Travellers' Imports of Alcoholic Beverages into Finland before and after EU

Abstract

The article examines the development in travellers' imports of alcoholic beverages into Finland from 1994 to 1995, the year that Finland became a member of EU. The membership, beginning January 1st 1995, included provisions for increased allowances in travellers' tax-free import of alcoholic beverages and lifted time-limits restricting imports. These provisions have clearly increased the imported volumes, most sharply for beer, from 3.5 million litres in 1994 to around 30 million litres in 1995. The import of spirits increased from 3 million litres in 1994 to 7 million litres in 1995. It is estimated that the import of wines increased from 3.5 million litres in 1994 to 9 million litres in 1995. In 1994 travellers' imports added 6 percent and in 1995 17 percent to the recorded consumption of alcohol.

There were no significant changes in the frequency of air travel or of trips between Finland and Sweden. In contrast, tourism to Russia and Estonia increased dramatically. The relaxed import restrictions were an important factor in this development. Most of the increase in beer imports and the bulk of the increase in wine and spirits imports derive from tourism to these two countries.

The article also discusses different ways of estimating travellers' alcohol imports, and proposes how this issue should be studied in the future.