Slovakia Imports

When importing Slovakia products, each country that receives the goods will have its own regulations, laws, tariffs, duties and quotas as it relates to the goods being imported. Rules will be dependent on issues such as:

Moreover, some countries may make it easier or harder to import the products. For example, it is most likely that the countries of the European Union will accept products from Slovakia easier than other countries of the world because there are some rights and privileges afforded to EU members.

Canada has historically helped the original Czechoslovakia and maintained close ties to its people. As a result, Canada has been sympathetic and welcoming in the importation of Slovakia’s goods. Not only has Slovakia exported its products to Canada, but also, Canadian companies are making actual investments in the country.

Further, specific products will have strict restrictions when importing into foreign countries. For example, food products and animals, products that do not meet the importing country’s safety or quality control standards, and items that are considered risky.

It might also be easier to import products from Slovakia that are made from foreign investment. For example, a corporation in Canada or the US may have a factory in Slovakia. Those products may be imported based on the fact that the company is of Canadian or American origin. Many countries allow the importation of vehicles from Slovakia but the cars themselves are not really models indigenous to Slovakia but rather made in factories owned by major car makers from other parts of the world.

While Slovakia in past years saw much corruption which led countries to restrict or even bar imports, many steps have been take to clean up the situation paving the way for better trade relations. The system as a whole has become more lucrative for countries to trade with Slovakia, which has in turn, has reduced restrictions. Another fact that helped Slovakia was the acceptance into the OECD (Organisation for Economic Co-Operation and Development). By conforming to international standards, Slovakia made great strides in exporting their products abroad.

Previous to 2006, practices in Slovakia were a concern in that trade secrets, especially as they related to pharmaceutical patents, were not properly protected. Again, Slovakia took steps to improve and this has improved their relations with importing countries.

As long as Slovakia continues to make inroads in creating relationships with other countries, restrictions and regulations should decrease.

Slovak Import Companies, how to find the trustworthy ones?

For small companies or independent entrepreneurs, doing business with a “name” in a foreign country, problems exist for all types of scams, theft and illegitimate business. And while it may be necessary to take steps to insure one’s own interests, it is not only Slovakia of which one should be aware. Importing from any foreign country is fraught with some peril.

Undoubtedly, it is easier to deal with companies domestically or with companies that are in countries close enough for a visit. But sometimes, there are good reasons that lead people to seek international suppliers in order to import products. Following is a list of pointers that will be helpful in finding trustworthy businesses in Slovakia.

• Before contacting a company, research as much as possible. Read their website, obtain their address and phone number, find out who owns the company and other information readily available.

• If possible, travel to the location to meet face to face. If this is not feasible, check with organizations in the country to ensure the business or factory even exists. Is the address legitimate, is there a building on the property and do people work there?

• Find out if the person has a registered business name and references. Be wary of references in the person’s own country. This may be a set-up to pull the unsuspecting into the scam. Trade references from companies already in the same country as the purchaser will be honest and forthcoming. But be sure, these people are legitimate companies as well.

• Ask for a Letter of Credit. It will be necessary to validate the letter through the issuing bank as many documents are forged, falsified and/or made up. If the bank does not exist or the bank did not write the letter, this is a good indication that the company or person is a fraud. Try to track down phone numbers on your own. For example a letterhead with a phone number may be nothing more than a front for the scam. Remember that anyone can answer a telephone in the manner in which you expect. So use the number you find through legitimately published information sources.

• Contact your own government agencies to see if the company is known in any way. Whether they have provided imports in the past or whether they have been reported as a scam.

• Be cautious of persons rushing to have you Western Union money without having seen any product or having completed your due diligence. It is not necessary for the company to send free samples. Most companies do charge but send a very small amount of money for your samples so you can determine whether there is a product and whether it meets your quality expectations. Do not assume, however, that because you receive your samples as agreed that that fact alone is enough to ascertain legitimacy.

• Order a credit report to see if the company exists and has dealings elsewhere.

• Draft a detailed contract so that both sides clearly understand the terms of the agreement.

• Escrow is an excellent way to judge the person’s intent. If they are only interested in up front payment and not willing to work toward a common goal, most likely it is a scam.

• Sometimes it might be easier to deal with a domestic company with an existing arrangement. Buying locally might get you into business faster since they have done all the paperwork with the company in Slovakia and have the products you seek.

Here a few internet resources that might help when checking inconsistencies.
• http://www.orsr.sk/default.asp?lan=en (lists registered businesses by name and number)
• http://www.justice.gov.sk/a/wf.aspx (Ministry of Justice)

Exporting to Slovakia

Slovakia is open to new investment. Whether you decide to set up a factory or business office in the country itself or export from your country, Slovakia presents many opportunities. But as with any business venture, both sides have to trust one another to a certain extent. Much groundwork is required to bring together a successful agreement.

The first step that you must take when trying to export your products to Slovakia is to read the European Union Requirements. The document is very detailed listing many aspects of importation into the EU as well labeling the products. Strict restrictions on the handling of meat products, the importation of live animals and other food products are very specific. In addition, certain products such as horticultural items carry heavy tariffs making it infeasible in some circumstances to export to Slovakia.

One of the easier ways to start exporting to Slovakia is to contact family or friends in the country. For persons living in the US or Canada whose family still lives in Slovakia, they will be able to make inroads much quicker. It will still take work and will not happen instantly but having reliable people to make connections, help with the due diligence and vouch for your intent will start the process moving.

Another avenue to follow is contacting trade associations in Slovakia. They may know importers in their country to whom you might speak about your products. They might also be able to give you schedules for trade shows in the event that you visit the country to lay the groundwork for exporting your goods.

Many people nowadays place ads on the internet making others aware that they are looking for partnerships of some type. While it may take longer to find the right person with whom to deal in Slovakia, there is the potential to find some good leads.

If you have the opportunity to travel to Slovakia and are permitted to stay for a longer period than just a one-week vacation, you can certainly make greater progress talking to people and ferreting out contacts. An extended stay will give you the opportunity to talk to people to see if the product is needed or wanted. Knowing the demand will help you when it comes time to negotiate.

Another way to export to Slovakia is through import/export companies. Either export companies in your country who have ties and arrangements with businesses in Slovakia or companies in Slovakia who import products from other countries. This route may cut down your research dramatically but may cost you a little in profit margin, as there will be a middleman.

Depending on how aggressive you are, you might join associations or social clubs in your country where other people from Slovakia fraternize. This may provide you some excellent contacts as well. One of those people may already export to their homeland and could save you much trouble by purchasing your products directly from you and selling them through their own distribution channels.

Whichever way you decide to export your products, make sure to do the research first and check out all parties before making any arrangements and handing over inventory or money.

Slovakia’s Main Export Products

Slovakia is the European country bordered by Poland, the Czech Republic, Hungary, Austria and Ukraine. The original Czechoslovakia separated peacefully in 1993 to form two countries, the Czech Republic and Slovakia or Slovak Republic. Fraught with many problems, the country had difficulty economically but due to the acceptance into the European Union in 2004, trade has improved for Slovakia as member states may trade freely with one another.

According to various governments’ published statistics (Slovak, American, and Canadian), Germany purchases the largest amount of Slovakia’s available exports representing roughly twenty four percent of total exports in 2006. Other countries that purchase Slovakia exports are:

The total dollar value of 2006 exports was $41.5 billion including vehicles, iron and steel, machinery, energy equipment, plastics and fiber optics. Other exports were electric and electronic equipment, mineral fuels and oil.

The automobile sector is the largest export-oriented sector in the country. According to several leading business magazines, Slovakia recently announced that it had doubled its 2007 production of cars. This feat makes the country the world’s number one producer per capita. And one might wonder what type of cars are indicative of Slovakia but they do not have their own models but rather permit factories from Volkswagen, Kia and Peugeot to conduct operations in Slovakia.

Germany imports a diverse array of products from Slovakia. Some of the higher dollar valued products are milk and cream products, cereal preparations, tobacco, alcoholic beverages, petroleum oils and gases, organic compounds and chemicals, medicine, plastics, rubber tires, piston engines, motors, telecommunications equipment, machinery, paper and paperboard, yarns, pottery, iron, steel, nails and base metals.

United States typically purchases synthetic cloth and fabrics, unmanufactured leathers, photo chemicals, shingles, molding and wallboard, iron and steel, finished metals, generators and transformers, electric parts, industrial engines and pumps, pulp and paper machinery, computer accessories, semiconductors, telephone equipment, passenger cars, footwear, furniture, glassware and porcelain, and kitchen appliances. The greatest dollar value in imported goods to the US for some years now has been cars.

Canada mainly buys iron and steel products, passenger cars, organic chemicals, machinery, furniture, bedding and footwear (shoes and stockings) from Slovakia. The highest dollar valued goods are cars, automotive parts, natural gas, paper, oils, wood and furniture which includes bedding, mattresses, cushions and other stuffed furnishings.