GENERAL INFORMATION:

Sweden is an important trading partner of India in Europe. With an area of 449,964 Sq.kms., Sweden is the fourth largest country in Europe. Nearly half of the land area is covered by forests and less than one tenth consists of arable land. Nearly 100,000 lakes dot the countryside, and a long mountain chain in the north-west reaches heights of up to 2,114 mr. (6,946 ft.). Thousands of islands form the Swedish archipelago. Sweden has a milder climate than many other areas at the same latitude with a temperate cold and dry in north, mild and wet in south and west. Moreover, Sweden is a Long country (1,600 km. or 1000 miles) which means that the countryside and climate are quite varied Sweden has 8.6 million inhabitants. The birth rate is high (124,000 in 1900) which means 2.1 children per woman. Life expectancy is high - about 74 years for men and 80 years for women. Population density is about 20 inhabitants per square kilometer, but the inhabitants are unevenly distributed. 90% live in the southern half of the country. The most densely populated area are the three major urban regions of Stockholm, Gothenburg and Malmo

ECONOMY:

Economy of Sweden is a highly industrialised one and as such a member of the OECD (Organisation for Economic Co-Operation and Development). About 6% of the population is engaged in agriculture, forestry and fisheries. Main crops grown are oats, wheat, rye, barley and potatoes. Dairy produce accounts for 50% of farming output. Forest industry has a one fourth share in the total exports of the country. Sweden has a well established fishing industry. The country is also endowed with rich mineral resources. Iron ore deposits are amongst the richest and most extensive in the world. Other minerals are zinc, copper, sulphur, manganese and low-graded uranium ore. There also exists a relatively small deposits of lead, gold, silver, tungsten, molybdenum and arsenic. Non-metallic minerals are granite, feldspar, quartz and marble. Since no significant deposits of coal and petroleum have been discovered, an abundant supply of waterpower has been developed into hydro-electric power. Paper and pulp, timber, iron and steel, chemicals, machinery, shipping, aircraft, motor vehicles, textiles, apparel and food products are the Leading industries.

In the Western world governments intervene to a greater or lesser extent in the functioning of the economy. By several possible standards, intervention by the Swedish government is regarded as the most extensive in the western world, measured in terms of total government expenditure the benefits, or taxes and charges, as a percentage of GDP, to mention some yardsticks. Taxes are high, but so are the socio-political environment since World War II has largely been conductive to smooth and strong economic growth and by the early fifties full employment was achieved in Sweden. The country's production facilities remained intact throughout the war since Sweden remained neutral and the huge pent up demand in war-devastated countries, especially in Europe, had to be satisfied. Exports of Swedish goods were welcome and they also made a valuable contribution to the rapid growth in Sweden's own economic output. By the end of forties GDP was expanding at an annual average rate of 4.5%.

In the fifties, the average GDP growth slowed down to slightly over 3%. The sixties are generally regarded as "the golden decade" with a high annual rate of growth (4.5%). Supported by this rapid growth, Sweden built up its once renewed and much praised welfare system, and unemployment was brought down to a very low level and kept there. The sixties were also a decade of rapid structural transformation. The agricultural sector declined in importance, and in industry unprofitable firms were shut down and small companies merged with larger ever. The process of industrialisation came rather late in comparison with other west European countries, but an abundance of natural resources provided a favourable environment for Sweden's emergence as an industrial nation. The rich iron ores and the vast areas of forest have provided the foundation upon which many Swedish industries were able to develop and make the country an important exporting nation. The numerous rivers and lakes also provided the country's fledgling industries with inexpensive supplies of energy and an efficient transport system. More than half of the land area of 173,000 sq.miles (450,000 sq. kms.) is covered by forests of excellent quality, which gives Sweden the largest commercially exportable timber resources in Western Europe. Sweden's iron-ore reserves are also the largest in Europe.

IMPORTING ENVIRONMENT:

International marketing involves a stiff competition among the marketing community both within the country as well as outside the country. It is therefore important to include all pertinent information in the first communications as mentioned below :

1. All particulars regarding product including technical details must be described fully along with brochures and photographs
2. Prices should be quoted in convertible currencies
3. Preferable Terms of Payment should be quoted
4. Particulars of quality & quantity should be mentioned
5. Production capacity and availability of the quantity for export should be mentioned.
6. Information on types of packing, packaging material, unit sizes etc. as well as means of transport and delivery schedule should be quoted.

Sweden is highly dependent on Foreign Trade. Imports and Exports of goods and services each represent roughly one third of the gross national product Imports per capita are among the highest in the world. The aim of Sweden's trade policy has traditionally been the universal elimination of customs duties and other trade barriers. Sweden supports efforts to liberalise world trade and its tariff levels for finished goods rank with the lowest in the world. With regard to farm produce, current practice for certain commodities is to levy special import charges instead of import duties. Quantitative restrictions are applied to imports in very few cases. Sweden plays an active part in the international organisation working for the liberalisation of trade. With a few exceptions, virtually all Swedish import duties are levied on an ad valorem basis The Swedish customs tariff is based on the Harmonized Commodity Description and Coding System (HS), approved by the Customs Co- operation Council on June 14, 1983. This is single-column tariff, and the same tariff rates apply to all countries, whether or not they are members of GATT. As a member of EFTA (the European Free Trade Association), Sweden has gradually eliminated duties on practically all products originating in other EFTA countries (Austria, Finland, Iceland, Norway and Switzerland). Furthermore, Sweden has a Free Trade Agreement with the EC. In 1991 the Swedish government applied for membership of the EC. Import licenses are required for some goods, such as most agricultural produce. A license, when required, should be obtained before orders are finally confirmed. Licenses must be obtained by the Swedish importer. Goods which are to be imported into Sweden must be cleared through customs. Before dispatching goods to Sweden, a foreign exporter should consult with the-importer or a forwarding Agent to determine the best way of getting the goods into Sweden, and what documents may be required for the clearance of the goods.)
The ATA Garnet is an international customs document which can be used for the temporary importation of:

1. Samples of commercial value;
2. Goods for fairs and exhibitions;
3. Professional equipment·

The ATA Garnet allows temporary importation without requiring completion of customs forms or deposit for customs duty and other charges in connection with the customs clearance

The following organisations can offer advice on commercial information:
SWEDECORP (Swedish international enterprise Development Corporation),

1) Luntmakargatan 46, P.O. Box. 3144,
103 62 STOCKHOLM
Tel: (468) 677 6600 ; Fax: (468) 2492 90
Telex: 14135 SWCORP S.

2. Federation of Swedish Commerce and Trade,
P.O. Box. 5512, Grevgatan 34
114 65 STOCK HOLM
Tel :(8) 666 1100
Fax:(8)662 7457, Telex: 19673.