Reaching the consumers

Marketing opportunities

Consumer behavior

Price remains an essential factor in the purchasing process of Slovak consumers. However, there is a growing need to buy good quality products. Slovak consumers are aware of advertising. It can influence them in their purchasing decisions given that they have not yet been swamped with advertising. After-sales service is also important for a company that wants to sell its products in Slovakia. Consumers do pay attention to guarantees and after-sales service.

Consumer profile and purchasing power

Economic growth is improving the Slovak standard of living, even if it is still below the European average. The Slovaks are thinking more and more about health and the environment. They are careful consumers who are wary of novelty as for example OGMs in food products. They prefer local products to foreign products.

Consumers associations

Slovak consumer association (ZSS)

Main advertising agencies

Directory of advertising agencies in Slovakia

Distributing a product

Market shares

In Slovakia, 52% of the population does its food shopping in supermarkets. Hypermarkets have increased their market share. It has risen from 8 to 24% and the share of discounters has doubled (from 14 to 28%) to the detriment of small shops. Discount stores appeared in Slovakia in 2003 and have had great success thanks to the low level of Slovak income.
The principal distribution network is largely dominated by foreign groups:
- The number 1 group Tesco has a turnover of 1,2 billion EUR with 60 stores in January 2008.
- Then follows Metro with a turnover of 465 million EUR.
- The Billa group with a turnover of 440 million EUR.
- Carrefour successfully opened in 2000 with the first supermarket in the country.
The turnover of the 10 top distribution companies increased by about 13% in 2007 and it is estimated that it will increase by 10% in 2008.
In the non-food sectors, national groups continue to be of prime importance; for example, the consumer electronic goods sector is dominated by three companies:
- Omnia.
- Nay.
- Datart.

Organizations in the retail sector

Slovak association for commerce and tourism (in Slovak)

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

Main International economic cooperation

Slovakia is a member of the European Union. It is also a member of the European Economic Area (EEA) which has guaranteed, since 1 January 1993, the free movement of most goods between the European countries.
Multilateral and bilateral agreements with many countries.

Non tariff barriers

In accordance with its European Union membership since May, 1st of 2004, Slovakia applies the European Union trade policy such as antidumping or anti-subsidy measures. The European Union import regime is applied to Slovakia,especially in the  sector of textile products. If Slovakia adopted the main part of the EU regulations on May, 1st of 2004, a transitional period has been defined for the country to transpose other EU rules. 

 

The European Union has a rather liberal foreign trade policy, and having to obtain import licenses is not common. However, you should make sure that importing a particular product does not call for an import license.

There are some 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 favouring the development of agriculture within the EU, implies a certain number of control and regulation systems for goods entering the EU territory.

When being introduced into Slovakia, some products must be "CE" marked in application of the European Directives adopted on the basis of the New Approach since 1 May 2004. For further information on CE marking, please consult the Guide to the Implementation of Directives based on New Approach and Global Approach.

Customs duties and taxes on imports

Transactions carried out within the EEA are free of duty.
The Common Customs Tariff (CCT) of the European Union applies to goods originating from outside Europe.
Average Customs duties are not high, 4.8% for manufactured goods for example. However, the sectors of textiles, articles of clothing (high duties and quotas) and agrifood (average duty of 17.3% and many tariff quotas, CAP) still have protective measures.

Customs classification

The combined nomenclature of the European Community (EC) integrates the HS nomenclature or completes it with its own sub-titles with an 8 figure code number and its own legal notes created for Community needs. From a practical point of view, it is the TARIC code (composed of 10 figures) which allows the definition of the Customs duty rate and the Community regulations applicable when importing a product from a country which does not belong to the European Union. To find out the Customs duty on a product according to its country of origin, you should consult the TARIC database.

Import procedures

Trade between the European Union and Slovakia consists of intra-community trade (acquisitions and deliveries), and only VAT must be paid in the country where the product is consumed. Systematic controls of goods at the intra-community borders have been done away with and moved to extra-community borders if the country is concerned, subject to the rules applicable to some sensitive goods. Nevertheless, when goods from within the community are brought into Slovakia, the exporter must fill in, at the end of the month, a Declaration of Exchange of Goods (DEB) or Intrastat Declaration. The Customs declaration (SAD) remains in force for the goods trade between Slovakia and third countries.
Some importers will have to request an import license from the Ministry of the Economy. The import license is necessary especially for basic products or raw materials such as coal, electric energy, livestock and some agricultural products. A certificate of compliance with standards is also necessary for certain specific products which can be considered to be dangerous for health, individual safety or the environment.

 

Importing samples

Commercial samples imported for a period of not more than 24 months are exempt from Customs duty.

For further information

Customs Bureau

Organizing goods transport

Main useful means

Goods transport represented 33 038 million tonnes - km. In 2005, goods transportation in Slovakia was dominated by road transport with 195 406 000 tonnes of goods transported. It is the most used means of transport as Slovakia has no access to the sea. In the same year, 48 076 000 tonnes of goods were transported by rail, 1 447 000 tonnes by waterway and 400 000 by air.

Ports

The airport of Bratislava
The airline company Air Slovakia
The Slovak railroad network
Port of Bratislava
Port of Komarno

Airports

Bratislava Airport
Kosice Airport
Propad-Tatry Airport
Sliac Airport
Zilina Airport
Piestany Airport

Sea transport organizations

Ministry of Transport

Air transport organizations

Civil aviation
Ministry of Transport

Road transport organizations

Ministry of Transport

Rail transport organizations

Ministry of Transport

Identifying a supplier

Type of production

The industrial sector represented 33.2% of GDP and 28.9% of the active population in 2007. The main industrial sectors are the automobile sector, transport material, chemistry, food stuffs, wood, paper and clothing. Slovak industry has traditionally been oriented towards the automobile industry. Slovakia is the country which produces the most cars per capita in the world.

 

Business directories

Directory of Slovak companies
Slovak yellow pages
Slovak Telecom Directory , in Slovak.

Manufacturers associations of the main industries

Slovak automobile industry association (ZAP, in Slovak)
Slovak textile and clothing industry association (ATOP)
Slovak chemical and pharmaceutical industry association (ZCHFP)
Slovak electrotechnical industry association (ZEP)
Slovak paper industry association (ZCPP)

Trade Agencies and their representations abroad

Slovak Chamber of Commerce and Industry

Enterprises federation

Agency for the development of SMEs
Slovak businessmen's association (ZPS)
SME Union Slovakia