, 2012 7:38pm CST
To my filipino friends, i do not understand why and how duty free shops thrive in here? For sure, these shops dont get filled up by the public as only balikbayans are allowed to shop in there. There are more sales clerks there than there are buyers. I dont see the logic here. The chocolates that i find in duty free are no different from the imported brands that i see in Rustans Department store. Should duty-free shops here be a little more radical? Can they not open the duty free shops to the open public at least for weekends so that they can have more sales and profit? Why do they have to be so specialized anyway?
2 responses
@PalePurple (157)
• Philippines
23 Jan 12
Hi Grace,
Let me greet you first Kung Hei Fat Choi! as it is the celebration of the Chinese New Year today - January 23, 2012.
I believe the Duty Free shops all over the world, including that of the Philippines are bound by certain local and national laws to ONLY cater for local and international travelers, thus it is a special PRIVILEGE specifically for them. The purpose of which was to lessen the baggage and things carried by the travelers from one destination to the another with the prices that were sold before the levy of any taxes of a particular international zone. The travelers are that special so as to encourage more tourism and international traveling.
If they will be allowed to sell to the public, then the products has to be subjected to the national and local taxes which most likely have the same prices with that of the local stores.
@Graceekwenx (3160)
• Philippines
23 Jan 12
Now i get it... but my other point of concern here is that how do they keep up in this kind of business wherein there is not enough buyers. Furthermore, the stuff they sell there is no different from the stuff i see in rustans malls; only, they are cheaper because of less duties tax. If i travelled from the US, of course, i would still stash my luggage of imported sweets rather than buying here they are all the same.
The cutting edge they have is the very low cost of the gadgets.
I just wondered, who manages duty-free shops? Is it a foreign investment or local?
@taki_takaishi (1279)
• Philippines
23 Jan 12
I will seconded this question.
What I know is that most of the items there are cheaper compared buying in regular malls. One time when my aunt came to the philippines for a visit, we went shopping in Duty Free. There was headphone from Sony that I like to buy, it cost like P8,000 in regular malls and also the ones from the supplier of sony itself in the Philippines. When I checked the Duty Free, it cost like half of what I saw in the Malls, so that's P4,000. I was able t buy and use it and the item was with me for 4 years.
So, I guess, if Duty Free were to open to the public, it would be more crowded.
