Swiss travel retailer Dufry has expanded into Sri Lanka.

It has signed a master concessionaire agreement to operate duty free spaces at Mattala Rajapaksa International Airport (MRIA).

With 10 parking bays and an initial annual passenger handling capacity of one million, the airport expects to reach its first phase capacity by 2015. By 2016, the second phase expansion plans are anticipated to have been completed, taking the terminal’s annual handling capacity to 5 million passengers and 20 aircraft parking bays.

A joint venture between Dufry and Sri Lankan company Perpetual Capital Holdings, Dufry will operate all airside retail space in the terminal. The main duty free offering will include core liquor, tobacco, perfumes and cosmetics and confectionery categories at both the departure and arrival levels of the airport.

Dufry will work with Sri Lankan partners to provide a range of electronics, local souvenirs, convenience and other items to travelers. As the passenger numbers approach the first phase handling capacity, Dufry envisions approximately 1000 sqm of retail space. Additional enhancements will be made to the retail offer as the airport expands into its second phase.

“With our experience in the Middle East and a growing presence in East Asia and China, the main destinations served out of MRIA – we believe Dufry is the ideal partner to roll out a fresh travel retail experience here,” said CEO Julian Diaz.

With the addition of Sri Lanka, and the recently secured Bali and Kazakhstan concessions, Dufry now operates in eight countries in the Far East, Middle East, and Central Asia, taking the total number of countries to 47.