The India duty-free and travel retail market size reached USD 1,415.30 Million in 2024. The market is projected to reach USD 1,981.54 Million by 2033, exhibiting a growth rate (CAGR) of 3.81% during 2025-2033. The market is expanding, driven by increasing demand for luxury spirits and premium consumer goods. The introduction of exclusive, high-quality products like ultra-premium tequilas and confectionery enhances the shopping experience, supporting India duty-free and travel retail market share and growth.
Report Attribute
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Key Statistics
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Base Year
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2024
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Forecast Years
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2025-2033
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Historical Years
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2019-2024
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Market Size in 2024 | USD 1,415.30 Million |
Market Forecast in 2033 | USD 1,981.54 Million |
Market Growth Rate 2025-2033 | 3.81% |
Luxury Spirits Drive Growth
The India duty-free and travel retail market growth has been witnessing change with a discernible rise in demand for premium brands, especially in the luxury spirits segment. With Indian airports improving their international retail experience, passengers are in growing need of high-end, selective choices. The trend is plainly evident with premium spirits gaining popularity as high-networth consumers seek quality over quantity. For example, in September 2024, Bacardi collaborated with Delhi duty-free to bring Patrón El Alto tequila to Indira Gandhi International Airport. The launch was intended to address the increasing demand for premium spirits, providing a premium tequila that appeals to the refined palates of international travelers. Patrón El Alto's launch represents a powerful step in growing India's luxury spirits segment within the duty-free arena, adding to a greater market share of premium drinks. As Indian airports continue to emerge as hubs for wealthy travelers, the launch of high-end offerings such as Patrón El Alto further enhances the duty-free retail presence and places India on the top-tier market for global luxury brands. The transition towards luxury spirits is one of the main driving factors behind the duty-free market growth, providing distinct and high-quality products that make shopping while traveling more appealing.
Expanding Product Categories in Retail
India’s market has been diversifying to meet changing consumer preferences of travelers, with greater emphasis on everyday luxury and premium items. Coffee and confectionery items, popular in a big way, are emerging as retail growth drivers. For example, in June 2025, Nestlé and Ospree duty-free opened a separate area of the Mumbai airport to display high-end Nestlé products, including top brands like KitKat, Smarties, and Nescafé. This expands the catalog of sales beyond tobacco and liquor, appealing to travelers who desire good-quality snacks and drinks. Adding a premium coffee section to the store is a direct response to increased global demand for premium coffee, especially within travel retail environments. This step not only provides greater choice but also upgrades the shopping experience for travelers by providing them with familiar and unique luxury options. The alliance between Nestlé and Ospree duty-free is a sign of an expanding trend of diversifying product categories to appeal to the needs of contemporary travelers, making India an increasingly dynamic and competitive market for duty-free and travel retail products.
IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the country and region level for 2025-2033. Our report has categorized the market based on product type and distribution channel.
Product Type Insights:
The report has provided a detailed breakup and analysis of the market based on the product type. This includes beauty and personal care, wines and spirits, tobacco, eatables, fashion accessories and hard luxury, and others.
Distribution Channel Insights:
The report has provided a detailed breakup and analysis of the market based on the distribution channel. This includes airports, airlines, ferries, and others.
Region Insights:
The report has also provided a comprehensive analysis of all the major regional markets, which include North India, South India, East India, and West India.
The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.
Report Features | Details |
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Base Year of the Analysis | 2024 |
Historical Period | 2019-2024 |
Forecast Period | 2025-2033 |
Units | Million USD |
Scope of the Report |
Exploration of Historical Trends and Market Outlook, Industry Catalysts and Challenges, Segment-Wise Historical and Future Market Assessment:
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Product Types Covered | Beauty and Personal Care, Wines and Spirits, Tobacco, Eatables, Fashion Accessories and Hard Luxury, Others |
Distribution Channels Covered | Airports, Airlines, Ferries, Others |
Regions Covered | North India, South India, East India, West India |
Customization Scope | 10% Free Customization |
Post-Sale Analyst Support | 10-12 Weeks |
Delivery Format | PDF and Excel through Email (We can also provide the editable version of the report in PPT/Word format on special request) |
Key Questions Answered in This Report:
Key Benefits for Stakeholders: