Business opportunities
Austrade's business development specialists have prepared a select range of market profiles with potential business opportunities and to assist in your exporting investigations. Please see the list of industries at the end of this profile that you may be interested in.
In conjunction with the market profiles, the Opportunities Online website may be a useful addition to your information sources. The database established by Austrade aims to deliver international sales leads ('export opportunities'), including tenders, generated by our overseas network to Australian businesses.
Registering is simple and once this is done you will have the option of accessing a weekly newsletter featuring the most recent opportunities uploaded onto the system in industry sectors of interest to you. Another feature is the ability to view, and also print, the complete page of opportunity details.
For general inquiries concerning Austrade’s services, please contact Austrade Direct on 13 28 78.
Business etiquette
Business meetings and negotiations:
- Appointments should be set up well in advance.
- Be punctual and even if you are only a few minutes late for a business meeting, call and explain the delay.
- Shake hands with everyone in the room when you arrive and before you leave.
- Exchange of business cards follows after an initial small talk.
- Norwegians generally address each other rather informally.
- Norwegians are direct and in an initial meeting will be ready to talk business after only a few minutes of small talk.
Presentation and negotiation tactics:
- There is little secrecy about corporate objectives and strategies.
- Top managers make the decisions but they will be reluctant not to endorse the recommendations of project groups or lower managers.
- Negotiators will be oriented towards facts and figures rather than the broad corporate view.
- Do not over promise, and make sure that you keep your deadlines and schedules, otherwise Norwegians quickly lose interest.
Presenting a proposal:
- To your Norwegian counterpart trust is important, so changing or adding surprising new elements is generally not popular. It is also hard to renegotiate terms after an agreement has been made, even if circumstances have changed.
- Norwegians are normally not tactical negotiators so if they say your product is too expensive they probably mean it.
- Present a firm, realistic and competitive initial offer and expect some bargaining. Yield something for psychological reasons but do not drop your initial offer so much that the initial offer appears as a bargaining technique as this could be perceived as dishonesty.
- In Norwegian corporations there may be a low level of individual risk taking – making it difficult to get the final signature even when you have convinced the negotiator.
Do's and don'ts:
- Avoid excessive gift giving as Scandinavia probably ranks as the most corruption free area in the world.
- Make a well-documented presentation that gets your associate involved rather than trying to sell through one-way communication.
- Norwegian body language and tone of voice is less expressive than in southern Europe, so do not misinterpret this as lack of interest.
- During conversations with Norwegians you should be careful with culture related humour unless it is self-depreciating or gives a blow to Swedes. You will find that Norwegians have a brotherly love-hate relationship with their Swedish neighbours.
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 regulations
Import restrictions
The majority of imports may enter Norway free from restriction, however, import licences are required for a limited range of items. Licences (when required) are issued by the Ministry of Foreign Trade and, in certain cases, by the Ministry of Fisheries. The validity period is usually not less than three to six months, depending on the terms of sale.
Goods on the 'Restricted list' including certain textile goods.
A range of animal and vegetable products are prohibited.
Imports of radio equipment and radio control equipment must be approved by the Directorate of Telecommunications.
Foreign exchange transactions may be made without restriction through authorised banks.
A state owned firm (Vinmonopolet) has the retail monopoly on alcoholic beverages.
Tariff
When Norway became a World Trade Organization (WTO) member in 1995, their import regime for agricultural products was forced to change from quantity restrictions and bans to tariffs. However, the current customs protection has resulted in a market that is very difficult to penetrate, in particular for products in direct competition to Norwegian production.
Three-column tariff, European Economic Area (EEA), EC and general, based on the Harmonised System. The general rate applies to Australia. Duties are either ad valorem, based on the GATT Valuation Code (approximately CIF value (Incoterms 2000)), or specific, expressed in Kroner per measure.
Where specific duties are levied, the weight of the immediate container must be included.
Customs authority contact details:
Director General of Customs and Excise Directorate of Customs and Excise Schweigaardsgate 15 PO Box 8122 Dep N-0032 Oslo Tel: +47 2286 0300 Fax: +47 2217 6524
Packing, marking and labelling
Packing of hay and straw is prohibited unless accompanied by appropriate certificates (see 'Special certificates' below).
Outer containers should bear the consignee's mark and port mark and be numbered (to accord with packing list) unless the contents can be otherwise readily identified.
Containers of metal may not include more than one gram of lead per 100 grams.
Foodstuffs may not be directly packed in: metal foil (except tea) or paper or other coverings, which are coloured, painted, dyed or printed with poisonous dyes other than barium sulphate and cinnabar.
All prepacked food must be clearly and legibly marked with its name, composition, weight and volume, the length of time it can be kept, any appropriate storage instructions, and the final date of consumption. All products must show the name and address of the producer and importer.
A range of products require a country of origin marking.
The term Utenlandsk (Foreign) or Fabrikert i... (Made in ...) should be stamped on the product or shown on the label.
Labels for foodstuffs must, if applicable, state contains approved colouring, sweetening and/or preserving additives. On 1 January 1978, Norway became the first country in the world to impose a total ban on artificial colouring in foodstuffs. Only natural colouring is permitted, but the use of these is restricted.
Special labelling regulations apply to a number of other products, including certain foodstuffs, toys, cosmetics, carpet, toothbrushes, pencils, sport articles of leather and plastics and tobacco and tobacco products. Specific regulations for additives are in force.
Textile products are subject to fibre marking and care labelling, some non-textile garments must also have care labels.
Weights and measures
The metric system.
Insurance
Normal commercial practice
Methods of quoting and payment
Quotes in Norwegian Krone are preferred but any other major currency is acceptable (including Australian dollars if clearly defined as such). CIR (Incoterms 1990) is preferred.
Quotes in Australian dollars are acceptable if clearly defined as such. Payment is usually 30 days.
Longer payment time may be sought for capital equipment.
Public health requirements
Live animals, animal products and other products which could carry infectious animal diseases are generally prohibited. In special circumstances permission for their importation may be obtained from the Norwegian veterinary authorities.
Permitted animals, plants and their products require health certification from the approved authority in the country of origin. In Australia this is usually the Australian Quarantine and Inspection Service (AQIS), the Department of Agriculture, Fisheries and Forestry-Australia or the relevant state department of agriculture.
Food products of animal origin, except those hermetically sealed, require prior permission from the Norwegian veterinary authorities.
Potatoes must meet a number of phytosanitary requirements including treatment with growth inhibitors to prevent sprouting.
Highly flammable textiles are prohibited.
Boric acid and hexamethylenetetranime are prohibited from use in fish and shellfish and their products.
Processed food products may contain only approved additives. A list is issued annually by the Social Department in Norway.
No synthetic, water soluble, colouring matter is approved for use in food.
Products advertised as special baby food or as suitable for diabetics must be approved by the health authorities.
Pharmaceuticals require prior approval by a special board appointed by the Social Department.
Documentation
Commercial invoice
No prescribed form. Invoices must include the following:
- the names and addresses of both buyer and seller
- the country of origin
- the place and date of issue of invoice and date of purchase of goods
- a detailed description of goods, including type of product (quality) and net quantity (number, weight, volume)
- a HS number
- the number of packages and type, weight, marks and the number of outer containers
- an agreed price for each product
- all terms connected to the form of payment, sale, take over and delivery including discounts and rebates
Bill of lading
No special requirements. To Order bills are acceptable.
Certificate of origin
Two copies are required and must be certified by the Chamber of Commerce.
May require certification by an approved organisation (see 'Guidelines', section 2.3.).
Required for cocoa, coffee and its products, and textiles originating in specified Asian countries.
Packing list
Not compulsory but facilitates clearance.
Special certificates
Health certificates issued by the approved authority in the country of origin must accompany shipments of animals, plants and their products (see 'Public health requirements' above).
Hay, straw and similar products used for packing must be accompanied by a sanitary certificate signed by a veterinary authority, public notary or similar authority and certified by a Norwegian consul.
Second-hand tractors and agricultural machinery must be accompanied by a public health certificate issued by an approved authority in the country of origin certifying that the equipment is completely free from soil.
Taxation
The sale of goods is generally liable for a Value Added Tax (VAT). The VAT rate in Norway currently stands at 23 per cent. Education, financial services, legal services, insurance, passenger transport and property leasing are presently not included in the VAT regulations. Norway's 28 per cent corporate tax on profits applies to foreign owned as well as Norwegian owned enterprises.
Excise duties and similar taxes are levied on:
- alcoholic and non-alcoholic beverages
- tobacco manufacturers
- chocolate and sugar confectionery
- motor vehicles
- petrol
Business travel
Even though Norway is a very long country, travelling is easy. If you are driving, take the less travelled roads and experience what Norway has to offer of natural beauty. The Norwegian State Railway has a well-developed network and where the railway stops the buses take over, and where a road ends a ferry takes over. If you choose to travel by air you will find a good network of routes and connections.
The Airport Express Train (Flytoget) website has information and train schedules or phone +47 815 00 777. Tickets for the Airport express Train can be purchased together with air tickets at your travel agency. Tickets are also available at all Airport Express Train stations, at ticket counters as well as card and cash ticket vending machines. There is no seat booking on the Airport Express Train.
The Airport Bus runs between downtown Oslo and Oslo Airport every 15 minutes. First bus from Oslo Bus Terminal departs at 04.05 am. The trip takes about 47 minutes one way. Prices: Adults NKr90 (round trip NKr140), senior citizen's NKr45. Children with airline tickets travel free of charge. For route information, Tel: +47 22 17 70 30.
Airport Taxi is a special fare offer from Oslo Taxi to and from Oslo Airport to destinations in the Oslo region. Go to the Taxi Information desk in the arrival hall and ask for ‘Airport Taxi’. If you prefer to book in advance, Tel: +47 23 23 23 23. Prices are between NKr475 and NKr575 for one to four passengers, depending on your destination in Oslo.
All InterCity and Express Trains on the stretch Skien - Oslo - Lillehammer - Trondheim run via Oslo Airport. Train schedules are available at NSB Customer, Tel: +47 815 00 888.
|