Tax free shopping starts again to growth in Italy

In 2004 Global Refund, the group which handles the reimbursement of Value Added Tax (tax free shopping) for purchases in Italy by travelers from outside the EU, saw a turnaround of the negative trend of the past two years (-10% in 2002 and -15% in 2003).

In Italy the group has grown by 4% and the value of sales reached 874 million euros. 'After two very negative years which were particularly affected by the falloff in the number of American tourists, Global Refund closed its 2004 financial years in the black', explained chief executive Luigi Gallazzini, 'even though growth was below the expected 11%'. In addition to the return of the Americans (+3%), it was influenced by the increase in the numbers of Russians (+18%) and Chinese (+40 per cent).

'After Italy joined Ads, the agreement between China and the EU which allows Chinese to visit all of Europe with one visa, expectations are very high. In 2005, the 10 million tourists who are expected to arrive in Europe from Beijing are also potential visitors to Italy', Gallazzini says.

Milan and Rome are confirmed as the most important cities for tax free shopping: a third of purchases in Milan and 23% in the capital. Positive signs also from Florence and Venice.

(Source: Il Sole 24 Ore)