Selling Tobacco in Croatia

The Croatian business climate is appealing for a vast range of entrepreneurs who decide to set up their operations in different fields which offer enormous possibilities, regardless of their nationality. The retail sector is one of them, whether the activities are placed online or not. An example in this direction is the business person interested in opening a tobacco shop in Croatia, in complete compliance with the EU (European Union) legislation in this domain, besides the internal rules and regulations. Knowing this field, our team of company formation specialists in Croatia is at your disposal with information and guidelines if you decide to open a company in Croatia. 

 

 

According to recent statistics, the tobacco industry in Croatia registered huge sales for the past few years, meaning that 95% of the profits were made with the help of cigarette sales. Even if the new excise taxes were imposed in Croatia in 2016, these haven’t changed the tobacco industry and the profit numbers. Establishing a tobacco shop in Croatia as a foreign entrepreneur means respecting the Tobacco Products Directive 2014/40/EU as imposed for country members of the European Union and their operations in the tobacco market. Tobacco-related products and the e-cigarettes are two important products which can be sold in your shop, in complete accordance with the rules enforced by the Ministry of Health in Croatia. In this sense, several rules must be respected when opening a tobacco shop:

 

•    consider the child safety packaging;

•    it is forbidden to sell cigarettes to minors;

•    it is mandatory to place health warning labels.

 

We mention foreigners that opening a company in Croatia’s tobacco sector is subject to a limited liability company incorporation with the Croatian Company Registry and the Commercial Court in Croatia. An LLC can be established with a minimum share capital or HRK 20,000 or EUR 2,500 and one or more stockholders, no matter the nationality or residency. In order to avoid any language barrier or any possible misunderstandings, please feel free to address to our company incorporation agents in Croatia for ample support. 

 

 

Tobacco products can be sold through varied ways, but the business person must choose the proper direction that suits most his/her needs. One can perform the following activities:

 

•    sell cigarettes and other tobacco products through kiosks placed in shopping malls;

•    place tobacco products for sale purposes in duty-free shops in Croatia’s airports;

•    import cigarettes from the home country and sell them on the market in Croatia;

•    sell tobacco at the newsstands in Croatia.

 

Because Croatia welcomes foreign investors and their operations, the market is open for branches and subsidiaries of cigarette brands, in respect to the legislation imposed for such business entities. One can also focus on implementing the electronic cigarettes (e-cigarettes) or vape pens for sale purposes in Croatia, as this sector develops on a daily basis and gains numerous customers.

 

If you want to sell tobacco in Croatia and if you need help in this direction, please do not hesitate to get in touch with our Croatian team of company formation representatives.