Finland

Distributing a product

Evolution of the sector

The distribution networks in Finland are more and more integrated. The increase of the consumers' purchasing power has boosted sales. However, evolution of big malls and hypermarkets in the sector has made the survival of small companies and boutiques more difficult. Limited opening hours are considered to be a hindering factor in the sector .

Market shares

Goods may be sold through an agent, distributor, established wholesaler, or selling directly to retail organizations. The main sectors of the Finnish economy are dominated by oligopolies. Consumables for everyday use are marketed by an integrated system of distribution dominated by three big groups: Kesko, the S Group (SOK) and Tradeka which control more than 90% of the markets in the country.

Organizations in the retail sector

Federation of Finnish Commerce

Market access procedures

International Conventions

Member of World Trade Organisation
Member of OECD
Party to the Kyoto protocol
Party to the Washington convention on International trade in endangered species of wild fauna and flora
Party to the Basel convention on the Control of Transboudary Movements of Hazardous Wastes and their disposal
Party to the Montreal protocol on Substances that deplete the Ozone Layer
Wassenaar arrangement on export controls for conventional arms and dual-use goods and technologies
Party of the International coffee agreement 2001

International economic cooperation

Finland is a member of European Union and European Monetary Union. The EU is firmly committed to the promotion of open and fair trade with all its trading partners and has multilateral agreements and bilateral agreements trade agreements with several countries.

Non tariff barriers

In accordance with its European Union membership, Finland applies the EU rules that are in force in all European Union countries. While the EU has a rather liberal foreign trade policy, there is a certain number of restrictions, especially on farm products, following the implementation of the CAP (Common Agricultural Policy): the application of compensations on import and export of farm products, aimed at favoring the development of agriculture within the EU, implies a certain number of control and regulation systems for the goods entering the EU territory. Restrictions apply to certain items such as products containing alcohol, pharmaceuticals, narcotics and dangerous drugs, explosives, etc. Beef cattle bred on hormones is forbidden to import. The BSE crisis (often called the "mad cow disease") urged the European Authorities to strengthen phytosanitary measures to make sure of the quality of meats entering and circulating in the EU territory. The principle of precaution is now widespread: in case of doubt, the import is prohibited until proof is made of the non-harmfulness of products.

Customs duties and taxes on imports

The duties for non-European countries are relatively low, especially for manufactured goods 2,61% or 4,17%. However, textile and clothing items still have high duties and quotas. Click here to access the European Online Customs Tariff Database (TARIC).

Customs classification

Finland, like most member states of the European Community, bases its Harmonized Tariff Schedule on the TARIC (Integrated Tariff of the European Community) which is issued by the Commission and the Member States for the purpose of applying Community measures relating to import and exports, and when necessary to trade between member states. The TARIC also serves as a basis for the working tariffs and tariff file of Finland and other Member States.

Import procedures

A customs declaration for imported goods is submitted on the SAD form (Single administrative document), for VAT levy. It will become mandatory to submit summary declarations electronically within the entire EU territory as of 1 July 2009.

The case of samples

May qualify for duty free entry if:
- They are of negligible value (EUR 6 or less);
- They are for solicitation of orders for the goods of the kind represented by the sample;
- There is not more than one sample of each style or quality in a consignment;
- The goods are supplied directly from abroad;
- They will be consumed or destroyed during demonstration and are packaged and properly marked in a manner which precludes their being used as other than samples, examples: foodstuffs, non alcoholic beverages, perfumes and chemical products.

For further information

Finnish Customs
Ministry of Employment and the Economy

Organizing goods transport

Main useful means

The infrastructure in Finland is well-developed. The transportation system is based on an efficient rail and road network. Finland has over 50 merchant shipping ports. 23 of them are open year round and more than 10 are located on inland waterways connected to the Baltic Sea by the Saimaa Canal. Ports are secure and automated; loading and unloading operations are consistently quick and trouble-free. The rail system is well-functioning and the rail gauge in Finland is the same as in Russia which makes the country a good transshipment point for Russian trade. The most useful means for international transportation of goods is by sea; the most recommended means for domestic transportation are by rail and road.

Ports

Port of Helsinki
Port of Hanko
Port of Turku
Port of Vaasa
All Finnish ports

Airports

Helsinki-Vantaa Airport
Finnish airports

Sea transport organizations

The Finnish Maritime Administration

Air transport organizations

The Finnish Civil Aviation Administration

Road transport organizations

Finnish Road Administration

Rail transport organizations

The Finnish Rail Administration (RHK)