Exporting guide to Croatia

Overview

Croatia occupies a strategic location at the heart of Central and Eastern Europe. Its economy is gaining strength and it offers a market with significant growth potential.

Growing economy

The Croatian economy is one of the most developed in Southeast Europe. It is characterised by an increasing number of vibrant and innovative companies across multiple industry sectors. These internationally competitive businesses have strong growth potential and could be excellent partners for UK suppliers.

Opportunities for UK companies

Croatian consumers are increasingly sophisticated and affluent, and English has become the preferred business language. The country boasts equal rights for domestic and foreign private and legal entities. It also guarantees free transfer of capital and profit repatriation to investors.

Emerging Europe

Croatia can act as a gateway to trade with other countries in the Central and Eastern Europe region, which offers great potential for British businesses. In addition, the region is easy to access from the UK and features strong economic growth compared with Western Europe.

A square in Croatia

Croatia: at a glance

Economic growth

-8.1%

Actual figure (IMF, 2020)
The UK is -9.3% (IMF, 2020, actual figure)

GDP per capita

$14,131

Actual figure (IMF, 2020)
The UK is $41,127 (IMF, 2020, projected figure)

Currency

Kuna

Business language

Croatian, English

Time zone

GMT +1

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Opportunities for exporters

There are opportunities for UK companies across a broad range of industries. Our trade advisers in Croatia have identified particular opportunities for UK businesses in the following sectors:

Check for trade barriers

Trade barriers, such as tariffs or taxes, can raise costs, cause delays, or even stop you from exporting. Check for any issues that may impact your business when exporting.

See current trade barriers

See resolved trade barriers

Check duties and customs

Find information on how to export goods from the UK. View the duties, rules, restrictions, and the documents you need for your products.

See current duties and customs procedures

Doing business Croatia

Preparing to export

VAT

If you’re registered for VAT in the UK, it may be possible to zero-rate the goods you export to Croatia, provided certain conditions are met.

The usual rate for VAT (called PDV in Croatia) is 25%, but the rate for tourism-related activities is 10%.

Corporate tax

All companies in Croatia are required to pay a 20% tax on profits.

Croatia’s Tax Administration oversees the taxation system. The Department for Investments and Competitiveness provides details of incentives available to companies in free trade zones.

Regulations

Products and packaging should meet EU standards.

The Croatian government allows multi-language labelling and stickers. However, one of the languages must be Croatian.

There are regulations about information that every label needs to contain, with additional information required for specific products.

Services regulations

Information on rules for selling services and business travel to Croatia is available on gov.uk.

Trade barriers

Check for any reported barriers to trading with Croatia.

Report any trade barriers that are affecting your business so we can help fix them.

Operating in Croatia

Intellectual property

Intellectual property (IP) rights are territorial and rights granted in the UK do not provide protection elsewhere. You should consider getting IP protection abroad if you want to trade overseas or sell to overseas customers via the internet.

The Intellectual Property Office provides practical information to help you protect, manage and enforce your IP abroad. Further support for British businesses can be found through a network of IP attachés, based in key UK export markets.

Payment terms

Payment deadlines to suppliers generally range from 20 to 60 days, with the average being 30 days.

Next steps

DIT can advise you on doing business abroad, and help put you in touch with other people who can help such as lawyers and distributors.