Wednesday, 06 August 2025

Dubai Duty Free Surpasses $1 Billion in H1 Sales — What Lies Ahead?

Published: Wednesday, July 09, 2025
Dubai Duty Free Surpasses $1 Billion in H1 Sales — What Lies Ahead?

Dubai Duty Free (DDF) has shattered records in the first half of 2025, posting an unprecedented AED 4.118 billion ($1.13 billion) in sales, marking a 5.3% increase year-over-year at Dubai International Airport—the world's busiest international airport. This milestone surpasses the previous half-year record by nearly AED 209 million ($57 million), underscoring the retailer’s robust recovery and Dubai’s enduring appeal as a global travel hub.

A key driver behind this surge was the soaring popularity of Dubai chocolate, with 2.5 million bars sold in six months, elevating its share of the confectionery category to a remarkable 40%[User query]. Confectionery sales alone surged by 62.7%, contributing significantly to the growth alongside strong performances in perfumes, beverages, tobacco, and gold. Perfumes accounted for 18% of total revenue, reaching AED 744 million ($203 million), while cigarettes and tobacco sales rose by over 12%.

The record-breaking sales were fueled by a spike in travel during the Eid holidays and early summer season, with April, May, and early June showing particularly strong retail activity. DDF’s Managing Director, Ramesh Cidambi, highlighted that spend per passenger in June is likely to exceed last year’s levels, reflecting both increased passenger volumes and higher consumer spending. He credited the achievement to his team’s dedication and Dubai’s position as a premier travel destination.

Significant refurbishments of three arrivals shops across all terminals contributed to a 6.3% sales uplift in May, enhancing the shopping experience and boosting revenue[User query]. Terminal-wise, Terminal 3—the largest and busiest recorded a 6.4% increase in duty-free sales, while Terminal 1 grew by 5.3%. Regionally, European travelers led growth with a 16.9% rise in spending, followed by the Middle East and Russia, while the Indian subcontinent showed more modest gains.

Looking ahead, DDF is preparing for a busy summer travel season, expecting around 3.4 million passengers between June 27 and July 9, with daily volumes exceeding 265,000[User query]. However, Cidambi cautioned that higher passenger numbers do not always translate into proportionate spending, especially among family groups[User query]. Additionally, regional geopolitical tensions, including the recent Israel-Iran conflict and subsequent U.S. sanctions on Iran, present uncertainties that could impact travel and retail dynamics in the second half of the year[User query].

To capitalize on growth opportunities, DDF plans to open three new luxury boutiques—Louis Vuitton, Chanel, and Cartier—in Terminal 3’s Concourse A, aiming to further elevate its high-end retail offering and attract affluent travelers[User query].

Beyond Dubai International, DDF is also preparing for the future transition to Al Maktoum International Airport (Dubai World Central), which is undergoing a $35 billion expansion and is expected to become the region’s mega-hub by 2034 with a projected capacity of 260 million passengers annually[User query]. Currently serving mostly cargo and charter flights, Al Maktoum’s passenger numbers are rapidly growing, positioning DDF to play a central role in shaping retail at the UAE’s future aviation gateway.

In summary, Dubai Duty Free’s record half-year performance in 2025 reflects a potent combination of strategic refurbishments, strong travel demand, and expanding luxury retail, reinforcing Dubai’s status as a global nexus for travel and shopping. The retailer remains optimistic yet cautious as it navigates geopolitical challenges and prepares for a dynamic second half of the year.

Turkish Airlines Close to Sealing Air Europa Deal as Air France-KLM Bows Out

Published: Tuesday, August 05, 2025
Turkish Airlines Close to Sealing Air Europa Deal as Air France-KLM Bows Out

Turkish Airlines is close to securing a significant investment in the financially troubled Spanish carrier Air Europa, positioning itself as the leading bidder amid recent withdrawals by other major aviation groups. According to reports by Spanish newspaper El Español and aviation news sources, Turkish Airlines is advancing rapidly in negotiations with Air Europa’s parent company, Globalia, with a deal possibly imminent. The stake discussed is believed to be around 25%, which would infuse approximately EUR 240 million (USD 275 million) of fresh capital into Air Europa.

Air Europa, owned 80% by Globalia and 20% by International Airlines Group (IAG), has attracted interest from various European giants, including Lufthansa and Air France-KLM. However, Air France-KLM has formally withdrawn from the bidding process, citing an inability to reach agreement with Globalia, although it continues its operational partnership with Air Europa as a fellow SkyTeam member.

Lufthansa CEO Carsten Spohr confirmed ongoing but challenging talks, describing the acquisition as “very difficult to get... to succeed.” Lufthansa has also ended its bid recently, leaving Turkish Airlines as the sole known contender.

The Turkish investment bid is strategic, enabling access to Madrid’s hub—Air Europa’s base—which offers valuable routes across Europe, Latin America, and transatlantic connections. This move aligns with Turkish Airlines’ ambition to bolster its European footprint and extend reach to Latin American destinations such as Miami, Buenos Aires, and São Paulo.

Analysts view the investment as a high-risk, high-reward opportunity given Air Europa’s precarious financials, including a looming repayment of EUR 475 million (USD 550 million) in pandemic-era government loans, alongside regulatory and operational uncertainties.

In parallel to seeking outside investment, Air Europa is negotiating a new loan worth about EUR 140 million (USD 160 million) with major Spanish banks to support its capital needs and manage its debt burden. The fresh capital from the potential Turkish Airlines stake combined with credit lines is seen as critical for stabilizing the airline’s finances.

While Turkish Airlines and Globalia have declined to comment publicly, these developments signal a potential significant shift in European aviation cross-border consolidation. If successful, Turkish Airlines would become a strategic partner in reorganizing Air Europa’s future, leveraging Madrid’s key geographic position to enhance connectivity across multiple continents.

Air Arabia Expands Route Network with New Flights to Bangkok

Published: Monday, August 04, 2025
Air Arabia Expands Route Network with New Flights to Bangkok

Air Arabia, the leading low-cost carrier in the Middle East and North Africa, is set to strengthen its connectivity between the UAE and Thailand with the launch of a third daily flight to Bangkok. Starting October 26, 2025, travelers will enjoy more flexible and convenient options as the airline adds an additional daily service between Sharjah International Airport and Suvarnabhumi International Airport in Bangkok.

This expansion to three daily flights highlights Air Arabia’s commitment to meeting growing passenger demand and enhancing travel experiences on this popular route. Adel Al Ali, Group CEO of Air Arabia, emphasized that the move not only caters to customers’ travel needs but also supports the growth of trade and tourism ties between the UAE and Thailand.

The new schedule offers a mix of morning, afternoon, and late-night departures to provide travelers with greater choice and convenience. On the ground, Air Arabia’s modern fleet of 83 Airbus A320 and A321 neo-LR aircraft ensures efficient and comfortable flights. Passengers benefit from spacious seating, in-flight entertainment via the complimentary 'SkyTime' streaming service, and the ‘SkyCafe’ menu of onboard meals. Additionally, the airline’s ‘Air Rewards’ loyalty program offers some of the most generous benefits in the region.

Bangkok, a vibrant destination renowned for its rich culture and bustling urban life, remains a favorite among UAE residents for both leisure and business. The added flight capacity is expected to boost tourism and economic engagement between the two regions further.

Customers can now book the newly expanded flights through Air Arabia’s website, call center, or travel agencies, making it easier than ever to explore this dynamic gateway to Southeast Asia.

Flight schedule effective October 26, 2025 (all times local):

  • G9 816: Sharjah 07:40 → Bangkok 16:55 (daily)
  • G9 817: Bangkok 17:55 → Sharjah 21:55 (daily)
  • G9 821: Sharjah 21:55 → Bangkok 07:10 (daily)
  • G9 822: Bangkok 08:00 → Sharjah 12:00 (daily)
  • G9 823: Sharjah 01:15 → Bangkok 10:30 (daily)
  • G9 824: Bangkok 11:30 → Sharjah 15:30 (daily) 

This strategic increase in flight frequency solidifies Air Arabia's role as a key player in enhancing UAE-Thailand connectivity, offering affordable, reliable, and customer-focused air travel in the region.

Etihad Airways Redefines Regional Luxury with Inaugural A321LR Flight to Phuket

Published: Monday, August 04, 2025
Etihad Airways Redefines Regional Luxury with Inaugural A321LR Flight to Phuket

Etihad Airways has taken a dramatic leap in redefining short and medium-haul air travel, launching the first commercial flight of its all-new Airbus A321LR. Departing from Zayed International Airport to Phuket, this debut flight marks a milestone: widebody luxury is now available on a single-aisle aircraft, and the inaugural journey sold out across First, Business, and Economy classes.

The new A321LR brings Etihad’s famed premium experience previously reserved for its largest aircraft to a next-generation single-aisle jet. This sets a new benchmark for travelers seeking exclusivity typically found only on long-haul routes.

Arik De, Chief Revenue and Commercial Officer at Etihad Airways, described the A321LR as “our ambition to deliver extraordinary experiences on every route we serve. It allows us to bring the sophistication of our widebody cabins, including our renowned First experience, to more destinations, and to more travellers, than ever before.”

The cabin features include:

First Suites: Two fully enclosed, private suites with sliding doors, 20-inch 4K screens, flat beds, wireless charging, Bluetooth pairing, and space for companion dining that reflect the airline’s award-winning service and attention to detail.

Business Class: Fourteen lie-flat seats in a 1-1 herringbone configuration, each equipped with a 17.3-inch 4K display, wireless charging, direct aisle access, and window views.

Economy Class: 144 ergonomically designed seats with 13.3-inch 4K touchscreen displays, USB charging, and Bluetooth headphone connectivity, ensuring premium entertainment access for all passengers.
All cabins benefit from high-speed Wi-Fi supporting video conferencing, streaming, and gaming, along with enlarged overhead bins to enhance convenience throughout the journey.

 The A321LR’s introduction marks the first of 30 such aircraft Etihad is set to add to its fleet, each configured to raise standards for regional air travel.

With this launch, Etihad continues to combine design innovation with service excellence, elevating comfort and style across every flight, no matter the distance.

Qatar Airways Expands Cape Town Services with Additional Flights

Published: Saturday, August 02, 2025
Qatar Airways Expands Cape Town Services with Additional Flights

Flying in and out of Cape Town just got even more convenient this summer as international airlines ramp up their schedules to the Mother City. Qatar Airways, recently voted the World’s Best Airline for a record ninth time in 2025 by Skytrax, is adding two extra weekly flights from Doha, upping their total to 12 weekly services. This near double-daily frequency promises greater flexibility and potentially more competitive fares for travellers.

A highlight for tech-savvy flyers: Boeing 777 flights are fitted with Starlink, offering free in-flight internet access to stream Netflix and more while deciding between chicken or beef meals.

But Qatar is not alone in expanding; Norse Atlantic Airways, which launched its inaugural Cape Town flights last year, is back with increased service. Starting October 28, 2025, Norse will resume its seasonal route to London Gatwick with three weekly flights, scaling up to four weekly from December 2025 through April 2026. This route, serviced by Boeing 787 Dreamliners, offers budget-conscious travellers direct access to and from the UK with increased frequency and ease.

Meanwhile, French connection lovers have cause to celebrate as Air France returns with seasonal flights between Paris and Cape Town. From mid-December 2025 to mid-January 2026, it will operate daily services connecting these two iconic cities.

For those dreaming of tropical paradise, South African Airways is launching non-stop flights from Cape Town to Mauritius starting December 9, 2025. This new route offers a direct escape to sandy beaches and turquoise waters without the need to transit through Johannesburg.

With these enhanced offerings from major global airlines, Cape Town is poised to become an even more accessible and attractive destination for international travellers during the summer season and beyond.

Air New Zealand’s New Aircraft to Bypass Middle East on Delivery Flight to NZ

Published: Thursday, July 31, 2025
Air New Zealand’s New Aircraft to Bypass Middle East on Delivery Flight to NZ

For the first time, Air New Zealand’s iconic koru logo will land in Nova Scotia, as the airline’s latest Airbus A321neo forgoes its usual route through the Middle East, opting for a transatlantic trek fueled by shifting global tensions and logistical opportunity.

When Air New Zealand acquires new aircraft from Airbus’s German factories, delivery flights have traditionally threaded through aviation hubs in the Middle East and Asia common pitstops include Oman, Malaysia, and Australia. But ongoing hostilities and rising risk near Iran and Israel have forced the carrier to chart an entirely different path.

This week, the carrier’s shiny new A321neo (registration ZK-NNI) will swap its routine desert stopovers for the unfamiliar runways of Halifax, Canada, marking a historic first for the airline.

The geopolitical tremors shaking the Strait of Hormuz led Air NZ to reroute. While the skies above Dubai and Doha still thrum with flight traffic, the airline’s chief safety and risk officer, Nathan McGraw, says the ongoing unpredictability in the region isn’t worth the gamble.

“We continuously conduct risk and safety assessments for our flights and with the ongoing uncertainty in the Middle East, and some airspace restrictions, we made the decision to fly the aircraft home via Canada and the United States,” says McGraw.

Choosing North America wasn’t just about safety. Air NZ has daily operations in North America, giving the carrier a reliable support network for its newest jet.

Some delivery flights in recent years have stopped in Gander, Newfoundland—the small Canadian airport immortalized in the musical Come From Away. This time, Halifax gets the nod. McGraw points to Swissport, a trusted ground handler already stationed in Halifax, and the carrier’s existing presence in Vancouver, as logistical reasons for the switch.

Navigating the North Atlantic’s buzzing flight paths, Air NZ relies on advanced planning software to map the most efficient route. “It’s like a highway in the sky, with several lanes of traffic,” McGraw explains. “Our tool, FlightKeys, picks the best track factoring in winds, fuel, and traffic, helping us cross over safely to Halifax.”
The new route stretches 21,078 km—about 1,000 km longer than the familiar Muscat-to-Auckland journey. That solitary stretch means burning an additional 2.7 tonnes of fuel. “We’ll be carrying a full tank for each leg—except the shortest, between Samoa and Auckland,” states McGraw.

Getting the plane home takes nearly a week due to mandatory rest periods. The trip starts with four pilots from Hamburg to Halifax, then three pilots cover the remaining legs, stopping in Vancouver, Honolulu, Apia, and finally landing in Auckland. Alongside the crew, only engineers and a programme manager hitch a ride, as the jet’s empty cabin speeds climbs and eases logistics.

As the A321neo arcs over unfamiliar North American skies and touches down in the maritime chill of Nova Scotia, Air New Zealand reaffirms its deep commitment to safety—even if it means rewriting the flight plan. With its homeland in sight at the end of a longer journey, this latest delivery flight is a high-tech testament to adapting in an unpredictable world.