E-Malt.com News article: 2521

Estonia: Finns, separated from Estonia by a mere hour and a half boat-ride, are preparing in record numbers to invade its capital Tallinn for a historic beer-shopping spree when the Baltic state joins the European Union on May 1. "We expect huge masses of Finns to come to Tallinn for May 1," Kattri-Helina Raba, spokeswoman for the Estonian embassy in Helsinki, told AFP.

Estonia has since its independence from the Soviet Union in 1991 been a prime destination for Finns wanting to stock up on cheap beer and vodka, which in Tallinn often cost just a third of the Finnish price. In fact, one fifth of Finns' average annual alcohol consumption, some 9.3 liters of pure alcohol last year, is bought in Estonia, research shows. After May 1, however, that figure is expected to increase significantly thanks to a new rule allowing Finns to import unlimited amounts of alcohol for personal use from any other EU state.

Until the beginning of this year, a tax-free quota law restricted the amount of alcohol Finns could bring home with them from abroad to one liter of spirits, two liters of wine and 16 liters of beer. A recent tax cut on booze in Finland was meant to curb the growing "alcohol tourism" to Estonia. But since the tax cut mainly affected hard liquor prices and not lager, Finns' favorite tipple, the cross-border beer trade is still expected to double starting on May 1.

In a strange twist, Finnish breweries are also eagerly awaiting the neighboring country's entrance in the bloc. "The sale increase will be massive, and we expect to double our export volume to Estonia this year," said Tapani Ilmanen, export manager for Finland's popular lager Lapin Kulta, or Gold of Lapland in English. In total, Finnish breweries expect to see their Estonian exports nearly double to five million cases, or 40 million liters, of lager this year, with virtually the entire increase coming after May 1, Ilmanen said.

Estonian ale may be just as tasty as other European beers, but most Finns prefer the brews of their home country, regardless of the fact that Finnish brewery groups own many of the Estonian breweries.

The largest beneficiary of this beer rally will still undoubtedly be Estonia itself, officials said.


21 April, 2004