Transport and logistics

The Ministry of Transport and Communications aims to maintain and develop the transport infrastructure to a standard that satisfies the needs of goods traffic. Market transparency will be promoted both in domestic and international traffic.

In accordance with the Government Programme a national logistics strategy will be prepared during this government term under the leadership of the Ministry of Transport and Communications. While holding the EU Presidency in 2006 Finland chose logistics as a key priority in the field of transport policy. On the initiative of Finland the European Commission has launched preparations for the first action plan for logistics.

Smooth and well-organised logistics is very important for business life, and particularly for competitiveness of imports. Finland is located on the periphery of Europe and transport journeys within the country are long. Logistics costs, therefore, amount to 13 per cent of businesses' turnover.

Although away from the main market areas of central Europe, Finland’s location next to Russia has made it an important transit country for goods transport. Transit goods to Russia arrive in Finland by sea and are mainly transported to their destination by road.

Domestic freight transport (2006)

• Transport performance 40.5 billion ton kilometres
• Road transport 65.2%
• Train transport 27.4%
• Water transport 7.4%

Logistics costs to businesses (2005)

• Total costs in logistics amount to 26.4 billion euros.
• Transport costs 36%
• Costs for stored capital 27%
• Storage costs in logistics 24%
• Administrative costs in logistics 13 %

Further information

Mr Jari Gröhn, Senior Engineer, tel. +358 9 160 28501
Mr Lassi Hilska, Senior Adviser, tel. +358 9 160 28497