(Last updated: 05 Nov 2008)

Business etiquette

Business tips

Shake hands when arriving and leaving. It’s considered polite to shake hands with the women before the men.

Address business associates by their title (eg. Dr, Professor) and surname. First names should be used only if you know the person well or have been instructed to call them by their first name.

Dress code for the first business meeting is conservative: a dark-coloured suit with tie for men, and a suit or dress for women.

Please also note:

Bribery of foreign public officials is a crime. Australian individuals and companies can be prosecuted in Australia for bribing foreign officials when overseas. For more information, go to the Attorney General's Department on foreign bribery.

Tariffs and non-tariff barriers

Tariff

Slovenia joined the European Union in May 2004 and is part of the harmonised trade system of the European Union. Common Customs Tariff (CCT) is applicable to goods from non-EU countries, including Australia. Most duties are ad valorem based on the WTO valuation system. Specific rates apply to a limited number of goods.

Excise duty applies to the end-user or consumer of alcohol and alcoholic beverages, mineral oils, and gas and tobacco products.

To confirm check with Austrade or the Slovenian custom service.

Customs authority contact details:

The Customs Administration of the Republic of Slovenia
Šmartinska 55, 1523 Ljubljana, Slovenia
Tel: +386 1 478 38 00
Fax: +386 1 478 39 00
Email: carina@gov.si

Non-tariff barriers

Import restrictions

A few categories of goods are restricted by import quotas, or their importation is restricted by permits or licences, and exports are restricted by licences.

Import quotas for industrial products of EU origin, equivalent measures and customs duties of a fiscal nature were abolished when the free-trade agreement came into force. For imports of industrial products derived from other free-trade agreements concluded by Slovenia, a limited amount of import quotas remain depending on the country involved. As for agricultural products, import quotas are provided by all free-trade agreements depending on the product. The quotas are fixed and distributed by the Ministry of the Economy on the request of interested legal persons and sole entrepreneurs based or domiciled in Slovenia.

According to the Decree on Determination of the Import/Export Regime for Certain Goods, special permits are required for the importing of certain types of goods, such as processed foodstuffs, products for general consumption, livestock etc. Such goods are examined on entry by health, market or veterinary inspectors who issue a quality certificate constituting an import permit.

Applications to obtain such special permits must contain the following data:

• Name and address of the beneficiary of such goods
• Tariff classification of the goods
• Description of the goods according to the customs nomenclature
• Substance of the goods and the commercial or chemical name
• The quantity
• Name and address of the foreign exporter or importer
• Term of duration of the import/export
• Statement on the purpose or use of the imported goods
• The import permit of the country concerned
• Other information

For imports of pharmaceuticals, military equipment and weapons, waste materials, poisons and explosive substances, special permits issued by the competent ministries are required.

Non-customs duty barriers for countries which have not concluded free-trade agreements with Slovenia are determined according to the GATT/WTO agreement.

Product certification, labelling and packaging

Labelling and marking

The following labelling information must be written in Slovenian language on the original package of products that are subject to quality control:

• Tittle of the product
• Full address of the importer
• Net quantity/weight/volume
• Information where applicable regarding ingredients
• Use and storage instructions
• Other warnings important for the customer

The rules on labelling in Slovenia depend much on the kind of product concerned. As a general rule goods must be accompanied with a declaration in Slovenian language containing the following data:

• Producer (name, address, brand name)
• Name and type of the product
• Measurements (width, length, height)
• Date of production
• Materials/ingredients the product is made of
• Water resistant (proof)
• Maintenance of the product, cleaning (symbols), use and storage instructions

There are special rules for labelling foodstuffs, cosmetics, cleaning products and similar goods. Imported goods must comply with all the requirements of technical regulations before being put into circulation. Certificates must be obtained by the producer, contractor or importer (or agent in the case of consignment warehouse sales).

Durable consumer goods imported into Slovenia must be accompanied by a written warranty certificate, instructions for use and a list of authorised services issued by the Slovenian importer or agent. These documents must be in Slovenian language.

According to the General Product Safety Act, products must contain all relevant information concerning the potential dangers that such products could represent.

Producers or suppliers of products must provide current information on potential danger of products and, if necessary, remove products from sales outlets. 

Special certificates

Special certificate - beside the veterinary or sanitary certificate:

• Certificate on force majeure - issued by the Chamber
• Certificate that the goods passed through the Slovenian territory in bond - issued by the competent customs house
• Final user certificate for goods to be exported - issued by the Chamber
• International import certificate

The main investors in Slovenia are Germany, Italy, France, Austria and Croatia.

There are two sectors that are restricted to foreign investors in Slovenia:

• Production and trade with weapons and other military equipment
• Mandatory pension and health insurance subject to budgetary financing

For more information please refer to Slovenian Trade and Investment Promotion Agency and Chamber of Commerce and Industry.

Packaging

Packing, marking and labelling are mainly covered by EU guidelines.

Goods should be securely packed, having due regard to the nature of the goods, means of transport and likely climatic conditions during transit and delivery. Outer containers should bear the consignee's mark and port mark and be numbered (to accord with packing list) unless the contents can otherwise be readily identified.

Methods of quoting and payment

EU guidelines apply. Slovenian importers prefer long-term payment conditions. Discounts for payment on receipt of goods are usually from 3-10 per cent of the invoiced price.

Irrevocable Letters of Credit (L/C) are recommended for dealing with new customers.

Documentary requirements

Commercial invoice

There is no prescribed format. Invoices should be issued with a minimum of two copies. They must contain the usual particulars, including a serial number of invoice, name, address (registered office) and tax number of the issuer, the place and date of issue of the invoice, the name, address (registered office) and tax number of the recipient, a full description of the goods, gross and net weights, the number of packages, the date of dispatch, the VAT base, the total VAT, and the price.

Bill of lading/airway bill

No specific requirements.

Packing list

Not obligatory, but facilitates clearance.public health requirements.

Certificate of origin

Certificates of origin are required when a preferential or non-preferential origin of goods at importing to Slovenia are asserted, eg:

• Certificate on the Slovenian origin of goods
• Certificate on the origin of goods from a third country - issued by the 

  Chamber of Commerce and Industry of Slovenia

• Certificate on the origin of goods - issued by the competent body of the country of origin or the exporting country

Goods are considered to originate from a specific country when they have been wholly acquired or produced or sufficiently processed in that country. Goods are considered to have been sufficiently processed when they have undergone final, essential and economically justifiable processing or modification, where such processing or modification means the creation of new goods or essential elements of such goods.

The certificates of origin most often used are EUR1, EUR2 or Certificate of Origin (if required by bilateral free-trade agreements).

Public health requirements

The biggest number of public health requirements are covered by EU veterinary legislation.

Veterinary or sanitary certificate is required for consignment of livestock, meat and meat products, animal raw materials, seeds, plants and fruit.

Drugs and pharmaceuticals require prior permits from the Slovenian authorities. Standards are strictly controlled.

For more information please refer to Slovenian Trade and Investment Promotion Agency and Chamber of Commerce and Industry.

Insurance

Can be arranged by the importer through local insurance companies or by the exporter through an international insurance company, however, it is necessary to outline the parties' obligations in the contract..

Weights and measures

The metric system.

Setting up in Slovenia

Finding the right partner

Austrade is prepared to advise you and search for adequate partner for your business activities. The partner search will depend on whether you are merely plan to export or trade in Slovenia or whether you are intending to establish a permanent presence or purchase a business or company there. You will need to find out what permits or licences are required,

Setting yourself up to do business in the Slovenia is a complex (but perfectly achievable) undertaking requiring plenty of planning and forward thinking. Obtaining the necessary permits and papers and setting up appropriate entities  takes time, and people considering doing business in the Slovenia should allow adequate time to be ready by their desired deadlines. Always check the legal, tax and accountancy regime well in advance, but get regular updates as the law can change frequently.

In market representation

Perception and awareness of Australia is very good. Besides finding the right partner Austrade can represent you in market. This is especially recommended in relations with public sector or government.

Taxation

Corporate income tax – 25 per cent and 10 per cent in economic zones.

Profit repatriation tax – 25 per cent on dividends paid to residents in Slovenia, 15 per cent  on dividends paid abroad, unless otherwise provided in bilateral agreement.

Capital gains tax – 25 per cent for companies and 30 per cent for individuals.

Number of bilateral agreements of avoidance of double taxation – 24 (not signed with Australia)

• Deduction tax - zero per cent
• Property tax - zero per cent
• VAT - 20 per cent (standard fee); 8.5 per cent (reduced fee)
• Personal income tax - An individual's yearly income is aggregated and the total amount is taxed according to an annual tax schedule containing six income tax brackets and the following progressive tax rates: 17 per cent, 35 per cent, 37 per cent, 40 per cent, 45 per cent and 50 per cent. All taxes are collected by the Tax Administration of the Republic of Slovenia.

Tax reliefs

Relief for capital investments are granted to taxable persons at 20 per cent of the amount invested in tangible fixed assets and intangible long-term assets. An additional tax relief is granted to taxable persons of 20 per cent of the amount invested in equipment.

Relief for additional employment is for taxable persons who within the financial year are employed on a permanent basis for at least two years, workers who conclude their first employment contract, workers registered with the employment service for at least six months prior to concluding the employment contract.

Banking and finance

The banking and finance sector in Slovenia is small but efficient. European Union (EU) funding incentives are much smaller than they were a couple of years ago, since Slovenia is a fully integrated EU member. A key player is Ljubljanska banka.