Lapland businesses urged to capitalize on NATO expansion opportunities

Businesses in Lapland are being encouraged to explore opportunities arising from the expansion of NATO activities in the region. Entrepreneurial prospects range from food services like burgers and pizzas to manufacturing products and providing transportation services. Legal expert and procurement specialist Juhani Matinlassi believes that increased NATO-related activities can significantly benefit local companies economically.

“The volume of defense acquisitions is quite substantial, with the Finnish Defense Forces alone spending €1.3 billion annually, while European NATO member states allocate €350 billion. If we discuss international procurement in Lapland, I would confidently estimate that it could enter the million-euro range,” Matinlassi stated, acknowledging that the specifics remain somewhat uncertain.

He noted that the rise of international exercises offers realistic business opportunities for Lapland’s enterprises, which have traditionally lacked a strong presence in the defense industry. However, the logistical support needed by international forces can result in orders for local transport firms, manufacturers, and entry into the defense supply chains. Local services, including restaurants, are also likely to be utilized by foreign troops.

The impact of NATO membership is already apparent in Lapland, particularly through military exercises and the use of the Port of Kemi. Recent reports indicate that the headquarters for FLF forces may be situated in Lapland, either in Rovaniemi or Sodankylä.

Matinlassi encourages companies to stay informed about the situation and to maintain good communication with the Finnish Defence Forces, as they provide guidance on procurement opportunities. Currently, other Nordic countries have shown more engagement with NATO, with approximately 1,800 Finnish companies registered compared to over 10,000 Danish and nearly as many Swedish companies. Norwegian companies number around 6,800, while the tally for Estonian companies stands at about 650.