Skip to comments.Estonian Coffers Bulge from Booze-Cruising Finns
Posted on 08/08/2004 10:59:45 PM PDT by Pikamax
Estonian Coffers Bulge from Booze-Cruising Finns
Fri Aug 6, 1:04 PM ET Add Oddly Enough - Reuters to My Yahoo!
TALLINN (Reuters) - A rush of thirsty Finns making the short trip across to neighboring Estonia to stock up on cheap booze and beer have boosted state coffers in the small Baltic EU newcomer, the Finance Ministry said on Thursday.
Revenues from alcohol taxes rose more than 40 percent in June from the same period last year to 162 million kroons ($12.49 million) as Finns booze-cruised to the ex-Soviet state, and early estimates suggest a similar rise for July.
Finance Minister Taavi Veskimagi told Reuters EU entry had made it easier to travel to and from Estonia.
"But it's not all about alcohol," he said, adding that he hoped tourists would stay longer in the country and discover more of what Estonia has to offer.
Finnish "Vodka tourists" have long been a fixture of Estonia's capital Tallinn despite previous limitations on how much they could bring back.
But now they can take back as much booze and brew as they can carry after the small country of 1.4 million people joined the European Union (news - web sites) in May.
Estonia's Finance Ministry plans to raise the tax on strong liquor by 20 percent from next year, but Estonian prices on alcohol will still remain far below Finnish levels.
A bottle of Estonian vodka currently cost around 5 to 6 euros ($6 to $7) compared with just above 16 euros in Finland even after Finnish authorities slashed alcohol taxes March in fear of the so-called "Vodka rallies" spiraling out of control after EU enlargement.
Has Ted Kennedy stocked up yet?
raising taxes?? typical.
doesn't it sink your bobber that the ex-soviet states have lower taxes than us "free" countries??
[quote]raising taxes?? typical.[/quote]
Raising taxes on tourists - I can imagine worse ways to raise revenue...
I have a lot of Finnish relatives -- they can really put away the vodka. I'm only half-Finn, so I don't have their tolerance!
...somewhere there is a joke about swimming in a circle and $2.50 and being half/un-Finished...but I just can't make it work...
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