Italy
Quality is the key to export success

Renowned for its culture, art, food and wine, and as one of the leading tourist destinations of Europe, Italy has undergone an economic transformation over the last sixty years. While the south of the country remains predominantly agricultural, the northern part includes some of the most dynamic industrial regions in the European Union – of which Italy currently holds the presidency.

Exports drive the economy, totalling more than £150 billion last year, with the country’s EU partners accounting for more than 50 per cent. Small and medium-sized businesses (SMEs) predominate, many operating in clusters, creating localised production centres for everything from cars, ceramics, engineering products, textiles, clothing and footwear, to food and wine. At the same time, Italy continues to export fruit, sugar beet, corn, tomatoes, potatoes, soya beans, grain, olives and livestock from its farms.

The key to Italy’s competitive strength in world markets is its reputation as a producer of goods of high quality. Italian design and high production values have given the ‘Made in Italy’ brand a worldwide reputation for excellence.

A reputation for style and high production values has made Italian brands famous all over the world

‘We have to establish an open economy’ President of Federalimentare

Consumers of Italian exports buy more than just the products, they buy into the Italian experience, according to Count Luigi Rossi di Montelera, President of Federalimentare, the federation for the Italian food industry. “We want to present all our products as part of the culture of the country,” he says.

Count Rossi di Montelera emphasises the strong relationship between Italian food products and the cultural and regional history of Italy. “Italian food and drink are an important part of Italy’s image. Many Italian products like wines and cheeses are connected to a specific local area. Others, such as pasta, while having no specific local connection, belong to the typical Italian style and are the result of a long established culture of production.”

In addition to promoting the competitiveness and development of the food and drink industry, Federalimentare guarantees both quality and food safety.

A prime example of building success on a reputation for quality is Asti, the traditional aromatic sparkling wine produced in the region of Piedmont. From two million bottles produced immediately after the Second World War, annual production has increased to around 75 million bottles today, and sales have seen another significant increase this year.
The wine bears the D.O.C.G. (Denomination of Controlled and Guaranteed Origin) mark, and quantity and quality controls are exercised by Consorzio per la Tutela dell’Asti, which controls at least 90 per cent of the production and promotes the wine in the international market.

“Our aim is always to guarantee excellence and to link quality with the place of origin,” says the former president of Consorzio per la Tutela dell’Asti, Guido Bili. “Only in this way can the product win recognition.”

The sheer diversity of Italy’s industrial sector is illustrated by Tuscany, one of the regions with the highest number of small and medium-sized enterprises and an important centre of pharmaceutical production. Clusters of companies producing traditional products, such as leather goods, textiles, clothing, furniture and paper, are being joined by a new generation of technology-based enterprises specialising in biotechnology, electronics and automation systems, mechanical instruments and microelectronics. The most important agricultural products from Tuscany are flowers, wine grapes and olives.

Agenzia di Promozione Economica della Toscana (APET), the region’s economic promotion agency, is dedicated to helping Tuscan companies meet the challenge of globalisation. Its aim is also to make Tuscan origin synonymous with high quality, as epitomised by famous, locally-based names such as Gucci and Prada in the fashion sector.

The quality of Italian products is regularly showcased at the international fairs held in a variety of Italian cities. One of the most prominent venues is the VeronaFiere, which hosts major events such as Vinitaly, the leading international wine and spirits exhibition.

‘We have to establish an open economy’ President of VeronaFiere

The main business sectors that exhibit at VeronaFiere are food and technology, construction, logistics and industrial supplies, furnishing and design, training and business services, and leisure.

VeronaFiere has achieved notable growth in recent years, and an ambitious £35 million development programme, involving new halls, car parks and restyling of buildings, is scheduled to be completed by 2005.

The ambition of Luigi Castelletti, VeronaFiere’s President, is to extend its share of the international fair and congress business. “There are large markets in which expansion is possible,” he says. “Our goal is to establish five or six important events that are known at the world level.”