
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.