The Greek retail market stands at a critical crossroads as traditional balances are being upended by the meteoric rise of international e-commerce platforms. At the heart of this shift lies the recent report by the Hellenic Confederation of Commerce and Entrepreneurship (ESEE), which positively evaluates the initial signs following the removal of tax and customs facilities previously enjoyed by small parcels from third countries, primarily from Asia.

Restoring Competition

For years, Greek merchants felt they were fighting with their hands tied. The existence of thresholds below which no duties or VAT were imposed (the notorious €22 limit in the past and customs exemptions for values up to €150) created a distortion that favored platforms like Temu, Shein, and AliExpress. ESEE argues that tightening controls and the gradual elimination of these 'loopholes' is the first substantial step toward restoring fair competition.

According to the Confederation's analysis, the measure is not aimed at restricting consumer choice but at eliminating an unfair cost advantage. When a Greek business is required to remit VAT from the first euro and adhere to strict European safety standards, the ability of foreign competitors to import products without corresponding burdens led to the mathematical extinction of domestic small and medium-sized entrepreneurship.

The 'Split Shipment' Tactic

One of the most significant problems identified by ESEE and the European Commission is systematic undervaluation and order fragmentation. Many platforms used algorithms to 'break' a large order into several small parcels so that each would fall below the customs threshold. This practice not only deprived public coffers of revenue but also disproportionately burdened the environment due to the massive volume of packaging and transport work.

  • Revenue loss: It is estimated that billions of euros in VAT were lost annually at the EU level due to these exemptions.
  • Environmental footprint: The 'ultra-cheap' culture fuels the fast fashion model, which is highly polluting.
  • Product safety: Many of these parcels never undergo quality control, potentially endangering consumer health.

European Reform and the Future

ESEE does not limit itself to the Greek reality but calls for the acceleration of relevant European interventions. The proposed EU customs reform, expected to be phased in by 2038, aims for the complete removal of the €150 threshold for duty exemption. This will mean that every product entering the Union, regardless of value, will be treated the same way.

"The digital transformation of trade must go hand in hand with justice. We are not asking for protectionism; we are asking for equity," a Confederation official noted.

The challenge for Greek businesses remains significant. The removal of the €3 fee or the imposition of duties is not enough on its own to win over the consumer. Simultaneous investment in customer experience, delivery speed, and quality is required. However, creating a 'level playing field' gives Greek SMEs the necessary breathing room to compete on equal terms.

Conclusions and Outlook

Initial data shows a slight slowdown in the growth rate of uncontrolled imports, while a shift is observed among consumers toward more reliable domestic e-shops offering guarantees and easier returns. The battle for the future of retail in Greece has only just begun, and the tightening of rules on small parcels is just the start of a long journey toward rationalizing the global digital market.