(ECNS) -- South Korea Customs Service is assessing a proposal that would set purchase restrictions at the country's duty-free stores, which industry insiders say is aimed to curb the growth of private overseas shopping representatives, Beijing Youth Daily reports.
Some businesses engaged in selling South Korean products confirmed to the paper they had learned about the news.
It's reported that the customs service recently required the country's duty-free stores to impose tight restrictions on consumers buying cosmetics, watches and bags. A customer is allowed to buy a maximum total of 10 items of bags and watches, and 50 items of cosmetics and perfumes under the same brand.
A source with the customs service said the move was aimed to prevent illegal circulation of duty-free products in South Korea and potential buying sprees that could result in other consumers being unable to buy their desired products.
Back in 2011, the authority had made a proposal on purchase restrictions on cosmetic products at duty-free stores, which was rejected by the industry due to loopholes in the restriction criteria, the source explained. Whether the new policy would be put in place was still in the process of assessment.
According to South Korean industry data released in February, the country's duty-free stores posted revenues totaling $8.14 billion last year, to which Chinese consumers contributed $4.48 billion, accounting for 52 percent. In the first half of 2016, consumers spent an average $207 at South Korea's duty-free stores, among which foreigners spent an average $345, an increase of $8 from the same period last year.
Industry insiders said the new rule would have little implications on ordinary overseas tourists and mainly targeted private overseas shopping representatives.
A woman surnamed Su, who is a travel lover, said the restrictions might be good news to ordinary tourists as they might help make fast-selling products more readily available at duty-free stores.
Xiao Ya (a pseudonym), a Shanghai-based overseas shopping representative who traveled to South Korea to buy duty-free goods every Wednesday, said implementation of the new policy would have little impact on her business. "We don't have that many orders after all," she told the paper. Even without the new policy, some duty-free stores already have their own buying restrictions, it was added.
