Gov’t finally moves for stricter alcohol rules and law

The social affairs and health ministry at the end of the week tasked a working group with coming up with recommended regulations after examining the pros and cons of the proposed restriction on cross-border sales of alcoholic beverages.

The working group has also been instructed to accommodate in its assignment any conditions set by the Finnish parliament.

The move follows the fact that the current regulations regarding online trade of alcoholic beverages from abroad, i.e., cross-border distance selling, are not clear enough, if not too soft and permissive. These regulations have been analysed and evaluated for almost three years now in concurrence with a case (No. C-198/2014) filed by Valev Visnapuu with the EU Court of Justice against the district prosecutor of Helsinki and the Finnish National Board of Customs. The main issues of the case concern distance selling and transportation of alcoholic beverages in between EU member states, excise duties levied on certain beverage packaging and exemption of that where the packaging is integrated into a deposit and return system, the requirement of licence for retailing alcoholic beverages, the alleged monopoly in retail sales of alcoholic beverages, as well as the justification of this situation and the protection of public health.

In its preliminary ruling, as sought by the plaintiff, the EU Court of Justice on 12 November 2015 said the prohibition on distance selling of alcoholic beverages from abroad as laid down in Finland’s current Alcohol Act is in agreement with the EU law under certain conditions.

Next, the Helsinki Court of Appeal heard the case in spring 2017 and, since the court’s judgement was appealed against, now it is the Supreme Court that would issue the final ruling on the case.

When voting on the Alcohol Act on 19 December last, the members of parliament asked the government to clarify the regulations concerning distance selling of alcohol. They also emphasised that the government’s clarification must take into account the requirements laid down by the EU Court of Justice and any that might be ruled by the Supreme Court in the Visnapuu case. Parliament requires that Alko will continue to have the exclusive right to retail alcoholic beverages. But, at the same time, it must be ensured that Finnish traders are on a par with foreign sellers of alcoholic beverages. In addition, the current licensing system for selling alcoholic beverages must be maintained.

The working group has also been directed to accommodate the requirements set for a smooth collection of excise duties.

Kari Paaso, a director of the Ministry of Social Affairs and Health, chairs the group comprising representatives of the key ministries, regulatory authorities, and businesses concerned. The group will hear various experts in the course of its work during its tenure of 21 December 2017 to 15 March 2018.