The Ministry of Transport and Civil Aviation just concluded the bid opening for the prestigious core category duty free bids for the Bandaranaike International Airport, today (07 July).

The Airport and Aviation services, under the Ministry had decided to go for a tender process for the first time. The tender which was floated in May this year, received very good responses from most of the top international operators in the world.

The standing cabinet appointed procurement committee (Tender Board) included officials from Ministry of Transport and Civil Aviation plus Ministry of Finance, conducted the bid opening for the prestigious core category duty free bids for BIA today.

The entire process was conducted in a fair and transparent manner, the procedure of which is to ensure that the airport gets the maximum revenue and the best operator, awarded the contract.

Duty Free shops at Bandaranaike International Airport accounts for 58% of non-aeronautical revenue.

Large global operators such as Heinemann, DFS, Aer Rianta, Dufry, Shila, Flemingo Duty Free, B&S, and ATU expressed their interest. The operators that participated in the bid were Dufry, Shila, Aer Rianta, DFS, Flemingo, B&S Holding and were all present at the bid opening.

The bid opening of the financial bids were also conducted in a very open and transparent manner. Bids submitted were World Duty Free (Dufry company ) - 36% up to 50 million, 38% Up to 60 million and 40 % on turn over above 60 million. Dufry also bid for different revenue shares without VAT. The Dufry bid appears to be conditional and can come up for questioning.

Shilla bid 34% .

Aer Rianta bid 28 %, creating a bit of drama and wanting to withdraw the bid after submitting.

Flemingo duty free bid was 40% and B&S bid 35 %

ATU put in document stating that they will not participate.

DFS also put in a bid stating it was a protest bid without any financial component.

Overall the bid was conducted in a very professional manner.

All in all operators were unanimous that the entire process was fair, straightforward and transparent with credit to the authorities for conducting such to ensure that BIA gets maximum revenue while the best operator is awarded the contract.