Becoming an EU member state in 2004 and changing its currency to euro in 2008 helped Malta to liberalize its economy and make it very attractive to investors. Malta’s economy
is mainly based on tourism and depends very much on foreign trade such as manufacturing goods. Malta
is considered one of the most attractive destinations for foreign investments
in Europe especially due to its legislation for FDI
. That's why many foreign entrepreneurs are interested in opening a company in Malta
. Our company formation agents in Malta
can provide comprehensive assistance and support for registering a business in this country.
Imports in Malta
Malta’s economy relies more on imports than exports which makes fuel and raw material the most imported goods. More than that, the most imported product is petroleum which represents about 33% of Malta’s imports. Then there is the import of boats and ships with a 24%, as Malta is well known for its tourism facilities. The third place is occupied by integrated circuits that are imported in a proportion of almost 6% and chemical products that follow closely, almost 5% of them being imported by Malta. Means of transportation are also on top of Malta’s import list occupying 2%. Other goods that are also imported in a small percent are: pharmaceuticals, metals, foods and textiles.
The countries Malta imports the most from are: South Korea which provides 23% of the imports, Italy - 22%, Russia - 6%, Turkey and the United Kingdom - 4.5%.
Import duty and taxes in Malta
As any other country, Malta
also has taxes
and duties that apply to goods and services that come from outside the EU. These taxes are calculated as a sum of the value of the merchandise, its transportation and insurance costs. The duty rates for import
s are variable and range between 0% and 17%. There are also anti-dumping duties
that can reach 48.5%. The VAT Malta
applies to imported products and services is set at 18%, but some products benefit from a reduced rate of 5%.
Exports in Malta
The Central Bank of Malta reports that Malta’s exports are based on petroleum, manufactured goods, appliances, fish, pharmaceuticals and printed materials. On a closer look, Malta’s exports are based on:
- - refined petroleum that represents 37% of the country’s total exports,
- - integrated circuits - 23%,
- - packaged pharmaceutics - 6%,
- - manufactured goods such as toys, stuffed animals etc. - 3%,
- - protection equipment - 2%.
Other exported goods, but in smaller percentages, are: airplane parts, fish, plastic utensils, medical devices and measuring tools. Malta’s exports
are directed towards Asia (Singapore, China and Korea) and also towards European countries such as Germany, France, UK, USA, and Italy.
How do I obtain the import and export license in Malta?
Foreign investors in Malta
need to observe the general rules in matters of trading licenses
if they want to develop import activities. The Trade Services Directorate
issues the import and export licenses, with respect to the Importation and Exportation Control Regulations. We also mention that trading companies in Malta must be registered for VAT, must obtain the EORI number
, respect the Inward processing Procedures for the payment of duties and respect the Customs Economic Procedures imposed by the EU and the Customs Warehousing Procedures for the storage of imported and exported goods, in compliance with the EU directives. One of our company formation specialists in Malta
will tell you more about how to register a trading company in Malta
and about how to obtain the import and export licenses
necessary for such operations.
The main exported products of Malta
According to the latest statistics, Malta exported goods worth around USD 3.9 billion in 2018. Petroleum oils (29.1%), electronic integrated circuits (14.8%), and pharmaceuticals (8.7%) were the main exported products, followed by aircraft and spacecraft parts.
The main imported products in Malta
In 2018, Malta imported goods worth around USD 7.2 billion, among which, petroleum oils and derived products (27.9%), yachts and vessels (6.2%), helicopters and airplanes (4.8%), and electronic integrated circuits (3.8%).
How do I obtain the EORI number in Malta?
The EORI number
or the Economic Operator Registration Identification was introduced in 2009 and imposed for companies with trading activities for better control of import and export activities throughout the EU. This is a unique number that comprised the VAT number, alongside the country’s prefix and other digits. The European Commission has a large database of trading companies with EORI and it is the institution that approves the EORI applications, in collaboration with the Maltese authorities. In terms of EORI registration in Malta
, the VAT certificate and the company’s documents need to be submitted, alongside other formalities that can be explained by our consultants. An EORI number assigned to your company in Malta
will ease the customs controls and submit the entry and exit declarations without complications. It is good to note that an EORI number will be issued in approximately 5 days. Even sole traders with trading activities can apply for an EORI number without difficulties. All the procedures involved in EORI applications in Malta
can be handled by one of our company formation specialists in Malta
Canada is a solid trading partner for Malta
With a tourism sector that sustains more than 27% of the country’s GDP, Malta represents a great business partner for Canada, in matters of import and export. The following numbers can highlight a good part of the trading collaboration between Malta and Canada:
- The total trade balance for 2018 was around C$ 147 million;
- Approximately C$ 112 million was the total exports from Canada to Malta in 2018;
- Around C$ 36 million was the total import of goods from Malta to Canada in 2018;
- 89% of the Canadian exports included the aircraft and related components;
- Canada imports electrical machinery, pharmaceutical products, and medical equipment from Malta.
It is not that complicated to register and develop a trading company in Malta
, however, if you are interested in such operations in this country, you might first want to set up a liaison office and make a market analysis. Let one of our specialists tell you more about how to register a business in Malta
Making investments in Malta
According to Eurostat, Malta
achieved one of the highest growth rates among EU countries, in matters of science and technology. Even if it is a small insular state, the huge potential for business is highly appreciated by international investors who decide on placing their operations in sectors like tourism, real estate, engineering, agriculture, manufacturing and many more. There are great advantages when it comes to the business environment of Malta. The experienced and multilingual workforce, the economic stability, the simplified registration process of companies
, the lack of bureaucracies and the possibility of relocating the operations without harsh formalities are huge business advantages that are attentively measured by foreign investors in Malta. The appealing tax regime and the protection of the double taxation treaties signed by Malta
are also on the list of benefits offered by Malta to international investors.