Key Flag Symbol Rules

Qualifications and Conditions of the Association for Finnish Work’s Key Flag Symbol mark

1. The purpose of these rules together with the terms of use (”Terms of Use”) is to promote the use of the Key Flag Symbol as a reliable indicator of origin in the marketing of Finnish products and services, as well as in other marketing communications of Finnish companies. The objective of the Key Flag Symbol is to provide information on the Finnish origin of a product, service or online shop and its contribution to Finnish work.

2. The Key Flag Symbol is a registered collective mark owned by the Association for Finnish Work (”Association”). The following rules shall apply to the right to use the Key Flag Symbol.

3. The right to use the Key Flag Symbol can be awarded upon application at the discretion of the Key Flag Symbol Committee, which is nominated by the Board of the Association, to products, product groups, individually named products or combinations thereof owned by an organisation which is a member of the Association and operates in Finland, provided that the products or services mentioned above are manufactured or produced in Finland and that they comply with the requirements set forth in these rules.

4. The Key Flag Symbol Committee, which has the necessary expertise for the task, processes the applications for the right to use the Key Flag Symbol, grants the right to use the Key Flag Symbol and addresses disputes. The Committee shall have quorum if at least half of its members are present, including the Chairperson and/or the Vice Chairperson.

5. The Key Flag Symbol Committee requires the applicant organisation to comply with Finnish law, any applicable official regulations, sound business practices and the Terms of Use.

6. Eligibility

  • The applicant organisation must be a member of the Association.
  • The applicant organisation must have a business ID.

7. Requirements Set for Products

The right to use the Key Flag Symbol can be granted to a Finnish product.  To be awarded the right to use the Key Flag Symbol, the product or product group shall fulfil the following requirements:

  • The product or product group is manufactured in Finland.
  • The minimum domestic content of the break-even cost of the product or product group is 50 per cent.

Domestic content is determined by the break-even cost of products. The break-even cost comprises the following material product-related costs:

  • raw materials
  • supplies
  • partly or semi-finished goods
  • packing materials and supplies
  • variable and fixed employee costs
  • subcontracting
  • other direct costs
  • marketing costs
  • product development costs
  • depreciation and interest
  • other indirect costs

The Key Flag Symbol Committee also considers the following factors:

  • General conception of the product’s Finnish origin

8. Requirements Set for Services

The Key Flag Symbol can be granted to a Finnish service. To be awarded the right to use the Key Flag Symbol, an individual and named service or service combination shall fulfil the following requirements:

  • The service is produced in Finland.
  • The applicant organisation has significant domestic ownership and its management is located in Finland.
  • The applicant organisation’s head office is located in Finland.
  • The minimum domestic content of the service is 50 per cent of the break-even cost.

The domestic content of services is determined by their break-even cost. The break-even cost comprises the following variable costs:

  • employee costs
  • subcontracting
  • material purchased
  • other costs related to service production.

The Key Flag Symbol Committee also considers the following factors:

  • service features and the principles of sale, delivery, production and use
  • Finnish design and development of the service
  • the service’s impact on strengthening the position of domestic products and services
  • general conception of the service’s Finnish origin

9. Requirements Set for Online Shops

The right to use the Key Flag Symbol can be granted to a Finnish online shop. To be awarded the right to use the Key Flag Symbol, the online shop service shall fulfil the following requirements:

  • The online shop operates in Finland.
  • The applicant organisation has significant domestic ownership and its management is located in Finland.
  • The applicant organisation’s head office is located in Finland.
  • The online shop must present its payment and delivery terms clearly, its customer service and warehouse must be located in Finland, and the deliveries must be handled from Finland. The online shop must also clearly display its privacy policy in accordance with the EU General Data Protection Regulation.
  • The minimum domestic content of the online shop service is at least 50 per cent of the break-even cost.

The domestic content of the online shop service is determined by its break-even cost. The break-even cost comprises the following material variable costs from the previous financial period:

  • employee costs
  • subcontracting, e.g. logistics, warehouses, advertising services, marketing, customer service, online shop platform
  • materials purchased, excluding products sold in the online shop
  • other costs related to service production

The Key Flag Symbol Committee also considers the following factors:

  • when it comes to products, the online shop must provide the customer with expertise and added value.
  • the online shop service’s impact on strengthening the position of domestic products and services
  • general conception of the online shop’s Finnish origin

10. A licenced organisation may use the Key Flag Symbol in its corporate image communications, when over 75 per cent of the organisation’s turnover is generated by Key Flag Symbol products or services.

11. The right to use the Key Flag Symbol shall be valid for three full calendar years, provided that the organisation is a member of the Association. The Key Flag Symbol Committee can, at its discretion, award the right to use the symbol for a period shorter than three years. The organisation shall notify the Association if the circumstances affecting the right to use the symbol change.

The right to use the Key Flag Symbol shall be renewed every three years. The Association shall notify the licence holder of the continuation or expiry of the right in advance.

12. All information related to the application shall be treated in confidence and kept secret. Information on which of the organisation’s products, services and online shops have been awarded the right to use the Key Flag Symbol shall remain public and the Association shall maintain a public register of such information. Additionally, information on the symbol application processing and symbol granting process is public.

13. An administration fee shall be charged for the right to use the symbol and its renewal in accordance with the grounds set out by the Board of the Association.

14. The provisions of the Finnish Trademarks Act (544/2019) on association marks shall apply to the Key Flag Symbol.

15. The Board of the Association shall decide on any amendments to these rules. The rules currently in force are available on the Association’s website at www.suomalainentyo.fi.

 

12 December 2023

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