To ensure fair competition with foreign companies shipping strategic goods, on Thursday, 16 January, the Saeima adopted in the third and final reading amendments to the Law on the Circulation of Goods of Strategic Significance.

Previously, local freight companies carrying strategic goods in transit, including military freight and products intended for supporting Ukraine, were subject to additional restrictions. According to the law, local providers of freight transfer services had to obtain a special licence and a permit for carrying strategic goods, whereas foreign companies only needed the permit, explained representatives from the Ministry of Foreign Affairs at an earlier meeting of the Saeima Foreign Affairs Committee, which was responsible for advancing the draft law.

The amendments provide that freight companies registered in Latvia that carry strategic goods in transit will require only a permit. The permit can be issued by either the country of origin or the country of destination of the shipment. The new provisions will level the field regarding the competition and control over freight companies based in Latvia and abroad. In addition, there are plans to phase out import licences for dual use goods.

According to the amendments, from now on, the Ministry of Defence will issue commercial activity licences to producers of military goods for a limited period of nine years. Moreover, once every three years, the registration of the existing licence will have to be renewed. According to the explanatory note to the draft law, the Ministry of Defence will have the right to suspend a licence for a term of up to six months in cases when additional checks are required. Previously, such licences were granted for an indefinite term.

The amendments also establish that, to prevent overlap with the functions of other authorities, from now on only the State Police will issue and check permits for transporting civilian-held firearms within the European Union territory.

In addition, to ensure better traceability of local movement of firearm equipment such as silencers or sighting devices, sellers of firearms will have to register every buyer of such equipment.

The amendments will enter into force on 1 March.

Saeima Press Service