Austria is one of the most welcoming countries when it comes to foreign investments, businessmen from other countries being allowed to open companies in various industries here. While some of them choose industries like the financial one or tourism, other choose to open businesses in the retail sector which is one of the most prolific segments of the Austrian economy. The retail of tobacco is quite successful, considering the Austrian population has good wages. Even if the price of cigarettes is above the average in other EU countries, recent reports show that the consumption of tobacco products was stable during the last several years.
Our company formation agents in Austria can offer information on the legislation related to selling tobacco products.
Austria adhered to the World Health Organization’s Convention on Tobacco Control in 2005 and ever since it has imposed strict regulation on the sale of tobacco and related products. Also, in 2016 Austria renewed its national Tobacco Law through which smoking in restaurants was banned. Exception from the ban are hotels which are allowed to create separate smoking rooms. Also, this did not decrease the sale of cigarettes.
In terms of legislation, Austria also adopted EU regulations related to the production and sale of tobacco, among which The Tobacco Products Directive 2014/40/EU. Our company registration consultants in Austria can offer more information on this directive.
Foreign investors interested in opening a company in Austria in order to sell tobacco must know that there are special regulations with respect to these activities. First of all, one is not allowed to sell cigarettes to individuals below the age of 18. Most companies in Austria set up tobacco shops or kiosks in which the advertising of the products they sell is permitted. However, all the adds must contain references to the danger caused by smoking and the fact that that underage persons are not allowed to buy such products.
Foreign enterprisers interested in setting up a tobacco shop can contact our Austrian company formation representatives who can handle the incorporation procedure.