Finland’s role in boosting Arctic business stressed

Speakers at the 8th Arctic Business Forum (ABF) underscored the importance of Finland’s role in the development of Arctic business cooperation in the next two years as the country is taking over the chairmanship of the Arctic Council.

They also pointed out various bureaucratic complications as barriers to expansion of investment and arctic business cooperation in the high north while focusing on the industry, innovation, and investment situations and potentials in the Arctic region.

“Finland’s role is very important in the next two years as the country is taking over the chairmanship of the Arctic Council,” Lapland County Governor Mika Riipi said in the two-day 8th Arctic Business Forum that began at the Kemi Cultural Centre on Wednesday morning.

Experts, entrepreneurs, academicians, diplomats, and high government officials are taking part in the forum. Kemi Mayor Tero Nissinen, Lapland Chamber of Commerce Chairman Juha Mäkimattila, Lapland County Governor Mika Riipi, and Arctic Economic Council Chairman Tero Vauraste spoke in the inaugural session.

The speakers emphasised developing Arctic mining, steel and forest industry as well as infrastructure to meet the increased demands of export and tourism.

They also pointed out the importance of positioning new icebreaker for regional business development. Vauraste said they just made the decision on May 16 that a second icebreaker will be transported to the North this July.

Arctic Analyst Managing Partner Mikå Mered, Aker Arctic Oy CEO Reko-Antti Suojanen, and Lapland Chamber of Commerce President Timo Rautajoki presented their evaluation of the development of international Arctic business cooperation in the context of changing political situation.

Rautajoki focused on the investment potential and distribution in different regions and industries on European High North. He pointed out that there are sanctions on mining industry, hydro power, bio energy, and trade, but there still are potentials.

“It has been a great meeting, we have many important Finnish Arctic thinkers who can decide the economic strategies in Finnish Lapland region, they all presented their versions and opinions this morning... it’s a great talking, maybe there should be more acting,” Mered told the Daily Finland.

A Swedish session was held in the forum where Ambassador of Sweden to Finland Anders Ahnlid, Luleä Deputy Mayor Niklas Nordström, and Chairperson of the Board of Business Sweden Elina Rantanen spoke, among others.

The Swedish session in particular discussed the maintenance and subcontracting challenges and opportunities in Arctic industry.

On the opening day, the Lapland Chamber of Commerce launched the Arctic Business Forum Yearbook edited by the president of the chamber, Timo Rautajoki. “Economical situation is still about the same in European High North like in the year 2016. Oil price is still quite low, EU/USA sanctions against Russia and Russian counter sanctions still exist, but business development has signs of recovery in the European High North,” reads the yearbook.

It also says that the mining industry has also been in problems with low raw market prices and no sign of growing demand. Now prices have started to rise and mining business seems to be more active also with investment plans. In spite of all positive signs, all estimations regarding investments are still difficult to make, especially estimations regarding the start of implementation.