Many retailers in Bermuda are worried there will be an influx of international shops after Government announced that laws were to be relaxed which allow in businesses from abroad.

According to Ian Smith, head of the Visitor Retail Section of the Chamber of Commerce, the reaction from shop owners is mixed.

Some retailers welcomed the move while others were concerned they may face unfair competition from foreign stores.

Mr. Smith was speaking after Finance Minister Eugene Cox announced on Friday that Bermuda would open its doors to global markets, but said that there would not be an invasion of multi-national chain stores. "It is difficult to see how they can relax the rules for one and not for the other,'' said Mr. Smith.

He added that the statement by Mr. Cox left many questions hanging in the air, but said it was too early to say what the impact would be.

Mr. Smith added that the retail section was not consulted by the Government on the issue, but would have welcomed the opportunity to give its side.

"In general we agree with the comments made in The Royal Gazette's editorial from Monday -- we cannot see how one international company can be allowed in and another refused.'' Mr. Smith said that outside businesses looking to come into the retail market in Bermuda would still face the same problems as other shopkeepers here.

"You have to ask just how attractive and how viable it would be for a foreign firm to set up here.'' He added that on the issue of franchises, there already existed franchises in Bermuda such as Benetton, Body Shop and Marks & Spencer.

"Overall though, it is too early to get an accurate opinion.

"It is a hard one to predict what the effect will be, because at the moment we just don't know. It is a concern that small business will be left behind.

"One of Bermuda's strengths is that we can offer the alternative in shopping, and a lot of small businesses do this.''