INDEX
Economic p. 58 Outlook: Germany
EDITORIAL ...................................................................... 9 Giulio Dal Magro, Leonardo Simonelli Santi, Guido Carella COVER STORY .............................................................. 14 Paolo Maria Rossin COMPETITIVENESS ...................................................... 20 Luigi Nicolais, Carlo Tricoli STRATEGIES .................................................................. 26 Riccardo Monti, Claudio Bozzo, Giovanni Castellaneta, Michl Ebner MADE IN TALY .............................................................. 38 Gisberto Carlo Sassi, Antonio Posillico, Danila Vigna, Clara and Roberto Fantoccoli, Adolfo Rotta, Mario Ferrara, Luciano Bagnobianchi and Claudio Sagripanti, Giorgio Venturi, Mario Cardia CONSULTATION .......................................................... 56 Riccardo Caliari GERMANY .................................................................... 58 Economic Outlook, Elio Menzione, Erwin Rauhe, Emanuele Gatti, Fabio Casciotti
MEXICO ........................................................................ 74 Economic Outlook, Alberto Busacca, Alberico Peyron JAPAN ............................................................................ 82 Economic Outlook, Domenico Giorgi, Gianluca Testa, Adriano Villa UNITED ARAB EMIRATES .......................................... 92 Economic Outlook, Ferdinando Fiore, Andrea Bonalumi EXPORT ...................................................................... 100 Claudio Venturini, Antonio Gianinetto, Lorenzo Chiorino, Piero Bonicelli and Ferdinando Abate
Dubai INDEX
p. 220
↑ Leonardo Simonelli Santi, president of Assocamerestero Elio Menzione, Italian ambassador in Berlin
↗
6
ITALIAN VALUE
MARCH 2014
BUSINESS TRAVEL ...................................................... 110 Davide and Marco Andreetti INTERIOR DESIGN ...................................................... 114 Giulio Cappellini, Mario Bellini, Luisa Bocchietto, Giovanni Anzani, Eliana Dellatte, Michele Paulangelo, Rosa Zaffuto, Massimiliano Ciccalotti MATERIALS .................................................................. 134 Campedelli, Luca Todeschini, Michele Lovicario, Massimo Godi, Davide Muzzolon, Silvano Sassi FOCUS ON LOMBARDY ............................................ 152 Economic Outlook, Francesco Bettoni, Alberto Ribolla, Roberto Maroni
Business in Japan
p. 82
TECHNOLOGIES .......................................................... 164 Matteo Frizzoni, Vito Longo, Piero Nichetti, Fabio Mariani, Giulio Maria Giana, Mauro Vitulano, Angelo Ventrella, Gianluca Pagotto and Gianni Marton, Giuseppe Pace, Rolando Zanon, Lorenzo Lombardi, Domenico Paulicelli
ITALIAN QUALITY ...................................................... 206 Giuseppe Liberatore
BUSINESS MODELS .................................................. 188 Veronica Finetto and Alessandro Piazza, Cesare De Palma, Carlo Bigi, Umberto Petitto, Marco Giorgio Spini, Luigi Ruggiero, Pierfrancesco Morganti, Gianluca Battisti, Fabrizio D’Ambrosio
WORLD EXPOS ............................................................ 220
Interior Design ITALIAN VALUE
FOOD PRODUCTS ...................................................... 210 Maurizio Martena, Alberto Caputo, Caterina Fiume, Giuseppe, Umberto and Maurizio Parisi
Focus on Lombardy
p. 152
p. 114 MARCH 2014
7
EDITORIAL GIULIO DAL MAGRO, SACE’S CHIEF ECONOMIST
The risks and advantages of doing business For further information ↑
2013
was another year of weak
strengthening of manufacturing. While the regional giant,
growth for the world’s econ- South Africa, has to face a series of structural problems, omy compared to both the
which await the winner of the elections, there are a series
pre-crisis trend as well as the
of frontier countries to be carefully evaluated. For example,
values recorded in the last three-year period. Even the
Kenya, Tanzania, Mozambique, Angola and Ghana. The sit-
growth in emerging countries has slowed, in particular
uation is very different in North Africa: since the start of the
in the BRICS, some of which have been hit by monetary Arab Spring, Egypt, Libya and, in part, Tunisia have contensions and are having to deal with some difficult struc- tinued to be characterised by strong political unrest, also tural adjustment processes.
has consequences on the economy.
Which, then, are the indications for companies aiming at
More positive is the trend for the Gulf countries, which
foreign markets? Let us try and reconstruct the geography enjoy a favourable economic context, thanks also to the of opportunities. An increasingly multipolar world is
high price of fuel of which these countries are the pri-
emerging, where internationalisation means pushing
mary exporters (the growth of the GDP in the area, apart
oneself beyond traditional destinations and using the from Iran, is estimated at just a little under 4% in 2013). appropriate “tools”: export credit, investment protection,
The recovery of negotiations between Iran and the
financial guarantees, deposits, and credit insurance.
United States is the great uncertainty: an Iranian open-
Asia has the most sustained growth dynamic, despite a
ing on the nuclear front could bring about some
fall in demand and the slowing of India and China (which
interesting political-economic developments for the
continues in any case to have rates higher than 7%) having entire area. affected the overall performance. Particularly interesting
Latin America offers opportunities, but should be
countries are South Korea and the Philippines, both approached with caution. While the Brazilian model of regarding their ability to hang on to the U.S.’s growth as growth seems to be toiling, Mexico is promising with well as for their positive macroeconomic foundations.
its ambitious programme of energy, telecommunica-
Sub-Saharan Africa continues to offer great opportunities, tion and finance reform. Watch out for Venezuela and with an estimated GDP that grew 4.9% in 2013, and many
Argentina, two countries with a high potential for Ital-
countries committed to the diversification of the economic
ian export but particularly difficult political and
structure, the development of the tertiary sector and the economic contexts. \\\\\ ITALIAN VALUE
MARCH 2014
9
EDITORIAL LEONARDO SIMONELLI SANTI, PRESIDENT OF ASSOCAMERESTERO
Foreign markets, a winning stake
2014
opened with a strong spirit
dynamics is the fundamental prerequisite for companies
of innovation and construc- to be able to confront internationalisation, not only as a tion by the network of 81
tactical choice to stem the effects of a stagnant internal
Italian Chambers of Com- market, but as a strategic approach that leads to a
merce abroad, encouraged also by a constantly changing
restructuring in order to operate permanently abroad.
national and international context. More than ever Ital- We need knowledge and alliances – with foreign counian companies are intent on seizing all opportunities in
terparts, institutions and decision makers – which
those areas of the world in which – regarding quality - expand the companies’ competitiveness, placing them we cannot only profit more, but also build up a wealth
in production and distribution relationship networks,
of experience and knowledge to affect the productive
thereby contributing to internationalisation success.
process and corporate expertise.
Every year the foreign Chambers of Commerce invest
To support companies in this journey, the foreign Cham- approximately 50 million euro in creating over 2,000 probers of Commerce have always been committed to
motional initiatives, 80% of which is aimed at assisting
guaranteeing qualified support through high added
companies in all phases involved in creating an interna-
value promotion, made of multilateralism, reliability, tional business as well as favouring partnerships dynamism, efficiency, innovation and networking. In between companies through the organisation of entreshort, the action of the Assocamerestero network per- preneurial missions and B2B meetings. fectly fits in with the heart of the promotional At Assocamerestero, we are committed to valorising– initiatives favouring the Made in Italy name.
together with the main stakeholders – the strategic con-
As an entrepreneurial association, we move the business
tribution of a network in Italy that operates in 55
world for businesses, we stimulate the innovation of markets and creates projects and services based on the companies while valorising their connection to the
companies’ own characteristics, matching them with
experience and knowhow of foreign lands, because
the needs of the territories and identifying potential
without innovation (of products, modality of presence
placements.
abroad and also promotion) we cannot be competitive in Internationalisation is a gamble that our companies can an increasingly global economy.
win and the network of Italian Chambers of Commerce
The knowledge of the markets, their codes and their abroad is the system that can help them do so. \\\\\ ITALIAN VALUE
MARCH 2014
11
EDITORIAL GUIDO CARELLA PRESIDENT OF MANAGERITALIA
Foreign managers in Italy n increasing number of Italian managers go
A
abroad successfully. But it is also time to observe and analyse those foreign managers who choose to come to Italy. Today it is estimated that there are nearly 10,000 of them. trepreneurs have realized that in order to survive and comVery often they are sent from multination-
pete effectively they must change. They should create a
als’ headquarters and, given the increasingly frequent for-
structured management, letting good external managers
eign acquisitions, this phenomenon is growing. But in, who, perhaps, are even able to lead companies for the situations where foreign managers enter our multinational first time, or more effectively, towards foreign markets. enterprises are starting to occur, too and, although very few Besides the different models of governance and managemanagers who, come into national enterprises projected
ment, these situations can offer the opportunity to work as
abroad.
a manager with more satisfaction than one might have at
The advantage for our country is clear: having executives multinationals, where room for action is increasingly rewith international experience, coming from different cul-
stricted and condensed into the highest roles. In short, with
tures, not only managerial ones, is an advantage and can well-defined powers and responsibilities, it may be nice to help us in our internationalisation in all aspects.
rediscover how pleasant it is to affect the enterprise and its
But looking at the phenomenon from the point of view of
business positively. There can also be room for managers in
foreign managers, what are the advantages and disadvan-
larger enterprises that are already present abroad but which
tages? Certainly Italy is not a country for managers, because can find skills and experience which are not so common in there are too few of them within an economic fabric made
the peninsula in a manager from another country. In a re-
up of many family businesses. These kinds of enterprises cent survey of Italian managers who expatriated abroad, can also be found abroad, with the difference that external
45% of the people interviewed stated that they know foreign
managers are given more space. Here, instead, too often
managers who would willingly come to Italy: because there
there is only an entrepreneur and his/her relatives holding
are interesting business realities and because they think
leadership roles. But slowly, also due to the crisis, these en-
they can find interesting opportunities. However, the fact that they consider the peninsula one of the most beautiful countries in the world prevails over the other reasons. In
INTERCULTURALITY IS A MUST THAT THE GLOBAL ECONOMY IMPOSES ON US AND IS A TOOL FOR GROWTH ITALIAN VALUE
Italy, of course, there is first of all the need to give more room and opportunities to the many good managers we have and who, today, cannot find or do not have appropriate roles. For this reason, many of our talents go abroad, but we also have to become more open towards the foreign managers coming here. We need to implement an indispensable exchange with foreign countries, because multiculturalism is a must that the global economy imposes on us and a valuable tool to help Italy and Italians to grow. All in all, we must become an attractive country for managers, too. \\\\\ MARCH 2014
13
COVER STORY PAOLO MARIA ROSSIN
SAFETY IS MADE IN ITALY Record-breaking quality that has conquered the world. Determination, research and original commercial strategies. When an “outsider” is able to set the market’s standards. The case of Lombardy’s Indutex in the words of Paolo Maria Rossin
he Made in Italy name confirms its level of excellence also in niche markets, and not just fashion, food and design. There is a company in Lombardy that has set international standards of quality in the production of chemical and bacteriological protective clothing, in emergencies as well as for operators of the largest pharmaceutical companies. The example of Indutex from Corbetta, in the province of Milan, is exemplary. To understand the level of this company, led by Paolo Maria Rossin with his father Mario Carlo, the legendary founder of this enterprise, it is suffice to know that they were approached by the White House when, following the 9/11 attacks, the risk of terrorist chemical strikes was high. Once more, during the SARS emergency, the Lombard company collaborated with the Civil Protection organisation to provide protective clothing.
T 14
ITALIAN VALUE
Moreover, some of their clothing was sent to Oroville, in California, during the alarming fire in 2012. “Our goal is to make the work of others safe,” explains Paolo Maria Rossin. In Europe and in the West in general, you are one of a kind. “In fact, we are battling it out against Asia in this sector, but with a decidedly different incipit. As is the case in other domains, in the East they focus on establishing themselves by lowering prices, while in our case quality is what brings us success. I can say, for all intents and purposes, there is a true Indutex standard in this sector.” Why have you chosen not to compete regarding prices? “Because in our sector people do not want to save money, they want to be safe. Our clientele care little about MARCH 2014
Photo Andrea Brintazzoli and Massimiliano Donati
↑ Paolo Maria Rossin, CEO of Indutex in Corbetta (Milan)
www.indutexspa.com ITALIAN VALUE
the price, they want to be sure that they are buying a safe product. Those who wear our clothing are exposed to extremely dangerous environments or elements, sometimes radioactive. Asia has always tried to copy us, creating similar formulas. Similar, but not the same. Our main product, Puntiform, is, I believe, the most imitated of all in this sector. After all, it is a free market.” Speaking of your main product, it is entirely Made in Italy, correct? “Yes, the main raw material is made in Italy and created in Verona. For our small part, we have contributed to creating a system of satellite companies, a true Italian supply chain.” Not all the processes, however, are carried out at the plant in Lombardy. “Here in Corbetta we make the prototypes, and test and create the main range. In Lombardy, we package MARCH 2014
15
COVER STORY PAOLO MARIA ROSSIN
FROM SARS TO THE ABRUZZO EARTHQUAKE. ON THE FRONT LINE IN EMERGENCIES
A
16
story that brings to mind that of some “pirates”
laborating with police forces and pharmaceutical compa-
from Silicon Valley. Mario Rossin started his ad-
nies throughout the world. From health emergencies
venture in the cellar. Producing the first clothing
(SARS) to decontamination works (the most well known in
after an important pharmaceutical company, for which he
Seveso, Lombardy), it has had a leading role in many emer-
worked, asked him to find a material suitable for protective
gency situations. They have also provided some of the suits
garments. From there, he used his intuition, followed by
worn in the contaminated territories following the earth-
years of research, sacrifice and investments. The first dis-
quake in Abruzzo (Central Italy, 2012). In that instance, the
posable garment for chemical protection was created in
garments were donated by the Corbetta-based company to
1977. And today, Indutex is number one in its sector, col-
the Civil Protection Corps.
ITALIAN VALUE
\\\\\
AM
MARCH 2014
48% Export The share of turnover for the company Indutex coming exclusively from exports
clothing aimed at pharmaceutical companies, a very important process. We also have two factories in Romania and Tunisia.” What made you choose those countries? “Romania, as part of the European Union, must meet the same standards as us and follow the same production procedures. Tunisia, for her part, has signed the Euromed agreement, which requires companies to assimilate their products to European ones, thereby guaranteeing the quality level. Furthermore, it is important for us to reach the production sites quickly, at most in a couple of hours by plane.” Speaking of the pharmaceutical sector, a focal point of your turnover, what strategies have you used
that I sign with the traders: they must not sell only to third parties but also to the final users. In this way I have received positive feedback, even abroad.” Continental Europe is your main reference point . And overseas? “The United States is one of the most important markets. In America, we have signed an agreement with a
to conquer this market? “Years and years of research mean that our product is ideal for clean rooms, or rather those rooms in which medicines are processed and created. Our clothing has double protection: on one hand, it protects the operator from all contact with chemical ingredients; on the other, it protects the pharmaceutical product which can be handled without the risk of contamination from human contact.” Your commercial strategy is less than “conventional” and has also clashed with some large retailers. “The reason is simple. I have chosen to sell directly to the final consumer, through my own commercial network. No filters, no intermediaries. For me, this is important to continually receive feedback from those who wear our clothing. Otherwise how would I know if the product works, if we can improve it and, above all, what to propose to each individual client. In Europe, for example, I distribute my products through selected partners. I have included a precise clause in the agreement
partner who has opened an imports company. It is vital to oversee the market in which one works and to do so through people that can be trusted, who are able to keep you in constant contact with the buyers. We are also starting to expand into South America and into the Arab Emirates, while Asia – where we clash with protectionist logics – is proving difficult.” What do you expect from 2014? “We have noticed some positive signs, though of course it is still early to make concrete forecasts. I believe we will, however, reap the rewards from our hard work done in 2013. What I can say with certainty is that we cannot just stand around and wait for the crisis to pass. We need to travel the world to literally bring the market to us. No one is coming to knock on our door. Entrepreneurs should broaden their horizons, thinking outside of the box, and above all leave their offices and go to the markets, get themselves known. This is a great lesson that we should all take with us from this crisis.” \\\\\ ANDREA MOSCARIELLO
ITALIAN VALUE
MARCH 2014
17
COMPETITIVENESS LUIGI NICOLAIS
INNOVATION POLICIES
Encouraging the creation of start-ups and aggregation among enterprises, research centres and institutions is essential to promote technology transfer
he growth of competitiveness of the Italian system is increasingly relying on the innovative ability of enterprises. However, Italy is still ranked 16th in the EU Innovation Union Scoreboard 2013, before Spain and Portugal, but after France, Germany and the UK. Italy appears to be a moderate country in terms of ability of innovation, as Luigi Nicolais, President of CNR, National Research Council of Italy, points out. “We put a lower proportion of investments into research and development (1.3% of GDP versus an EU average of 2% and the northern European countries of 3%), we have a low number of patents per capita and, above all, a system of innovation financing below the EU average. Nevertheless, we develop advanced and excellent re-
T
↑ Luigi Nicolais, President of CNR (National Research Council of Italy)
20
ITALIAN VALUE
search”. What are the main problems in the process of technology transfer towards enterprises? “In the category of difficulties to overcome, the dimension of the production system should surely be included. It is primarily constituted of small and medium-sized enterprises, thus it does not allow for the structuring of ongoing relationships with research centres, in terms of the costs involved and development times for new research. It would be useful to begin these relationships within a more favourable and exciting legal and financial framework for both parties”. What tools can strengthen the connection between companies and research? And what are the objectives of CNR in this sense? “In recent years we have set up several initiatives to promote the meeting between the demand for innovation and research. They are all more or less valid. They range from the clustering of public-private projects to the creation of regional ecosystems for innovation. It goes without saying that this requires a change of pace and mentality. It is imMARCH 2014
THE AGREEMENT SIGNED BETWEEN CONFINDUSTRIA AND CNR HAS HAD A RIPPLE EFFECT ON A TERRITORIAL SCALE portant that employers have more faith in researchers and that the latter are more helpful and careful about enhancing the possible uses of their research. CNR has been traditionally committed to supporting the diffusion of innovation in the business fabric and it uses all the available means, from participation alongside enterprises in EU tenders to the emergence of innovative start-ups. The areas of greater interest are those indicated by the Europe 2020 growth strategy”. A year ago, Confindustria and CNR signed a Memorandum of Understanding to intensify the collaboration on industrial research projects and the diffusion of innovation, as a response to the needs of SMEs. What conclusion can be drawn from this agreement so far? “Certainly a very positive and encouraging one. Apart from ITALIAN VALUE
the specific initiatives, some still in the start-up phase, the agreement has had a ripple effect on a territorial scale. If, at the central level, we focused on the analysis of data to make tools and services available to the network of researchers and entrepreneurs, on a local level, the agreement has fostered the creation of partnerships to support the participation in regional, national and community demands. It has also contributed to identifying and proposing common objectives of growth. The agreement has also been echoed by major media, which has recalled the role of service played by CNR for the innovation and the development of the country in each disciplinary field. CNR is currently engaged, inter alia, in the conduct of the scientific Expo 2015, in the projects “Smart Cities” and “Open Data” and in the streamlining of public administration; in the monitoring and prevention of environmental risk, in cultural heritage and MARCH 2014
21
1.3% Research and development expenditure represents 1.3% of GDP in Italy, versus an EU average of 2%
in the “Graphene” project, the material of the future”. How important is the agreement signed between CNR and the Piedmont Region to encourage the spread of territorial innovation? Can it be replicated in other regions? “The recently signed agreement is part of the collaboration with the regions, started after my appointment as president of CNR with the aim to strengthen and multiply the effects of local policies on innovation. The commitment is to sign similar agreements with all the regions. A direct dialogue with local authorities always produces very positive outcomes. Among other things, it allows us to immediately facilitate the development of research infrastructures in areas of regional interest, triggering a domino effect of territorial requalification. Furthermore, it allows us to provide administrations with scientific and technical support to identify the main areas of intervention and to implement innovation ecosystems useful in enhancing the competitiveness of the local production system, attracting resources and generating employment. This activity is in the DNA of this institution which, since its establishment, has been working to get the country out of the economic and social difficulties through a large and widespread use of knowledge and technology, which today no one can do without.” \\\\\ FRANCESCA DRUIDI 22
ITALIAN VALUE
RESEARCH AND ENTERPRISE To accelerate its growth, Italy has to align its resources and knowledge, consolidating the relationship between scientific research and production systems
trengthening the collaboration between companies and public research, through the identification of tools capable of transferring knowledge and generating added value, is a priority for Italy. The experience of ENEA, the National Agency for new technologies, energy and sustainable economic development, sums up the situation of the country in terms of technological transfer and identifying measures to optimise these activities in the future. Carlo Tricoli, Director of Enea’s central Unit on Studies and Strategies, talks about it. Bringing innovation to production processes is now more crucial than ever. In your opinion, what are the reasons for it? “If we look at the dynamics of global development, we
S
MARCH 2014
COMPETITIVENESS CARLO TRICOLI
will find an alarming growth in Italy’s technological dependence deriving from a production qualification which is not always in line with the times. This state of things, inherited from an Italian model of SME specialised in medium-low technological sectors, has led to an increasing trade deficit in high-technology products, which is showing no signs of decline. Looking closely at the whole technological innovation process, we realise how complex, articulated and multifaceted it is.” How can this issue be dealt with? “Technology's evolution goes from the idea to the market: identifying research as the only useful activity to achieve innovation - or considering it disconnected from others - does not allow us to fully understand all the process dynamics and, therefore, to plan an effective policy of technological transfer. I believe that the need to institutionalise the interaction among national participants, through ad hoc collaboration measures, is an aspect that today is still
781
The number of patents proposed by the ENEA agency from 1957 to 2012
ITALIAN VALUE
not fully understood in terms of its production value, and has therefore not yet reached critical mass on specific themes or in specific sectors.” Public research and enterprises have to work together to implement innovation. How can these obstacles be removed? “With regards to research, both by public and private entities, and the technological innovation ability of companies, I would like to emphasise the need for operational, structural and long-term tools for enterprises, such as low-interest loans, tax breaks for companies dealing with technological innovation, public participation in company risk in the hi-tech sector, and direct incentives for R&D activities. For a long time Enea has been pointing out how a strategic vision in applied research sectors can reduce the tendency of industrial sectors not to invest in innovative technologies, even in light of difficult economic conditions. The impetus to research and the ability to introduce innovation into society are strategic themes. This implies the need to develop synergies between the academic and the industrial world, innovation policies, involvement of various participants, industrial clusters, targeted investments and measurable results.” What are, specifically, the projects implemented by
↖ Carlo Tricoli, Director of ENEA’s central Unit on Studies and Strategies
MARCH 2014
23
COMPETITIVENESS CARLO TRICOLI Solar thermal power, the result of the collaboration between ENEA and a private enterprise (Gruppo Angelatoni)
Enea on technological transfer? “Enea is well placed within the national research system, since it is able to transfer several technical and scientific skills during the innovation process. I can mention two successful cases of collaboration between Enea and enterprises: one is the development of technology for the exploitation of sun heat at high temperatures - the socalled solar thermal power - and the other one is the production of second-generation bio fuels. In the first case Enea, together with the company Angelantoni of Massa Martana, in the province of Perugia, has engineered the idea of collecting the sun’s energy into vacuum sealed glass tubes within which a mixture of molten salts reaches very high temperatures and the stored energy can be transformed into electric energy. The second case concerns the collaboration with Gruppo Mossi & Ghisolfi, through which we have developed a fully-Italian technology to produce second-generation bio ethanol from biomasses (rice or wheat straw, wood chips and other agricultural waste) not in contrast with the food chain and locally available.” Enea also has an important enhancement function on the results of research and networking. Through which guidelines? “In the European context, we participate in the choosing of research topics which are relevant to the development of programs that have significant effects on our country. We have fully commited to the philosophy of the new 24
ITALIAN VALUE
TECHNOLOGY'S EVOLUTION GOES FROM THE IDEA TO THE MARKET research program Horizon 2020, whose goals of public and private interaction in the financed projects are also present in our new national research plan, arranged by the Ministry of Education and Research. Enea is present at the most important meetings on the development of research policies, such as the participation in Eera, the alliance of European research centres in the energy sector for the most effective implementation of the strategic energy plan, the so-called Set Plan of the European Commission. In addition, we participate actively in works of the Committee of Science, Technology and Industry of OECD, where the needs for research on technologies are tied in with economic and sociological aspects; we deal with problems of uncontrolled development of territorial contexts and exploitation of natural resources, and with those related to education and the ageing of the world population. In short, Enea has a comprehensive presence that allows us to place our technological interventions within a frame of reference for the medium-long term.” \\\\\ FRANCESCA DRUIDI MARCH 2014
STRATEGIES RICCARDO MONTI
EXPORTS GO ON TOUR
Italian enterprises do not lack the desire to go abroad, but sometimes they do not know how to do it. The Roadshow for Internationalisation can help them
n a scenario that still shows a decrease in domestic consumption, Italian enterprises cannot do anything but reinforce their presence on foreign markets. Despite this, many enterprises are not ready to face new consumers, different regulations and bureaucracy. Therefore, this is the aim of the Roadshow for Internationalisation launched by the ICE (Italian Institute for Foreign Trade), the Ministry of Economic Development, and the Ministry of Foreign Affairs. The goal is to bring the excellence of Italian enterprises to foreign markets. The Roadshow consists in twenty stops throughout the entire national territory during which the public and private bodies involved in internationalisation processes
I
will introduce supporting tools for those SMEs which are not – or are only a little – internationalised. The aim of the tour is to explain to enterprises how many and what are the opportunities to escape the crisis with the help of a large team of experts. The President of ICE, Riccardo Monti, has been satisfied with the first two meetings (in Bari, Puglia and in Biella, Piedmont) and emphasizes the importance of the itinerary model: “It allows us to reach a great number of enterprises directly in their area, thus assuring a virtuous operational synergy with all local entities.” What are the difficulties of the small-medium enterprises that you have met during the roadshow? “Micro-enterprises are those with major difficulties. In
MICRO-ENTERPRISES EXPERIENCE MAJOR DIFFICULTIES IN THE INTERNATIONALISATION PROCESS 26
ITALIAN VALUE
MARCH 2014
Italy foreign trade by geographical area (2012) 14%
0.3%
Non-EU countries
Oceania
10.3% East Asia
53.7%
52.9%
EU countries
2.8%
EU countries
Central Asia
7.6% North America
6.6% Middle East
3.9% Central and South America
Exports
2.6% Central and South America
Imports
3.8%
7.8%
North America
Source: ICE on ISTAT data
East Asia
4.9%
Africa
4.9% Middle East
1.1% Oceania
1.4%
11.3% Non-EU countries
Central Asia
particular, they suffer an absolute lack of knowledge about the instruments that the public institutions, in particular ICE, SACE and SIMEST, provide for them. Sometimes their enterprise organisation is not adequate enough to face foreign markets, or they lack awareness of those steps necessary to operate outside our national borders. It is clear that these difficulties make, a fortiori, an initiative like that of the Roadshow an even greater opportunity for these companies.” What are the central themes during these events? And what, in your opinion, are the main enterprise skills that could be improved? “The key moment of every event is represented by the individual meetings with enterprises, during which a real check-up of their export capability is done. At the end of these meetings, the enterprises receive concrete feedback with the indication of one or more details ITALIAN VALUE
9.3%
Africa
about potential customers or commercial intermediaries on foreign markets. In the meetings attended so far, our officers have faced some common limitations that slow the internationalisation of enterprises: limited knowledge of foreign market dynamics, poor product analysis capabilities in relation to the opportunities offered by foreign markets and the lack of adequate analysis of the competition and of the distribution structure in the target markets.” So far, there has been a meeting in Bari and another one in Biella. Southern and Northern Italy. What are the substantial differences between these two regions? How do the enterprises of these areas approach the internationalisation challenge? “The event in Bari highlighted a very dynamic business reality, with advanced levels of internationalisation even among micro and small enterprises. It must MARCH 2014
27
20
Cities The ICE roadshow towards internationalisation will visit 20 cities in Italy
← The President of ICE (Italian Institute for Foreign Trade), Riccardo Monti
www.italtrade.com
be said that the slow dynamics of the domestic demand has forced even the non-internationalised enterprises to look for a way out abroad. In Biella, the textile and components sectors represented a particularly significant area, with numerous enterprises in search of new markets.” Can exports act as a springboard for the development of the domestic market, too? “In an open and globalised economy all macro- and micro-economic variables are closely interrelated. The current economic literature and practice for years have been emphasizing the existence of a strong relationship between internationalisation and domestic economic growth: exports allow enterprises to acquire competitiveness and, mostly, technical and managerial skills. Inevitably, these skills spread in throughout their 28
ITALIAN VALUE
operating system, allowing a diffusion of innovation both within the supply-chain and within the territory in which the enterprise resides and works.” Which are the main partner countries of Italian enterprises? How can we face the decrease in emerging countries happening over the last few months? “Traditionally the major partners of Italian enterprises are found within the European Union and generally in the most advanced nations. In recent years, the necessity to adapt to the most dynamic sources of international demand has led to an important process of geographic diversification, mostly in the emerging countries. The slowdown these countries have been experiencing has a cyclical nature, and definitely not a structural one. The long-term trends confirm that these areas will still have an important role in driving global demand. Therefore, it is important to keep considering these countries in the realm of internationalisation strategies of the enterprises in our country. In this way we can ensure solid competitive positions and increasing market shares, without ignoring the systematic support of the traditional reference markets for our model of international specialisation.” \\\\\ TERESA BELLEMO MARCH 2014
STRATEGIES CLAUDIO BOZZO
ITALY, LEADER OF THE NAFTA AREA Italian exports continue to grow in Canada, the United States and Mexico, who still offer our country some great commercial opportunities ontrary to the European Union, which continues to show a rather slow recovery rate, the economies of the NAFTA area (Canada, United States and Mexico) are showing encouraging growth rates. Mexico’s output in 2012 grew at a rate of 3.9 %, the U.S. at 1.9% in 2013, Canada at 1.7%. The period that opened with the signing of the commercial agreements among these nations has shown some positive results in terms of goods and investments exchanged among the three countries. “Following the global financial crisis of 2008,” notes the Assocamerestero representative of the NAFTA area, Claudio Bozzo, “there was no shortage of heated debates concerning problems such as unemployment in the three countries, and immigration, but the result is certainly positive: Mexico comes out of it with a stable economy, the United States benefits from the lower costs of industrial investments in Mexico, Canada is the world’s main exporter of goods to the U.S. and has added almost 5 million jobs since the agreement was drawn up.” In short, we can talk of a positive implementation of commercial relationships that has benefited the individual countries and thanks to which the impact of the crisis is less serious than elsewhere. “A commercial agreement that generates more than 2,000 million dollars a day in
C
↗ Claudio Bozzo, representative of Assocamerestero of the NAFTA area and president of the Italian Chamber of Commerce in New York
ITALIAN VALUE
camaraitaliana.com.mx @CamaraItaliaMx
trilateral exchanges cannot but hugely benefit the nations involved,” Bozzo continues. What do you think of the placement strategies of Italian companies in the NAFTA area? What are the countries and sectors in which there could be more margins for growth? “Italian companies are extremely popular in the luxury and excellence sectors, but they are also very appreciated in sectors linked to consumer goods. The positive trend, as seen by the record of exchanges between Italy and Mexico in 2012 (+15% in one year), is due to a series of factors that may allow further marMARCH 2014
29
+15%
Commerce The increase in commercial exchanges between Italy and Mexico in 2012, a record achieved in just one year
gins for growth in the immediate future: the emergence of a new middle class in Mexico, inclined towards the consumption of luxury and brand name products, a stable request for high quality goods, especially in the food sector, in the entire NAFTA area, and excellent commercial relationships between Italy and these countries. Over the next few years, we will witness a decisive increase in exports, especially in North America, in the more southern regions, with Mexico and Florida in first place.” How do foreign Chambers of Commerce help Italian companies that are interested in these markets? “Besides the one in New York – of which I am the president – there are another eight Italian Chambers of Commerce abroad in the NAFTA area. Each of these offers concrete services in helping small, medium and large Italian companies onto the market. The most requested services regard the search for commercial 30
ITALIAN VALUE
partners to build up sales networks. Thanks to their important contact networks, the Chambers are able to provide companies well-rounded assistance, thus greatly reducing the costs and time required to enter the market. Over the past few years, Italian Chambers of Commerce abroad, especially in the NAFTA area, have created promotional initiatives such as ‘The Authentic Italian Table’ in New York, ‘ExhibItalia’ in Houston and ‘Vino California’ in Los Angeles, all dedicated to Italian products.” What should Italian companies know about these markets? “The United States and Canada are considered mature markets but they still represent great commercial opportunities. They are markets that, thanks to their importance, attract a large number of competitors and therefore present rather high levels of competition. The Italian companies that enter these markets should do so with a long-term perspective, with the suitable financial resources behind them and above all, being aware that the development models adopted in Italy and Europe cannot always be adapted to these markets. It is also important to constantly search for special professionalism and talents to assist them in their MARCH 2014
STRATEGIES CLAUDIO BOZZO
AN INCREASE IN EXPORTS WILL BE WITNESSED IN THE SOUTHERN REGIONS OF NORTH AMERICA, ESPECIALLY IN MEXICO AND FLORIDA
commercial development in the countries of reference.” And regarding Mexico? “There are, without a doubt, some concerns regarding safety and public order, but this should not discourage potential investors. Mexico is certainly one of the most stable economies south of the United States. Over the last few years, there has been considerable growth in the disposable income of the middle class and this certainly represents an important expansion of opportunities for companies working in traditional sectors. There are also many opportunities regarding infrastructure. To be successful, it is vital to build up partnerships with local contacts who have a network of relationships, both on the political and commercial levels.” In what way could Italian institutions give out complete information regarding the characteristics of
↑ Miami is located on the Atlantic coast in southeastern Florida
↖ Acapulco is a city in the State of Guerrero on the Pacific coast of Mexico
ITALIAN VALUE
individual markets and the actual opportunities present, and how could they offer more occasions for Italian companies to be visible? “Italian institutions, including the Italian Chambers of Commerce abroad, should take action on two fronts. The first is the constant supply of correct and true information regarding the markets in which they operate. All too often, Italian companies have an incorrect or incomplete perception of the countries in which they work. An example of this is obvious in the U.S., where we tend to interpret the entire nation based on impressions taken from a few metropolitan areas meaning that we do not take full advantage of the trends, processes of change in progress, and the real opportunities that other areas of the country may offer. The other front on which Italian institutions should work harder is research and the bolstering of long-lasting partnerships with local bodies. Our Chamber, for example, is helping the GMDC, the association of all the main players of the GDO USA, to organise their International Summit in Italy next September. This will give many Italian companies the possibility to access the important opportunities offered by the GDO USA.” \\\\\ RENATA GUALTIERI MARCH 2014
31
STRATEGIES GIOVANNI CASTELLANETA
THE MARKETS OF TOMORROW
The prospects of BRICS have been re-evaluated and, now, all eyes are on the evolution of new emerging markets which could offer growth perspectives on the international scene
ACE is the financial insurance group controlled entirely by the State’s Deposits and Loans Fund operating in export credit, credit insurance and investment protection. In 2013, it insured over 30,000 million euro commercial transactions and investments. In particular, it deliberated guarantees for 8,700 million euro, 5,700 million of which was in support of Italian exports, with a growth of 18% compared to 2012. In analysing this data and evaluating the prospects for 2014, the president Giovanni Castellaneta forecasts that the provisional balance data indicates growth. “In a year in which the volatility of emerging markets has been highlighted and national exportation has continued to suffer,” Castellaneta comments, “we have made a profit of 490 million euro, a growth of 25% compared to the 394 million euro recorded in the previous financial year. This further validates a business model founded on a partnership with thousands of Italian exporters, mainly SMEs, with whom we intend to continue on our shared journey towards growth on the international markets.” In which markets have Italian exports achieved positive results and which are its sectors of excellence? And where, on the other hand, has the Made in Italy name struggled to find a place? “In 2013, SACE’s main sectors of activity were the sec-
S
32
ITALIAN VALUE
↑ Baku
is the capital and largest city of Azerbaijan
MARCH 2014
1,800
Million The value in euro reported by Italian pasta exports in the first ten months of 2013
WE ASSIST MANY ITALIAN PASTA PRODUCERS IN CONQUERING THE INTERNATIONAL MARKETS tors of excellence of Italian industry: naval shipbuilding, infrastructure and construction, aeronautics and instrumental mechanics. Along with these, the enterprises of traditional Made in Italy consumer goods companies (clothing, food and furnishings) are still alive and kicking and are best able to valorise the growing appeal of the Italian lifestyle in highly potential markets. Regarding destinations, we have observed particular dynamism both in advanced markets such as the United Kingdom, the United States and France as well as in those non-EU markets where Italian quality is increasingly appreciated: Turkey, Russia, Egypt, Mexico and the Arab Emirates, just to name a few. Finally, the interest of new markets such as Vietnam, Indonesia, Azerbaijan and Chile is of particular note. Paradoxically, the most problematic situations regarded the main emerging markets, in particular the BRICS.” How much have the BRICS failed to live up to expectations? “For a while now, we have been aware that the BRICS’ prospects for growth have been re-evaluated. While we have witnessed the first timid indications of improvement in the Eurozone and the increasing recovery in countries such as Japan, Great Britain ITALIAN VALUE
and the United States, we have been following the evolution of the main emerging markets with caution for some months now. Despite their discontinuity of growth, emerging countries are tomorrow’s markets. They offer opportunities to our more internationalised companies to counterbalance the effects of the crisis that advanced markets have suffered in recent years. Factors such as the increase in productivity and the demographic dividend, which have contributed to average GDP growth rates higher than 5% in the last decade, inevitably start to slow their rate of progress. All this is aggravated by insistent monetary tensions. Our most familiar advanced markets, instead, offer opportunities that we should continue to take advantage of (such as the U.S. and Canada) while new, high potential destinations deserve to be explored, such as the Middle East, Far East, Sub-Saharan Africa and a growing number of Latin American countries.” Speaking of Latin America, SACE has signed a collaboration agreement with the Mexican Bank of development, Bancomext. What started this initiative and what are the commercial and investment opportunities between Italy and Mexico? “Just like SACE, Bancomext also focuses on supporting MARCH 2014
33
STRATEGIES GIOVANNI CASTELLANETA
↑ Giovanni Castellaneta, president of the SACE Group
internationalisation. It is a natural interlocutor in Mexico, a market where we have been working successfully for years now with an excellent track record of operations created and positive medium- and long-term business prospects. It is no coincidence that we are the first export credit agency (ECA) in Europe to have a permanent presence in Mexico, acting as a hub for the markets of Central America and the Caribbean. This important result is thanks to a solid commitments portfolio of 1,100 million euro (second in Latin America only to the Brazilian one of 1,300 million) as well as to new operations worth 500 million euro, with SMEs growing in importance. Today, Mexico is one of the most interesting markets for Italy, not only as a pro-
← For further information on the SACE Group’s activities
34
ITALIAN VALUE
ductive hub but also as a high potential destination for our exports, which will see an average annual growth of 6.8% over the next four years.” Pasta, one of Italy’s symbolic products, produced a record export worth of 1,800 million euro in the first ten months of 2013. How will this positive trend continue and which markets appreciate this product the most? “It is a very positive result that is also reflected by our work with a growing number of Italian pasta producers who are literally conquering the international markets. De Cecco, La Molisana, Pasta Zara, Rummo, De Matteis, Liguori and Pastificio Ferrara: these are just a few of the names that we have recently assisted in their international projects. This trend is destined to grow, thanks also to new markets breaking into the sector, such as China and the United Arab Emirates; the U.S., Japan and Russia can, on the other hand, be defined as established markets. Italian pasta exports are also growing in Non-EU European countries (+ 13.5%) and in North Africa, where they have more than doubled.” \\\\\ RENATA GUALTIERI MARCH 2014
STRATEGIES MICHL EBNER
READY FOR THE NEW EUROPE For EU countries the way to recovery seems to have started but, in order to facilitate it, clear policies and a shock that restores the competitiveness of our country is needed ichl Ebner, President of the Chamber of Commerce of Bolzano (Northern Italy), has also been Vice President of Eurochambres, the European Association of the Chambers of Commerce and Industry since January 1st. Nowadays we are facing a challenging period: 2013 ended unsuccessfully for our country and the issues that the European Chamber intends to deal with, the EU institutions are still in the throes of getting organised. The main difficulty is the lack of a real political interlocutor, considering the upcoming European elections to renew the Brussels Parliament and the subsequent changing of the guard that will take place in the European Commission, where the successor to Barroso shall be chosen. “In the meantime we are moving to get everything ready for the post-elections. We have clear objectives and we are arranging working groups for each
M
theme” Ebner explains. Eurochambres has identified ten committees that will discuss specific areas: for now Italy has taken over the coordination of the Committee for the Domestic Market, the Austrians and the French the one that deals with renewable energy. But not everything has already been defined: “Not all the applications have been presented yet because we want to include the new Eastern European countries.” 2013 was a difficult year. What are the previsions of Eurochambres for 2014? “We are quite confident, above all because some major national economies are reacting. Not only Germany, but also Spain and, recently, Italy has registered positive data re-
1,700
The regional and local Chambers, organised in 44 national systems, which form the network of Eurochambres
36
ITALIAN VALUE
MARCH 2014
→ Michl Ebner, President of the Chamber of Commerce of Bolzano (Northern Italy), Vice President of Eurochambres since January1st
www.eurochambres.be
GDP growth in the Euro area countries (percentage of average rates)
2013
2014
2015
Germany
0.5
1.6
1.4
France
0.2
0.9
1.5
Italy
-1.8
0.6
1.1
Spain
-1.2
0.6
0.8
Euro area
0.5
1.6
1.4
Source: WEO, IMF
garding a possible lasting recovery, too. At the moment the figures show only a slight increase, but the GDP of Spain has already been migrating toward a positive situation for several months. France is still struggling but even there the signs of recovery are clear. Hence, the period is definitely better than at the beginning of 2013, not to mention the beginning of 2012. Meanwhile, we can only encourage exportation, since it is the only sector, apart from tourism, which can help our country in this period, given that domestic demand is still stagnant.” Back to Alto Adige, one of your biggest economic partners is certainly Germany. “For about seven years thanks to Eos - Export Organisation Südtirol – an enterprise of the Chamber of Commerce, we have managed to obtain remarkable results and we have accompanied almost a thousand enterprises in the export business. As for 2013/2014, we have prepared a special program for exports together with the province of Bolzano. The goal is to communicate with all those who are outside our territory, thus including the province of Trento and the large Italian retail sector, in order to give prominence to the quality of our products, particularly the agricultural ones. Another instrument will also be the presence at trade fairs. We follow our enterprises in about forty exhibitions and ITALIAN VALUE
the Province of Bolzano has funded this program in an extraordinary way, so as to improve our possibilities, especially in Germany”. Can the exhibition system be a tool in this regard? “We are very confident. We started with a few fairs and today there are about forty fairs. Every year there are changes because we eliminate the fairs that do not work. We have clear internal rules in this regard: if only 3-5 enterprises are interested, we do not participate. Moreover, in this two-year period of extraordinary participation of the Province, the contribution of the enterprises may also reach 70%.” Very often the territory of Bolzano is associated with the German and Austrian realities, which have experienced the economic crisis to a lesser extent if compared to Italy. How much is this affiliation true from an economic point of view and how much, instead, are you penalized by this relationship? “We experience both situations in a very serious manner. It is sufficient to think that taxation is completely different in Austria, where an enterprise pays 25% of its revenue and that is all. In Italy, we are crushed between Ires and Irap (corporation tax and Italian regional tax on production) and, in the end, we do not even know how much we have to pay, but the percentage is higher than in Austria in any case. Social security contributions are not as heavy as in Italy and there is not the problem of accessing credit because in Austria it is as difficult as in Italy. In our country we are all paying for the so-called “Italian risk”, but in a border area it is experienced to a greater extent. This allows foreign enterprises to come here and buy market shares. This worries us a lot and although we try to use all the potential of the Autonomous Provinces of Trento and Bolzano, taxes remain a remarkable handicap. Without a change it will lead to a collapse.” \\\\\ TERESA BELLEMO MARCH 2014
37
MADE IN ITALY GISBERTO CARLO SASSI
STYLE, INNOVATIVE REINTERPRETATIONS An idea of style that does not have to remain the same in order to be classic. With a special vocation for fine knitwear. This is Doriani's idea of fashion
xpanding opportunities for men's elegance and elements of class." The business philosophy of Doriani, a Milanese brand established in 1972 - of which Global Cashmere is the industrial arm, the brand's production unit - refers to an idea of style that innovates and that does not have to remain the same in order to be classic. These are the thoughts of Gisberto Carlo Sassi, Managing Director of the Doriani brand, a company that has chosen to be Made in Italy since the seventies, in complete contrast to the market which, at that time, was overpopulated with Anglophile-inspired men's fashion brands. "The Doriani brand," explains Sassi, "creates collections of suits, outerwear, trousers and shoes but above all extensive lines of knitwear, mainly made from cashmere, sold exclusively in its stores. This vocation for fine knitwear, produced by the company's laboratories, has become the brand's core business and now constitutes 50% of its turnover." What are the distinctive traits of the brand? "We deal with noble raw materials, mostly cashmere, silk, linen and also cotton, to create knitwear and deriv-
“E 38
ITALIAN VALUE
Gisberto Carlo Sassi, owner of the Doriani brand, produced and distributed by Global Cashmere of Biella, Piedmont, in Northern Italy
atives. All products of the Doriani brand are luxury items and they stand out for their sober and discreet elegance and unique colour shades. More specifically, in our leisure collections, which now constitute 70% of our turnover, we have abundant amounts of cashmere knitwear: 35/40 models, produced in at least 30 different colours, as well as the possibly to get something tailormade, where the true classic is not always the same; it is able to renew itself in order to adapt to the most diverse occasions, to become informal and sporty as necessary. This is why we have no shortage of innovative products like our microfiber, cashmere lined, reversible jackets." MARCH 2014
How has the character that you have impressed on your style been translated into your business plan? "Since the seventies, one of the choices that made us stand out was to open our chain of flagship stores, now a crucial strategy for the top names in fashion around the whole world. In addition to the historical flagship stores in Milan, Portofino, Forte dai Marmi and Santa Margherita, 2011 also saw the establishment of an agreement with the Orient Express group in Italy which sold Doriani Cashmere garments at the hotels Cipriani in Venice, Lo Splendido in Portofino and Caruso in Ravello. This agreement led to a Doriani boutique being opened inside Venice's Cipriani hotel, one of the world's most famous hotels. We have also very recently opened a women's section at the famous department store Harrods in London, which has confirmed the success of the brand with English customers and international clientèle who visit the UK capital. More generally, we manage our sales and distribution channels abroad with exclusive agents and direct importers." What response have you had from the international markets? "Almost all our sales come from exports: we have distribution in the top men's tailored clothing stores who focus particular attention on the Made in Italy brands. Today,
www.globalcashmere.it www.doriani.it
ITALIAN VALUE
THE TRUE CLASSIC IS ABLE TO ADAPT TO THE MOST DIVERSE OCCASIONS, ALSO BECOMING INFORMAL AND SPORTY 50% of Doriani's turnover comes from Europe, the other half from Russia, Japan, Hong Kong, Canada and the USA. In addition, the brand has been chosen by the website mrporter.com, a major portal for fashion sales in Anglo-American countries, which has sold the Doriani Cashmere collection for two years now. More recently, we have recorded the best performances in Russia, Ukraine and Kazakhstan where we have increased our sales by 15%, in the Far East with a 9% increase and in the USA, where we have only been present for two years, we have achieved 30% more turnover in the last year." More than encouraging results. "2013 has ended with an increase of 25% in distribution (wholesale) and 10% in retail, i.e. in the flagship stores run directly by the company. Our biggest cruciality has been on the domestic market due to the general crisis in the country, but we have no intention of giving up in that regard: we are continuing to open sales outlets around the world, including two in Italy - in Capri and Venice - and one abroad, in St. Moritz." \\\\\ REMO MONREALE MARCH 2014
39
MADE IN ITALY ANTONIO POSILLICO
AN INNOVATIVE WAY OF CONCEIVING KNITWEAR lpaca, mohair, and a special yarn of wool and cotton. Exclusively Italian raw materials become knitwear created by Maglificio Aurora. This young business in Campania proposes knitwear for men and women to large fashion houses every week, and every week there are new models and colours. “Our products,” Antonio Posillico, owner of the company, explains, “are an innovative way of conceiving knitwear, which starts from classic pullovers and cardigans and ends with all types of garments. Five pocket trousers, sweatshirts, jackets, skirts, all reinvented in typical knitwear yarns. In this way, we create trousers made exclusively in wool, sweatshirts in wool and cotton yarns, parka jackets with woven wool sleeves. The result is a series of classic-looking garments, but created completely with knitting yarns.” Describe the company’s creative process. “Firstly, let me say that we count on the activity of satellite companies in the area, which collaborate in the production of our garments, such as the yarn manufacturers who create the yarns following our designs. The aim is to create an exclusively Italian product – from the raw material through all working phases. The
A
40
ITALIAN VALUE
“Breaking the rules”. By creating basic garments with innovative yarns or unique models with simpler raw materials. Originality according to Antonio Posillico
ideas all come from within our company and are examined by young stylists on whom we are focusing a lot of attention. Ours is a young fashion, aiming to satisfy the demands of ordinary people, but which hides a great tradition of research. Our young employees are accompanied by more experienced staff, so as to create the perfect balance between traditional working processes and experience and the fashion of today’s generation. Meaning that yesterday’s techniques, such as the stitches of the 1980s, are adapted to today’s fashion.” So your keyword is “originality”. “Our collaboration with large Made in Italy companies MARCH 2014
WE CREATE TROUSERS IN WOOL, SWEATSHIRTS IN WOOL AND COTTON YARN, PARKAS WITH WOVEN WOOL SLEEVES
Antonio Posillico, owner of Maglificio Aurora in Durazzano (Benevento) in Southern Italy
auroramaglie@libero.it
gives us the correct dose of input from others, but we never “copy” anything from other brands. We always aim to offer a new product. The originality of our products is found above all in the research into the details and in breaking the rules: we range from basic garments made with innovative yarns to uniquely modelled garments made in more affordable raw materials.” In this way, you are able to establish yourselves in the markets thanks to high quality products at affordable prices. “It is important to bear in mind the final price, but this should not prejudice a garment’s success. Quality is alITALIAN VALUE
ways essential. To keep prices a little lower, we launch orders while our competitors are in a lull, to take advantage of better quotations.” Which are your main markets, and how do you manage distribution in foreign countries? “Germany and Spain represent 25% of our direct sales, but a good 40% of our products are sold on other foreign markets, such as France, Japan, Russia, the Netherlands and Austria, through Italian distributors that sell to them. However, I prefer to have direct contact with our German and Spanish clients, in order to better understand their demands and illustrate the product.” What are the company’s prospects and goals for the new year? “We closed 2013 with a 14% increase in turnover compared to 2012. From the first few months of 2014, the trend seems equally positive, in growth as well as new clientele, but it is still early to forecast turnover with any certainty. What is sure is that we will continue to invest in technological innovation, as we did last year. The next step will be the building of a new industrial factory, thanks to self-financing.” \\\\\ CARLO GHERARDINI MARCH 2014
41
MADE IN ITALY DANILA VIGNA, CLARA AND ROBERTO FANTOCCOLI
MODERNITY RECALLING THE CLASSIC
Italian holidays and the island of Capri during the 1960s. These are the inspiration for Clara and Roberto Fantoccoli's creative talent and Danila Vigna's professionalism, producers of raw materials for the international woman's clothes verstated embroidery and openwork. Flowing floral fabrics, voluminous and romantic organza for dressing elegantly. Unprecedented types of tweed, colourful and micronised. With these elements, the fabrics created by the Piedmont-based company Soluzioni Tessili pleasantly echo the joyful and optimistic atmosphere of Italian holidays and the island of Capri during the 1960s. "In creating our fabrics, we were inspired by the images of that serene past, by young girls wearing naive and spirited outfits. The result is a fabric in which, amid irony and the lightness of nostalgia, white plays with colour." These are the inspirations for the creative talent of Clara Fantoccoli, Roberto Fantoccoli and Danila Vigna, owners of Soluzioni Tessili, which targets a growing niche market with fabrics made entirely in Italy by a manufacturing process that is midway between craftsmanship and industrial production. "The creative process," explains Danila Vigna "continues amid the need for new tactile sensations and colour and the rigour of rational simplification: exaggerating fluidity, rigidity, three-dimensionality. Our concept of fabric embraces tradition in its spirit and combines classic with a new modern vision. They can be considered re-workings of traditional struc-
O
42
ITALIAN VALUE
www.soluzionitessili.com info@soluzionitessili.com
MARCH 2014
+9.8%
Exports of fabric from Biella Growth in the third quarter of 2013 according to the Monitor of the districts of Piedmont (data processed and disseminated by Intesa Sanpaolo)
+4.8%
Expected Piedmont exports Expected growth figure for exports in the first quarter of 2014 according to Confindustria Piemonte and Unioncamere Piemonte
tures with truly innovative finishes and colours. All this leads us to a semi-craftsmanship production, overseen and controlled at every stage of the process. Decorations and treatments make each item a true work of art. In all this, the result comes across, however, as extremely modern, able to create a garment for a discerning and cutting-edge woman." And modernity returns in their ideas for the future, as Roberto Fantoccoli explains: "During 2014 we will continue along the path we have undertaken in recent years, further developing our concept of fabric. This should continue to represent something new, fresh and interesting. This fabric must be extremely sim-
A look at work in Soluzioni Tessili of Crevacuore, Piedmont in Northern Italy and, below, some fabrics created by the company
ITALIAN VALUE
ple and at the same time sophisticated, solid in its contents but modern in its appearance, traditional in its construction but innovative in its performance. It is a raw material that characterises and enhances any garment made with it and, consequently, any women that wears it." In short, forming part of the historical context of Biella, Northern Italy, an area famous for its fabric vocation, Soluzioni Tessili seeks to mix its wealth of technical experience originating from the past with a truly modern nature, which sets itself the aim of creating new and modern fabrics that are competitive on a global scale. "Today," concludes Clara Fantoccoli "we export to various countries in Europe and Asia, mainly to France, the United Kingdom, Spain, Belgium, China, South Korea, Japan and Turkey. We also work for markets across the ocean, such as the United States and Canada. Despite there being word of Asian competition in the textile sector, we are proving that the offer of a unique and recognisable style makes it difficult to imitate the fabric. And, contrary to what you might think, the Asian market, in terms of turnover, is becoming increasingly important for us." \\\\\ LUCA CĂ€VERA MARCH 2014
43
MADE IN ITALY ADOLFO ROTTA
THE DETAIL THAT MAKES THE DIFFERENCE For the top designer names, the button is once again a distinctive element that attests, once and for all, to the highest standard of quality button is just a detail. But it is one of those details that the top designer names in fashion would never overlook. No matter how big the divide is between the prices of mass-produced goods and designer products, it is this accessory that makes the difference. This rule stands firm at any latitude, at least in the high quality market niches and, thus, prestigious shirt-making companies have no other choice than to rely upon those who know how to make buttons. “We are able to remain competitive with the multinational giants because our product has never stooped to compromise and it is beyond comparison, such that we are now selling in those countries that routinely focus on quantity, relying on cheap labour. Indeed, even their highend clothing brands want to combine their product with that of the Made in Italy mark.” So says Adolfo Rotta, owner of Linea Mitiaro, from Brescia, a company that has specialised in button manufacturing for decades. “The quality of a button is, above all, in its material, particularly mother-of-pearl; then, in the processing and reliability, accuracy, punctuality in delivery and the absolute absence of waste.” It seems a very difficult level to achieve in the manufacturing process. “The only chance in markets that take advantage of low costs and government incentives is the absolute quality of the product, industrial and commercial reliability and continuous innovation. So, for example, we review all the
A
44
ITALIAN VALUE
Adolfo Rotta, owner of Linea Mitiaro based in Pontoglio, Brescia, Northern Italy
items a number of times throughout the whole process: out of 100,000 buttons leaving our factories, 100,000 will be usable. In regards to processing, ultimately, our care and attention is much greater than that of any company focusing merely on quantity.” What are the industry's latest trends? “In recent years, natural materials, like mother-of-pearl or horn, have come back into vogue, with classic shapes for elegant yet sober fashion. Top designers have started to rely on these details once again: an Armani MARCH 2014
MATERIALS LIKE MOTHER-OF-PEARL ARE BACK IN VOGUE, FOR ELEGANT YET SOBER FASHION
shirt, for example, will most likely have a mother-ofpearl button with its brand on it. This accessory, in short, has become valued by the most forward-thinking designers and is hugely important in completing an item of clothing. It is a crucial accessory and neither zips nor anything else will top it.”
ITALIAN VALUE
www.mitiaro.it
In what way do you put yourselves ahead on the foreign market? “Our greatest presence is in China and the U.S., countries in which we have key agencies which yield a quarter of our entire turnover. Trade shows are another important tool that allow us to pursue Russian, Czech, Norwegian or English customers but also to liaise with new clients. Usually, we look for agents that already have a footing in the relevant markets: entrusting the samples to a salesman who does not know how a shirt is made is a waste of time. Spain, France and Germany represent the next challenge.” How have you dealt with the recent years of recession? “We decided to forget about those clients who were considered to be risky, preferring to reduce, as a consequence, our overall turnover, but without running any risk. The substantial stability of the company rests essentially on our ability to customise items: often the names or trademarks of the designers are laser-engraved on the buttons that we manufacture, without this creating any problems in the industrial process. Finally, our flexibility has allowed us to work both with top stylists and with small handmade shirt companies, in that narrow market that represents the highest quality standard: the fact that we continue to work in the U.S. despite their unfavourable exchange rate is precisely because we only work with top of the line companies.” \\\\\ RENATO FERRETTI MARCH 2014
45
MADE IN ITALY LUCIANO BAGNOBIANCHI AND CLAUDIO SAGRIPANTI
IDENTITY OVER FASHION The value of Italian footwear and, in particular, that of the Marche Region. We hear from Luciano Bagnobianchi and Claudio Sagripanti
talian shoes have their own precise identity. And the Italian region with the highest number of companies in this sector has always been Marche in Central Italy. Marche's footwear has art, quality and comfort, interpreted by the professionalism of craftsmen who have not succumbed to the temptations of low cost production but have managed to transform a traditional product into the very best of Made in Italy creations. In this context, some companies have been able to adapt more easily than others, facing the challenges that the markets are imposing. "Our companies," explains Luciano Bagnobianchi, Managing Director of Manas "have found the key to being able to assert the value and quality of Italian shoes abroad. The footwear system in Marche, despite the longstanding history that characterises it, has been running into difficulties due to increasing competition. As a response, in order to remain competitive on the market, we decided to combine our strengths in order to implement group synergies. We are thus able to contain costs and to stay competitive, by taking advantage of a non-competitive shared logic." The synergy in question is between Manas, a company that
I 48
ITALIAN VALUE
Alfiere and Manas are based in Montecosaro in the Marche region, central Italy
MARCH 2014
+15.1% has specialised in women's footwear since the seventies, and Alfiere. "The two companies," explains Claudio Sagripanti, Managing Director of Alfiere "have had a common experience, as they come from the same family. They have a parallel history and form part of the same group. Over the years, albeit always keeping the emphasis on manufacturing women's shoes, they have diversified in terms of target, with one company embracing footwear focusing on comfort, and the other following a more modern line. Both, however, have always placed the emphasis on refinement, product quality and attention to detail. Nowadays, the market requires larger dimensions in order to be able to take on its challenges and this is why we decided to continue along our synergistic path." This path has, however, never ceased focusing upon Made in Italy values. "By way of continuous updating," continues Sagripanti, "we intend to offer solutions that are more and more refined in terms of both materials and lines and styles. In all the markets in which we are
www.alfiere.com www.manas.com
ITALIAN VALUE
Chinese market The growth, compared to 2012, of Italian footwear exports into China. Italy exported a total of 817,000 pairs of shoes to that market
present, we maintain a constant - our recognisable style. This style stands out and is acknowledged abroad as an added value. Above all, it can be seen in the fine details and in their quality, unique components that are highly appreciated. Our aim is to establish a brand by giving continuity to values and, in order to do this, it is essential to have an identity that remains the same over time and does not put the brand at the mercy of passing trends. It is no coincidence that 90% of our sample catalogue remains unchanged across all markets. There are then variants which change on the basis of the individual markets. In Russia, for example, the climate factor has to be taken into consideration which is why the product has a fur lining." The fact that they have kept their DNA unchanged over time has allowed the two companies to enjoy development in various countries. "We are going through a historic period," continues Bagnobianchi, "which will allow us to establish our brands with a recognisable identity as Italian companies in the world. The markets in which we have been historically present are GerMARCH 2014
49
MADE IN ITALY LUCIANO BAGNOBIANCHI AND CLAUDIO SAGRIPANTI
many, France, Switzerland, Benelux, the United Kingdom and many other European countries, as well as Russia. We have also implemented partnership agreements in Asia, with sales outlets in Korea, China and South-East Asia. But we do not intend to stop there. We are also opening up to significant possibilities in the markets of South-Central America and South Africa, as well as always being present in the USA." This common line of ideas and product base has seen Manas and Alfiere enjoying many benefits. "We decided to look to the future with a view towards re-launching,"
50
ITALIAN VALUE
THE BRAND MUST MAINTAIN CONTINUITY IN ITS VALUES, ALBEIT KEEPING UP WITH NEW TRENDS continues Sagripanti, "and our common identity allows us to focus increasingly abroad, even looking to countries in which we are not yet present. It is no coincidence that 70% of the turnover of both companies comes precisely from international markets. We are focusing on exports yet maintaining the identity of each individual brand and seeking to identify broad synergies within all areas of production, logistics and finance, which do not distinguish between the brands. We are, in fact, dealing with the same target - women - even though we are approaching that target with different brands expressing different identities. This is how we are able to position ourselves in different segments of the market, despite the similarities in the women's shoes market in general. Using the same logistics gives us strength in the international markets and allows us to obtain competitive advantages even on the costs we have to cover. This is how companies can gain a strong footing on the market." And it is with this craftsmanship identity as their foundation that the two Marche companies are facing a new journey, collaborating and cooperating as much as possible. \\\\\ MATTEO GRANDI MARCH 2014
CONSULTATION RICCARDO CALIARI
FOR A SUSTAINABLE BUSINESS Cloros’ path to sustainability for companies investing in corporate business responsibility and ecological responsibility. Riccardo Caliari explains ith The Impact of a Corporate Culture of Sustainability on Corporate Behaviour and Performance Survey of 2012, Harvard Business School showed that companies that invest in sustainability have better long-term economic performance, both financially and non-financially. The survey has brought to light two particularly interesting aspects: the earning performance of sustainable companies exceeds their unsustainable competitors by 4.8% and the shares of responsible companies have proven less volatile over time. “Despite this, and although the theme of eco-sustainable growth has been popular for over 15 years, within this market it has been met inconsistently, notwithstanding some examples of excellence represented today by the productive fabrics of countries such as the United Kingdom, Japan and South Africa.” This is the opinion of Riccardo Caliari, managing director of Cloros, a sustainability service company that offers companies an allround strategic vision, to make their business sustainable in three different areas: environmental, social and economic. “Our path of sustainability, or value chain,” Riccardo Caliari continues, “is divided into three phases. The first phase is an assessment of the company’s social, environmental and economic impact on the context of reference. The status quo is reviewed, the arrival point is defined and, by back casting, we return to the departure point to define all necessary action to give substance to the final result – particularly in regards
W
56
ITALIAN VALUE
Riccardo Caliari, chief executive officer of Cloros in Villafranca di Verona (Verona)
to the economic impact. The second phase is improvement, which means increasing the company’s performance, filling any gaps found during the assessment, and proceeding with a plan to put the company’s activities in working order, by compensating the gaps of sustainability through concrete action. The final phase is sharing, i.e. communicating the sustainability efforts MARCH 2014
+4.8%
Earning performance Increase recorded by Harvard Business School. Sustainable companies have proven more productive than their non-sustainable competitors
www.cloros.it twitter.com/ClorosSrl www.facebook.com/Cloros.Italy
ITALIAN VALUE
developed (the action, the company’s commitment and new business philosophy) and the results reached to all stakeholders, in complete transparency, to empower the value proposition of our customers. It goes without saying that this direction must first be shared at top management level, to guarantee the full involvement of all collaborators. In fact, it is a strategic repositioning for the company, with an impact on all spheres of activity and all corporate functions.” Of course, every country perceives the issue of sustainability in a different way. Consequently, the corporate policies adopted in this domain vary, reflecting the common thought of each nation. Therefore, Cloros’ activity aims, on one hand, at encouraging more awareness of these themes and, on the other, at introducing companies to the application of sustainability to their reality. This is why Cloros takes part in exhibitions and events on this theme, both in Italy and abroad. “Last year, we participated in Smart Energy, in Verona, while in April we will be in Dubai at Wetex. Recently, we were partners of the TEDx event, also held in Verona. TEDx is a Californian format that reunites dozens of conference-shows of scientists, innovators, artists and entrepreneurs in a single day. Thanks to us, Verona was the first TEDx in Italy that was totally emission-free. In fact, we measured CO2 emissions generated during the organisation of the event, tried to reduce them to a minimum and compensated emissions by annulling carbon credits using projects with particularly ethical-social priorities.” \\\\\ LUCA CÀVERA MARCH 2014
57
GERMANY ECONOMIC OUTLOOK
EUROPE’S LOCOMOTIVE
The German economy shows broad stability, thanks to strategic choices that have consolidated its position along the world’s major technological axes
↑ An overview of Frankfurt
58
ITALIAN VALUE
MARCH 2014
iven that the German system is nearly one-third of the GDP of the entire Eurozone, Germany, despite a decrease in its growth rate - from 3.3 % in 2011 to 0.4% last year, and 0.7% in 2012-, is still the towing force of the European Union. A leadership based on vigorous domestic consumption dynamics, which increased by 1% even in 2013, and on a high level of internationalisation, which in recent years has enabled Germany to strengthen its presence in the most important foreign markets, particularly the emerging ones. What paid off, in the most intense phase of the global crisis, were the investments made by large industrial groups in the high quality segments, the coordinated aggression of the East European and Asian markets and, last but not least, the reforms carried out by the German Government. Rigour in public finances and support of domestic demand were the guiding principles of a policy which, at the end of 2009, within the scope of the “Growth Acceleration Act”, introduced tax reductions for € 8,600 million and that, last year, notwithstanding the context of tight budget constraints, increased the funds destined to instruction and research by over 4 %, with the declared intention of promoting sustainable, long- lasting development. A virtuous strategy which is reflected in the constantly increasing trade balance due to a volume of exports that almost always exceeds that of imported goods. Having absorbed the loss of its primacy as the first exporting country in the world to the Chinese giant, Germany still exhibits considerable surpluses in global exchanges. Starting right from Italy which, according to the latest survey conducted by Destatis, in 2012 re-
G
ITALIAN VALUE
ITALY-GERMANY TRADE EXCHANGE Value in million euro (January-October)
2012
2013
Exports
Imports
50,000 40,000 30,000 20,000 10,000 0
Source: ICE on ISTAT data
ceived from Germany 14.6 % of all its imports against 12.5 % of Italian exported goods sold to Germany. Amongst the goods most imported by Germany the agricultural and food products, the printing and reproduction of recorded media products, and the medical and botanical, chemical, and pharmaceutical products stand out. These are the leading sectors in a market worth € 35,300 million, the volume achieved in the first nine months of 2013, where we rank fifth among supplier countries, behind The Netherlands, China, France and the United States. \\\\\ GIACOMO GOVONI
MARCH 2014
59
GERMANY ELIO MENZIONE
A DEEP-ROOTED PARTNERSHIP The bonds that unite Italy and Germany go far beyond the different political views regarding Europe. Berlin is our country's top commercial partner ermany and Italy are two of Europe's most export-oriented countries, with goods that travel to dozens of traditional and emerging markets, but primarily between them, as depicted by the latest ISTAT (National Institute for Statistics) data updated at the end of 2013. “The interchange with Germany," comments Elio Menzione, Italian ambassador in Berlin, "amounts to 101.3 billion euro, almost equal to the sum of those with France and the United Kingdom combined.” This fact reinforces Germany's primacy in the ranking of recipients of our exports and confirms the importance of nourishing political and economic cooperation, particularly in terms of future European competitiveness. How have Italo-German relationships evolved in recent months? “Italo-German relationships have a particularly intense historical dimension. It should not be forgotten that Italy and Germany were among the six countries that brought life to the European Community and that their collaboration was and continues to be essential in addressing the complex challenges of integration. At this stage, in addition, the dialogue with Berlin is essential for identifying formulae that, in Europe, are able to combine policies to stimulate growth and employment with the consolidation of public finances.” Beyond the purely commercial aspects, why is Germany the most important partner for the Italian
G
↗ Elio Menzione, Italian ambassador in Berlin
60
ITALIAN VALUE
economy? “The commercial aspects in actual fact do not do justice to the breadth and depth of the bilateral economic relationship. In many sectors, sub-supply relationships are so important as to be seen as relationships of mutual dependence. For a myriad of Italian companies, large and medium industrial companies in Germany have been, for many years, a consolidated client with which they can work in partnership, also from the planning point of view, and which are physically followed in penetrating the international markets. Without wishing to exaggerate, in numerous cases, the Italian components industry contributes strongly to the success of German exports.” And what is the trend in terms of mutual investments? “They are crucially important. In Germany, approximately 1,800 Italian-owned companies employ almost one hundred thousand employees; on the other side, there are 1,400 German companies generating almost 145,000 jobs MARCH 2014
1,800
Italian-owned companies operating in Germany, employing almost 100,000 workers
in our country. In addition, out of all foreign tourists who visit Italy the most, the Germans are in first, with about 10.2 million arrivals in 2012 and expenditure quantified by the Bundesbank at almost 6.5 billion euro.” With which tools do you support companies wanting to do business in Germany? “The embassy plays a coordinating role between the two Italian Chambers of Commerce operating in Germany and the ICE (Italian Trade Agency) office in
ITALIAN VALUE
Berlin, which support companies from the operational perspective in the provision of services and in promotional activities. The embassy only intervenes directly in specific cases which require direct awareness-raising among the German authorities.” And from the perspective of information to users? “Our commercial office responds to requests from entrepreneurs and updates the section dedicated to Germany on the portal www.infomercatiesteri.it, which contains data of interest to operators. In addition, the embassy offers its headquarters to enterprises wishing to stage high-level promotional events. We did so in recent months with important business enterprises from various sectors: fine jewellery, tourism, food and drink, transport, publishing, automotive industry, banking services and fashion.” In which sectors will Italian industry have the greatest potential for expansion on the German scene in coming years? “It is obvious that a country that produces almost 29%
MARCH 2014
61
THE ITALIAN COMPONENTS INDUSTRY CONTRIBUTES STRONGLY TO THE SUCCESS OF GERMAN EXPORTS of the GDP of the Euro Zone, with public and private consumption growth and an unemployment rate at historic lows, offers significant opportunities for almost all industrial sectors. However, I believe that the best opportunities at present relate first and foremost to agriculture and food, driven by a growing appreciation for the quality of our products. We also hold a good hand in the fashion industry - even though the luxury sector offers even greater potential in other countries - and in pharmaceuticals, where there are significant Italian investments in Germany that are producing excellent market results.” Other areas? “All those where sub-supply services are required, starting with components for cars. Lastly, I believe that there are many opportunities for companies producing goods and services with high technological content, by virtue of Germany's strong public investment in that sector.” You recently stated that Germans have a distorted perception of Italian value. What limitations are being placed upon us? “It is undeniable that the crisis in the Euro Zone saw 62
ITALIAN VALUE
the resurfacing of some historical prejudices linked to the issue of the alleged unreliability of some partner countries. Unfortunately, this also involved Italy. However, the information gaps that I have witnessed in a substantial portion of German public opinion regarding the essential details of the Italian economy are, in my opinion, even more insidious. I am referring, in particular, to the strength and diversification of its industrial base and to its role in the crisis of the common currency: many people are unaware, for example, that Italy is the third largest contributor to the European stability mechanism and that it has not benefited from any emergency financial aid.” In what way can those image defects be corrected? “Only by continuously working to disseminate accurate data and evidence. This is what I do personally, seizing every opportunity to meet with stakeholders of the economic, academic and information world, to develop our strengths. It is an issue on which we will continue to work hard and we will certainly not fail to take advantage of the visibility that is given to us in the next six months of European Union presidency in order to amplify the message.” \\\\\ GIACOMO GOVONI MARCH 2014
GERMANY ERWIN RAUHE
A REFERENCE BUSINESS COMMUNITY The Italo-German Chamber of Commerce is a vital hub for encouraging investments by German enterprises in our economic fabric n the one hand, a more fragmented business structure devoted to the diversification of the product and, on the other hand, a production system characterised by large entities and a high cohesion of the system. These are the two industrial models, respectively the Italian and German ones, which converge in the business community that the Italo-German Chamber of Commerce is committed to fostering, by informing and helping interested enterprises to broaden their commercial range in regards to the particularities and opportunities for investments offered by the neighbouring markets. “Our services – clarifies President Erwin Rauhe are aimed at promoting economic relations among the enterprises of the two countries, with the goal of spreading the knowledge of their specificities and differences.”
O
↑ Erwin Rauhe, President of the Italo-German Chamber of Commerce
We can start from the different approaches to internationalisation between Italian enterprises and German ones. What are these differences and how can they be balanced? “German enterprises have always been strongly oriented towards internationalisation, whereas the Italian ones have emerged on the international markets only in recent years. In support of this, it is sufficient to note that the Italo-German Chamber of Commerce was founded more than 90 years ago. Another characteristic is that German industry is more oriented towards the exportation of finished products, whereas the Italian one is characterised by semi-finished products or single components that are subsequently integrated into finished products.”
THE GEOGRAPHIC AREA IN ITALY WHERE GERMAN ENTERPRISES ARE CONCENTRATED IS THE NORTH-EAST ITALIAN VALUE
MARCH 2014
63
2,800
German enterprises registered in Italy at the end of 2013, for an investment of around 36 million euro
www.ahk-italien.it
responsibility of the individual enterprises. We create the preconditions so that easier access to markets for the promotion of the Made in Italy brand is guaranteed.” In Italy a large number of German enterprises are already active. In which geographical areas are they
From a dimensional and sector point of view, what is the Italian enterprise profile that works best on the German scene nowadays? “Italian enterprises present on the German market reflect the entrepreneurial fabric of our country. With the exception of large-sized and international ones, it is mainly small and medium-sized enterprises that operate profitably in the German context, especially those specialised in the field of mechanical engineering and in the fields of fashion and furniture.” In terms of product promotion, what can be done to enhance the Made in Italy brand? “The promotion of individual products is primarily the 64
ITALIAN VALUE
concentrated? The elimination of which obstacles would encourage others to invest in us? “As a vocation, the geographic area where German enterprises are concentrated is the North and, particularly, the North-East. Greater legal certainty, greater fiscal transparency and less bureaucracy could give a further boost to the presence of German enterprises in our country.” Among the range of services provided by the Chamber of Commerce, you have a special section for Expo 2015. What commitment are you developing in light of this event and how many enterprises are you going to involve? “Expo 2015 represents a unique opportunity for both economies, both in terms of business opportunities and in terms of market visibility. From our side we provide assistance to enterprises looking to take advantage of this opportunity and which are ready to play an active role in it.” \\\\\ GIACOMO GOVONI MARCH 2014
GERMANY EMANUELE GATTI
AN AXIS OF PROMISING among companies PROSPECTS Alliances of the same productive supply chain: this is the key to helping Italian companies break into Germany
← Emanuele Gatti, president of the Italian Chamber of Commerce for Germany
deep-rooted industrial cooperation that generates a yearly exchange of more than 100,000 million euro. At such a delicate time, the economic axis between Italy and Germany is a treasure to protect and, wherever possible, to strengthen. Which is what the second edition of the Italian-German Economic Forum, to be held in Rome next May, intends to do. It will be organised by the CCIG – Italian Chamber of Commerce for Germany – and will crown the activities carried out in favour of the bilateral collaboration between the two countries. “Over the last few months,” says President Emanuele Gatti, “the CCIG has, on one hand, strengthened Italian-German economic relations in the traditional Made in Italy sectors, in which SMEs need a lot of support. On the
A
other hand, it has developed new bilateral initiatives in highly technological sectors, in which Italy’s companies come out on top and Germany can contribute to advancing their development.” In which initiatives can we see this commitment? “In the organisation of two conventions. The first was held last May in Florence, during the convention on industrial policies organised by Toscana Promozione and the Tuscany Region, together with our Chamber. On
170,000
The number of Italian-German companies and institutions participating both remotely and physically in the next Bilateral Economic Forum
ITALIAN VALUE
MARCH 2014
65
THE GAP BETWEEN ITALIAN AND GERMAN COMPANIES IS NOT DUE TO SIZE, BUT REGARDS INTERNAL ORGANISATION
that occasion, we invited some innovative German cluster groups to present their products of excellence with the prospect of striking up possible collaborations. The second took place in Berlin, in November, and was organised with the Italian Embassy and Technologie Stiftung Berlin. It was the ‘European perspectives on creativity and technology: Italian start-ups meet Berlin’ initiative to promote cooperation among innovative start-ups.” Italian companies find themselves at a disadvantage – due to their size - compared to foreign ones. What strategies can we use to work with our German partners as equals? “The predominance of micro-companies emerges primarily when companies come face to face on third markets, while, when acting as suppliers to large and medium German companies, Italian SMEs are also at an advantage, being, for example, more flexible. A recent study by Unioncamere found that 36% of district companies have seen their sales grow abroad, demonstrating that the size gap can be overcome through teamwork. More than anything, I believe that the real disadvantage in Italian companies lies in their internal organisation. Punctual deliveries, production processes, certification and precision in communication: these are all key factors in increasing international competitiveness.” How much space is there left for Italian productions on the German market and in which commercial are66
ITALIAN VALUE
as in particular? “Considering that Germany is aiming at a GDP increase of 1.8% in 2014 and 2% in 2015, I am convinced that the German market – which is also the main access market of Italian exports – will set aside a large space for our products, especially those of the food industry and the textilesclothing sector, but also in mechanics: a sector in which Germany will grow greatly and where Italy is highly competitive on the global level. However, in order to seize these opportunities on the German market, we need to focus more on the partnerships among companies of the same productive supply chain.” What are the regulatory requirements linked, for example, to opening an Italian company in Germany? “Just like in Italy, in Germany the requirements depend on the type of company. In order to provide Italian companies with precise instructions, we have drawn up -together with some legal firms that work with us - a guide to company structures in Germany, in which the regulatory requirements and differences compared to the relevant company type in Italy can be found. We also offer services in company construction backed by external consultants to help in opening a company in Germany. Considering also that in Germany there are various investment incentives depending on the Bundesland chosen, our Chamber identifies the most suitable German region for setting up an Italian company and collaborates with the organisations that assign those incentives.” \\\\\ GIACOMO GOVONI MARCH 2014
GERMANY FABIO CASCIOTTI
SUPPLIERS OF STYLE AND RELIABILITY Of the approximately 400 promotional initiatives that ICE (Italian Institute for Foreign Trade) agencies organise each year in favour of Italian enterprises, more than 50 are aimed at the German market he corporate image has changed from ICE to ITA, Italian Trade Agency, but its mission has not: assisting and providing advice to the Italian enterprises interested in new opportunities in foreign markets or in strengthening their existing ties. An activity shared by the 93 Italian offices for internationalisation operating in as many parts in the world, and which takes on a decisive importance when it concerns “our biggest trading partner in the world, which receives over 47,000 million of our exports yearly”. It is the Director of the ICE office in Berlin, Fabio Casciotti, who reminds us of these data and who outlines the contours of a German market historically at the t forefront among destinations for Italian flagship products. What has been the evolution of this trend in recent times? “Today, trade with Germany is just under €100,000 million, but it is worth noting that last year Germany’s imports have suffered a decline of 1.8% compared to 2012, with a German purchase volume from abroad in this period amounting to €896,000 million.” What are the factors that led to this slight slowdown? “The decline was primarily due to the reduction of imported products in the first three places in the rankings: to the loss of 2.5% of oil and petroleum products, of 2.3% of machinery and 2% of electrical machines. Even iron and steel suffered a decline of 7.7% in 2013. Just a few sectors have maintained a positive trend, such as plastic products, +2.6%,
T
IN GERMANY, THE AGENCY CARRIES OUT A PROMOTIONAL PROGRAM OF AROUND 50/60 OPERATIONS PER YEAR
68
ITALIAN VALUE
MARCH 2014
and the fields of optics, medical devices and aviation, which increased by 1.4% and 6.8% respectively.” What about imports from Italy? “Italy occupies the fifth place among the top 20 suppliers of Germany, after the United States. In 2013, imports fell by 0.9%, reversing a trend that in the two previous years had recorded slight increases in our market share, by 5.24% and 5.38% in 2011 and 2012, respectively. In the past year, however, our total sales fell to 5.27%.” How do you help Italian enterprises who come to your offices looking to penetrate the German market? “Primarily, we monitor the local market, acquiring and redistributing useful information to entrepreneurs. Secondly, we offer assistance in the areas of interest of the Italian enterprises, especially in those areas in which the presence of our SMEs is high. Finally, we manage, thanks to a bottom up approach, program agreements with the Italian regions, sectorial agreements with trade associations, as well as special programs, including the “Made in Italy” program and, more recently, “Export sud” for the four regions which fall within the Convergence Objective: Puglia, Calabria, Sicily, and Campania.”
ITALIAN VALUE
↑ Fabio Casciotti, Director of ICE office in Berlin
What are the main events at which Italian enterprises can establish relationships with German partners? “In this country, the agency carries out a promotional program of about 50/60 operations per year, including fairs, information campaigns and conventions for German journalists participating in Italian fairs. Among those scheduled in 2014, I can mention the collective participation at CeBIT, the high-tech fair which will be attended also by 10 Italian start-ups; Prowein, an event dedicated to oenology;
MARCH 2014
69
670,000 Million euro The German purchase volume from abroad in the period from January to September 2013
12.5%
The share taken by the German market of total Italian exports in 2012 ICE
Ila, an exhibition dedicated to aerospace with a pavilion dedicated to the enterprises coming from the regions of the Convergence Objective; Smm 2014, for the marine sector; Automechanika, for subcontracting in the automotive industry, and the Bio Europe Fair, with a focal point in the field of biotechnology.” Other ongoing projects? “In April, the campaign 'Studio Italia' will start at the premium stores of the luxury chain Karstadt: the KaDeWe in Berlin, the Oberpollinger in Munich and the Alsterhaus in Hamburg. For 45 days these department stores, flagships of the German luxury retail chains, will have showcases and exhibition spaces dedicated to Italian-brand products. Finally, we are already preparing to participate in the Anuga 2015 fair in Cologne, the most important food industry exhibition in the world.” What are the competitive disadvantages we still have to face compared to Germany? “The German national system is stronger than the Italian one due to political stability, even in the presence of broad political alliances, financial health, investments in research, development and training, better average public services, rigid social control on the use of state funds and of Länder. In absolute terms, the tax burden is not very different from ours, but it is estimated that Germany provides services to its citizens for a total amount of €7,800 versus €4,800 in Italy. Similarly, the cost of labour is higher in Germany, but well compensated by the higher productivity.” 70
ITALIAN VALUE
And on the commercial side? “At this level the image of quality and reliability of German products is very important in sectors like mechanics, the automotive industry and chemistry. Instead, our key factors are the Italian way of life, the continuous search for beauty, the handcrafted and gastronomic tradition, but the image of Italy in high-tech sectors cannot be compared to Germany, sometimes unjustly.” In terms of trade flows towards Germany, what is the estimated trend for the next 2-3 years? And what will be the strategic sectors for investments for our enterprises? “It is hard to predict. Nevertheless, according to a recent short-term analysis by the Iw Institute of Cologne on 46 trade associations of the German manufacturing industry, there should be great optimism for 2014 in terms of revenue, investments and in the number of operators. Particularly, the mechanical sector seems to present important growth prospects in China and in the U.S. and an increase in the exports on the European market, too. This is a very important datum because several Italian enterprises are subcontractors of the German industry and may indirectly benefit from the favourable climate. Positive trends are also expected in the construction industry, especially in the civil construction sector and, obviously, in the agro-food industry, a pillar of our presence in Germany, thanks also to the dense network of Italian restaurants.” \\\\\ GIACOMO GOVONI MARCH 2014
GERMANY THE EXHIBITION SYSTEM
EUROPE’S LARGEST EXHIBITION CENTRE
The Hannover exhibition centre is a strategic hub. It is here that some of the most important exhibitions in the world are held, and from here events start that conquer emerging countries ith 150 international exhibitions, Germany is globally one of the most important centres and organises around two thirds of the world’s main exhibitions. And the Deutsche Messe, the legendary exhibition centre of Hannover, leads Germany’s exhibition network. Europe’s largest exhibition centre organises 73 exhibitions in Germany every year and another 40 abroad, attracting more than 23,000 exhibitors each year, almost 9,000 of whom are foreign. Almost 2 million visitors pass through Hannover every year (more than 10% are foreigners). One of the assets that have made this growth possible is the fact that for over a decade the German city’s exhibition system has decided to focus also on organising industrial and commercial exhibitions in the most important developing countries. It all started in 1947 when Deutsche Messe started organising events that for businessmen worldwide became, unmissable appointments. The sector of investment goods is the main focal point of many exhibitions, both in Germany and abroad. Among the most famous Hannover events are Cebit, focussing on the digital world and telecommunications; Hannover Messe, on industrial technologies; Ligna, on wood and its industry; Domotex, on flooring and coverings; Biotechnica, on biotechnologies and life sciences; Cemat, on intralogistics and Didacta, centred on training. Furthermore, Hannover has for many years now also hosted exhibitions organised by external companies, such as Agritechnica, the most important international exhibition on the agricultural mechanisation sector, Emo, which hosts machinery and tools for metal work, Euroblech, for sheet working technologies and Iaa, an exhibition of commercial and industrial vehicles. Over the last few years, the traditional concept of the
W
ITALIAN VALUE
40
Events Every year, the Deutsche Messe of Hannover also organises many exhibitions abroad
MARCH 2014
71
GERMANY THE EXHIBITION SYSTEM
www.hannovermesse.de
INTERNATIONALISATION IS THE TRUMP CARD OF MODERN EXHIBITION CENTRES
exhibition has evolved and changed form, with the exhibitive space gradually losing importance to a concept based more on experiential contents. The goal is not only to present goods and services, but to offer an experience, create emotions. In this perspective, Germany’s exhibition sector received 300 million euro in public funding, used to modernise the convention centre in Berlin as well as for the exhibitions in Dusseldorf, Essen and Hannover. Also from this point of view, internationalisation becomes the trump card for modern exhibition centres. In fact, this is how we can showcase the quality of European products all over the world. It therefore becomes almost a mandatory choice: one that can also compensate for the substantial loss of shares in the classic market places, such as the European ones, also due to the economic crisis. Furthermore, it is an instinctive reply to a trend that has by now lasted over a decade – or rather the powerful incentive for foreign buyers to participate in 72
ITALIAN VALUE
exhibitions on the Old Continent, with the clear intention of increasing export possibilities. Today, the obvious consequence is the direct presence of the various exhibition bodies in new markets. In this way, exhibitions focus on accompanying enterprises in emerging countries, but also on signing agreements to organise on site exhibitions, both because the European sector is slacking as well as to respond to the effervescent entrepreneurial world that is emerging. The Deutsche Messe in Hannover has evolved in a network involving 10 foreign subsidiaries and six specialised companies that cover the entire supply chain of the exhibition market, also attracting foreign shareholders in the same company. Internationalisation therefore seems to be a mandatory path, also – or especially – for the European locomotive. And if exporting is not always easy as it requires organisation and contacts, exhibitions are the best occasion to create relationships – even in times of crisis. \\\\\ TERESA BELLEMO MARCH 2014
A COUNTRY IN FULL DEVELOPMENT Despite the lack of infrastructure and security, and thanks to good relations with Italy and a growing domestic economy, Mexico wins over Italian enterprises
An overview of Cancun, in the state of Quintana Roo
74
ITALIAN VALUE
MARCH 2014
MEXICO ECONOMIC OUTLOOK
Italian exports to Mexico
Italian imports from Mexico
(million of euro)
(million of euro)
2012
2011
Goods C
Goods B
2010
2012
389,93 353,92 348,21 470,94 534,85 235,7
Goods A
1,115,98 836,21 827,93
2011
Goods C
175,9 84,44 68,53
Goods B
343,39 322,2 35,72 8,271
Goods A 12,21 73,08
Total
3,745,2 3,232,33
Total
4,000
0
2,559,22
0
1,000
2010
2,000
3,000
Goods A: Machinery and Equipment Goods B: Coke and products derived from oil refining Goods C: Products of the metallurgical industry
1,040,22 995,37 623,66
2,000
4,000
6,000
8,000
10,000
Goods A: Vehicles, trailers and semi-trailers Goods B: Products of the chemical industry Goods C: Products of the metallurgical industry
Source: www.informercati.it
he Mexican economy is among the top 20 economies in the world and the second one in Latin America, with a great growth potential. According to the analysis “The World in 2050� by the consulting enterprise PricewaterhouseCoopers, Mexico will represent by that time the sixth largest world economy. After the remarkable decrease of GDP in 2009, the economy of the country enjoyed a recovery in 2010 (+5.5%), confirmed again in 2012 (+3.9%). Last year it suffered from a standstill due to poor foreign demand, especially from the U.S., to which Mexico exports 78% of its goods, but estimates speak of an annual growth of 1.2%. The trend of economic relations with Italy is still good. Italy is the second European exporter to Mexico and the eighth on a worldwide basis. In 2012, Italian exports increased by 15.7% compared to the previous year, reaching a value of 3,700 million euro. The leading sectors of Italian exports are mechanical engineering (27.5 %), metallurgy products (12.9 %) and refined energy products (11.6%). Imports, instead, amounted to little more than 1,000 million euro, an increase of 4.4% compared to 2011 and consist mainly of
T
ITALIAN VALUE
means of transport (33.5%) and metals (17.6%). Machinery, metallurgic products, plastics and electrical equipment, clothing, textiles, footwear, jewellery and medicines are among the main imported products from Italy. Vehicles with piston engines, oil and derivatives, terephthalic acid and its salts, and durum wheat are, on the other hand, Mexican products directed towards Italy. In the first nine months of 2013, this bilateral interchange registered a slight slowdown compared to the same period of 2012, but maintained a positive balance for Italy (+1,600 million euro). Italian exports amounted to approximately 2,400 million euro while exports were around 700 million euro. Italian investments in Mexico continue, especially in strategic sectors such as infrastructures, defence, aerospace, and the automotive and energy industries. In the last three-year period, FDI (Foreign Direct Investments) of Italian enterprises have been promoted especially by large industrial groups such as Tenaris-Ternium, Fiat-Chrysler, Pirelli, Ferrero, and Enel (National Electricity Board). \\\\\ RENATA GUALTIERI
MARCH 2014
75
MEXICO ALESSANDRO BUSACCA
PROMISING COMMERCIAL PARTNERS
The competitiveness of the Mexican market continues to grow and a new dynamism in economic relations between Italy and Mexico will be stimulated by Expo 2015 exico’s economy is in constant growth: +1.3% in 2013, +3.5% forecast for 2014. And economic relations between Italy and Mexico are also growing, especially thanks to Italian commercial flows and investments towards Mexico. In 2013, the volume of bilateral exchange was equal to 6,800 million dollars (around 5,600 million for Italian exports and 1,200 million in Mexican exports to Italy). Italian investments also continue to stream into Mexico, increasing the number of large and small-medium Italian companies there. “On the other hand,” clarifies the Italian ambassador to Mexico City, Alessandro Busacca, “there are a disappointing number of Mexican companies in Italy: we are working to improve this in line with the ‘Destination Italy’ plan. Furthermore, more dynamism could come from Mexico’s participation in Expo Milano 2015, having already signed up for it and in which it is investing to have a prime position in terms of visibility.” Why should an Italian company choose the Mexican market? “Mexico has many competitive advantages for companies: a market of almost 120 million inhabitants, a growing middle class, relatively cheap labour, its strategic geograph-
M
↗ Alessandro Busacca, Italian Ambassador in Mexico City
76
ITALIAN VALUE
ical position, its free agreements with 44 countries and negotiations in progress for the Alliance of Pacific and Trans-Pacific partnership; a free treaty with the European Union which, after 15 years is being updated today. Furthermore, they are preparing structural reforms and development plans that will open numerous opportunities in strategic sectors. On the other hand, among the factors that could stunt current growth are: the trend of the global economy, as Mexico is very open to free exchange and well integrated in international markets, and the U.S. economic situation, to which Mexico is closely linked, even if it shows recent diversification tendencies in its choice of commercial partners.” MARCH 2014
5,600
Million The value, in dollars, of Italian exports to Mexico in 2013
What is the level of visibility of Italian companies in Mexico’s commercial scenario and in which sectors are Italian products most likely to establish themselves? “Italian products have an excellent reputation in Mexico, from consumer goods to machinery, right up to chemical and pharmaceutical products. Added to these are the strategic sectors in which Italian businesses are already established or can expand their productive presence, thanks also to the recent structural reforms in automotive, airspace, defence, energy, telecommunications, infrastructure, renewable energy and environmental technologies sectors. The Mexican market promises to be worth the wager.” Which tools does the Embassy use to promote relations between Italian businesses and the Mexican market? “The Embassy is at the centre of the “country system” aimed at promoting Italy’s image and supporting those of our companies that are already present or interested in accessing this market. To this end, we work with the Mexican office of the Italian Foreign Trade Institute, the Italian Chamber of Commerce in Mexico, the SACE group – who recently opened an office on site – and other organisations who offer qualified assistance to companies, such as the “Italy Help Desk” of the consultanITALIAN VALUE
cy company PricewaterhouseCoopers. In this setting, the Embassy compiles information reports on the Mexican market and possible orders, provides consultations to companies and assistance to intervene in dossiers that often require a sensitisation of the competent Mexican organisations. Huge importance is also placed on relations with the most competitive Federation States so that Italian companies can establish themselves here with the most chance of success. To this end, we communicate with local governments and help interested Italian companies enter the scene.” What do you have in the pipeline? “For April, we have planned a system mission involving the Ministry of Foreign Affairs and Economic Development, Confindustria (the Italian Manufacturers’ Association) and the Foreign Trade Institute, as well as a delegation of companies in the automotive, energy, green technologies and infrastructure sectors. In the second half of the year, in Mexico City, the IV meeting of the Italy-Mexico bi-national Committee will be held to further stimulate collaboration in the sectors of politics, security and judicial affairs, economy and commerce, culture and science and technology.” \\\\\ RENATA GUALTIERI MARCH 2014
77
MEXICO ALBERICO PEYRON
TWO COUNTRIES IN PERFECT HARMONY
The cultural understanding between Italians and Mexicans is a factor for success. But there are still other issues which can further strengthen this relationship and business opportunity
fter 24 years, Italy went on a diplomatic mission to Mexico last January. Despite the long waiting time, business relationships with Mexico have proven to be constantly growing: Italy exports to Mexico more than do France and Spain, both of which are countries with a long-lasting business relationship with Mexico. Italy mainly exports industrial machinery, as a strategic supplier of the large industrial and manufacturing Mexican system; it is then followed by semi-finished products and consumer goods for a total amount of around $ 5,000 million per year. “With this official visit – explains the President of the Italian Chamber of Commerce in Mexico, Alberico Peyron – we hope to open new spaces for Italian enterprises in the oil&gas sector, in light of the upcoming collapse of the government monopoly in the hydrocarbon, defence, aerospace and public works sectors.” To what extent is Italy recognising Mexico as an important partner and how much are Mexicans interested in Italy? What are the factors which contribute to the success of the relationship between these two countries? “Italy is increasingly recognising the great strategic potential of Mexico, and so it is no coincidence that it has signed a declaration of strategic partnership. There is a solid Italian presence in
A
78
ITALIAN VALUE
↑ Alberico Peyron,
Photo ©Lara Mariani
President of the Italian Chamber of Commerce in Mexico
MARCH 2014
Mexico, both in investments – about 1,400 Italian-capital enterprises are registered in the country – and in trade. Mexico is starting to look at Italy as the second access to Europe after Spain, a kind of second Latin partner in Europe, hence the interest in stronger relationships from the Mexican side. Furthermore, Mexico has an entrepreneurial structure similar to that of Italy, made up almost entirely (99%) of small and medium-sized enterprises: the Italian entrepreneurial structure, with a strong presence of producer associations and industrial districts, is receiving increasing interest in Mexico. Another unquestionable factor of success in the relationship between the two countries is the strong cultural understanding. They both are Latin and Catholic countries, with a great mutual understanding. Mexicans have a very good image of Italy. They appreciate the Italian way of life, its sense of beauty, its technology and products.” What are the sectors with a strong Italian presence in Mexico and what are those which could attract further interest in the Italian entrepreneurial world? “The vast majority of Italian investments in Mexico, actually almost all, has been successful and has met the expectations of the investor irrespective of the sector. The country offers favourable conditions for those who want to invest (taxation, workforce, costs) and Italians manage to fit very well into the Mexican economic and social fabric. Good planning is essential, as well as leaving the leadership of the Mexican branch to Italian personnel. There are great opportunities in the automotive, aerospace, leather and plastic sectors, as well as in all the new technologies. The oil&gas sector, when the opening up of the hydrocarbon sector will be operational, will be the driving force of the economy of the entire country. In business, industrial machinery and systems for manufacturing will continue to play a great role, as well as the entire sector of high-range products.” ITALIAN VALUE
1,400
Enterprises The total number of Italian-capital enterprises registered in Mexico
← For more information on economic relations between Italy and Mexico
MARCH 2014
79
MESSICO ALBERICO PEYRON
MEXICANS APPRECIATE THE ITALIAN WAY OF LIFE, ITS SENSE OF BEAUTY AND TECHNOLOGY
What are the most important structural reforms which have made Mexico so competitive in recent years? “The strength of Mexico lies in its privileged geographical position bordering on the most important economy in the world, that of the USA. The NAFTA treaty has also created an economic area between these two countries, plus Canada, similar in size to that of the European Union. In addition to this, there are trade agreements with a total of 44 countries, including the European Union itself and Japan: Mexico is the ideal platform for those who want to produce for export. The relations between the employer and the workforce are generally harmonious and the labour laws ensure good margins of flexibility. Finally, it is important to mention that it is possible to set up an enterprise without a local partner and the profits, once taxed in Mexico, may be exported without restrictions.” How necessary is it to institutionally consolidate the economic and political relations between the two countries? How is that possible? What will be in this respect the contribution of the Italian Chamber of Commerce in Mexico? “There are still large margins to strengthen the relation80
ITALIAN VALUE
ship between the two countries, because they have just expressed the willingness to get to know each other. On the Italian side, there is still a prejudice regarding Mexico: it is often seen as a poor, desert and rural country, as it is portrayed in the movies. But when these same Italians come here and see with their own eyes the size and development of the country, they understand its potential in a few moments. For this reason it will be important to continue to make Italian missions to Mexico, at all levels, in order to create this direct knowledge in Italian operators, while promoting business opportunities. On the Mexican side, we will see more and more missions to Italy to actively promote the great potential of Mexico, in its various states. The Italian Chamber is already very active on all fronts of the institutional and commercial promotion between the two countries by making missions, events and promotional activities for both Italian and Mexican entities, both public and private. At the same time, it offers professional services to support Italian enterprises interested in doing business in Mexico, relying on a strong network of contacts in the territory, built during its 66 years of existence.” \\\\\ RENATA GUALTIERI MARCH 2014
JAPAN ECONOMIC OUTLOOK
JAPAN REWARDS ITALIAN PRODUCTS It is well known that the Japanese love Italy. For this reason, Italian enterprises can find large shores for their high-end productions
82
ITALIAN VALUE
MARCH 2014
← Tokyo, the capital of Japan, is in the Kantö region, on the Honshü island
apan is, in terms of GDP, the third country in the world after the United States and China. Despite the long period of economic stagnation, the Japanese economy continues to be among the most solid and developed ones, also thanks to its large population, about 127 million people, and a high GDP per capita. Today Japan, however, is facing diverse and complex problems, ranging from the energy future post-Fukushima to the highest public debt in the world in relation to GDP (236%). For this reason, the current Japanese Prime Minister Shinzō Abe is promoting a strong economic policy, known as Abenomics, aimed at leading the country out of this extended stagnation by massively stimulating its growth through the funding of public works, structural reforms and an aggressive program of reduction by the Bank of Japan. A policy that seems to be going in the right direction, since Japan ended the year 2013 with +1.6% GDP. The Japanese market remains a highly sophisticated and mature market, which has developed a strong interest towards Italy and its products for a long time. For this reason - and for the high standard of living of the population - highly-specialised Italian production finds in the Japanese market a favourable scope. High-end products, which have always characterised Italian exports, meet the Japanese taste and that is why the SMEs specialised in the production of this type of goods may find fertile ground for their expansion. Although there are still several protectionist barriers, the local legal system does not provide for restrictions on foreign entrepreneurs, and business relations guarantee, once established, strong and lasting relationships and long-term growth perspectives. Despite the geographical distance, the Italian and the Japanese markets share common features that can boost economic cooperation. The most lucrative areas of investments by Italian enterprises are certainly those related to electricity, gas, renewable resources, information services, communication and pharmaceuticals. With regard to sales, the Italian products which most attract the Japanese are the traditional ones such as textiles, beverages and food products followed by pharmaceuticals. Finally, construction, with a focus on smart cities and technologies that reduce environmental impact. \\\\\ TERESA BELLEMO
J
COMMERCIAL EXCHANGE ITALY-JAPAN Value in million euro (January-October) 2012
2013 Exports
6,000 5,000 4,000 3,000 2,000 1,000 0
Source: ICE on ISTAT data
ITALIAN VALUE
Imports
MARCH 2014
83
JAPAN DOMENICO GIORGI
A SOLID AND RELIABLE COUNTRY
The Japanese economy is growing again thanks to an innovative development plan. Here Italian enterprises can find lasting business opportunities
ince the crisis hit, Japan has been trying to get out of it with a new policy which now seems to be yielding significant results. A different macroeconomic approach called Abenomics, taken from the name of the Liberal Democratic Prime Minister Shinzo Abe, which represents a reversal compared to the economic policies of recent years. Democratic governments, in fact, had concentrated their energies in containing public debt and in fiscal conservatism. The reason is quite understandable: the public debt is very high and the working population is in sharp decline, not to mention the huge expenditure necessary for the reconstruction of the areas devastated by the tsunami and the nuclear incident in 2011. Even the Italian Ambassador, Domenico Giorgi, seems to
S
84
ITALIAN VALUE
be convinced that the expansionary policies implemented by the government and the Bank of Japan could help to solve the structural problems of the country: deflation and low growth rate. Japan proves again to be able to overcome its challenges, for this reason it continues to be a key trade partner for Italy. Japan has built its economic recovery on the socalled Abenomics, which, however, in the last quarter of 2013 showed a downward trend compared to expectations. “Abenomics has given an impetus to a twenty-year stagnant economy and is managing to restart it. The fourth quarter recorded a slowdown in growth, which is still, however, an increase of 1% on an annual basis, but the expectations were higher. Japanese exports increased by 0.4% compared to a decline of 0.7% in the previous quarter. In addition, production investments have increased by 1.3% and consumption by 0.5%. The general trend therefore remains positive. The year 2013 marked a change in direction, confirmed by the Tokyo Stock Exchange price index, which has reached the highest rating in the last six years. For the next few months, the greatest uncertainty concerns the increase, starting in April, of the tax on consumption (a sort of VAT) from 5% to 8% which will certainly bring a drop in consumptions. There is a widespread awareness of this in the Government, which has set up MARCH 2014
→ The Italian Ambassador in Japan Domenico Giorgi
an economic measure to support domestic demand, in particular by promoting an increase in remunerations.” What are the functions of the Embassy in favour of Italian enterprises working in Japan? “The Embassy, in agreement with ICE (Italian Institute for Foreign Trade) and ENIT (Italian Tourist Board), supports enterprises by providing information on the characteristics and opportunities of the Japanese market in terms of exports, investments, tourist flows, contracts and tenders. It helps promote enterprises both through the participation in trade fairs and events and by hosting promotional events of high visibility at its facilities, in particular at the residence. Besides these activities there are also more indepth actions: following trade negotiations with local authorities in order to promote the exports of products not allowed in Japan, the negotiations between the EU and Japan, organising meetings among enterprises, such as the Italy Japan Business Group, and initiatives for attracting investments in Italy. To mention an example, the export of citrus fruits has recently been approved.” In recent years, despite the Yen's sharp depreciation, Italian investors have found the Japanese market interesting. According to you, what are the reasons for this? “Depreciation had no particular impact on Italian investments in Japan, especially on Italian exports,
IN 2013, ITALIAN EXPORTS TO JAPAN GREW BY 8% IN REAL TERMS ITALIAN VALUE
MARCH 2014
85
which in 2013 grew by 8% in real terms (a unique case among the major European countries), generating a surplus of more than €4,000 million. It was a great result, if you think that the major EU partners have not improved their performance at all. To me, it seems that this datum confirms the competitive abilities of our manufacturing in complex markets. In general, despite the stagnation of the Nineties and the first decade of this century, Japan is still the 3rd largest economy in the world and the interest of our entrepreneurs is understandable.” What advice do you think is useful to give to an Italian entrepreneur who wants to invest in Japan? “Japan is a market which is difficult to penetrate, but at the same time it is solid and reliable. The expectations of an enterprise wishing to enter this market should not be evaluated in terms of immediate results, but in a long term perspective. To be successful, perseverance, reliability and above all quality are needed. If an enterprise approaches the Japanese market with these aspects in mind it will not be disappointed.” What are the possible risks? “Japan does not present the risks which can be found in other markets. It is a reliable and solid country and proof of this is the absence of trade disputes. Japanese people settle their debts and respect agreements. Obviously, they expect reliability from their counterparts, too, and for this reason they do not immediately trust just anyone. But, once familiarity and trust are established, a long-term relation can begin, which both parties benefit from.” \\\\\ TERESA BELLEMO 86
ITALIAN VALUE
SUPPORTING COMPANIES The Italian Chamber of Commerce in Japan is ready to support entrepreneurs interested in the Japanese market ue to its flexibility and to a certain level of freedom from bureaucratic constraints, the Italian Chamber of Commerce in Japan (ICCJ) is able to facilitate trade between the two countries. A contribution which is often very important, as it brings together businesses, professionals and potential business partners. For the Italian Chamber, the last 5 years have seen great growth, thanks also to an intense calendar of “ Made In Italy” promotional events, adding up to about 80 yearly activities which the ICCJ promotes, collaborating with the local institutions and with Italian and foreign agencies. Gianluca Testa, elected President of the Institution a few months ago, presents some events for 2014: “On February 28th and March 1st in Japan we hosted within Siaft, the international olive
“D
MARCH 2014
JAPAN GIANLUCA TESTA
www.iccj.or.jp
oil competition now in its second edition, 28 Italian companies from the food and agricultural sector. In April we will be coordinating the Far East Pavilion at Cosmoprof, the Beauty Sector Trade Fair held in Bologna.” What are the areas of collaboration for the two countries? “Japanese customs data relating to 2013 Italy-Japan exchanges confirm the positive trend of Italian exports. As a matter of fact, despite the 27% devaluation of the yen in regards to the euro, the exports from our country have increased by 20.8 %, generating a surplus of over 4,000 million euro, notwithstanding the fact that imports from Japan have increased by 9.3%. The strong growth of Italian exports contrasts with the decrease suffered by European competitors such as France and the UK. The main sectors of trade cooperation are chemical, pharmaceutical, mechanical and automotive, fashion, clothing and food. The forecast for 2014 is also positive, despite a reduction starting in the second quarter due to the increase of the sales tax.” In what way are Italian institutions creating fertile ground for Italian entrepreneurs in Japan? And what are the projects for 2014? “The Italian Chamber of Commerce in Japan in 2014 will continue to promote the most promising “Made in Italy” products, starting from those in the food and beverage industry. In 2014, the focus will be primarily on organic food production. After the earthquake and the nuclear crisis, the organic food market is growing rapidly and Japan promises to be an excellent market. Also the restaurant industry will continue to play an important role and we will try to boost the trade fairs. ICCJ will be present at about 15 trade fairs, covering sectors such as renewable energy, ITALIAN VALUE
medical-pharmaceutical products and the mechanical industry. The institution will continue, ultimately, to support graduate training, by offering major Italian universities - including the University Ca' Foscari of Venice - the possibility of internships within its structure.” What are the main similarities between the Japanese market and the Italian and European ones? “Although Japan, from an economic and industrial point of view is a market which is culturally very different from Italy and Europe, in other respects it shows strong similarities with the Western countries, especially when compared to neighbouring Asian countries such as China and Korea. From a purely commercial point of view, it is important to emphasize the maturity of the Japanese market, which, like many European markets, is not easy to penetrate with new products. For this reason, the ability of Italy and of Italian companies to export quality, technology, safety and tradition is fundamental. With these weapons the trade balance between the two countries will continue to speak Italian for a very long time.” \\\\\ TERESA BELLEMO MARCH 2014
87
ASK THE EXPERT
DO NOT DISTORT, ADAPT Japan is often perceived as distant from our country. Actually the information needed to work here is not so much driano Villa arrived in Japan 28 years ago. Here he started working with several law firms. In 1999, in partnership with the Pavia e Ansaldo law firm, he founded his own, which is still, even today, the only Italian law firm in Japan. His experience in business relations between Italy and Japan have made his help on many occasions fundamental for all those “Made in Italy” entrepreneurs who see Japan as a land for potential investment. The first thing to do is to study the country. This suggestion is obviously true for any foreign place in which one arrives for the first time. But it is even more so in a country where the industrial and social dynamics are so different from our own. A knowledge as thorough as
A
↗ Adriano Villa, Tokyo-office resident partner and consultant of the Pavia e Ansaldo Firm of Milan
88
ITALIAN VALUE
possible of the economy and the society, but also of the history, culture and traditions of the Japanese, is indeed an absolute must for those who intend to operate successfully in Japan. Also, of course, one must have a long-term perspective. This is not a country suitable for a “hit and run” approach. Substantial initial investments may be required – not only economical - and the results can take a while in coming. A condition which Adriano Villa sums up by advising: “no time-wasters”. Which are the most important things to be aware of from a juridical and legal point of view? Actually the Japanese legal system is much more similar to ours than that of the U.S., which we generally perceive to be more closely related, and the legislation is generally more reassuring for the companies that operate there. For example, the concept of punitive damages does not exist and, although in Japan the quality standards are very high, the law on product liability is fairly bland, especially in its sanctions. To set up a local company or a branch is quite simple and there are no particular impediments to direct foreign investment. Be careful, though, with contracts: due to the homogeneity of Japanese society, contractual reMARCH 2014
ADRIANO VILLA
adriano.villa@pavia-ansaldo.com
lationships among local firms are often very simple, based largely on common cultural imprinting. In this case it is best not to adapt and to resist the temptation to “be Japanese”: it is always best to negotiate and draw up with due care a good, not necessarily hypertrophic, but well structured contract." Regarding tax law, what are the major differences and what are the main benefits? “The country is certainly not a low-tax one (approximately 37% of the total pressure according to OECD estimates, still a dream for an Italian), but, all things considered, the NTA is a friend. It is not in reality but it also is absolutely not considered as it is in our country: a Leviathan ready to grind down on you as soon as it gets a chance. The relationship with the taxpayer is peaceful: if you like, the NTA can even help you prepare your income tax return. If it owes you a refund, it will be immediately paid back. It will even tolerate minor forms of tax evasion. Be careful to not make a mistake though: the sanction will hit you immediately and there will be no exceptions. There is a difference though: from April 1st the local indirect tax on consumption increased from 5 to 8%.” What services does your firm provide for Italian companies that want to engage in this adventure? “I have lived and worked between Italy and Japan for ITALIAN VALUE
over twenty-eight years, so I think have acquired a rather thorough human and cultural experience which is very useful also in business negotiations. The Pavia e Ansaldo Tokyo firm, which opened in 1999, is still the only Italian law firm in Japan today, and can provide Italian companies with all the services needed to invest and work in loco, from setting up the company, to contracts and litigation. Often, thanks to my acquired experience, my role extends beyond pure legal assistance becoming more of an actual wide-range consultancy.” Taking into consideration the customs and habits of the Japanese people, what mistakes should be avoided at this level in order to be able to invest successfully in the country? “The golden rule of a good Italian investor in Japan should be to adapt to the country while remaining yourself. This rule must apply also to the products exported here. It is wrong to change your nature completely: the Japanese regard the Italians with a mixture of admiration and suspicion. To appeal to the factors they admire (cultural heritage, quality of life and Italian ingenuity) while attempting to correct our universally recognized negative aspects (lack of punctuality and reliability) is the best strategy, and at the same time it should be the common mission of all Italian entrepreneurs interested in investing in Japan.” \\\\\ TERESA BELLEMO MARCH 2014
89
A NEW GROWTH MODEL
The shift in economic policy strategies undertaken by the government of Dubai has convinced the markets and offers opportunities to Italian enterprises, too
92
ITALIAN VALUE
MARCH 2014
UNITED ARAB EMIRATES ECONOMIC OUTLOOK
COMMERCIAL EXCHANGE ITALY-UAE Value in million euro (January-October)
2012
2013
Exports
Imports
5,000 4,000 3,000 2,000 1,000 0
Source: ICE on ISTAT data
An overview of Dubai
ITALIAN VALUE
ncouraging non-oil sectors and decreasing the weight of mining on GDP: this is the economic model that the United Arab Emirates, whose economy has always been based on the oil&gas sector, has been trying to adopt for a few years. The leader of the 7 Emirates is Dubai, whose growth has focused, in recent years, on a further development of services, including logistics, finance, information technology, tourism and shopping centres. This route has allowed for a GDP growth of 4% in 2012, causing the International Monetary Fund to estimate a further increase in GDP of 5.1% in the period 2012-2016. Following this path, Abu Dhabi has also introduced the ambitious goal of raising the percentage of GDP deriving from non-mining activities up to 64% into its program of economic development “Vision 2030”. The convenient taxation system and the strategic position of the 7 United Arab Emirates are the main features which have permitted this important growth. An opportunity that Italian enterprises have also begun to exploit. In fact, this area is the most important market in the Middle East for our country’s exports. Italy ranks 7th among the supplying countries and 3rd among European partners. This positive trend in commercial exchange, according to ICE (Italian Institute for Foreign Trade), is continuing: our exports reached a record of €5,517,000 million (+16.7% compared to 2011), while imports are still at €651 million. The jewellery industry has been the sector with major growth rates (+44.69% compared to 2011), followed by computers and electronics (+41.34%), and metals and finished products (+29.65%). In absolute terms, the machinery sector has recorded the highest volume of exports, with over €1,300 million (+3.73%). The potential of Italian products and services on the UAE market can benefit, in the medium term, from the presence of a high per-capita income and an oil wealth lasting at least for the next 100 years. In fact, the United Arab Emirates is now one of the most dynamic realities in the whole region, with a significant economic growth that indicates the overcoming of the real estate crisis proven by an increase of 15.4% in constructions. \\\\\ NICOLÒ MULAS MARCELLO
E
MARCH 2014
93
UNITED ARAB EMIRATES FERDINANDO FIORE
A BOOMING MARKET The UAE market represents an opportunity for Italian enterprises that want to expand their business opportunities abroad. The proof is the economic growth of the area
94
ITALIAN VALUE
MARCH 2014
he Italian business presence in the UAE is highly qualified and is represented by more than 300 enterprises, divided between those with a branch in the territory, in the different free zones, and those that operate through local agents. “The diversification policy of the UAE economy with respect to the oil & gas sector – explains Ferdinando Fiore, President of the ICE (Italian Trade Promotion Agency) office in the UAE – and the fact that Dubai will host Expo 2020 with subsequent impressive development plans, offer business opportunities for Italian companies, too.” In recent years has there been an increase of Italian enterprises that have chosen the United Arab Emirates for a process of internationalisation? “Yes, we have noticed a significant increase in recent years. In 2002, less than 70 Italian enterprises were present in the UAE. This is a very important market for our companies especially because the UAE represents a strategic hub for its proximity to the Asian sub-continent and to Africa. This applies especially to Dubai, which has always been able to take advantage of its geographical position at the centre of the main East-West routes for commercial and tourist purposes. Enterprises which have chosen to operate in the UAE know that this country is the main centre for reexport in the Middle East and that its geographic position allows it to operate in the neighbouring Asian markets – such as India, Pakistan and China – with strong cost reductions.” What are the main aspects Italian enterprises willing to reach the UAE market should consider? “There are no specific difficulties for operating in the UAE, both with a permanent presence on site and in temporary collaborations. However, it is always good to bear in mind that, although they have adopted models and lifestyles close to those of the West, they remain a country with Arabic culture and the Islamic religion. Therefore, it is worth considering that conduct should always be respectful of the local values, both in social life and in business relationships. As for the possibility of accessing this market, the current legislation on the establishment of
T
ITALIAN VALUE
foreign businesses in the territory includes the obligation to avail oneself of a UAE partner with the formula of 4951% of the property in favour of the local partner. In the meantime, various free zones have been implemented throughout the country, which allow 100% of the ownership and several commercial advantages.” Is establishing an enterprise in the UAE a complex procedure? “The establishment of a Limited Liability Company (LLC) is an option for businesses with a remarkable level of turnover or a wide operating range, capable of taking advantage of what the United Arab Emirates is able to offer in terms of infrastructures, services and contacts. However, the majority share of an enterprise, 51%, must be held by local persons or legal entities. The
↑ Ferdinando Fiore, President of ICE (Italian Trade Promotion Agency) office in the UAE
MARCH 2014
95
UNITED ARAB EMIRATES FERDINANDO FIORE
INDEX 2014: FURNITURE PUT ON DISPLAY
I
t is one of the leading global trade fairs - and the most important in the Middle East - dedicated to interior design. It is Index Dubai, now
in its twenty-fourth edition, an unmissable event for manufacturers, suppliers, importers and exporters, which this year will take place from 19th to 22nd May at the Dubai World Trade Center. The previous edition was very successful with more than 21,000 visitors in 4 days, an increase of 5% compared to 2012. In 2013, there were 616 exhibitors from 41 different countries, with the Italian stand dominating the scene once more, proving the great demand for Italian products in this region. Another factor of success has been the concomitance with The Office Exhibition (now renamed Workspace at Index), a specific event for commercial spaces, which offers a complete platform for the design sector, dedicated to all the branches of the furniture industry. The 2014 fair will once again host the commodity-based division, presenting the various sectors (Furniture & Furnishings, Outdoor Living, Lighting, Textiles, Kitchen & Bathroom, Surfaces & Finishes and Inretail). Enterprises that consider the Middle East market as an important source of business for their export are increasing, as well as those deciding to invest in the region. Therefore, Index represents a great showcase for Italian products, too. NMM
www.indexexhibition.com
96
ITALIAN VALUE
LLC may also perform agency activities, with the advantage of not being subject to the restrictions imposed by the law on commercial delegations: in fact, it is subject to a different legislation. Since 2009, the minimum capital level required to start up an LLC has been abolished. This innovation was introduced by a presidential decree, created with the aim of supporting the growth and development of small and mediumsized enterprises, enabling entrepreneurs to determine the capital necessary to establish and expand their companies and cutting red tape, including the need to produce bank certificates.� What are the perspectives for industrial and commercial cooperation between Italy and the United Arab Emirates? “Perspectives are very good and the Etihad-Alitalia case is just one example, perhaps the most striking one, of the possibilities for cooperation between the two MARCH 2014
4,600 million Export The amount in euro of the value of the Italian assets exported to the United Arab Emirates in the first 10 months of 2013
OUR IMPORTS FROM THE EMIRATES HAVE GROWN AS WELL: +108% IN THE FIRST 10 MONTHS OF 2013, WHEN COMPARED TO THE SAME PERIOD IN 2012
countries. Of particular importance is the collaboration agreement between the Expo Milan 2015 and Expo Dubai 2020 and the declaration of intent in regards to customs in light of the two respective universal exhibitions. We can say that the relations between Italy and the UAE are very tight, as are commercial exchanges. The UAE is indeed the first and main outlet market for our enterprises throughout the Arab world. Italy ranks seventh among the supplying countries and third among the European partners. To get a better idea of this, just consider that in the first 10 months of 2013 Italian companies have exported goods to the UAE with an overall value of 4,600 million euro, with an increase of 2.5% compared to the same period 2012. Our imports from the Emirates have grown as well: +108% in the first 10 months of 2013, if compared to the same period in 2012, for a total amount of 1,100 million euro compared with 517 million euro in 2012.” ITALIAN VALUE
What are the concrete advantages for Italy? “The increasing progression in the evolution of the bilateral trade relations in recent years demonstrates the great potential that the UAE market can offer to our products. This is not only in traditional sectors (jewellery and machinery, at the top of the ranking of our exports), but also in other areas such as Italian foodstuffs, clothes, medical and electrical equipment and defence supplies. It should be kept in mind that the UAE remains an oil-producing country and collaboration in the oil & gas sector plays out primarily on two levels: that of large enterprises and that of subcontracting through SMEs. Alongside large Italian enterprises, particularly active in the UAE despite the strong international competition in the field of subcontracting generally driven by large orders, Italy is the second country in terms of volume and revenue, second only to South Korea.” \\\\\ NICOLÒ MULAS MARCELLO MARCH 2014
97
UNITED ARAB EMIRATES ANDREA BONALUMI
FREE ZONES HELP INVESTMENTS
Commercial relationships between Italy and the Arab Emirates are growing, also thanks to Promos’ work assisting Italian companies in the Arab market ore and more Italian companies are seeing the Arab Emirates as a tangible possibility to grow and develop their turnover. Among them, Abu Dhabi is one of the most promising economies. Those companies that have decided to enter this market can hardly do without the assistance of Promos, a special company of the Milan Chambers of Commerce: “In Abu Dhabi,” Andrea Bonalumi, the agency's manager explains, “we assist and accompany those companies that wish to develop their business. We give tangible support to Italian companies during the preliminary phase of partner research as well as operative and bureaucratic assistance.” How many Italian companies are there in the United Arab Emirates? “There are numerous Italian companies, all highly qualified. Based on recent statistics, more than 300,000 foreign companies have established their operative premises or started up a business in the United Arab Emirates. Of these, around 300 are Italian companies operating directly, through partnerships with local distributors.” What opportunities does the Emirate scenario offer Italian companies? “Data from the past few years highlights how in some sectors the opportunities for Italian companies are really important, thanks to trends that are in constant growth. In the first nine months of 2013, the jewellery sector recorded growth indexes of approximately +45% compared to 2011, followed by computers and electronics (+41.34%) and metals and processed goods (+29.65%). In absolute terms, the sector of machinery and tools recorded the highest volume of export, with almost 1,400 million euro (+3.73% compared to 2011). This data is part of a general context in which Italian exports to the Emirates grew by 3.7% in the first nine months of 2013 compa-
M
98
ITALIAN VALUE
300
Companies The number of Italian companies with their own branch or operating through local agencies in the United Arab Emirates
red to the same period in 2012, for a value of over 4,000 million euro. This further strengthens the role of the Arab Emirates as the first market of access to the entire Arab world for our companies.” In what way does Promos assist businesses in internationalisation in this market? “Promos offers assistance to companies that intend to develop their business abroad. Our office in Abu Dhabi (one of Promos’ 10 foreign offices) offers parMARCH 2014
tners research support as well as bureaucratic and operative assistance. Furthermore, Promos organises entrepreneurial missions, participation in the area’s main exhibitions - such as Index Dubai 2014 which will be held from 19th to 22nd May - and ad hoc training programmes, thanks to the New Institute of International Business (NIBI). Here we train mana-
↑ Andrea Bonalumi, manager of Promos, special company of the Milan Chambers of Commerce
ITALIAN VALUE
gers, consultants and entrepreneurs on the economic, geographical and socio-cultural basics of the area, as well as offer them practical, in-depth studies on the dynamics and the determining factors for onsite commercial and productive activities.” What are the legal and tax aspects and the advantages of Emirate “free zones”? “The “free zones” were created to facilitate foreign investments. This means that the procedures for settling in these areas are relatively simple. Today there are more than thirty free zones in the United Arab Emirates: some assist all economic or commercial activities, others set limits depending on the sector. The free zones are especially advantageous for companies that wish to move their production or distributive base to the Emirates and whose business is aimed at neighbouring areas such as the Middle East, the Indian subcontinent or China. To favour the establishment of foreign businesses in the free zones, various incentives have been put in place: the company belongs 100% to the foreigner, no taxes on personal income or capital gains, no tax on company operations for a certain period – variable depending on the free zone but normally no less than 15 years – and the exemption from import and export duties.” \\\\\ NICOLÒ MULAS MARCELLO MARCH 2014
99
Photo Lara Mariani
EXPORT CLAUDIO VENTURINI
THE “GEOPOLITICS” OF METALS The possibilities deriving from the improvement of industrial processes, in the example set by OMV. “It is crucial to create ad hoc products” ustomisation is synonymous with investment aimed at optimisation. Even the steel industry, in an extremely competitive period such as this one, cannot escape the need to improve its processes. This crucial aspect is the foundation of the company OMV, from Brescia in Northern Italy, which produces binding and packaging machines for rolling products. “Our real strength,” says Claudio Venturini, Owner and Technical Director of the Lombardy-based company, “is our customised product which meets the different needs of the individual customer, avoiding problems related to standardised machines. Our collaboration with customers is one of the cornerstones of our production. As a result of this cooperation, we are able to identify critical points that, in the long-term, would produce problems, investing and intervening with new solutions: in this way, on one hand, we ensure the machine performs better and, on the other, we include these updates in new orders.” The production of the Brescia-based company boasts a decade of experience based on the development of
C 100
ITALIAN VALUE
www.omv-bs.it
MARCH 2014
85 Tonnes/h Productivity The performance that a binding machine for reinforced concrete rods, created by OMV, is able to sustain in a standard cycle
binder heads. “We produce machines able to package all rolling products and not only those,” specifies Venturini. “We also create reinforced concrete rods (in both bundles and coils), packs of profiles and beams, brass bundles, special steel rods, brackets for scaffolding, skeins of metal wire and everything else that can be bound automatically, with iron wire, on production lines. Of course, with the passing of time and the number of machines sold, we have, alongside our production, built up a full after-sales support service, with the management of spare parts, onsite technical maintenance assistance and the repairing of old machines. Our aim is to construct robust and durable machines that are reliable and simple to operate, as well as easy to maintain.” Along with the continuous improvement of its ma-
OMV is based in Bovezzo, province of Brescia, Northern Italy
ITALIAN VALUE
chines, OMV also invests in new projects. “One of these,” explains the Director, “is an automatic tagger, which allows for the packaged material to be identified by way of the built-in application of a tag. The other project relates to the automatic inline harness machine which allows you to create certifiable lifting systems on the packs: the harnesses, precisely, meet European regulations, are practical for storage and are low-cost.” The results achieved clarify the range of possibilities represented by new markets. “By making a comparison with the previous year,” says Venturini, “in 2013 we had an increase in turnover of around 18% relating to our core-business, while our turnover has remained stable on spare parts and technical support interventions. At this time, the foreign markets in which we are most involved include: Turkey, North Africa, India, Central America, Asian countries and the Middle East. We are seeking to strengthen the Indian market with a marketing campaign on the main local search engines, to re-launch the Chinese market with a new agency contract and to acquire the North American market by way of a new agent. Of course, we cannot stop there; the continuous changes in the world economy and its imbalances, together with the new areas that are developing, require us to seek new opportunities continuously, such as those that may be represented by south-central Africa or to re-connect with our contacts in the Russian market, which were suspended at the onset of the economic crisis.” \\\\\ REMO MONREALE MARCH 2014
101
EXPORT ANTONIO GIANINETTO
MECHATRONIC SOLUTION
The interest of foreign investors in Italian excellence is often constrained by collateral costs. Antonio Gianinetto offers possible solutions www.tecnicaindustriale.com
102
ITALIAN VALUE
MARCH 2014
etallurgical, agro-food and pharmaceutical companies, together with those of any other field in which mechatronics are used, have an essential resource: Italian know-how. The many SMEs distributed throughout the whole peninsula, in fact, concentrate their expertise in extremely specialised skills, often producing only one type of article with even a decade's worth of experience: in short, an excellence that attracts interest from producers around the world. However, this interest has to come to terms with exorbitant shipping costs and our local bureaucracy. Regarding this, Antonio Gianinetto, attorney for Tecnica Industriale di Modugno (Bari), has set out his stall to offer a solution. "Foreign entrepreneurs wishing to rely upon the high quality of Made in Italy products," explains Gianinetto, "targeting supplies totalling less than 50,000 euro for the various brands, find themselves having to buy the item they need at even double the market price. And so they give up. This is how countless numbers of deals have fallen by the wayside for our industries, in a national context that was anything but positive even before the crisis. So, in 2002 - almost just for fun - we opened an online platform, entering the various Italian mechatronics brands with which we were already working: in this way, industry around the world needing a number of products from different Italian brands would be able to concentrate the related costs into a single shipment of several purchases made from our
M
180
The countries reached by the mechatronics articles marketed by Tecnica Industriale
ITALIAN VALUE
↑ Antonio Gianinetto (left), attorney of Tecnica Industriale of Modugno, Bari, Southern Italy, together with its foreign sales managers Barbara Lacitignola and Francesco Santoro
warehouses. The intention was to focus upon foreign operators as much as possible, advertising all the relevant product sectors. The response has been surprising." In other words, you were convinced of the validity of the service offered, but did not expect a positive response. "There were too many unknowns and ultimately we were just giving it a go. And, as it turned out, as a result we now annually supply companies in all corners of the globe: 10 years later on, half our turnover is in exports. This is because there are many small industrial companies that need various articles but do not want to obtain supplies from multinational distribution chains: this is where we come in - we act as global suppliers of a large variety of articles even in small quantities. We therefore allow foreign customers to have a single supplier, thereby saving adjunct costs." Which categories of companies do you target? "In the case of orders exceeding 100,000 euro, the shipments are normally made directly by the parent companies of the brands, so our company is cut off from the high market. We are a very interesting proposition, on the other hand, for those companies that have an average value for their individual article: our customers are not mass producers but instead those industries looking for a complete service. In this sense, we can be seen as fully-fledged partners to our customers; we do MARCH 2014
103
EXPORT ANTONIO GIANINETTO
not claim to be suppliers only, but solvers of any technical-commercial problems that might arise." How do you choose the brands that you make available? "The internal work by the company has spanned three generations of our family so we know the market well, its requirements and how to keep ourselves updated. Based upon these macro-elements, we assess the technical quality of the products, their economic competitiveness and their dissemination on the world markets which, in itself, is synonymous with guarantee. Despite the fact that demands change from country to country, industrial requirements are, in fact, the same in Mexico as they are in China. And being perfectly aware of production requirements is the central aspect of our work." How important is your website? "The website is the survival basis for a modern company. Communication via a website is crucial: at any time and from any place in the world, you can obtain information on any subject. An important aspect is the simplicity of the website. In our case, anyone visiting the site immediately sees the various catalogues and
104
ITALIAN VALUE
THEIR WEBSITE IS THE BASIS FOR THE COMPANY'S SURVIVAL: COMMUNICATING VIA THEIR WEBSITE IS CRUCIAL offers so that they can find everything they need without getting lost in a sea of links. You always need to invest in order to remain at the top of international search engines." What are the greatest difficulties you have encountered so far? "The most serious were due to the enormous amount of red tape involved, along with the mistrust that many less serious Italian entrepreneurs had fuelled in some foreign businesses. In fact, some customers, before undertaking a commercial relationship, insisted on checking that the company actually existed and even verified its reliability by visiting us. According to them, in fact, they had previously paid advances on supplies that were never processed. In order to provide the maximum transparency and security to our customers, we involved the Monte dei Paschi di Siena bank, our partner for over 30 years, to sponsor us directly on our platform, as a guarantee of reliability and security." \\\\\ RENATO FERRETTI MARCH 2014
EXPORT LORENZO CHIORINO
INNOVATIONS IN THE TANNING INDUSTRY The tannery Chiorino Technology has launched hides with completely metal- and solvent-free finishes. Lorenzo Chiorino introduces the development process www.chiorinotechnology.com
106
ITALIAN VALUE
MARCH 2014
completely metal and solvent free hide. This is one of the results of the recent research and development activity carried out by Chiorino Technology, a company in Northern Italy specialised for over a hundred years in supplying tanned products starting with raw bovine hides from Europe, Australia, New Zealand, and in part North America. “As well as this ecologically-finished hide,” Lorenzo Chiorino, sole director of the company, explains, “in 2013 we completed the development of a procedure which allows two surfaces of the same support to be finished with hide, a procedure that has been recognised with a 20 year invention patent and marketed with the Twice brand.” These two innovations complete the Chiorino Technology range, which already included hides with breathable, flameproof and easy clean finishings marketed with registered brands. Which productive demands are covered by your special finishes? “As well as aiming at the traditional leather goods market (bags, briefcases, belts, diaries), we are currently very successful in the footwear sector, too, in particular for sports and technical models. For this reason, the breathable finishes are all destined to the footwear and clothing sectors. The flame-proof and easy clean goods, on the other hand, are destined almost exclusively to furnishings.” How did you discover the metal and solvent free finish? “This ecological finish is the result of a collaboration with another important company of the sector. Generally speaking, we have harvested the fruits of our investments in increasingly sophisticated process technologies as well as of the trust we put both in research and in the dynamism of our creative energy - an engine of innovative and often unique products, created from real bovine skin and the most varied types of textile supports.” How has the market welcomed your new solutions?
A
↗ Lorenzo Chiorino, sole administrator of Chiorino Technology in Biella, Northern Italy
ITALIAN VALUE
+24.3%
Average increase in the price of hides In 2013, calf hide increased by 30%, intermediate cut calfskin by 23%, heifers and bulls by 20% (source: MDP La Conceria)
“Both solutions have been met with much attention and the first collections are already being processed. In any case, these are two projects in which the company will continue to work, especially in terms of commercial promotion. Participation in the most important exhibitions of the sector (some of which have already taken place: Anteprima in Milan, Le Cuir in Paris, Trend Selection in New York), Lineapelle in Bologna and Asia Pacific Leather Fair in Hong Kong (March and September 2014) has allowed us and will continue to allow us to effectively promote these new products to the clientele.” In 2013, the price of raw hide increased. How has this affected your turnover? “Despite the great increase, we registered 30% growth and established our international vocation, with 65% of our turnover destined to foreign markets. These results prove that we have reached our goal which was to establish ourselves as suppliers to the high level target group. The network of qualified companies that deal with our distribution obtained the best performance in the U.S., a market in which the company has recorded a very high level of supply.” \\\\\ LUCA CÀVERA MARCH 2014
107
EXPORT PIERO BONICELLI AND FERDINANDO ABATE
AUTOMATION IS THE FUTURE OF DIE-CASTING New solutions to face the continuous changes in the field of die-casting foundries of light alloys. The experience of Piero Bonicelli and Ferdinando Abate he die-casting industry has had to adapt to changing market needs, replacing many cast iron products with others made of aluminium or different light alloys. “For us, facing these changes – explains Piero Bonicelli, CEO and Co-owner, together with Ferdinando Abate, of Fondermat in Cellatica (northern Italy) - has meant paying serious attention to metallurgic treatments of molten aluminium used in the manufacturing phase of pieces. For this purpose, we have developed release agents and specific high-performance fluxes which we offer with automatic machines that ensure the best possible degasification of the liquid alloys. These are totally automated work islands, suitable for performing complete and repetitive metallurgic treatments, which guarantee the certainty of the outcome, avoiding any possible mistake.” Fondermat, for over 40 years, has been working internationally in the field of aluminium and light alloy foundering and has always invested in research and development to provide specific product solutions that are technically reliable and high quality, environmentally-friendly and safe. Over the years, thanks to investments and the expansion towards new markets, you have been constantly growing. What is your business strategy? Ferdinando Abate: “We know the production philosophy of the customer, we evaluate the manufacturing process and finally we create the most suitable product, including any necessary improvement to the individual process, paying particular attention to
T
108
ITALIAN VALUE
↑ Piero Bonicelli, CEO and Co-owner with Ferdinando Abate of Fondermat in Cellatica (northern Italy)
www.fondermat.it
MARCH 2014
environmental impact. The aim is to develop new projects and give concrete, tailor-made solutions to the customer, optimising manufacturing costs through more and more innovative products.” Fondermat is today a well-known brand in the industry. Piero Bonicelli: “We produce fluxes, release agents, lubricants, greases, pastes and auxiliary products, as well as equipment specifically designed for dosing and mixing release agents or drossing fluxes in the cleaning of molten aluminium baths. Our most famous product lines are: Fondal, a family of powders, beads and degassing tablets created for the drossing, covering, refining or modification of molten aluminium alloys; Fonderol, a personal, complete and versatile line of synthetic, semi-synthetic and new-generation release agents, designed specifically to meet foundry needs, and which fully satisfy clients; Atomized Fluid is a release agent we have patented that can be used without water and which, when combined with a specific technological application, allows significant cost savings in terms of product and profit, all while fully respecting the environment. Finally, Vernifond, a line of innovative coatings specially designed to en-
ITALIAN VALUE
WE HAVE CREATED AUTOMATED WORK ISLANDS TO MAKE COMPLETE METALLURGIC TREATMENTS sure the best protection of mould surfaces, was created from the idea of focusing on specific products that combine the foundry experience with the most innovative production techniques.” In the last few years you have expanded into foreign markets. Which ones in particular? F. A.: “In 2011, we opened a new headquarters and manufacturing location in Brazil, Fondermat Do Brasil, which allows us to produce release agents locally which are then marketed throughout Brazil and throughout South America. In addition, we are present in India thanks to specialised retailers, but our goal is to produce locally, thus optimizing costs and resources in a market we think has a big growth potential. We have also expanded towards other countries with strong industrial development such as Russia, Turkey, and China. The next goal is to consolidate and then widen the Far East markets in Taiwan, Singapore and Thailand, where we are present through our retailers.” \\\\\ EUGENIA CAMPO MARCH 2014
109
BUSINESS TRAVEL DAVIDE AND MARCO ANDREETTI
EXPORTATION STIMULATES BUSINESS TRAVEL Business trips witness the fortune of commercial internationalisation. Davide and Marco Andreetti outline a map of the most important routes he positive trend of exports is favouring business travel. “In 2013, compared to the previous year, flow towards San Paolo in Brazil doubled, also thanks to an overall increase of 8% to South America. The turnover generated by routes to India also doubled, while travels towards South East Asia grew by 20%. China, Brazil and the United States remain among the most in demand destinations, while Pakistan and Iran are growing. Europe, on the other hand, remains stable, with the exception of Germany, which increased.” These are the words of Davide Andreetti from Leonardo Travel Service, a service agency for business travel aimed at the B2B market that pro-
T 110
ITALIAN VALUE
poses outsourced know-how. Managing routes and on site services on all continents, Leonardo Travel Service is supported by partners through international networks. “This gives us more flexibility in guaranteeing a global service. Nonetheless, our operative assets are based on Italian entities, as over the years we have found that our national entrepreneurial fabric has excellent qualitative service levels. This is why we have embraced the ‘think global/act local' philosophy. In this way, we can operate internationally with the support of interlocutors who know the characteristics, criticism, customs and needs of the Italian market.” With the addition of a set up aimed at creating a truly personalised services MARCH 2014
+20% Leonardo Travel Service is based in Saluzzo (Cuneo), Northern Italy
package. “Each client – for whom we set up an ad hoc travel policy profile – is given a dedicated travel manager, so that the same person takes care of all organisational aspects of the trip. We also provide a traditional telephone customer service (free of charge) that is available for emergencies 24/7. And obviously, we can offer special rates negotiated with the best airlines and business travel service companies and issue air, sea and train travel tickets. We also offer flexible payment for hotel bookings, car hire booking services and the planning and coordination of meeting-incentives with dedicated staff on site, if necessary.” In light of the increase in business travel, Leonardo Travel Service’s turnover in 2013 grew overall by 22%, despite being partly penalised by a slight drop in
www.leonardotravel.it www.viziati.net
ITALIAN VALUE
Travel towards South East Asia Business trips to the Far East are increasing. Globally, the main destinations are China, Brazil and the United States
bookings in network agencies and also by the crisis in the Italian tourism sector. “In order to jump start the tourism target – starting with business – this year we launched the ‘Not just work’ programme. “This project, which will be promoted through a campaign of web marketing and social media, is supported by a new online platform (www.viziati.net) aimed at the entire holiday market and divided, for now, into three sub-divisions: Sketch, Classic, Designer”. And for the future? Marco Andreetti has the final word: “In these months we are defining the final phases for opening a reference point in Shanghai, in order to offer more support to Italian companies based in China and vice versa. At the same time, we are defining commercial agreements in Germany and other countries, as we expect to open another branch in 2015 to support the European and Arab markets. Furthermore, we are working towards the centralisation of international resources, so as to improve competitiveness both in economic terms as well as in efficacy and superabundance of services.” \\\\\ VALERIO GERMANICO MARCH 2014
111
INTERIOR DESIGN GIULIO CAPPELLINI
EMOTIONS TO EXPERIENCE Focus on functionality is growing, but according to Giulio Cappellini the “mix of technology and craftsmanship” remains the ace up Italian design’s sleeve
→ Giulio Cappellini, architect and designer
n experimenter, a traveller continually looking for the perfect mix between avant-garde and tradition, a professor at many universities from Milan to Montreal and an expert in recognising rising stars in design. This is the portrait of Giulio Cappellini, the architect and designer who is the epitome of creative Italian art, ranked by Time weekly among the top ten trend-setters of global fashion and design. An authentic lifestyle icon who, among other things, has recently taken on the creative management of a new design school founded in the Marangoni Institute, a legendary fashion academy with premises in Milan, London and Paris. A role given to him thanks to his sensitivity towards those talents who, when they are particularly strong, he does not hesitate in welcoming to his corporate portfolio. “In the past, Italian design was created by Italian designers and entrepreneurs,” explains Cappellini, “but today, designers working in the Italian industry sector come from all over the world.” Design has always been a focal point of Italian
A 114
ITALIAN VALUE
know-how. How much does the world appreciate its value today? “Italian design still holds great appeal on the international scene as it continues to work largely in research and innovation, taking on all the relevant risks. Italy is the only country in the world to have such a high concentration of design companies.” What does a foreign customer look for in your products and in Italian design in general? “The customer is looking for an attractive and funMARCH 2014
← The Cappellini showroom in Bruxelles ↓ The exhibition “Cappellini Heroes” at forum Design Miami
ITALIAN PRODUCTS MUST REPRESENT QUALITY AND THE ART OF SKILLS, THROUGH A MIX OF TECHNOLOGY AND CRAFTSMANSHIP
ctional product, but above all he or she wants an emotion, a dream. Italian products must represent quality and skills, through a mix of technology and artisan craftsmanship that make the object an icon that the foreign customer wants.” Which markets today are those most interested in importing our design goods? “As well as the established markets there are new, very interesting ones. Europe has always been the first access market for Italian design products, but now, given the general economic situation, it has slowed down. The recovery in the U.S. is of great interest, as are, above all, the new openings in the Far East, India and South America.”
www.cappellini.it/en @cappellini_
ITALIAN VALUE
What are the rules for a young Italian designer if he aspires to building an international dimension? “Firstly, he must have a sound knowledge of the history of design products, try to understand what the final customer actually needs, and create significant products of a size and look that fit in homes all over the world. Working on the correct scale and paying careful attention to detail is vital.” On the subject of materials, what innovations are you experimenting with in your company and what are the most innovative requests arriving from abroad? “We are experimenting with materials, and above all innovative construction systems. While maintaining very high quality levels, we are also trying to create more accessible certified products that answer the needs of the contract market. We are experimenting with a technology that is for now exclusively German, a system for covering padded furniture and some ultra-light new generation materials that make furniture more easy to move and store.” \\\\\ GIACOMO GOVONI MARCH 2014
115
INTERIOR DESIGN MARIO BELLINI
A PROVOCATIVE AND CONTAGIOUS STYLE The irreverent style that guides the hand of a protagonist of Italian design like Mario Bellini is today a source of inspiration for designers all over the world e belongs to the generation that gave birth to the so-called Italian miracle. A season of economic and cultural awakening that saw design as one of its most fertile expressions and Mario Bellini as one of the most special interpreters. “That was how we Italians were considered in the Sixties and in the Seventies, when we enjoyed an unprecedented recognisability and specificity” explains the Milanese architect and designer, protagonist of a time when the Italian genius in design was hosted at the MoMA Museum of New York. It was 1972 and the architect Emilio Ambasz arranged the major exhibition entitled ‘Italy: the new domestic landscape’, inviting 4-5 Italian architects in order to create a dedicated installation. “I created the famous Kar-a-Sutra – Bellini remembers - a kind of dream car that denied the validity of the old conventional big sedan and suggested the idea of a multi-purpose vehicle that, in practice, changed the history of the automobile: today more than half of the cars are no longer traditional sedans. Instead, they are convertible and elements are moving.” Thanks to design, in short, Italy captured the world’s attention. What were the new paradigms
H
↗ Mario Bellini, architect and designer
116
ITALIAN VALUE
www.bellini.it that came to the forefront? “Italian design was perceived as a break with lazy conventions, without respecting the current taste. It was provocative in the active sense. I take my works as an example, which are those I know best. In the Seventies I designed a new furnishing system called “il Pianeta ufficio” (the office planet), with no rectangular desks, but for the first time with a curled appendix for meetings. An invention that entered thousands of offices within a few months. Another prerogative of our design was its ability to reinterpret the history of furniture with new ideas: for example, the modernism of the Twenties and Thirties, interpreted with new imagination and freshness.” How is that historic season reflected in the current MARCH 2014
→ Kar-a-sutra, the concept car designed by Mario Bellini in 1972
Italian style? “The success of the Italian design was so endemic and contagious that today it certainly preserves its force intact. The difference is in its interpreters, in the sense that we are not only talking of Italian designers, but also of designers who adopt our lifestyle, who elect Italy and events such as the design week at the Salone del Mobile in Milan as the absolute centre of gravity, but who can also be Dutch, Chinese, Australians, Koreans called by the Italian industry. In other words, the heritage of freedom, freshness and creativity still revolves around Italy, but it is kept in motion by designers coming from all over the world. In my time, that of Castiglioni, Zanuso or Gardella, there were few designers. Nowadays there are thousands of designers and they are generally well prepared.” What are the international markets where your creations, and in general the Italian ones, are most appreciated today? “Among all the furniture manufacturers, those that refer to a global market are getting better, whereas those relying exclusively on the domestic market are suffering a lot. If we talk about established realities such as Cassina or Kartell, ITALIAN VALUE
these are not affected by the crisis. Conversely, they enjoy the opening towards the markets of the rich East, China, the Middle East, the United Arab Emirates and South America. As for my works, the Cab leather chair I created for Cassina, for example, has been produced for 30 years in thousands of items and it is virtually universal. The world is truly global, even in regards to simple products such as the Dune trays designed for Kartell, now spread across all international markets. This demonstrates that we welcome designers from all over the world, but also that we export all over the world.” What are the countries from which the best ideas and creative suggestions for an innovative and functional design are coming? “In recent years there has been much focus on Holland, as well as on Scandinavian countries, which have given birth to young, aggressive and very inventive architects. Switzerland has also carved out a space for itself with the architects Herzog and De Meuron. Outside Europe, we know very well the value of the Japanese, while new stimuli are coming from the Chinese, the Australians and from South America. In the field of automobiles, the birthplace for deMARCH 2014
117
NOWADAYS WE ARE NOT ONLY TALKING OF ITALIAN DESIGNERS, BUT ALSO OF DESIGNERS WHO ADOPT OUR LIFESTYLE
↑↑ “Cab Side” chair (1970) ↑ “Le Bambole” armchair (1972)
118
ITALIAN VALUE
sign continues to be Germany. Nevertheless, if we go deeper, it often turns out that the best designers are actually Italian emigrants who, in the hyper-structured industrial giants like Audi or Porsche, find the ideal conditions to fully express their value.” How is Italy ranked in terms of professional training for designers and what are the countries considered as a model in this respect? “Our institutes are at the forefront. There are 4 or 5 schools of international renown, with many foreign students enrolled, not to mention the Brera Academy, which has thousands of students coming from every continent. Having said that, my vision of school is very personal, meaning that living in Milan, moving, working with our industry and breathing the Italian culture provides a wealth of invaluable skills. Everything is school for me, including life, what you do, who you meet, what you read. It is sufficient to think that the greatest painters and architects of the Italian Renaissance never went to school. They were born with an extraordinary talent and their dad or uncle sent them to the shop of a renowned artist where they gave birth to their first masterpieces.” \\\\\ GIACOMO GOVONI MARCH 2014
INTERIOR DESIGN LUISA BOCCHIETTO
WHEN LIFESTYLE TRIUMPHS OVER MARKETING
What is the value that makes Italian design unique in the world? According to ADI, it is ethics which move the designer to pour the same effort into a building as he does into chair he Association for Industrial Design (ADI) is the institute which, for the last 60 years, has awarded the oldest European prize for design. The Compasso d’Oro (the Golden Compass) is, in fact, the award that the ADI grants every three years to those works that have distinguished themselves for artistic talent and innovative contribution. An event that highlights the excellence of this sector in our country and that, for Milano Expo 2015, promises some surprises. “For Expo 2015” –explains President Luisa Bocchietto- “we intend to launch a special edition of the Compasso D’Oro. We are currently working on the rules so as to favour a wider debate and greater possibilities.” What is the value of Italian design today and where does it place itself in the international arena? Along with food and fashion, design is one of the key components of goods Made in Italy that the Compasso d’Oro award has contributed to strengthening. It is part of the lifestyle concept that identifies the way we live, communicate, create, and produce. The Italian way, which has developed since the post war years and depicts the evolution of our country representing its economic, artistic and cultural aspects.” In what respects does the style of Italian designers distinguish itself from others? “Our design has always upheld an ethical inclination tied to the profession. Ernesto Rogers’ famous sentence “from the spoon to the city” implies that, as it was in the past and as it is in the present, the same approach must be maintained whether you are designing a spoon or if you
T
↗ “Multiverso. Icograda Design Week Torino 2008” event identity and communication design by ZUP associati
ITALIAN VALUE
www.adi-design.org/homepage.html
are planning a city. This fundamental utopic aspect mitigates the flattering charm of marketing. In the rest of the world design is simply considered a useful way to increase sales. But for us Italians, whether we are entrepreneurs or designers, it is not just that we want to design a beautiful chair, we must design, every time, the most beautiful chair in the world.” The future of design speaks Chinese. What bonds have Italian companies and designers built with the Asian market, and what is the remaining penetration margin? “The Asian world in general, not only the Chinese, will MARCH 2014
119
INTERIOR DESIGN LUISA BOCCHIETTO
↑ Elica LED table lamp by Brian Sironi for Martinelli Luce
← Luisa Bocchietto, President of The Association for Industrial Design (Adi)
experience an increasing development and will provide many job opportunities for Italian designers and companies. Unfortunately, market penetration is slow due to the lack of a national coordinated strategy. Companies and designers have embarked independently on the conquest of these new markets, but the smaller entities are intimidated by the complexity of the language and of internationalisation. The penetration margin is high, but requires tools that only a more conscious direction of economic policies can provide.” As for the issue of the protection of industrial brands, today, how much is it reflected in the competitiveness of the industry? “This is one of the issues which is still misunderstood. In the absence of reliable protection of designer or author intellectual property, you do not create value in international markets and you are subject to pilfering. Unfortunately in Italy, much is said about creativity, but it is not defended, perhaps because it is not fully understood. 120
ITALIAN VALUE
Furthermore, European Copyright regulations are selfdestructively disregarded, to the advantage of those who do copy. Even the unitary patent, economically convenient and which allows for the registration in one country to be valid throughout Europe, is accepted with difficulty. These are battles that ADI, together with the National Anti-Counterfeiting Committee (CNAC), of which it is a member, and The Anti-trademark Counterfeiting Institution (Indicam), the Italian Federation of Wood, Cork, Furniture and Furnishing Industries (Federlegno) and the Italian Employers' Federation (Confindustria), we remain, however completely unheeded by the political world.” One of the goals of ADI is the diffusion outside Italy of the culture of innovation. Through which projects are you pursuing this goal? “The annual selection of the best Italian designs leads to the publication of the Adi Design Index, a pre-selection volume for the triennial Compasso d'Oro award, a competition reserved to Italian design but well known abroad. The selection is based on process, product and service innovation, following a guideline which we will maintain also throughout the special edition we are preparing for 2015. We intend to bring our contribution to the Expo theme “Feeding the Planet, Energy for Life”. Food is part of the design processes that can involve tourism and our territory, creating sustainable growth.” \\\\\ GIACOMO GOVONI MARCH 2014
WHAT IS “MADE IN ITALY”?
Foto di Saverio Lombardi Vallauri
DESIGN GIOVANNI ANZANI
Giovanni Anzani tries to find a definition that embraces the vastness of style’s universe, elucidated according to the leading school of aesthetics: the Italian one
www.federlegnoarredo.it
122
ITALIAN VALUE
MARCH 2014
Foto di Saverio Lombardi Vallauri
reativity, design and those aspects of tradition from which even the most famous innovators of Italy come are not the only elements that define the grandness of Italian style. According to Giovanni Anzani, President of Assarredo (Italian National Association of industries producing furniture) and an entrepreneur of the furniture sector, there are many aspects which characterise Italian products, which are so decisive for the national economy. “Italy's offering is unique – affirms Anzani -: besides intelligence, we also avail ourselves of workers who are able to process any kind of material, whether it is
C
Giovanni Anzani, President of Assarredo
ITALIAN VALUE
OUR ATTRACTIVENESS IS IN OUR EXPRESSION OF THE DESIGN OF ITALIAN MASTERS wood, glass, marble, plastics or new composite materials. The flexibility of our productions, ranging from crafts to big industries, allows for the creation of both serial products, which are highly customisable and almost prêt a porter, and tailor-made, handmade products. In short, there is a wide range of choices both in terms of quality and variety. And this can be found only in Italy.” When we talk about “Made in Italy” what does it mean exactly? “It is a broad definition. Certainly it also refers to our creative ability , which has its roots in our ancient history, in the great masters we have had since the Renaissance. All the most important world designers come to Italy to carry out their projects to the best of their aesthetic possibilities. The charm of Italian products is this: our attractiveness is in our expression of the design of Italian masters, who have trained people, even foreigners, to interpret Italian taste.” It almost seems that there is nothing acting as an obstacle for our enterprises. “The problem is in communicating the wide range of MARCH 2014
123
Foto di Alessandro Russotti
DESIGN GIOVANNI ANZANI
designs and in this regard the furniture sector, in particular, is one of the widest fields due to its diversity, thanks to its production system. One possibility is to educate the so-called emerging countries about our aesthetics, because the great effort required of us is to inform the highest number of people about the meaning of “well made”. In other words, we have to hold on tight to our role as design masters: we need to attract the entire world here in order to show what we are capable of doing, which is what happens during events such as the Salone Internazionale del Mobile.” What is the role of that expo in Milan? “The exposition is of indescribable importance; it becomes the heart of the design world. It is an event which is essential for the major players in this field. In addition, despite the impressive communication speed of new media , this year there will be some surprises, too. The innovations of individual companies do not remain hidden for a long time, because today every enterprise can create a showcase for real-time innovations. Yet, many innovations have been kept secret in order to be shown for the occasion of this event.” What is the future of Italian design in your field and what investments have been made? “New talents are a source of wealth for our entire industrial fabric and we cannot afford to lose them. For this reason, initiatives to keep them are frequent, together with a sometimes very expensive commitment, but all this pays off. For example, Salone Satellite, within the event Salone del Mobile, which this year is in its 5th edition. Within Satellite, a commission has selected the projects of young people up to 35 years of age, and some of them have the possibility to collaborate with enterprises: we evaluate about 700 projects during one edition. We have proposed the same initiative at Crocus in Moscow. In particular, the Salone Satellite Award recognises the best 3 projects related to the product categories present at the fair.” \\\\\ RENATO FERRETTI 124
ITALIAN VALUE
MARCH 2014
DESIGN MICHELE PAULANGELO
IN THE LIVING ROOM DISTRICT Delta Salotti is one example of a territory in which the production of sofas and armchairs can boast of an age-old tradition. “From local handicrafts to international design”
www.deltasalotti.it
128
ITALIAN VALUE
The Delta Salotti Industrial Group is based in Santeramo in Colle (Bari) Southern Italy
MARCH 2014
EVENTS etween Puglia and Basilicata is one of the most famous Made in Italy production centres: the area between Matera, Altamura and Santeramo, in fact, makes up the so-called “Living room triangle”, one of the most important districts of Southern Italy. Here, they design and create sofas and armchairs whose quality is world-renowned. However - as the director of Delta Salotti, Michele Paulangelo explains - the style that comes out of this land is not only the fruit of artisan work and tradition. “We should always bear in mind,” Paulangelo says, “the innovations of the market, opportunities in individual countries and changing trends. It is true that our clients are looking for Italian character, but it is just as clear that we cannot ignore the local trends of the areas in which we are present: even if the design changes little, there are many solutions for comfort. For example, in France we have noted a preference for softer padding, traditional structures but with sophisticated mechanics. In the USA, on the other hand, sizes are different and sofas tend to be bigger. We can take a guess at the size of the problem if we consider how many countries we are present in, and how distant they are from us – and not just geographically. In fact, besides the European and Russian markets, we also cover China, Korea and Taiwan.” These little differences must be kept in mind, while remaining faithful to the Italian character of which the companies in the district are ambassadors. “These strategies,” the director confesses, “keep us busier than
B
ITALIAN VALUE
• MILAN FURNITURE FAIR Pav.14 Stand B33-B35 Milan Fair, Rho; 8-13 April 2014 www.cosmit.it • WORLDWIDE MOSCOW EXHIBITIONS WorldWide Moscow Crocus Expo -2 Exhibitions; 15-18 October 2014 www.cosmit.it/it/mosca • BRUSSELS FURNITURE FAIR Brussels Expo; 2-5 November 2014 www.meubelbeurs.be • ESPRIT MIEUBLE Porte de Versailles, Paris; 6-9 December 2014 espritmeuble.com
you would think. Once the design has been carried out in its real scale, the development of the model can employ two or three craftsmen for up to a month: at this point, however, we only have one prototype on which we base a pre-series that is then subjected to various tests. These tests may cause us to make corrections and only after a few months is the new model ready for the market.” Therefore, to create a successful article, you need more than “good taste”. “Recently,” Paulangelo continues, “the very concept of the sofa has changed making it a component of dynamic furnishings with various functions: a series of mechanical or electrical optional accessories can move the seat - for example, the back or the head - not to mention sound or wi-fi systems connected to the television which can be included. You could say that by now it has become a multi-functional tool.” Delta Salotti can count on its territory, helping it against the many difficulties of a production that is anything but monotonous. “Our district has some important advantages,” Paulangelo explains, “even if often they are not directly perceived and therefore appreciated. The present system of satellite companies provides us with everything we need for construction, design, various supplies and raw materials. I do not consider the fact that there are many companies within the same district as a bad thing, quite the contrary: the more there are, the more competitive the district becomes.” \\\\\ RENATO FERRETTI MARCH 2014
129
DESIGN ROSA ZAFFUTO
BETWEEN FUNCTION AND DESIGN The Freddi Group illustrates one of the areas in which typically Italian forms have been established well beyond the national boundaries
hen the form marries the function of an object, remaining true to itself and appreciated for generations, that is when you can really talk of classic design. And Italian interpretation has produced many classics, recognised for their aesthetic value around the world. One of the areas in which the country's brands have made their mark is tap valves and fittings, and the Freddi Group, based in Sarezzo, in the province of Brescia, is one of the guardians of that style which has established itself on the international markets. "Our market of reference, regarding products,"
W 130
ITALIAN VALUE
specifies the owner Rosa Zaffuto "is exclusively that of traditional zamak tap fittings: valves, levers and handles with timeless lines.� Freddi Group's case is an unusual one in which a company has managed to acquire, from its thirty year experience in the sector, the skills with which to engage in very different areas. "As regards semi-finished or finished products on order," specifies Zaffuto, "thanks to our know-how in treating metals, we are able to trade in a number of markets: from cutlery to gun-making, from household to furniture accessories as well as components for fixtures and fittings, windows and doors, and even more; we perform contract manufacturing of MARCH 2014
FOR THE FUTURE, WE ARE PLANNING TO IMPLEMENT PARTIAL ROBOTICS IN OUR METAL POLISHING DEPARTMENT
metal fusion and polishing, galvanising treatments, veneering, satinising and customised silk-screening. We also provide services for the design and industrialisation of new products in collaboration with the client.” The various products of the group are mostly exported to Russia, Tunisia, Greece and Portugal, an encouraging economic context for the Brescia-based company. “Despite having experienced, during 2013, a fluctuating trend," explains Zaffuto, "due to the current recession, the signs we got from the sales figures were very positive: on an international level, we are seeing a newfound confidence in Made in Italy products while, on a domestic level, we are witnessing the slow dispersion of cautious optimism. This is due to our commitment and to the big investments being made in innovation and technology. The highest investment in 2013 involved the department working in galvanising treat-
The Freddi Group is based in Sarezzo, province of Brescia, Northern Italy
ITALIAN VALUE
www.freddigroup.com
ments of polished or satin chromium-plating, copperplating and nickel-plating on zamak, iron or brass, with a recovery of 4% of the total budget. For the financial years 2014-2015, on the other hand, we are planning to implement partial robotics in our metal polishing department so that quality and craftsmanship will be supported by greater productivity.” Finally, respect for the environment: one of the issues that has always been of great importance to the company run by Zaffuto. “Our group is under the AIA (Environmental Integrated Authorisation) regime. The investments we have made in advanced technologies of waste water purification for galvanising treatments and in aspiration systems, together with our manager training, guarantee complete environmental protection.” \\\\\ REMO MONREALE MARCH 2014
131
DESIGN MASSIMILIANO CICCALOTTI
THE TRAIT AND THE IDEA he study of a building site is a culture linked to the deep historical roots of a country. It is for these reasons that a design by an Italian architect stands out for its aesthetic taste, the elegance of the finishes and the quality of the details, expressing its traits and ideas. Especially in the wider world. And it is in the world that Massimiliano Ciccalotti, an architect and interior designer from Rome, has implemented his talent, as he himself explains: “In all my designs, I want to emphasise the careful search for authentic harmony among space, shapes and materials, creating architecture that is always original. At the start of my career, I had the opportunity to work in Bahrain, working with Italian companies operating there. Subsequently, with regard to private clients, my company commenced relationships both in Europe - with contacts in Bulgaria and in Dubai and North Africa, particularly in Libya.” At the basis of every design by Ciccalotti there is an initial careful study of the location, its traits and the analysis of the morphological and bio-climactic characteristics, in order to achieve a sustainable design integrated into its environment. Among the designs currently being created, Ciccalotti shows us a private villa being built in Libya. “The design is a synthesis between our ideas and the client's requests. The result, as a whole, is a linear shell, which expresses, both in its design and finishes, the richness of the materials and details. Internally, every room has been designed with tailor-made furniture. Even the design of the garden has been studied in detail.” \\\\\ MT
T
132
ITALIAN VALUE
Creativity and design skill. The creative expression of Massimiliano Ciccalotti, architect and interior designer
The architect and interior designer Massimiliano Ciccalotti from Rome. At the top, view of the Apple café in Rome
MARCH 2014
IN THE MARBLE DISTRICT
Photo Andrea Brintazzoli and Massimiliano Donati
MATERIALS CAMPEDELLI
Paolo, Stefano and Giuseppe Campedelli present the strategy and the investments made to maintain competitiveness in the difficult international market of marble and stone www.campedellimarmi.it www.facebook.com/campedelli.marmi 134
ITALIAN VALUE
MARCH 2014
xports are still growing in the marble district in Veneto, Northern Italy. Figures presented at the 48th edition of Marmomacc – Verona's trade show dedicated to natural stone, design and technologies - show the first half of 2013 with exports up by 8%. Finished and semi-finished products earned an equivalent value of 231.6 million euro, exceeding the 214.4 million euro of the first six months of 2012 (source: Marmomacc Monitor based upon the ISTAT Consumer Price Index). The Veneto region is thus confirmed, together with Tuscany, as the Italian region of reference for processing and mining marble, granite and agglomerates, totalling over 30 % of the country's stone exports. Based in this important district is Campedelli Marmi, a family-run Verona company which, since
E
ITALIAN VALUE
At the centre, Paolo Campedelli, director of Campedelli Marmi of Stallavena di Grezzana, Verona (Northeast, Italy), together with his brothers and shareholders Stefano, Giuseppe, his sister Massimina and their father Albino
1967, has selected and processed the best quality marble for projects and surface areas of medium and large dimensions. Giving us a snapshot of how things are going in the district is Paolo Campedelli, company director, who runs the business with his brothers and shareholders: Stefano and Giuseppe. "Our valley is recognised on an international level for the processing of marble. However, despite the positive results overall, in recent years, the district has been greatly reduced. The crisis has performed a natural selection, taking out of the market those companies that failed to compete with countries like Turkey, India, China and Brazil." What allowed you to hold your own with the competition from those countries? Paolo Campedelli: "In our catalogue, we have five Italian stone materials that are particularly difficult to process and by focusing primarily on marketing these products we managed to limit the competition from the emerging companies. Of course, we had to invest a great deal, particularly in our capacity to purchase good quality products and in equipping ourselves with innovative machinery and technologies that have allowed us to reduce labour costs and therefore put ourselves on the market with a competitive price." In particular, in which production technologies have you invested? MARCH 2014
135
MATERIALS CAMPEDELLI
+8% P. C.: "In recent years, we have invested over 1.5 million euro and purchased technologically advanced machinery with which, in just 24 hours, we can transform a block into the finished product. The introduction of these technologies has, therefore, allowed us, by automating the cutting process, on one side, to reduce the cost of production and, on the other, to achieve a high quality standard. We have, in fact, introduced systems that control and carefully test the correct performance of all phases of the process. These checks are performed again by qualified personnel so as to provide customers with products that fully comply with their expectations." What are the most popular types of products at the moment? P. C.: "While, years ago, we produced on a made-tomeasure basis for projects, for example, for airports and private houses, we now receive many requests for semifinished products. This is explained by the fact that our customers possess the technologies and skills to be able to perform the final process and, as a consequence, to optimise their costs. Our most popular requests are represented by our Italian marbles: Botticino, Arabescato, Breccia, Daino and Carrara marble, which we are able to provide in various quantities and formats." 136
ITALIAN VALUE
Exports In the first half of 2013, stone exports from the Veneto district increased and reached an equivalent value of 231.6 million euro
30%
National share With this figure, Veneto is, alongside Tuscany, the Italian region of reference for processing and mining marble and granite
MARCH 2014
Marble processing lines
What are your most important markets? P. C.: "We have always had as a point of reference customers located in the Arab countries and this is still true today. Almost 100% of our products are in fact destined for the markets of the Persian Gulf, the United Arab Emirates, Iraq and also North Africa, such as Libya and Morocco. We are recognised as a reliable partner in these countries with regard to delivery timescales and product characteristics and we have now built up strong relationships with customers that have been with us over the last 30 years of our company's history. For this reason, we have almost no need for marketing or promotion because our name already circulates autonomously by word of mouth. This has helped us to grow and to remain strong on the market." Do you attend industry trade shows anyway? Stefano Campedelli: "We have participated in some trade shows that we believe to be valid and positive. Currently, we have orders that fully commit us to our production. In order to acquire new markets we have to expand on a company level and invest again to increase our production strength in quantitative terms. It is an assessment we are making, but we prefer to wait for a more favourable season of stability in order to implement the project." \\\\\ LUCA CĂ€VERA ITALIAN VALUE
MARCH 2014
137
MATERIALS LUCA TODESCHINI
PROJECTS IN NATURAL STONE Marble, onyx and granite. In London and San Diego. Luca Todeschini describes some exclusively Italian creations n the London Bridge Quarter, where the highest tower of Western Europe, the Shard, created by Renzo Piano, stands, there is another exclusively Italian creation. The exterior flooring, on the panoramic terrace, was created by La Ponte Marmi, a Verona-based import/export company that has been working in marble and granite for almost fifty years. “Designed by the architects working on the project, the flooring was made with an Indian granite produced in different finishes and thicknesses than those usually used,” Luca Todeschini, owner of La Ponte Marmi, explains. “This is why it required particularly careful attention on our part, without missing the agreed upon deadlines. The end result was particularly appreciated by the client and the architects, and all their demands were completely met.” La Ponte Marmi only works with natural materials and, as well as supplying blocks or slabs of marble, onyx and granite, it also carries out all types of turn-key private and public projects, in Italy and abroad. “Another particularly noteworthy piece,” Todeschini continues, “was the creation of the exterior wallcladding and part of the interior of the Emerald Shapery Center, located in San Diego (CA). We realized approximately 15,000 square metres of surface, using both national granite, such as the Sardinian White, as well as European ones like Emerald Pearl and Marina
I
↗
On the next page, at the top, the flooring of a building in the London Bridge Quarter in London.
↗
Below, the Emerald Shapery Center in San Diego.
La Ponte Marmi is based in Grezzana (Verona), Northeast Italy
138
ITALIAN VALUE
Blue Pearl.” La Ponte Marmi buys its materials directly from countries of origin such as India, Brazil and Scandinavia. “Each block,” Todeschini continues, “especially if exotic, has its own individual shape and colour and it is important to enhance it in the best way possible especially during the processing phases. This is why we employ highly specialised staff and use state-of-the-art machinery.” 85% of the company’s turnover is aimed at foreign markets, firstly the United States, Eastern Europe (Croatia, Poland, Romania and Bulgaria) and Macedonia; countries which, over the last few years, have recorded great growth in the sector, both in demand as well as in quality of the materials required. But La Ponte is particularly active also in Northern Europe, Germany, England, the Czech Republic and Slovakia, Oceania, and Arab countries and is also growing, interestingly, in Africa. “Naturally, every market has its own specialities and speMARCH 2014
www.laponte.it
EVERY BLOCK HAS ITS OWN INDIVIDUAL SHAPE AND COLOUR AND MUST BE ENHANCED IN THE BEST WAY POSSIBLE ITALIAN VALUE
cific requests,” Todeschini continues, “This is why we have decided to invest a lot of our time in trying to best meet the needs of the various clients; we are even willing to travel on-site to get a better understanding of the needs in terms of materials, delivery times and payment, but above all we try to direct the client towards those materials that are most suitable for his or her particular project. To this end, we provide technical data cards for each type of stone, including all the information regarding the materials’ reaction to natural agents and inhibition, how scratch-proof they are, the continuity of their colour, chromaticity and function, helping the client understand if the chosen material is suitable for the project that he or she intends to create, both indoors and outdoors.” \\\\\ LUCREZIA GENNARI MARCH 2014
139
MATERIALS MICHELE LOVICARIO
MARBLE AND GRANITE, MADE-TO-MEASURE DESIGN Combining modern digital technologies with accurate craftsmanship in the processing of Italian stone materials. We hear from Michele Lovicario xperience has given us specific knowledge of stones, marble and granite, both domestic and foreign, together with their characteristics and processing possibilities. It has also enabled us to establish a way of working that combines the use of modern digital technologies with the accurate craftsmanship in the processing of materials, achieving a result that fully meets the expectations of the customer in terms of quality of execution and loyalty to the design." Michele Lovicario, director of Lovicario Marmi, a company specialising in processing stone, presents its know-how as such, the result of thirty years of experience in processing and distributing stone products. "All our works," continues the director of Lovicario Marmi "are preceded by a study phase of the site, conducted by techni-
“E 140
ITALIAN VALUE
cians, so as to analyse every detail and be able to prepare the best installation. In order to facilitate this, when we deliver the material, we also provide the final designs, with the various numbered pieces, as well as offering our assistance. At the production stage, then, thanks to our cutting-edge, high precision instruments controlled by specialised personnel, we have become highly skilled in processing made-to-measure kitchen and bathroom surfaces and shower trays (even solid ones). In fact, we never manufacture standard products, but only those made to order." With a view towards offering greater specialisation, the company is structured in two divisions: one dedicated to building and one to furnishings, a decision that allowed it to compensate for the Italian crisis in the construction sector. "Precisely due to this crisis, in 2014, our aim is to achieve more exports. Up to now, our exports have been MARCH 2014
SYNTHETIC MATERIAL IS IDEAL FOR CREATING KITCHEN WORKTOPS DUE TO ITS HIGH SCRATCH AND STAIN RESISTANCE indirect, i.e. through an Italian partner. Now we intend to focus on the direct relationship and large orders, so we are working on creating a new Internet website, which will act as a window to the world. Our product, moreover, is already greatly appreciated in East European countries and in Russia." Along with the potential of exports, another goal for the company in 2014 is to focus on the furniture target. "With stone products for furnishings, it is possible to obtain higher margins than in building. The latter is affected, in particular, by greater competition which pushes prices down." One of the most interesting proposals by Lovicario Marmi for furnishings is composite material (Okite, Stone Italiana etc.). "Thanks to its very high technical specifications, this is an innovative and revolutionary material and, due to its special characteristics, it has reached a prominent position in the creation of kitchen worktops, bath-
www.artigianamarmi.net
ITALIAN VALUE
Flooring and furniture works in Nero Assoluto and Marmo Bianco Sivec granite created by Lovicario Marmi of Gioia del Colle, Bari, Southern Italy
room surfaces and in the furnishings sector. Synthetic materials are made up of 95% quartz while the rest is resin, which makes them compact. Their scratch and stain resistance makes them ideal for creating kitchen worktops and for furnishings in general. In fact, quartz is one of the hardest minerals and in these synthetic materials it retains all the physical-mechanical characteristics of the rock from which it derives. Ink, oil, vinegar, coffee, wine, lemon juice, knives and small domestic accidents do not affect its surface." The use of this material in the kitchen is certified by the U.S. National Science Foundation for use in areas used for preparing food. "In fact," concludes Michele Lovicario, "it has been demonstrated that these materials do not allow bacteria to grow on the surface. And, in addition, its wide range of colours makes it the ideal material for flooring in homes." \\\\\ VALERIO GERMANICO MARCH 2014
141
MATERIALS MASSIMO GODI
QUARTZ AND MARBLE, BETWEEN HISTORY AND THE FUTURE The most modern technologies for a Made in Italy product exported around the world. Here are the novelties in the processing of quartz and marble he excellent quality of Italian natural marble, processed by those who have elevated this craft to an art, combined with the most recent technological innovations. Tradition and modernity come together in the work of Quarella, a manufacturer of quartz and marble agglomerates. “Quarella produces two large families of agglomerate products distinguished by the stone material that forms the basis for creating the individual colours,” explains Sales Manager Massimo Godi, “the products defined as marblebased, composed of powders and granules of natural Italian marble, are most suited to the construction of large areas of flooring and for covering vertical surfaces, while the quartz-based products are perfect for the interior decoration of smaller shopping areas and residential environments.” The Veneto-based company invests constantly in innovation and technology, with particular attention to environmental protection. “The technology applied to production systems for agglomerate products is extremely complex. Thanks to our two internal research laboratories, in Quarella we promote an effort of con-
T
Quarella is based in Sant'Ambrogio di Valpolicella, in Veneto, Northern Italy
142
ITALIAN VALUE
www.quarella.com
tinuous innovation in order to improve the aesthetic and technical quality of our products,” confirms Massimo Godi. “Over the last five years, our greatest efforts have been focused in the direction of the eco-compatibility and eco-sustainability of our systems and products. This line represents the main path that the company also intends to follow in the future. The purely aesthetic aspect is also important; in fact, we are constantly developing new solutions, which are then usually presented at Verona's annual trade show Marmomacc.” Quarella owes its competitiveness to the quality of its manufacturing, this, too, a consequence of the use of first choice materials. “Our creations are appreciated worldwide for our ability to maintain design uniformity even across large surfaces, with materials that, by their composition, are 90% natural, as well as for the flexibility of use of the product, which can be applied both indoors and outdoors. In addition, our careful selection of raw materials allows us to develop products with superior technical characteristics and extremely sought-after aesthetic qualities.” Quarella's production is entirely Italian, from the maMARCH 2014
70%
Export Percentage of turnover achieved by Quarella thanks to exports to non-EU markets in 2013
terials to the workmanship. “The creative capacity and expertise in our work represent the added value that means our products are appreciated around the world for their quality and style,” says Massimo Godi, “just like the majority of Made in Italy products.” The company, based in Sant'Ambrogio di Valpolicella, is managing to expand and conquer new markets thanks to direct promotion. “It is still, in our industry, the most effective system for obtaining concrete results. Trade shows are an excellent opportunity to reach out to potential customers. For this reason, in anticipation of opening new markets, trade shows in the Middle East can act as a launch pad for entering into a geographic area in rapid transformation and capable of offering ITALIAN VALUE
major opportunities.” Quarella is one of the industry's world leaders; exports therefore play a very important role in the company's turnover. “The company's commercial orientation has always been characterised by its strong aptitude for exports,” says Massimo Godi. “In fact, in 2013, the share of our turnover achieved on non-EU markets amounted to approximately 70%. In the last two years, Australia and China were our most important markets. Our commercial capacity to adapt to different contexts in the various countries of the world is guiding us towards the opening of new markets such as those of the Middle East and the countries of the former Soviet bloc.” \\\\\ LORENZO BRENNA MARCH 2014
143
MATERIALS DAVIDE MUZZOLON
THE PRESTIGE OF STONE Marble and natural stone amid ancient charm and the new market of international construction: the example set by Verona's Marmi Bruno Zanet
www.brunozanet.com
144
ITALIAN VALUE
MARCH 2014
t is used in the most diverse projects but with a common denominator: the desire to convey elegance." Davide Muzzolon thus explains the role of marble and natural stone in international construction. Putting the focus on prestige as the basis of the choice of these materials, the Sales Director of the Verona-based company Marmi Bruno Zanet outlines the trends of the market, where the quality of the products and service surpasses other assessment criteria. "Since 1958," explains Muzzolon, "Marmi Bruno Zanet has worked in the world of natural stone in an activity linked to the work that Bruno Zanet, his family and a team of highly specialised collaborators use for the implementation and consolidation of the business project. For over half a century, the com-
“I
TRADE SHOWS • MOSBUILD Expocentre, Moscow (Russia) 1-4 and 15-18 April 2014 sector: building and construction www.mosbuild.com • MARMOMACC Trade Show District of Verona (Italy) 24-27 September 2014 sector: marble and natural stones www.marmomacc.it • THE BIG 5 SHOW Dubai World Trade Center, Dubai (UAE) 17-20 November 2014 sector: building and construction www.thebig5.ae • SAUDI BUILD Riyad International Convention and Exhibition Center – Ricec 10-13 November 2014 sector: constructions and materials www.saudibuild-expo.com
ITALIAN VALUE
Davide Muzzolon, Sales Director of Marmi Bruno Zanet of Verona
pany's mission has been reflected in its desire and intention to find new stone deposits which, over the course of the years, have expanded the range of its offer. One of Marmi Bruno Zanet's strong points is, in fact, its vast availability of materials which differ from each other in their physical and colour characteristics, easily adapting to different types of projects." Which materials are most in demand by the market? "Leading the way are our exclusive materials, including, for example, Ouro Brasil, New Venetian Gold, Giallo sf real mm, Giallo sf real gm, Crema brasile and Ornamentale. The first is a coarse-grained granite with a beautiful bright golden yellow pigmentation base and hints of amethyst. It is a material that originates from the State of Espirito Santo (Brazil) and easily adapts to any type and form of processing to which it is subjected. Due to its technical characteristics, this ornamental stone is used extensively in construction and in furnishings in general, in internal flooring and external cladding. New Venetian Gold is also a Brazilian granite from the same region and is particularly durable, which is why it is recommended for both interiors and exteriors. It is the ideal granite for cladding and for kitchen worktops." How did you manage to obtain such a large range? "Continuous research and cutting-edge technologies are among the most important aspects to consider, definitely combined with the will to leave an indelible mark on the stone-making tradition. The many materials we have available allow us to handle even large requests. Precisely with a view towards optimising MARCH 2014
145
MATERIALS DAVIDE MUZZOLON
and developing our production capacity, as well as having obtained new multi-wire machinery used to produce semi-finished products, we decided to construct a new production system complete with two high-tech granite cutters. We make consistent investments so that we can offer an increasingly complete, rapid service with high quality products." What repercussions has all this had on the business plan? "We are a part of a new trend in this sector for Italy which sees exports as the focal point of our activity: with our products we have contributed to the creation of major architectural interventions around the world and, in particular, in Spain, France, Germany, Austria, the United States, Canada, China, Taiwan, Singapore, Hong Kong, Japan, Malaysia and Indonesia. One significant work was at the international airport of Bombay in India, where we used New Venetian Gold to create the flooring for the whole airport area, reception areas and respective lounge. In particular, our exports to China cover 50% of our turnover; the rest is split between North America (20%) and India (15%)."
146
ITALIAN VALUE
TODAY, THANKS TO THE ADVENT OF DIAMOND WIRE, QUARRY PRODUCTION IS MUCH LESS INVASIVE
How, at a technical level, do you research new stone deposits? "We have our own in-house staff consisting of geologists and mining engineers who regularly perform assiduous research for new and exclusive products. Their commitment has allowed us to be present in the most important mining areas around the world: in Brazil, India, Spain and China, as well as in Italy. This, supported by a top level transformation capacity, makes us the privileged partner for architects, distributors and general contractors seeking ranges, quality, consistency of supply, flexibility and high production customisation. Our mining centres are outfitted with machinery and equipment with sophisticated technology which guarantees the maximum productivity and optimisation of profitability. Recently, after the production plant of stone slabs in Brazil, a new indoor stone slab warehouse has been created which is able to handle, with maximum speed, even large quantities of material. We are now mining in Croatia and planning MARCH 2014
100
Materials The availability of natural stones and marble, which differ in both their physical and colour characteristics
new quarries in Australia." What are the regulatory and legal aspects governing the search for and opening of new mines? "The operation of quarries globally involves very strict rules, which require a certain level of attention and sensitivity in regards to respecting nature and the environmental impact. We are extremely careful when using the quarry and even after the closure of the site with the restoration of the area. Once again, technology has allowed us to expand our horizons, exceeding the limits that this activity suffered from in the past. ITALIAN VALUE
Today, thanks to the advent of diamond wires, quarry production is less invasive, cutting down on excess materials and, as a direct consequence, also waste." What are the biggest innovations you are focusing on? "Besides the various types of stone we have available, an interesting innovation is in our design projects. In particular, Stone Fly and Audio Stone. The former is a transparent glass sink resting on a frosted Matrix top in assembled elements: in this structure, the transparency of the water is enhanced by the purity of the glass. Audio Stone, on the other hand, consists of New King Beige marble assembled panels, with the application of an innovative "Marble Sound" system which allows the marble to transmit sound like an acoustic box." \\\\\ RENATO FERRETTI MARCH 2014
147
MATERIALS SILVANO SASSI
THE UNIQUENESS OF ITALIAN MARBLE Rustic and modern lines, appreciated for their unique design. Verona-based Antiquarex’s natural stone products he solution lies in the union between shape and substance: on one hand the best designers, on the other the correct material for each individual structure.” This is the path taken by Antiquarex, a company that creates natural stone floorings, coverings and mosaics, led by Silvano Sassi: a challenge that is faced anew in each project and in which the Veronabased company re-sets its thirty-year experience in line with the latest demands of the market. As Sassi explains, “in order to satisfy any demand, our priorities include studying solutions that are always fresh while researching materials for the best results. It is an evolution that we have always taken part in; suffice to think that the company was created with
“T 148
ITALIAN VALUE
mainly rustic proposals, adapting over the years to more modern lines appreciated for their unique design. This means our range of materials has expanded, purchasing Italian raw materials (including our range of travertine ) as well as foreign ones, following established channels to guarantee quality and continuity of supplies.” Antiquarex is currently introducing a new range of five, unique effect finishes and some new products. “Among them, for example, is ‘Listone’: the sizes, but above all the veining and nuances of the materials chosen, have special characteristics that reflect the wooden flooring.” One of the characteristics that distinguish this Veronese company regards sales channels. Sassi explains, “We mainly deal with shops and traders in the MARCH 2014
VEINING, NUANCES AND COLOURS OF THE NEW “LISTONE” REFLECT WOODEN FLOORINGS
ceramics sector rather than with the classic channel of marble workers - a winning idea that has guaranteed constant and important growth over the years. Our agents, some of whom have worked with us for over twenty years, are mainly representatives in ceramics, wood or bathroom furnishings. We have recently started focussing, together with some agents and shops, on new channels that follow projects by architects: an important goal is to expand those relationships that we wish to continue with the best technical support, for an all-around follow-up service from the price quote to the final laying.” The significant problem in cashing on the Italian market has encouraged Antiquarex to pay more and more attention to foreign markets. “Our main goal,” Sassi says, “is to increase export to over 70% of our overall turnover. We have obtained good results through es-
www.antiquarex.com
ITALIAN VALUE
Antiquarex is based in Stallavena di Grezzana (Verona)
tablished relationships on the German market which, despite a drop in demand of marble, has shown interest in our products. New and better expectations arrive from the American market. In fact, following the lull that affected our turnover significantly in 2008/2009, it is slowly recovering its orders in standard formats - tiles, listels and mosaics - as well as in more unique, made to measure projects. The Russian market, while rather variable, remains vital for projects of a certain level. As well as the ‘traditional’ foreign channels we are also building new contacts in Eastern Europe, Morocco and the Arab Emirates, in the hope that we can establish long-lasting relationships of reciprocal trust.” \\\\\ RENATO FERRETTI MARCH 2014
149
FOCUS ON LOMBARDY ECONOMIC OUTLOOK
NEW ROUTES FOR LOMBARDY’S EXPORTS
RESULTS OF THE LOMBARDY ENTERPRISES Quarterly data. 2013 3 2 1 0 -1 I Turnover
II Production
III
IV Orders
Source: Unioncamere Lombardia
International markets as an antidote to the domestic market's difficulties. It is the common denominator of Lombardy’s enterprises, for which export is the key to recovery
FOCUS ON LOMBARDY ECONOMIC OUTLOOK
ombardy has always assumed the leading role in the Italian economy, not only for the production aspect but also for the international projection of its enterprises. For this reason, also in light of the difficulties related to the crisis, the region keeps on being a reference model for the internationalisation processes. The regional enterprises, mainly small-medium sized, aim to increase the impact of their action on foreign markets by taking the opportunities offered by internationalisation services developed by the many economic, institutional and categorical entities, observing with great interest measures of aggregation as enterprise networks. Lombardy’s production realities are already active
L 154
ITALIAN VALUE
with regard to exports and it is expected that also their direct presence abroad will increase and become stable over the next few years. Not only representative offices and commercial joint ventures, but more and more permanent settlements as part of productive joint ventures and the opening of subsidiary enterprises. Focusing the attention on exports in particular, according to the data released by Unioncamere Lombardia concerning the third trimester of 2013, the value of exports has increased to €26,200 million, showing a positive trend of 0.5%, but losing 4% of exported volume. Examining Lombardy’s export structure, the leading role of the manufacturing industry has been confirmed, which exports goods for a total value of MARCH 2014
EXPORTS OF “FOUR MOTORS OF EUROPE” In billions of euro - data for each trimester Baden Wurttemberg (Germany) 43,3
40 Lombardy (Italy) 26,2
29,5 19,8 20
Catalunya (Spain) 14,5
9,8 Rhone-Alpes (France) 11,3
8,9 0 1 2 3 4
1 2 3 4
1 2 3 4
1 2 3 4
1 2 3 4
2008
2009
2010
2011
2012
1 2 3 2013
Source: Unioncamere Lombardia on Istat, Gencat-Idescat Catalunja, Direction générale des douanes et droits in directs, Statistisches Landesamt B-W data
€26,000 million, equal to 97.5% of the total value of regional exports. 45% of the manufacturing activities’ products that reach foreign markets belong to the mechanic sector. Machinery and equipment follow, together with basic metals and metal products (17%, amounting to €4,300 million) and means of transport. Percentages of around 10% concern computers, electric, electronic and optical devices (€2,900 million), textile products, clothing, leather and accessories (€2,900 million), and chemical substances and products (€2,600 million). Other exported goods are rubber and plastic materials, pharmaceuticals and, in lower percentages, foodstuff, wood, paper and printed products, coke and non-refined petroleum products. As pointed out by the seventh Report on internalisation of ITALIAN VALUE
Lombardy’s enterprises (promoted by Confindustria Lombardia), the main target markets for the enterprises of this region are still related to the European and North American area, together with the BRIC countries. However, the prospective analysis of geographic directories for the next two years indicates an evident shift in the enterprise strategies. The focus of the international expansion of Lombardy’s enterprises is more and more directed towards the emerging markets, Turkey, BRIC countries, Latin America (Chile, Mexico and Argentina) and Arab countries (United Arab Emirates, Saudi Arabia and North Africa). The way out on foreign markets, particularly extra-EU markets, is now a must for those business realities which aim to grow and remain competitive. \\\\\ LEONARDO TESTI MARCH 2014
155
FOCUS ON LOMBARDY FRANCESCO BETTONI
EXPORT MEASURES
Lombard companies can seize the opportunities offered by growing markets, thanks also to the support of the Chambers of Commerce system, which assists companies abroad xportation is a crucial factor for the growth of the Lombardy system, and also one of its recognised strong points. “Lombardy accounts for 28% of Italy’s overall exports and between 2008 and 2012 the region’s foreign commerce grew around 11% every year,” explains Francesco Bettoni, president of Unioncamere Lombardia. “But the most interesting fact,” he continues, “is that the productive system, in its numerous variations, is partly seizing the opportunities offered by markets with a high potential for growth: the emerging Asian countries, such as Malaysia and Singapore, China, and South American countries such as Mexico and Chile.” What trend do you expect for Lombardy's exports in 2014? “In 2013, the average variation of manufacturing production was null, thanks to the positive results of the last trimester which balanced out the negative effects of the first trimesters of the year. For the future, the forecast scenarios indicate a growth in exports thanks to the recovery of global commerce. We expect an increase of 4.1% in 2014, and 6.7% in 2015.” Which sectors do Lombard exports focus on? “They mainly focus on engineering, chemistry, elec-
E
↗ Francesco Bettoni, president of Unioncamere Lombardia
156
ITALIAN VALUE
tronics and textiles, but regional exports are also growing in the sectors of transport, agriculture and the food industry, clothing and leather goods. As for the destination areas, European markets prevail along with the other advanced economies, but China, the Middle East, North Africa and, partly, Brazil, are increasingly making themselves noticed. Our analyses highlight the ability with which Lombard companies launch their goods on markets characterised by a higher level of demand.” What strategies are Lombard companies using to face up to the challenge of internationalisation? “The challenge that Lombard SMEs face today is to MARCH 2014
2,200
The vouchers assigned in 2013 by the Lombard Chambers of Commerce system to companies to start the internationalisation process
1,000 increase their presence on those markets that have the highest potential for growth, focussing particularly on non-EU ones, without forgetting the traditional European markets which should now be considered domestic.� Unioncamere Lombardia assists companies abroad through specific vouchers and the Lombardia Point network. How far along are these initiatives? “By now, the voucher system has become an established and successful initiative. The 2013 edition assigned overall around 2,200 vouchers to as many companies. The Lombardia Point network provides ITALIAN VALUE
The online consultations provided through Lombardia Points in 2013, assisted by 70 meetings throughout the territory
companies operating abroad with support services, which are activated specifically upon request both telematically as well as through the actual branches operating in the territory in all Chambers of Commerce in Lombardy. Throughout 2013, more than 1,000 suggestions were given by experts and around 70 seminars and one-to-one meetings between experts and companies were carried out with over 3,300 parMARCH 2014
157
THE MAIN SECTORS FOCUSED ON BY LOMBARD EXPORTS ARE STILL ENGINEERING, CHEMISTRY, ELECTRONICS AND TEXTILES
ticipants. On the other hand, 90 % of Lombardy’s business – better internationalised than other Italian regions – is made up of companies with fewer than 10 employees, who have difficulty in operating directly on foreign markets.” What measures should be then? “We need to make use of solutions that are suitable for companies. To this end, we intend to valorise the model used with the TuttoFood and Host exhibitions. It is a soft approach to internationalisation, through the participation in international exhibitions held in Milan (with lower costs and minimal fuss), followed by training, free specialist consultation during and after the exhibition and a guaranteed number of meetings with specially selected foreign buyers. In this scenario, the ability to broaden the internationalisation process from individual companies to networks or supply chains takes on an important role, setting up complex and long-lasting projects that involve many companies.” 158
ITALIAN VALUE
Based on the experience of the Lombardia Point initiative, what are the main needs of production companies entering the international markets? “The main problems in starting up internationalisation processes are often linked to the company’s limited size: little available capital; difficulty in obtaining credit from banks; a lack of professional figures who can assist and support the entrepreneur in commerce and marketing and in the technical knowledge of the problems linked to internationalisation, such as international contract laws, safer payment systems, customs and tax matters. The Lombardia Points are aimed at providing the entrepreneur and his partners with consultation on these matters. Furthermore, having started some projects with the Lombardy Region, we guarantee the possibility of temporary export managers coming to the company – free of charge and for a limited time – to assist the entrepreneur in the internationalisation process.” \\\\\ FRANCESCA DRUIDI MARCH 2014
FOCUS ON LOMBARDY ALBERTO RIBOLLA
NETWORKING FOR FOREIGN COUNTRIES To overcome the dimensional and cultural obstacles which internationalisation entails, enterprises from Lombardy have to network, focusing on innovation
he exports of Lombardy in 2012 exceeded €108,000 million. The vocation for internationalisation of the region’s production network is expressed mainly in the manufacturing industry, with an emphasis on mechanics, fashion, transportation and metallurgy. "In these sectors, Italian and Lombardy productions are leaders in the rankings of world trade, surpassing Germany in many product niches" affirms the President of Confindustria Lombardia Alberto Ribolla. Globalisation has imposed the need to overcome low added-value productions, preferring new growth values and assets. How has the approach to exports changed in recent years? "Only by focusing on middle and high-end quality can ↑ Alberto Ribolla, important results, and even worldwide leadership, be President of Confindustria Lombardia achieved. This is not only a prerogative of large enterprises, but also of small-medium ones, which are very common in Lombardy and which have contributed to only, but is rooted in all manufacturing sectors and the creation of more dynamic and innovative products. this is especially true in Lombardy." It is necessary to remember that innovation is not synWhat is the most effective way to support SMEs onymous with electronics and telecommunications abroad? "In order to help SMEs, it is necessary to perform actions on different levels. I consider promoting the presence of enterprises in clusters to be essential, ecosystems within which joint projects on business, research, innovation and development are promoted in the hopes of encouraging growth. I also would like to mention the work done by our associations: they represent the main interlocutor on internationalisation themes for nearly 50% of enterprises. Enterprises look to their association to find the right business partners abroad, to get market analysis and financial information on foreign countries and for technical advice on customs issues and foreign contracts; but they also turn to Confindustria especially for the strategic net-
T
ITALIAN VALUE
MARCH 2014
159
FOCUS ON LOMBARDY ALBERTO RIBOLLA
108
Million euro The value of Lombardy’s exports in 2012, a record made possible by the growth in non-EU exports
Ice-Prometeia (Italian Institute for Foreign Trade) has provided an interesting fresco of the map of the 25 emerging markets to which we should look. The Italian and Lombardy enterprises will look with more and more interest at Asian countries, protagonists of the recent industrialisation process, without forgetting to mention Latin America and the Middle East. To be more specific, for the enterprises of the engineering sector, new opportunities will be introduced in Saudi Arabia, Thailand, Indonesia, Malaysia, Mexico, Colombia and Peru. For enterprises in the sector of infrastructures, besides the previously mentioned countries, there are
Fonte: Unioncamere Lombardia
work the association has been able to create with the different players in the system." Then there is the lobbying of institutions. “Yes, a positive and proactive lobby, which has the goal of making the national and regional governments more proactive in supporting the internationalisation of enterprises. Certainly, the financial-banking system, which is part of the 'country system' must be more proactive, too: with the exception of large groups, often Italian banks are not able to follow enterprises on international markets, at least not to the extent that occurs in countries like Germany or France.” What markets should we address in the near future? “I will start with a premise: at least in the short term, the focus on the major advanced countries of the old and new continent and on BRICS countries is likely to remain strong and this kind of conjecture always has a strong degree of uncertainty linked to both our economic development and that of the countries we are oriented towards. Having said that, recent research by
160
ITALIAN VALUE
MARCH 2014
THE ENTERPRISES WILL FACE DISTANT MARKETS BOTH FROM A GEOGRAPHICAL AND CULTURAL POINT OF VIEW. NETWORKING WILL BE FUNDAMENTAL Pakistan, Vietnam and the Philippines.” What are the problems for the Lombardy enterprises that deal with foreign markets? “The main problems that our enterprises face are those related to their small size: scarce financial resources to invest in internationalisation processes, limitations in the managerial resources to be involved. But also the cultural differences between Italy and the countries which enterprises are interested in often factor in unfavourably and it is a divide that increases significantly depending on the geographical guidelines of the enterprise's multinational expansion. In the future, our enterprises will face more and more distant markets from a geographical and cultural point of view: therefore, it will be very important to act in order to fill in this knowledge gap through networking and to systematise the experiences of those who have succeeded.” The small presence of foreign investments in Lombardy probably reflects the difficulties of the entire national system. What strategies can reverse the trend? “The obstacles which weigh on those trying to do business in Italy and Lombardy are so many that a few lines would not be sufficient to summarize them, but there are data that sadden and outrage me even more: in Lombardy, in recent years, investments in ITALIAN VALUE
the development of high-quality technological, research and development activities have decreased. It is a paradox if you think of the excellent research centres, universities and industrial realities we host. Of course, the crisis did not help: in the five-year period of 2003-2007, Lombardy was found to be, four times out of five, among the top-ten European regions for attracting new investment projects, while in the period from 2008 to 2012 it always remained outside of the top 10. However, the economic downturn is not the only cause: political instability, high cost of labour, oppressive bureaucracy and biblical times in obtaining authorizations have alienated foreign investors, who decided to bring their productions elsewhere. Despite this, we are beginning to see a turning point.” Which one? “The law ‘Impresa Lombardia’ (literally, Lombardy’s Enterprise), recently approved by the Region, intends to act on these issues. The agreement for competitiveness, the introduction of unique communication and the electronic file of enterprises, the reduction of the effect of energy costs on manufacturing companies are only some of the measures contained in the law that we hope to see enforced soon.” \\\\\ FRANCESCA DRUIDI MARCH 2014
161
FOCUS ON LOMBARDY ROBERTO MARONI
A MOREATTRACTIVE REGION
Expo 2015 gives the Lombardy region the opportunity to attract investments and, in the meantime, to promote regional enterprises abroad he Universal Exhibition of 2015 will be for Italy, but especially for the Lombardy region, an international showcase with representatives from more than 140 countries around the world arriving in the region, and not only there. The effects in terms of tourism and employment are important components of the Expo, but there is another fact to consider. The regional administration is taking the promotion of this event also as an opportunity to commend Lombardy and its productions, supporting them in the process of internationalisation. In addition to a tour inside Italy, in fact, the region led by Roberto Maroni is making a “World Expo Tour”: a journey of the most important countries that joined the Expo with a series of international missions that will be linked to events already scheduled in those countries. A double-track action, as President Maroni says, which will be supported by measures enhancing the internationalisation of enterprises, research and innovation. What are the objectives to be achieved with the Expo World Tour initiative? “Along with the promotion of the Universal Exposition, we have conceived the World Expo Tour as a means to help enterprises from Lombardy access international markets. We are focusing on the most dynamic realities, such as the BRIC countries (Brazil, Russia, India, China), in order to attract investments in our region and promote our enterprises, and on the so-called “next eleven”, those countries which will have a great development in the next ten years and that will need to build infrastructure, roads, all that is needed in their territory. We want this event in Milan in 2015 to be a great opportunity for our entrepreneurs who want to
T
162
ITALIAN VALUE
WE WANT TO TURN LOMBARDY INTO AN ATTRACTIVE REGION FOR BRAINS AND INVESTMENTS
↑ Roberto Maroni, President of the Lombardy Region
MARCH 2014
3%
Increase in the investments in research from 1.6 to 3% of GDP in Lombardy for the next 5 years is among the goals of President Maroni
5
Million euro Assets available to the SMEs of Lombardy in 2014 for internationalisation (vouchers, services and funding)
expand their business and to get new assets in Lombardy, with the positive effects that, in both cases, will occur in terms of employment.” Internationalisation also means being able to attract more foreign investments to the region. What are the measures needed to win over foreign entrepreneurs? “Lombardy is a unique scenario in Europe in terms of innovation and development, which is based on hundreds of highly advanced small and medium-sized enterprises and a network of 12 universities which constitutes a unique excellence in the old continent. Starting from this peculiarity, we are working to ensure that investors prefer our region over others. We have large-scale projects, like the one that in five years will lead us to redouble the investments in research from 1.6 to 3% of GDP, a percentage that will lead us to the level of the most advanced countries of the EU. We want to turn Lombardy into an attractive region for brains and investments.” Research and innovations are the necessary assets leading to internationalisation and they are part of the priorities of the regional development program. What are the concrete actions that the administraITALIAN VALUE
www.en.regione.lombardia.it en.expo2015.org
tion will take to develop these factors? “We have already successfully experimented concrete actions such as, in the recent case of Whirlpool, the multinational corporation that has closed a plant in Sweden to come and invest in our region. This change was also encouraged by a memorandum of understanding that we signed for this purpose. This is just an example of the several initiatives aimed at creating the conditions so that our territory is increasingly attractive. Furthermore, we have made available to the SMEs of Lombardy almost 5 million euro to obtain, in the form of vouchers, services and funding in order to promote their business outside of Italy. Other tools for development have been included in the new regional law for competitiveness, recently approved by the Regional Council.” \\\\\ FRANCESCA DRUIDI MARCH 2014
163
TECHNOLOGIES MATTEO FRIZZONI
NEW SCENARIOS IN WATER PROCESSING
Matteo Frizzoni explains the strong points of Ecomacchine and their market strategy and introduces the possibilities set up by SACE to favour both importers and exporters
164
ITALIAN VALUE
MARCH 2014
esigning and producing standard and tailor made machines and components for the treatment of waste and industrial waters and water purifying machines for large systems, Ecomacchine is a top partner of some of the largest contractors in the world, thanks also to services such as engineering support and on-site assistance. “Contractors commissioned to create complete systems come to us as our clients. In this business, we export 90% of our production, 20% of which passes through Italian contractors working abroad.” These are the words of Matteo Frizzoni, managing director of the company in Grugliasco, in the province of Turin. “We have always aimed to have a direct relationship with clients, accompanying them through all technical complications from the very moment they commission us. For this reason, our company’s name is passed through word of mouth among contractors and we have been able to establish ourselves especially in the markets of the Middle East (Iraq, Arab Emirates, Saudi Arabia, Jordan), North Africa, Mexico, Australia and New Zealand, and Indonesia. Furthermore, we supply a large Italian company that makes systems for steelworks and that exports all over the world.” Not to mention collaborations with some of the most important petrochemistry companies in the world. As well as focusing on their reputation for their
D
→ Further information on SACE products for credit insurance:
www.ecomacchine.it
ITALIAN VALUE
Ecomacchine is based in Grugliasco (Turin), Northern Italy
technological and service offers, Ecomacchine is also looking into further tools to penetrate the market in the future, such as those of the Foreign Trade Insurance Services Association (SACE), a public organisation that assists Italian companies looking to export. “Bearing in mind that we have yet to use these tools, though we are weighing their advantages,” Matteo Frizzoni explains, “the proposal that we have received involves a simple and interesting mechanism. Firstly, it involves building up a relationship: an international company puts its potential foreign buyer in contact with the Italian high technology producer and seller – in our case the buyer is from Vietnam. Then, a European bank sets up two parallel activities: it initially pays the seller 80% of the total amount and supports the buyer by lending him money to be paid back in instalments over 24 or 36 months. SACE guarantees the bank against the loan risk, thereby carrying out its role as a credit insurer.” There are, therefore, advantages for both parties. A relationship that otherwise would require investments - sometimes difficult to sustain for a small or medium Italian business – is started “externally”, the seller is guaranteed almost immediate payment, and the buyer can pay back the loan in instalments. “This could prove extremely useful for us,” concludes Matteo Frizzoni, “as it gives us an advantage over our competitors. And furthermore, it is another means to get our name out there on the global market.” \\\\\ VALERIO GERMANICO MARCH 2014
165
TECHNOLOGIES VITO LONGO
VEHICLES FOR ECOLOGY
A new system for managing dust and combined control of dusty and gaseous concentrations. The case of Longo Veicoli Industriali overning and managing design, construction and marketing processes and providing assistance for equipment that uses vacuum and high pressure technology. Technology applied to cleaning canal systems and drains, the transportation of hazardous materials (ADR - the European Agreement regarding the International Carriage of Dangerous Goods by Road ) and industrial cleaning, with completely customised solutions. These are the specialist areas of Longo Veicoli Industriali (Longo VI), an engineering company
G
166
ITALIAN VALUE
that evolved in Southern Italy. "In our construction activity of vehicles for ecology," explains Vito Longo, special procurator for the company, "we paid great attention to the research, design and production of new technological solutions such as, for example, the innovative Ghibli system. This allows for the management and control of dust and the combined control of dusty and gaseous concentrations, while avoiding the risk of explosions being triggered in Atex (explosive atmospheres) and other areas. In addition, the system boasts very high efficiency and power as it uses superior quality lobe pumps with extremely high MARCH 2014
Seated in the center, Giovanni Longo, CEO. Standing, from left to right, his children Vito, Stefano and Gianvito. Longo Veicoli Industriali is located in Conversano (Bari, Southern Italy)
capacity, able to reach a 93% vacuum." Characterised by its highly flexible industrial production structure, Longo VI sits in a strong position on the Italian and European market and is strengthening its exports to Africa and the Middle East: markets that it pursues directly with an effective after-sales service or with services managed by exclusive dealers in the countries of export. "Our products are known for their simplicity of use and maintenance, as well as for their reliability. We have been able to offer systems with these characteristics to the markets, largely thanks to the fact that our designs, where possible, always favour mechanical logic rather than electronic. In addition, we pay the utmost attention to our choice of both materials and suppliers, using technologically advanced production machinery at all stages of the production cycle - we have high precision welding systems, completely controlled by robotic systems - and
ITALIAN VALUE
WHERE POSSIBLE, WE FAVOUR MECHANICAL LOGIC RATHER THAN ELECTRONIC working with specialists in mechanical engineering and electronics." At the basis of the production process, of course, is research and development activity, in which Longo VI invests approximately 10% of its turnover. "At present, on the research and development front, we are working on a project dedicated to reducing the noise and environmental pollution of some special equipment." In conclusion, Vito Longo presents the company's 2014 objectives, which can be summarised as four essential points: increase in turnover, growth of exports, entry into new markets, and launch of new technologies. "These strategic objectives will have as their springboard our increased participation in trade shows, such as Ecomondo in Rimini, Sep in Padova, Pollutec in Lyon and Ifat in Munich, where we will be present at the next edition. In addition, through our dealers located in the various countries to which we export, we attend, for example, various shows in Portugal, Spain, Angola, Libya, Iraq and Oman.� \\\\\ VITTORIA DIVARO MARCH 2014
167
TECHNOLOGIES PIERO NICHETTI
NEW COLOUR MANAGEMENT The benefits of multi-purpose systems applied to colours for car refinishing, industrial bodywork, industry and yachting. We discuss them with Piero Nichetti n relation to industrial paints, the use of multipurpose systems allows for ready-for-application colour to evolve, keeping intact the colorimetric system of the basecoats. This is the technology that the Italian company Palini Vernici offers to the car refinishing and industrial bodywork sectors and to industry in general. As explained by Piero Nichetti, as spokesperson for the Lombardy-based company: "Using our systems, we can obtain countless finishes with different chemical and physical characteristics, thereby not only resolving issues regarding application, but also allowing for the creation of eco-friendly products. There is also the added benefit that the sample colour has the identical colorimetric characteristics of the end colour ready to be used in the system." Palini Vernici, with ISO TS 16949:2009 and OHSAS 18001 certifications, is a product-oriented company, with 30% of its personnel working in research and development activity and with a disposition towards “chemical tailoring”, which comes across in its capacity to customise products and cycles and to anticipate new market demands.
I
168
ITALIAN VALUE
Piero Nichetti, director of Palini Vernici of Pisogne (Brescia) in Northern Italy
What characterises your tinting systems? "First and foremost, they are open systems, meaning they are based on a group of concentrated basecoat colours, to be completed with specific binders. For example the Multicryl 900 Class is a solvent-based tinting system of advanced design. It is made up of 71 concentrated basecoat colours, with which we can obtain around 60,000 colours - all the global car manufacturers tints, including metallic, pearly and xirallic shades - as well as colours free from lead-based pigments. We have also developed a specific system for the refinishing and industrial bodywork sector: Hydropal 120." What are its capabilities? “Hydropal 120 is a system of 82 super concentrated matt basecoats in acrylic binders, modified in an aqueous base. Its innovative technology allows us to create, by using special binders, pearl and metallic double coat cycles, tint cycles and direct gloss tint cycles. The addition of these binders allows us to regulate the covering on the basis of technical and commercial needs. For this reason Hydropal 120 is the best covering system, and thus it has a high yield, on MARCH 2014
4 mln
Kilograms Palini Vernici's average annual production capacity. Its advanced colorimetric system allows for the colour-matching of over 360,000 colours
www.palinal.com
the market. In addition, super concentrated basecoats make the system open to future completion solutions, meaning it is always current." How do your systems perform from an environmental point of view? "This is an issue that is extremely important to us. In many respects, we are way ahead of our time, having eliminated chrome-based paints that were then later prohibited by law. Nowadays, the technical evolution of paint products has led, over time, to a constant improvement in the characteristics of protection of ferrous substrates from corrosion, from resistance to chemical and physical attacks, combined with an improvement in the aesthetic aspect in terms of brightness and saturation of the artefact. This improvement has gone in step with the search for products with higher yield and respect for the environment." \\\\\ LUCA CĂ€VERA ITALIAN VALUE
MARCH 2014
169
TECHNOLOGIES GIULIO MARIA GIANA
MACHINE TOOLS, SIMPLIFIED TECHNOLOGY
A multitasking numeric control lathe, of reduced size but extremely versatile. Giulio Maria Giana introduces GGTronic 1000 Giuseppe Giana is based in Magnago (Milan)
www.giana.it
172
ITALIAN VALUE
new turning and milling work centre, able to cover a very wide segment of the market. This is the GGTronic 1000 project, created by Giuseppe Giana, a company that for over twenty years has specialised in building machine tools, in particular numeric control parallel lathes with two or four guides, drill machines, boring machines for deep holes and lapping machines. GGTronic 1000 is able to answer the market's increasing need for high quality but affordable products. “It is, in fact, smaller than our other range of multitasking lathes,” Giulio Maria Giana, general manager of the Magnago based company, explains, “and this allows us to keep costs down, addressing a clientele ranging from the artisan to the large Oil&Gas sectors. It unites ergonomics and versatility, able to work with a varied range of diameters without the need for placing, to
A
MARCH 2014
PRODUCTION
C
onstant updating, technical knowledge, and the application of mechanical and electronic technology have confirmed Giuseppe Giana’s
success over the years on both the European and global levels. The company is specialised in the construction
of
CNC
(computerised
numeric
control)
machines: four guided parallel lathes and deep hole drilling-boring machines. The company’s production is divided into: Drilling machines – boring machines: The range of GGB drilling machines, a world leader, includes the following models: GGB 360 – GGB 560 – GGB 1200 GGB 2500. Lathe-boring capacity up to 1000 mm, length of drilling up to 20000 mm and more. The GGB CNC drilling machine model is particularly used in Bottle Boring. Single bed multitasking CNC lathes: this range is vast and includes models with four guide single beds, spindle engine power from 40 to 74 kW, point height from 560mm to 760mm, turning length up to 15000 mm and more. The models are: GGTronic 800 – GGTronic 1000. Double bed multitasking CNC lathes: this range boasts spindle motor power from 51 to 300kW, point height from 960mm to 2550mm, turning length up to 26000 mm and more. This range of multitasking lathes can have from one to three transversal turning and milling axes. The models are GGTronic 2000 GGTronic 2500 - GGTronic 3000 - GGTronic 4000 GGTronic 5000.
ITALIAN VALUE
create pieces such as, for example, tubes for the oil sector or shanks for cylinders. The operator can control and manage all the working and operation phases involved in changing tools from the ground.” The idea behind the creation of GGTronic 1000 was to bring all of the technology of the company’s previous creation, GGTronic 3000, forwards to a machine of reduced cost and size, that could be “universal”, adjustable, as it can be set up in various configurations, according to the client’s needs. “Among the characteristics that make GGTronic 1000 so flexible,” Giana continues, “is the possibility to assemble an ISO 40 or 50 milling module, a correction module, a motorised disc tower, or a square tower and a 400 mm vertical milling upright and an ISO 40 18 KW needle, with the great advantage of being able to assemble the tools hydraulically. In this way, we are brought closer to the concept of a real work centre, with high production standards and the most accurate precision.” The GGTronic 1000 is equipped with Siemens numeric controls, but can also be equipped – depending on the client’s requests and needs – with other types of actions from other manufacturers. Furthermore, as there is no need for anti-friction materials for the running between the two levels – typical of traditional work centres – once it is assembled it requires very little maintenance. “We are available for any modifications required,” Giana explains. “To this end, we have also offered a teleservice for years, and we have equipped the GGTronic 1000 series with internal memory which can also be interrogated by the operator and which keeps track of all working times.” Giuseppe Giana’s innovations do not stop here: the company is working on the idea of creating another intermediate size of the machine, the GGTronic 1800, similar to the GGTronic 1000 but with a larger turning diameter, more power and two beds. “Finally, we are also creating a smaller product, the GGTronic 800. A project that, while challenged by the competition of machines produced in Eastern Europe and Asia, may also conquer other segments of the market which require simpler and cheaper work centres.” \\\\\ LUCREZIA GENNARI MARCH 2014
173
TECHNOLOGIES MAURO VITULANO
THE “INTELLIGENT” HAMMER The sector of earth moving and demolition are demanding better performance. Indeco introduces its range of new technologies
Indeco Ind. Spa is based in (Italy), in Milford (USA), in Winsford (UK), and in Altona North (Australia)
174
ITALIAN VALUE
www.indeco.it
MARCH 2014
he search for increasingly effective solutions has led us over time to create true technological “monsters”. This can be said of many sectors, but even more so for hydraulic equipment in earth moving, demolition and recycling, with a huge leap forwards in recent years. One of the companies that has most contributed to the evolution on an international scale is Bari-based Indeco, whose branches are scattered over all continents. “Indeco,” Mauro Vitulano, founder and CEO of the company together with Luigi Santoro, says, “still has the same corporate structure as when it was founded, remaining very family-based. Established in 1976 producing hydraulic demolition hammers, it has always aimed at promptly responding to the demands of the market, focusing on a satellite sales network and post-sales assistance, as well as counting on their design and development office. The latter, in particular, led us to patent the first “intelligent hammer” in 1986, able to adjust frequency and power of the blow depending on how hard the rock is. Since then, we have created fixed and rotating pulverizers, hydraulic grabs and other specific products for demolition and recycling. In 2008, we also exceeded all records creating the world’s largest hydraulic hammer. Even today, Indeco has continued to expand its range with new products such as the IHC compactor, the IDG sorting grab and the IBS series fixed pedestal boom system, and 2010 saw the arrival of the first ISS hydraulic shears which were designed for the iron recycling sector. As Vitulano himself admits, if Indeco has been able to reach important goals over the years, it is also due to the organisation of its commercial network. “We can count,” the founder of the Bari-based company says, “on stable partnerships in a large part of Europe and in particular France, Spain, Portugal, Germany and the United Kingdom with the Indeco UK branch, as well as
T
ITALIAN VALUE
11.050 kg
Hydraulic hammer 4.6 metres high, the Indeco HP 18000 is able to unload on a tool 250mm in diameter, a force higher than any other demolisher
our ranking as leader in Italy with a 30% market share. The American market is led by Indeco North America, established in 1990, which currently covers the entire territory of the USA, Canada and Central America with a network of 5 direct branches with warehouses and workshops, over 50 dealers and around 100 service centres. In 2011, we founded Indeco Mexico which deals with sales and post-sales service throughout the country. We also have an important presence in Brazil, Argentina and the whole of South America. Indeco Australia, founded in 1993, is today a leader with market shares of over 30%. The Indeco brand is also well established throughout Eastern Europe, especially in Russia, where it has premises. The company is present in a large part of the emerging markets such as the Far East, Africa and the Middle East through a network of dealers and uses its products to collaborate in creating the largest infrastructural works.” In July 2013, Indeco was awarded the “internationalisation” honourable mention of the “Le Tigri” award, promoted by Ria Grant Thornton. “Focusing on the extensive coverage of the sales network,” Vitulano explains, “is a strategy that has brought us success allowing us to promptly respond to the global market.” \\\\\ REMO MONREALE MARCH 2014
175
TECHNOLOGIES ANGELO VENTRELLA
ALUMINIUM, NEW APPLICATIONS Aluminium has revolutionised shutter systems. An example set by the Bari-based company Verolux, which has opened the way to even better performances t one time, they were made from wood and then it was the turn of PVC. But as soon as its potential was discovered, shutter producers chose aluminium as their material of choice: 90% of the international market of shutter systems excludes any other solution. Its possibilities of use increase with the advancement of research also supported by small individual manufacturers, as demonstrated by the case of Verolux. The Bari-based company, established almost a century ago, during the early eighties implemented a structural expansion, relying on a product (metal rolling shutters) that was still relatively unknown, but soon spread throughout Italy. “There are a number of reasons,” explains Angelo Ventrella “for the success of aluminium as a material for rolling shutters: it is lighter, more durable and provides better acoustic insulation than PVC or wood. Aluminium or steel shutters, insulated internally with polyurethane, therefore provide better resistance to burglary, an extremely important aspect in the Italian market, or to bad weather, something that is a crucial element in Caribbean countries, which are prone to natural disasters like hurricanes. In addition, it is one of the most popular recyclable materials.” In more detail, what are the characteristics of your flagship products? “We use high density polyurethane, which makes the product more durable. We have numerous profile sections, meaning we are able to satisfy any type of requirement on an international level. The markets, in fact, change their orientation towards the product
A
176
ITALIAN VALUE
↑ Angelo Ventrella, director of Verolux, based in Putignano, Bari, in Southern Italy.
↗ Butterfly ceiling opening system and ALK2S aluminium profile with metal core
MARCH 2014
www.verolux.com
based upon the profile dimension: those who are interested in saving on the final price prefer a thin profile, neglecting the safety aspect, while those who focus on the latter element prefer to invest in a thicker profile. In the former Yugoslavia, for example, robustness is not a factor as, for them, it is just a shutter system, while the opposite is true in Italy. With great pride, we are able to boast within our product range of a world exclusive, the result of years of experience and research in the sector. A profile for rolling shutters with internal metal reinforcement covered in medium density polyurethane with the possibility of having, upon request, one colour on the external facade and one on the inside, a very popular solution in North African countries.” What is the typical error of approximate production? “In our industry, there are more than a few companies that choose to reduce the thickness irrespective of the customer's requirements, in order to save on costs and increase their competitiveness. But creating profiles that are 0.25 mm thick means offering a poor ITALIAN VALUE
product that is not very resistant and will probably require more maintenance: this completely ruins the market. The price war brings nothing good.” What will be your next innovations? “We are entering the market of garage doors, which is based on the same technology with a much bigger profile, focusing, with some European patents, on simplicity of installation by the user. We have created a new ceiling system (Butterfly) with great reliability by eliminating the classic mechanism of steel cables: very strict testing has been performed on this solution, including one test where we simulate use protracted over 70 years, assuming two openings and closings per day. Everything still works perfectly.” \\\\\ RENATO FERRETTI MARCH 2014
177
TECHNOLOGIES GIANLUCA PAGOTTO AND GIANNI MARTON
ARTISAN PAINTING Painting solutions for the most difficult materials, such as polyethylene and carbon. The tradition and flair of Gianluca Pagotto and Gianni Marton etalvenice, an Italian company specialised in all kinds of industrial painting and treatment for third parties was one of the first European companies to develop a method for painting rotational polyethylene, carbon fibre and to identify new solutions for painting brass. “Our high productive quality,” says Gianluca Pagotto, manager of Metalvenice together with business partner Gianni Marton, “owes everything to our inventiveness, design and tradition: the only tools that allow us to conceive the most sought-after ideas and demands. Furthermore, we offer the market high quality products at industrial prices, despite the fact that our work is nearer to that
M
178
ITALIAN VALUE
www.metalvenice.it www.facebook.com/metalvenice www.twitter.com/MetalVenice
of an artisan tailor than to an industrial process. This has allowed us to work in high level sectors, such as supercars and superbikes (we process components that end up in the production of cars and motorbikes, in Italy and abroad), the design sector, light engineering and furnishings.” All the painting procedures of Metalvenice depend on the experience of their internal painters and technicians. “We process everything manually,” Gianni Marton adds, “creating each piece by hand and without using automated processes. MARCH 2014
EACH PIECE IS PROCESSED AND PAINTED BY HAND, WITH THE TIMES AND COSTS OF AN INDUSTRIAL PRODUCT
Nevertheless, giving importance to the added value represented by man’s work, his passion, professionalism and commitment, allows us to create artisan-produced pieces so precise they appear to be mass-produced.” Among the materials that Metalvenice paints are iron materials – with special effects on request -, plastic materials, carbon and polyethylene. “Over the last few years,” Gianluca Pagotto says, “we have specialised particularly in the preparation and painting of carbon
Opening, Gianluca Pagotto. In the Photos, phases of the artisan work processes of Metalvenice di Caselle in Santa Maria di Sala (Venice)
ITALIAN VALUE
and polyethylene, with shiny, opaque and two-tone finishes. In fact - even though we are a small business with a reduced investment capacity, which exports through some Italian partners - we are always pushing ourselves to be innovative and evolve our processes. For each client’s requests, we study and experiment different methods until we find the right solution, often introducing new procedures that, after the experimentation, also become work processes for large productions. This was the case in painting rotational printed polyethylene, a product that cannot, in fact, be painted. Similarly, we have introduced a new method for colouring brass. This project was also used to answer the demands of an important fashion house, which uses brass furnishing elements in their sales points.” The strength of this know-how is leading Metalvenice not only to serve Italy’s most important export companies, but also to establish relationships with foreign companies. \\\\\ VITTORIA DIVARO MARCH 2014
179
TECHNOLOGIES GIUSEPPE PACE
NEW SOFTWARE SOLUTIONS
Implementing solutions for multiple application fields: from industry to domotics to marine. Giuseppe Pace introduces JMobile software
n 2013, the hardware sales linked to JMobile software developed by Exor International remained strong. Hardware sales have finally shown that Exor has penetrated the standard market. The company - based in Verona - which exports its solutions to 35 countries, has developed and produced Human-Machine Interface (HMI) solutions for almost half a century for the Exor network and for their thirty partners and distributors. As Giuseppe Pace, the Ceo of the company, explains, “JMobile is an innovative software solution to create HMI applica-
I
Giuseppe Pace, Ceo of Exor International in San Giovanni Lupatoto (Verona)
180
ITALIAN VALUE
www.exorint.it
tions in a simple and intuitive way; it is part of our series of HMI UniOP. It is a powerful and versatile tool, designed to quickly create new applications even for the maintenance phase, so as to provide the final client with a made-to-measure tool for implementing solutions suitable for various application fields: from industry to domotics and the marine industry.” Which are the strength points of this software? “Simple and immediate use, efficient programming, graphics based totally on SVG technology, with the complete object-oriented planning of the dynamic functionalities. Moreover, the new platform offers users the advanced possibilities of inspection and remote supervision with client-server architecture based on web technologies, which are compatible with smartphone devices and tablets. Furthermore, the ability to acquire, archive and share data in higher level structures makes JMobile an efficient tool for integration at the corporate level.” What solutions does the UniOP family include? “It is currently available in over 100 different models and has a range of easily programmed HMI devices. This means it can completely adapt to different industrial equipment in the most varied application fields, as well as substantially reducing costs for the creMARCH 2014
THE NEW PLATFORM OFFERS ADVANCED POSSIBILITIES OF CONTROL AND REMOTE SUPERVISION
ation of applications and for their maintenance. Added to this, there is the new generation of touchscreen products (series 500 in the glass versions that are resistive and capacitive), that provides a compact solution not only for man-machine interfacing but also for control.” In which markets are you most successful? “Germany is certainly our top country (15% of our turnover), with the Netherlands in second place (14%) followed by the United States (13.5%). Generally speaking, we are organised abroad with exclusive local distributors and we have set up some compaITALIAN VALUE
nies in the main markets which, as well as distribution, also deal with a after-sales technical assistance service in the local language.” Are you taking part in any exhibitions this year? “We are participating in the Arab Oil and Gas Exhibition in Dubai, as well as the world’s largest building automation exhibition, Light & Building in Frankfurt. After that, we will be at Sps/Ipc/Drives, an exhibition that brings together international suppliers and producers of industrial automation, with two events in Parma (20th – 22nd May) and Nuremberg (25th – 27th November).” \\\\\ VALERIO GERMANICO MARCH 2014
181
TECHNOLOGIES ROLANDO ZANON
MEDICAL DEVICES, NEW DEVELOPMENTS Bi-material technology and its uses in the field of moulding medical and surgical devices. We hear from Rolando Zanon
i-material technology. This is the new frontier in the field of moulding medical and surgical devices, whose Italian sector stands at its forefront. "We use two plastic materials at the same time," explains Rolando Zanon, Director of Generalstamp based in Nogara, "and we are able to make improvements to the individual components. In this way, we can gain benefits in terms of both manufacturing and price. By moulding the two components contemporaneously, you can perform the assembly in the clean room at the same time. This is a huge step forward from the perspective of time optimisation but also, and above all, in terms of quality of the end product. In this sector, in fact, every movement of the product increases the risk of contamination. It is from this perspective that bi-material technology is proving to be successful". Since 1972, Generalstamp has dealt with the production and moulding of medical and surgical devices. "For more than 40 years, we have specialised in the moulding of plastic materials, particularly components for medical devices both for our own product line and on behalf of third parties. Working in this
B
Generalstamp is located in Nogara, Verona, North-East Italy
182
ITALIAN VALUE
www.generalstamp.com
sector requires knowledge and careful and controlled management of the production process as well as the workplace environment. We see, in the majority of foreign markets, close attention to product quality. Of course, it is a very delicate sector so we comply with precise regulations and we have obtained the following certifications: UNI CEI EN ISO 13485:2012 and UNI EN ISO 9001:2008. We also have the CE mark for inhouse production of medical and surgical devices. This is why we are focusing on niche products, where the focus is not so much upon quantity, but upon quality". Thanks to these acknowledgements, the Nogarabased company is proving to be a great success in many parts of Europe. "We intend to increase our presence in countries like the UK, France, Germany and the United States. In order to grow abroad, industry trade fairs are extremely important for us. Thanks to a trade show in Vienna we signed major contracts with Austria and we managed to agree on the delivery of 400,000 infusion sets per month for that country. The next major events will be the medical trade fair in DĂźsseldorf, in November 2014, and that of Dubai, in January 2015Âť. MARCH 2014
10%
Investment Share of turnover that the company allocates each year to the development of new technologies to be applied to the moulding of medical and surgical devices
ITALIAN VALUE
In regards to 2013, on the other hand, Generalstamp saw a 12% increase in its turnover. "A significant percentage," concludes Zanon, "also due to the operations that the company recorded between 2012 and 2013. In 2012, in fact, many companies in the region, due to the earthquake, transferred here to us because we were among the few to have maintained operations in the ISO8 clean room, as well as in an ISO7 moulding department. A service of enormous quality, dealing with controlled and monitored environments. All this is possible only thanks to the research and development service which has always been a priority within our firm. Every year, we invest 10% of our turnover in innovation; this is how we have identified the latest techniques, like bi-material technology. It is within this context that we intend, this year, to acquire new clients, helping them to implement their projects and providing suitable assistance both at a quality and technical level". \\\\\ MATTEO GRANDI MARCH 2014
183
TECHNOLOGIES LORENZO LOMBARDI
IN PRINTING PROCESSES AUTOMATION WINS Northern Italy SMEs conquer the market in the field of mechatronics, despite the lower prices of international competitors. Analysis by Lorenzo Lombardi
echnological development and international distribution are equal in the mechatronics field. As possibilities increase, in materials as well as speed and the simplification of processes, so does interest - without geographical distinction. The only possible geographical distinction regards the world’s main focal points of innovation, one of which is certainly Northern Italy. Here, small companies are the heart and soul of research in the sector; it is no coincidence that this sector shows no signs of being affected by the crisis. In Brescia, the Lombardi company, which designs and creates flexographic narrow band printing machines and post-digital printing finishing machines, is an example of the record held by Italian companies. “2013,” said the manager Lorenzo
T 184
ITALIAN VALUE
Lombardi, “was a year of various investments: among others, in research and development for product innovations through new technologies, in process innovations by reorganising the production system and in exhibitions and marketing solutions to find new commercial networks. The main market in which we operate is that of adhesive labels. Narrow band print machines are mainly created and developed to implement this sector. In reality, with the evolution in technology - which has seen an increasing number of
www.lombardi.it
MARCH 2014
12
Micron The size of the plastic materials that can be worked on by Invicta, an advanced flexographic printing machine model from Lombardi
materials and supports being used - the market has expanded to packaging and the small paper and cardboard industry.” Which are your main machines and what are their most important technical characteristics? “Our main model, Invicta, is the highest level in terms of automation. The idea is to minimise the operator’s work in the printing process and, above all, in preparing the machine for the work: sleeve technology, completely gearless, automatic recording, automatic pressure, short paper passing. Invicta allows us to work on all kinds of material, from thin card to plastic materials, and adhesive labels, reducing all waste to a minimum and guaranteeing excellent print quality. We have also set up Digistar, a system of solutions that can be modulated for post-digital print finishing touches including punch cutting, lamination, hot or
From the left, director Lorenzo Lombardi, president Claudio Lombardi and sales manager Massimo Lombardi of Lombardi in Brescia, Northern Italy
ITALIAN VALUE
cold gold plating, and serigraphy.” In which markets are you established? “We are still building up our commercial network. We are well established in Spain, France, Eastern Europe and in general throughout the old continent, North Africa, Central Africa, the Middle East, South America and India. By continuing on our journey of technological growth, thereby increasing our products’ performance, in the future we could break into the markets of the Far East, for example China.” How important are sector exhibitions? “Exhibitions certainly have lost the fundamental role they had in the past: information moves quickly through other channels now and clients have faster, more efficient and convenient ways of learning of innovations in the sector. The exhibition’s role is still linked to a company’s reputation, however, and the chance for dealers from different countries to meet.” \\\\\ REMO MONREALE MARCH 2014
185
BUSINESS MODELS VERONICA FINETTO AND ALESSANDRO PIAZZA
CAR PARTS, ASIA IS AT THE FOREFRONT The automotive after-market spare parts industry of Asian production knows no crisis. Here to tell us about it are Veronica Finetto and Alessandro Piazza of Japanparts ccording to Veronica Finetto, director, along with Alessandro Piazza, of Japanparts, an Italian company that imports and distributes automotive after-market spare parts of Asian production, in 2013, "despite the general difficulties of the automobile market, the spare parts industry has not suffered particular setbacks. On the contrary, the overall decline in sales of new cars has generated favourable repercussions for spare parts dealers. However, we have recorded different trends for sales in Italy and those in the rest of the world. Whilst, in Italy, the difficulties linked to the period have forced customers to make smaller but more frequent orders, abroad, on the other hand, the market has maintained practically constant growth rates throughout the year, with the usual peaks in July and December." As it is not a manufacturing but a distribution company, Japanparts concentrates its investments primarily in logistics. "We have kept our DNA intact as an exclusively trading company. Our suppliers are spread across Asia and are chosen on the basis of strict criteria: service, quality, speed and reliability. In addition to this, logistics is the business
A 188
ITALIAN VALUE
MARCH 2014
Japanparts is based in Verona, Northern Italy
segment in which we have invested most heavily. At present, we have behind us a warehouse covering a total area of 18,000 square metres and a completely automated management system so we are able to handle over 1,000 incoming containers on an annual basis and prepare orders for thousands of items in the space of 24 or 48 hours." True to the philosophy expressed by the acronym DQP (fast Delivery, good Quality, competitive Price), Japanparts sells products by diversifying them across three brands: the historical Japanparts, the now well-established Ashika and the armed and ready Japko. "Exports, at this time, allow us to achieve the best performances in terms of turnover. In fact, Japanparts' registered products are shipped to 60 countries around the world, ranging from Africa and Latin America to the countries of Oceania. In addition to this, Russia and the countries of the former USSR alone represent a quarter of our total export market. And the reason for this particular affection in Eastern European countries for our trading activities is linked to various factors: our offer of complete products; our good quality and competitive price; our investments in terms of trademarks and the certifications GOST (Gosudarstvennyj Standart) and EAC (EurAsian Conformity), which allow us to export freely to
www.japanparts.it
ITALIAN VALUE
OUR SUPPLIERS ARE BASED ALL ACROSS ASIA AND ARE CHOSEN ON THE BASIS OF SERVICE, SPEED AND RELIABILITY these countries; our integrated logistics and use of top level partners, able to meet the delivery deadlines required by customers promptly; and our management of packaging which can be customised to fit our customers’ requirements." Japanparts' export branch is characterised by a streamlined structure based on a team of area managers, each of whom deals autonomously with a group of countries. "Frequent trips abroad allow our managers to support customers and to guide them in their choice of the brand and the items to keep in stock. In the most important countries, our structure is enhanced by agents who handle relationships with customers directly in the area, while the customers use a computer platform designed to put them in the condition to submit orders, manage guarantees and billing and all other aspects linked to the sale, directly in their reserved area." Another promotion tool is constituted, finally, by trade shows. "After our recent participation in Autopromotech in Bologna, at Equip Auto in Paris and at Mims in Moscow, in September 2014 we will exhibit at Automechanika in Frankfurt, a major industry event." \\\\\ VITTORIA DIVARO MARCH 2014
189
BUSINESS MODELS CARLO BIGI
ELECTRICAL PLANT ENGINEERING BECOMES SPECIALISED Boarding gangway and networking cable raceways. The ultra-specialisation of Carlo Bigi’s company and his original communication choices
ocusing on a niche market such as the nautical industry with non-standard products, has meant that For M.A., a small electrical plant engineering company, could specialise in the sector’s specific needs and be the first to bring electrowelded networking cable raceways to Italy. Then, through word of mouth, this result led them to expand to markets such as the USA, Northern Europe and North Africa. As Carlo Bigi, owner of For M.A., says, “Our products are all developed in collaboration with the clients themselves and therefore are created for specific applications. The top product, for us, was the large mesh gangway. The nautical sector appreciates this product for its ease of use in very limited spaces. In fact, it allows the operator to put his hands through it even from the end of the gangway, thus reducing cable laying and wrapping times, while maintaining the technical characteristics of other, more renowned, brands. And as well as its application in the nautical industry, this type of product today is also used in large photovoltaic systems, where it favours practicality and economy – the market of the future, in particular of alternative energy sources, is a chance for us to develop new products and new work opportunities. This is possible thanks to the lean production system.” The research and development of products that fur-
F
192
ITALIAN VALUE
www.for-ma.it
ther improve performance has led For M.A. to concentrate on producing “boarding” gangways with double breast bands, permitting the installation of 60% more cable compared to traditional gangways. “At the basis of our growth and expansion abroad,” Carlo Bigi continues, “there is our conviction in putting through avant-garde production methods, regarding both MARCH 2014
+60%
cables installed For M.A. produces “boarding” gangways with double breast band, allowing more cables to be installed compared to traditional gangways
Carlo Bigi, owner of For M.A. in Ronchi di Villafranca (Padova)
equipment and systems, as well as in divulging an efficient productive and organisational system culture. Furthermore, we care a lot about emphasising the Italian value of our products and our origins. Our products are represented by the technical skills of the entire chain of satellite companies - in particular those located in North East Italy - where we have creITALIAN VALUE
ated strong relationships with our suppliers in order to propose innovative solutions; such as, for example, specific surface treatments, that give added value to the finished product.” Concerning marketing, the Veneto-based company does not rely on market research or intensive promotional activities. “We have obtained better results through word of mouth which, though it appears contrary to today’s sales settings, guarantees the foundations of direct relationships.” Finally, and to strengthen this strategy, For M.A. proposes an image that is different from the classic schematic and technical representation. “In fact, today’s context makes direct communication harder and globalisation increasingly allows multinationals or large businesses to set the rules while looking exclusively at the financial side. Moreover, to emphasise and publicise our products, we thought it was time to distance ourselves from the ordinary and offer an innovative image. Bringing us the inspiration to transform our most successful products into an elephant, a fish of the abyss and other imaginative creations.” \\\\\ VITTORIA DIVARO MARCH 2014
193
BUSINESS MODELS MARCO GIORGIO SPINI
UNIQUE MODELS IN METAL STRUCTURES The creation of peculiar structures, with more competitive costs and timescales, represents an added value compared to standardised production 196
ITALIAN VALUE
MARCH 2014
www.ocml.net
he metalworking industry represents an added value for the whole Italian manufacturing sector. Industrial production and exports have, however, declined in recent years. And, paradoxically, a large-sized company can be more exposed to the global economic crisis. This is why elasticity and flexibility become essential characteristics. This is the case of Officine Costruzioni Metalmeccaniche Lombarde (OCML). "Ours is a small - medium enterprise," says its director Marco Giorgio Spini, "however, we have obtained all the quality, system and specialisation certifications, with the hopes of providing our customers with a service that can compete with the industry's larger companies." Its reduced dimensions and ability to create unique pieces represent the added value of this company based in Bergamo, Northern Italy. "We are sort of "craftsmen" of metal structures but with the same qualifications and efficiency as the large enterprises," confirms Spini. "The two covers that we created for squares in Milan and St. Petersburg are unique pieces that a large company would have had trouble creating in the same timescales and at the same costs. The design and construction of special structures represents one of our unique characteristics." For Spini, OCML's model is comparable with that of skilled tailors creating models with exquisite quality and high level finishes, against an industrial production that mass
T
ITALIAN VALUE
↖ Opening page, the cover of a square in Milan ↑ The cover of a square in St. Petersburg (Russia) ↙ A production plant created in Emilia. OCML is based in Costa di Mezzate, Bergamo, Northern Italy
produces large quantities of garments in huge manufacturing runs. "Over the last three years we have worked almost exclusively for Italy," continues the OCML Director, "but our products have been exported to Russia and many other countries, also by way of Italian clients: in past years, in fact, we have often worked with Arab and Middle Eastern countries. In the world, there are competitive companies that often put leverage on the lower cost of labour but on the foreign market, in the case of special projects, OCML can hold its own with advantageous costs and timescales and with the accuracy and quality that makes our company stand out." Currently, OCML is participating in the restructuring of various buildings in Milan which is preparing to host the 2015 Expo. "It is not a case," explains Spini "of constructing a shopping centre or a parking lot from scratch but a matter of working on an existing building, studying day by day the changes to be made for the new use, with particular attention to conserving its artistic heritage.” Spini, finally, focuses on the importance of collaborators. "We have qualified technical personnel, such as the designer, the director of the transformation centre, and a group of workers trained to deal with and resolve various problems. We all pursue a common goal with passion and sacrifice: to create innovative and functional structures." \\\\\ LORENZO BRENNA MARCH 2014
197
BUSINESS MODELS LUIGI RUGGIERO
WATER WORKS, THE NECESSARY INTERVENTIONS The Bari-based company Faver under the microscope. Cutting-edge industrial activity and a manufacturing experience that looks to foreign markets
ome macroscopic activities, such as the supply of public water, are so taken for granted as to forget the amount of work and the high specialisation they require. Bari-based company Faver has managed the maintenance of the large water supply systems of Italy's southern regions of Puglia and Basilicata for years, always with prompt interventions, working on thousands of kilometres of underground pipes and also inside water tunnels to repair structural failures and collapses. The technical and technological commitment of the Apulian company also extends to other areas of intervention. "Our current core busi-
S 198
ITALIAN VALUE
ness," explains Luigi Ruggiero, Faver's Chairman, "draws its origin from the company's historical activity in the field of hydraulics applied to the construction and maintenance of large water supply systems, the water "highways" that serve Puglia and Basilicata, now managed by Acquedotto Pugliese and by Acquedotto Lucano. These are pipes that reach up to 3 metres in diameter." The head of this area is Vincenzo Ruggiero. "In addition to this, we build waste water and drinking water treatment plants. Moreover we work on dams, irrigation systems and other water systems of inter-regional importance. Based on our experience in the hydraulic field," continues Ruggiero, "we created two MARCH 2014
www.faver.net
3 metres other complementary divisions: an electromechanical unit, run by my brother Marco, and another that is typically based on metalworking, aimed at the wide market of private clients and industry." The division, coordinated by Maurizio Ruggiero, ranges from constructions of steel beams for industrial buildings to production of large-sized pipes for pipeline and wind power plants. Similarly, the company produces cylindrical tanks, circular or polygonal towers complete with special pieces for the foundation or superstructure. Company's most articulated metalwork constructions have been used in the maritime, energy or military industries. "Steel foundries are our major clients" explains Maurizio "for the structural restoration of large valves, along with companies that run thermo-electric power plants and wind farms. In our factory, we have spaces and equipments that allows us to work on big projects. We are able to build any kind of hydraulic machine for water storage and control: we are currently working on sluice gates measuring 4 by 5 metres, but we have also reached 16 metres in length. In the industrial field we build special welded valves
Faver is based in Bari, Southern Italy ITALIAN VALUE
The diameter The valves created by Faver, used for major hydraulic works, are large-sized, with extremely reduced delivery timescales
for water, gas and waste liquids, for any operating temperature, capacity and client’s specific construction requirements." Up to now Faver has worked as a subcontractor. "However, now," conclude the Ruggiero brothers, "we are definitely ready to work as direct suppliers, creating products also on licence from foreign companies. We have a streamlined and efficient organization that allows us to operate even abroad. Our competitiveness stems from the price that we are able to offer to our customers, from our financial strength and also from our capability to achieve complex and large-sized jobs in short timeframes. This is the result of a prudent and attentive company policy developed over almost 40 years, which has influenced the company leading to its operational competence on large-scale hydraulic works and in the crowded mechanical and electro-mechanical market." In a nutshell, the remarkable working commitment of a family of entrepreneurs. \\\\\ RENATO FERRETTI MARCH 2014
199
BUSINESS MODELS PIERFRANCESCO MORGANTI
COSMETICS: RESEARCH IS INTERNATIONAL The new frontiers of cosmetics are chitin nanofibrils. Pierfrancesco Morganti explains the applications and uses studied at Italian and foreign dermatology hospitals o offer to the international market of cosmetics highly innovative and patented products: this is the mission of Mavi, a company specialising in the formulation and production of cosmetics and nutraceuticals distributed to pharmacies and beauty centres. “Our lines,” explains Pierfrancesco Morganti, owner of the company, “are characterised by the use of innovative active principles conveyed with chitin nanofibrils (CN, Mavi world patent), able to create complexes with many ingredients that not only make the active principles more effective but also facilitate their penetration through the layers of the skin.” Every year, Mavi invests approximately 20% of its turnover in research and development. “We have put together a pilot system for the production of chitin nanofibrils (CN) on which we have conducted many studies at Italian, European and non-European dermatology hospitals.” What exactly does CN consist of and how does it work? “CN is the crystalline and purest portion of chitin, a natural sugar derivative which is derived from fish processing. It is extremely effective and has no side effects. It is able to bind to itself other natural electronegative polymers, thus trapping active ingredients, such as vitamins, amino acids, trace elements, etc. in order to
T
www.mavicosmetics.it
200
ITALIAN VALUE
Pierfrancesco Morganti, owner of Mavi, based in Aprilia, Latina, in Central Italy. On the opposite page, a line of Mavi products
form fully-fledged complexes known as block-polymers. They are able to cross the different skin layers, making the active principles more effective at different levels and at different times, based upon the formulation design and production methods used. Again, clinical studies have highlighted the significant anti-aging activity of these complexes when incorporated into cosmetic emulsions (QM Anti-age Line). Therefore, with this innovative technology, using nanostructured complexes of varying size and composition, you can get the most effective cosmetic products." Do chitin nanofibrils have uses in areas other than cosmetics? “Thanks to Mavi's participation in European research projects, it has been possible to create transparent MARCH 2014
10 trillion
tonnes/year Quantity of global production of chitin, derived from the industrial waste from fish processing, of which approximately 25% remains accumulated as waste
films used for packing food products or to create advanced wound dressings. In addition, using electrospinning methodology, special beauty masks and the latest generation of dressings can be created, suitable for use in burns and skin wounds of various origins. All these innovative technologies are based upon the use of CN which, obtained from the industrial waste from processing shellfish, can be bound to other natural polymers obtained from vegetable biomass. This is why Mavi can now be classified among the companies orITALIAN VALUE
ganised according to the canons of bioeconomy, also known as green economy or ecological economics." What are your prospects and objectives for the medium and long-term? “The medium-term prospects are to establish joint ventures with those companies that, sharing the spirit of the green economy, are interested in encompassing our policies on the use of chitin nanofibrils and vegetable polymers in the cosmetic, pharmaceutical and food industries. Through other studies that have already been established, we are also interested in liaising with companies of the agricultural and food sector for the use of chitin derivatives such as natural biocides that are also able to accelerate the growth of plants and flowers in greenhouses." \\\\\ CARLO GHERARDINI MARCH 2014
201
BUSINESS MODELS GIANLUCA BATTISTI
NEW MACHINERY FOR AIRLINES An Italian industrial group that supplies global giants such as Boeing, Airbus and General Electric. Gianluca Battisti presents the latest technological innovations he widespread use of carbon fibre composite materials in the aerospace and wind power sectors is inspiring technology producers to develop new systems for manufacturing both mechanical and structural components. This is the case for the Parpas group which, as a producer of advanced milling machines and machine tools, is working on developing this system, also used in the automotive industry and general mechanics. Here to tell us about it is Gianluca Battisti, International Sales Director: "We have invested in precision and in production reliability in order to create innovative systems - our patents - that control processing temperatures which have, in the past, caused heat deformations in the machines. The new lines of machinery are already on
T
the market and have been supplied to airlines such as Boeing and Airbus, which are using them to construct, respectively, the 787 and the A350, two newlydesigned models of civil aircraft, in which carbon fibre composite materials are used in large quantities. Looking to the future, we are also aiming to improve the precision and reliability of our machines, so we are conducting research on the possibility of no longer constructing them from steel and cast iron, but using other types of materials that are better able to resist the stresses to which the machines are subjected thus ensuring greater production repeatability over time". The Parpas group sells machinery all around the world, also through two other proprietary trademarks, OMV and FAMU, however, its most important markets are Europe, the United States, South-East Asia, China
WE HAVE INVESTED IN PRECISION AND IN PRODUCTION RELIABILITY IN ORDER TO CREATE INNOVATIVE SYSTEMS 202
ITALIAN VALUE
MARCH 2014
THE GROUP'S TRADEMARKS: OMV AND FAMU The Parpas Group is based in Cadoneghe, Padova, Northern Italy
T
he top feature of the Parpas Group is building made-to-measure machine tools, designed to the specifications of the customer. This possi-
bility has been strengthened over time by the creation of two trademarks, which are also fully-fledged and India. "In 2013," continues Battisti "our turnover businesses, specialising in the production of special increased by approximately 6% and that trend has lines of machinery. OMV (Officine Meccaniche continued in the early part of this year. These results Venete) creates high-speed machines that boast, in are mainly due to our exports. In fact, even though we addition to processing speed, high precision and still work for Italian energy groups, such as Ansaldo flexibility. FAMU (Fabbrica Accessori per Macchine and Nuovo Pignone, 80% of our turnover now comes Utensili) also forms part of the Group, founded in from exports, as a result of the growing demand for 1978 to meet the increasingly pressing demand for technology, power and precision by leading operators specific production accessories, such as rotary taworldwide, especially in the sector of wind turbines bles, special heads and tool magazines. Now, in adand thermal power plants. It is to mention that we dition to manufacturing accessories, FAMU also supply the US company General Electric". creates small and medium-sized milling machines The focus on exports by the Parpas group originated with a portal frame. in the 1970s. "At the time, we traded with Eastern European countries, when it was difficult due to the Iron Curtain. Even in later decades, however, the domestic market share of our turnover was still the majority. The trend that saw a growth in exports began when local presence, in about 1995. Since then, our exports we entered the United States market directly, with a have steadily increased, reaching half our turnover in the early 2000s and then taking a stronger hold in the years following the economic crisis of 2009 until www.gruppoparpas.com today; they now represent the largest share of our business.\\\\\ LUCA CĂ€VERA ITALIAN VALUE
MARCH 2014
203
ITALIAN QUALITY GIUSEPPE LIBERATORE
MORE PROTECTION FOR ITALIAN PRODUCTS The Consortia are engaged in an ongoing effort for the protection of Italian designations and trademarks around the world
� For further information on Italian products with protected designation of origin
206
ITALIAN VALUE
MARCH 2014
→ Giuseppe Liberatore, Chairperson at Aicig
talian wine and food products with recognised quality persuade more and more foreign consumers, too. It is important to raise consumer awareness about the quality associated with the product, which is also the first step to fighting counterfeiting. “The Consortia, associations of producers who are assigned an expertise in the protection and enhancement of our wine and food delights, explains Giuseppe Liberatore, Chairperson at AICIG, the Italian Association of Consortia with Geographical Indications – do everything possible to stem illegal activities and unfair commercial conduct, especially in foreign markets. In this context, however, the support provided by public institutions seems insufficient”. On which fronts is the association currently involved? “AICIG supports the initiatives of individual producer associations recognised by the Italian Ministry of Agricultural and Forestry Policy. It directly follows the evolution of legislation at the international, community or national level in order to protect the interests represented by the Consortia. In this sense, I would like to point out the action taken by AICIG in bilateral negotiations promoted by the EU and non-EU countries aimed at contributing to the lowering of customs barriers, which impede trade between geographical areas”. Today in Italy there are 241 products with recognised geographical indications. How is the importance of the Consortia implemented in Italy? “If we have managed to reach this result (there are cur-
I
ITALY CONFIRMS ITS CONTINENTAL LEADERSHIP IN TERMS OF CERTIFIED PRODUCTS WITH A PROTECTED GEOGRAPHICAL INDICATION ITALIAN VALUE
MARCH 2014
207
ITALIAN QUALITY GIUSEPPE LIBERATORE
260
PDO and PGI Italian certifications currently enrolled in the European register of protected geographical indications and designations of origin
20 million Yearly investments in the control and certification of Italian products
rently 260 Italian PDO and PGI enrolled in the European register of protected geographical indications and designations of origin), it is important to highlight that the economic value of our PDO and PGI represents almost 40% of the European certified production. Italy confirms, thus, its continental leadership in terms of certified products with a protected geographical indication and turnover generated by the operators of the production chains involved. Part of this value must surely be attributed to the activities of the producer associations. The effort steadily carried out by the Consortia for the protection of designations and brands worldwide should be particularly emphasised”. Quality is the main feature of all certified products and its protection is a debated topic. What is the situation at the national and European levels? “Apart from the economic value, Italian PDO and PGI products are surely at the top for quality, too. We should not forget that the whole system invests over 20 million euro in controls and certifications each year. This is to verify the compliance with procedural guidelines of all production phases and to safeguard the final consumer as well. The introduction of the institution of ‘ex-officio’ protection in the European legislation indicates very pos208
ITALIAN VALUE
itive news in the direction of the pursuit of a more effective protection of the system of designations”. You have declared that uniqueness defends itself through information. Are people sufficiently informed about the uniqueness of our products? “A major participation in terms of information to the final consumer would be appropriate, because the consumer often does not know the peculiarities of the PDO and PGI system. The European Commission itself should try to identify institutional means to more easily transfer this information to buyers. The so-called “promotion package”, currently under discussion at the EU level, is an important occasion to direct the available financial resources towards initiatives aimed at spreading the profound significance enclosed in the products with protected geographical indication and the European product quality schemes set up for their protection. A differentiation on the shelves of distribution should be taken into account. This measure would avoid confusion among consumers, often deceived by the close positioning on the shelves of department stores of genuine quality-certified products and dubious imitations sold at uncompetitive prices”. \\\\\ NICOLÒ MULAS MARCELLO MARCH 2014
FOOD PRODUCTS MAURIZIO MARTENA
A GEM OF FLAVOUR Italian hams, mountain aromas, salt, lard with rice flour. And plenty of craftsmanship. We hear from Maurizio Martena and his colleagues
www.prosciuttificiodibassiano.com
210
ITALIAN VALUE
MARCH 2014
weet, dry, aromatic, the result of a minimum curing period of 18 months, lasting up to 24 months. This is Bassiano raw ham, a traditional meat in the area of the Lepini Mountains, in Lazio. Its goodness is the result of the rich mountain aromas, to which local artisans wisely add salt, natural flavours and lard with rice flour. For the production of this raw meat, Prosciuttificio di Bassiano, run by Maurizio Martena, is included in the national list of traditional Italian agricultural food products (Official Journal of the Italian Republic no. 159 dated 11.07.2011). "What makes our ham stand out," explains Martena, Managing Director of the company, "is primarily its artisan, handmade character. This of course means small-scale production - we make roughly 50,000 pieces per year - but with great care. During curing, for example, every pork thigh, which must be strictly Italian, is taken in hand more than ten times and treated as though it were a real jewel." A gem of flavour for which there is no need for additives. "We do not use nitrates or nitrites," continues Martena, "and our whole production is dried only and exclusively in the air of the winds that blow through our mountains at an altitude of 750 metres above sea level. Another detail, then, is that we only use rice flour for the larding and this also makes our raw ham suitable for coeliacs. In fact, we have already started the process of obtaining the “spiga barrata� coeliacfriendly mark and certification issued by the Italian Coeliac Association, which will also add us to its reference book. In addition, we have obtained the ISO 9001:2008 and ISO 22000 certifications". As explained by Massimo Peruzzi, consultant for certifications: "We have already implemented a quality certification system in line with ISO 9001 and also a food safety management system in accordance with the ISO 22000 standard, thereby creating an integrated system."
S
Maurizio Martena, owner of Prosciuttificio di Bassiano, Lazio, Central Italy
ITALIAN VALUE
27.4 bn
The value in euro of Italian food 2013 marked a record year for exports of food products in Italy, increasing by 80% in 10 years (source: Nomisma)
The artisan nature of Bassiano raw ham does not exclude experimentations, which the company has performed in collaboration with the Bio-Medical University Campus of Rome as part of the AromaFinder project. The project, overseen by a team of researchers from the Bio-Medical Campus, had a multidisciplinary nature, thanks to the collaboration among various units forming part of the areas of medicine, engineering and geography, which worked predominantly on studying the quality of foodstuffs at a global level (authenticity, safety, preservation, nutritional value and consumer satisfaction). The combined expertise of these researchers allowed us to characterise Bassiano raw ham both from a nutritional point of view and as a typical product linked to the territory of the Lepini Mountains. And from this collaboration, a technical innovation was developed for the non-destructive assessment of the quality of seasoned foodstuffs based upon their volatile fingerprint, or their aroma. This technology, applied to Bassiano ham, allowed us to establish its degree of curing with a maximum error of 20 days, to identify any adulterations and damage due to poor preservation and to be effective in differentiating the aroma of the ham based upon the curing location of the product. MARCH 2014
211
FOOD PRODUCTS MAURIZIO MARTENA
THE PLACE OF ORIGIN
W
ith its 562 metres above sea level, Bassiano belongs to the mountain communities of the Lepini Mountains, in Central
Italy. The town is drenched in mediaeval and renaissance history, with a mediaeval, harmonious structure of interest to tourists, also thanks to the surrounding areas, which offer a setting of untouched natural beauty. In addition, Bassiano has obtained the Bandiera Arancione ("Orange Flag"), a tourism-environmental quality mark from the Italian Touring Club, which has recognised, for the Lazio municipality, the quality of its typical local products, clean air and environment. The latter are factors that contribute to the production of Bassiano ham, a product that is made using fresh pork thighs through processes based on traditional techniques of dry-salting and curing at room temperature. At the end of 18 or 24 months of curing, the thigh has a semi-gloss red-pink colour, with a sweet and aromatic flavour.
The unique characteristics of Bassiano raw ham make it a widespread product across all of Italy (with 50% of its turnover deriving from large-scale distribution and the other 50% from HORECA) and abroad. "Currently," explains the Sales Director Emanuele Lemma, "also due to our small production numbers, we only export to Norway. However, distributors in other countries, such as Denmark, the United Kingdom and Ireland, have begun to show interest, and thanks to these contacts, we expect to be able to bring these new opportunities to fruition in the coming months. In any case, our aim is to conquer niche markets, which are able to appreciate the quality of our ham. We are also working to obtain a company registration at the Food and Drug Administration of the United States, so that we can obtain the permit to export to North America." \\\\\ VALERIO GERMANICO MARCH 2014
FOOD PRODUCTS ALBERTO CAPUTO
READY FOR EXPORT he harshest criticts of a typical food product are, as is well-known, the locals. The Caputo cheese factory, at the heart of Agro Aversano, in Caserta (South Italy) is proud that its buffalo mozzarella “has passed the implacable judgement of our community”, as the owner Alberto Caputo says. “Our manufacturi process involves the use of a dairy product (fresh milk) which is subject to several parameters, including climatic ones. For this reason we constantly invest in improving the process to guarantee the highest quality which is the forefront of our consumer’s satisfaction.” In addition, the Caputo factory rigorously complies with the standards set by the Consortium of PDO (Protected Designation of Origin). Their product, Buffalo Mozzarella, is monitored by countless quality controls that assure its superior characteristics along with constantlinvolvedin training courses. This as well as the development in production systems has brought the fresh product in line with the packaged product destined for distribution in the national territory and abroad. "We have managed to standardise a highly innovative production process," continues Caputo, "respectful of all the wisdom of artisan processing, and now we are marketing new products based on PDO buffalo milk, such as panna cotta, crescenza cheese and caciottine cheese. This commitment has allowed us to focus our attention on two promising markets: France and the USA. And for this purpose we use only reliable sales channels and distributors of Italian PDO products." \\\\\ RM
T
ITALIAN VALUE
After passing the implacable judgement of its fellow community, buffalo mozzarella is ready to step up. Beyond borders
Caseificio Caputo is based in Teverola, Caserta, Southern Italy
www.caseificiocaputo.it
MARCH 2014
213
FOOD PRODUCTS CATERINA FIUME
NECTAR OF PUGLIA The flavour of typical Italian liquors and syrups. Caterina Fiume explains how traditional methods meet innovation
ypical Apulian liquors and syrups that embody the Made in Italy quality and win over clients from around the world. “Our products,” explains Caterina Fiume, Ceo of Fiume, “come from the ancient recipes of Italian tradition, in particular from Puglia. Such as almond milk, a syrup that is still processed today following the age-old artisan method, but using state of the art industrial systems. We are proud to have maintained the recipe and productive elements constant over time, a factor that distinguishes us from all other companies in the field. It is the recipe of our grandmothers who made almond milk at home, but we have always followed precise rules to guarantee the quality and standardisation of our product. We only choose sweet almonds gathered in the area and we mix them with a small amount of bitter almonds. This makes all the difference, giving the syrup an exceptional fragrance and a natural aroma. The production process is long and arduous: we chop the almonds, mix them with water and centrifuge the lot. In this way, we separate the liquid from the fibre, a semi-processed product that we then use to make other products. The white liquid, similar to milk which is where it gets its name - is sweetened, fragranced, pasteurised, cooled and filtered. It is then ready to be bottled.” Fiume products adapt to the needs of large distribution, retail, wholesale and the HORECA channel. “Thanks to the characteristics of our products,” continues Caterina Fiume, “we can satisfy demands from all kind of users, uniting tradition with innovation. Among our most appreciated products are Amaro Pugliese, Biliq and Amarùm. The first is made follow-
T
214
ITALIAN VALUE
Fiume & Lippolis is based in Putignano (Bari) Southern Italy
www.fiumespa.it www.biliq.it www.amarum.com Facebook: Fiume & Lippolis S.p.A.
MARCH 2014
WE CHOOSE ONLY SWEET ALMONDS GATHERED IN OUR AREA AND WE MIX THEM WITH A SMALL AMOUNT OF BITTER ALMONDS
ing a traditionally Apulian recipe and is an infusion of over 40 aromatic herbs, many of which are typical to our area: bay, sage, lemon, artichoke, liquorice. The herbs are infused in pure alcohol for around two months and shaken regularly. They are then squeezed and we extract the alcoholic liquid part, to which we then add essential oils and sugar. The result is a very pleasant and popular amaro. Biliq, based on a unique infusion of ITALIAN VALUE
herbs and orange-blossom is “beyond” the bitter liquor, it is evolution. It won the Agorà 2009 award for best packaging. Its presentation is what makes it innovative: upside down and balanced on a refrigerating dispenser that pours it at -10° C. It was created to answer the demands of the HORECA channel and has reaped great success abroad, especially in China. Last but not least, Amarùm. This product is also inspired by the infusion tradition and fully reflects our company’s qualitative choice. In it, the infusion of herbs and walnuts is blended with aged Jamaican rum, resulting in a surprising blend, which is unique on the market and which in 2008 was chosen among the 100 most innovative products at SIAL in Paris. This product is mainly aimed at foreign markets, as it unites tradition, research and knowhow.” \\\\\ EMANUELA CARUSO MARCH 2014
215
FOOD PRODUCTS GIUSEPPE, UMBERTO AND MAURIZIO PARISI
CONSUMPTION OF NUTS IS INCREASING
State of the art machinery, efficient and focused marketing strategies and, above all, the passion and knowledge of who has produced nuts for almost a century he harmony between tradition and innovation. Tradition, on one hand, with its values, guarantees wholesome, superior quality products. Innovation, on the other, offers the most advanced technology in product selection, packaging, and warehouse logistics, all guaranteed by extremely precise quality control systems. The most important department in Parisi is, in fact, quality control. Having started with a small production of walnuts, hazelnuts and almonds, the company today has modern machinery that can process around 60,000 kg in a single day, while the artisan toasting systems produce 10,000 kg a day. “A journey,” Maurizio Parisi explains, “that is characterised by high quality, as attested to by our numerous certifications: a journey that started back in 1998, when Parisi was awarded the ISO 9001 certification, one of the first in its sector.” Pistachios, walnuts, hazelnuts, almonds and peanuts Giuseppe Parisi, centre, owner of Parisi in Somma Vesuviana (Naples) Southern Italy, are the Campania-based company’s core business. “Our with his brother Maurizio and his son Umberto main products are mainly whole walnuts which we now produce in quantities exceeding 2,000,000 kg per year. On the other hand, thanks to our artisan toasting systems, we are able to process approximately 1,500,000 kg of pistachios and 1,000,000 kg of whole producers have always aspired to Italy, and the rest of peanuts.” Europe. “Italy has always been a country of nut conIn the international panorama of nuts, large foreign sumers,” Giuseppe Parisi explains, “and internal production compared to demand has become increasingly limited. From the exports point of view, our high standard of quality, the result of careful selection and prowww.parisispa.com cessing of the raw materials, allows us to stand out amongst our competitors on the foreign market.” The
T
216
ITALIAN VALUE
MARCH 2014
20,000
Quintals The quantity of whole walnuts processed and selected per year by Parisi
Campania-based company has focused a lot on packaging and aims to offer a product that can meet the food demands of various target groups. “We have been investing in packaging for many years now to try and diversify how and when nuts can be enjoyed. To this end, we have created ad hoc ranges dedicated to kitchen, table and snack products.” The new packaging is distinguished by the large ‘window’ that makes the product ITALIAN VALUE
more visible. Walnuts, hazelnuts, almonds and more show off their best profile. “This strategy aims to show the beauty of our products and, therefore, their quality,” Umberto Parisi says, “a striking design starting with the consumers’ need to ‘see’ the product before they choose it and which aims to maintain our promise of good, wholesome food, starting from the packaging.” Parisi mainly works in Italy, but is progressively expanding its range of action. “A large part of our turnover is made up by large distribution and wholesalers throughout the peninsula,” Giuseppe Parisi states, “but we have been working for some time now on penetrating the Arabic and Japanese markets where we have had some positive feedback.” \\\\\ LORENZO BRENNA MARCH 2014
217
WORLD EXPOS
PROJECT QATAR
May 11th-15th, 2014 Doha, Qatar
This trade fair is now in its 11th edition and represents one of the most important events in the Middle East for the construction industry. This event attracts buyers and the leading enterprises in this field, bringing forward the most innovative building materials and technologies. The 2013 edition hosted 2,100 exhibitors coming from 50 different countries. www.projectqatar.com
May TECHTEXTIL NORTH AMERICA May 13th-15th, 2014 Atlanta, United States
Techtextil North America, which takes place in the United States, is the leading trade fair dedicated to technical textiles, “non-woven textiles� and related production technologies. The event covers all aspects of the technical field: from research and development of raw materials and production processes to textile treatment and recycling. www.techtextilna.com
220
ITALIAN VALUE
MARCH 2014
It is the biggest interior design event in the Middle East and North Africa. For 22 years, Index has been attracting more than 800 enterprises and 23,000 international professionals. The exhibition involves all sectors of the furniture industry: furnishings, gift items, lighting, kitchen and bathroom accessories, finishes and textile products. Like every
year, at the Dubai World Trade Centre, the Italian Pavilion called ‘The Italian Furnishing Square’ will be set up and will host Italian companies including Stilema, Luciano Zonta, Bizzotto Mobili, Adriani & Rossi, Fratelli Rossetto, Francesco Molon (Giemme style), Caspani Tino Group and DL Decor. www.indexexhibition.com
INDEX
ITALIAN VALUE
May 22nd-29th, 2014 Dubai, United Arab Emirates
MARCH 2014
221
WORLD EXPOS
VINEXPO ASIA-PACIFIC
May 27th-29th, 2014 Hong Kong, China
The Hong Kong Convention&Exhibition Centre hosts the 5th edition of Vinexpo Asia-Pacific, the biannual Asian adjunct of the most famous exhibition in Bordeaux and a meeting point for the most successful wines and liquors in all of Asia. In 2012, it brought together 1,050 exhibitors coming from 28 countries and more than 15,000 visitors. www.asiapacific.vinexpo.com
May LONDON WINE FAIR
June
June 2nd-4th, 2014 London, England
New location and new contents for the next edition of this fair, which is the only professional event in the U.K. hosting more than 12,000 operators representing 79 countries. The trade fair offers specific services for the wine industry and new specialised sections. At LWF, it will be possible to meet the most qualified buyers in the on-trade and off-trade fields. www.2014.londonwinefair.com
222
ITALIAN VALUE
MARCH 2014
INTERIOR LIFESTYLE TOKYO June 4th-6th, 2014 Tokyo, Japan
Interior Lifestyle is one of the leading trade fairs dedicated to the home sector in Asia, which sees buyers, importers, architects and interior designers discussing the latest industry news. In the last edition, there were 705 exhibitors coming from 32 countries which presented their products to more than 25,000 visitors. www.interior-lifestyle.com
ALIMENTARIA June 3rd-5th, 2014 Mexico City, Mexico
It is the only trade fair in Mexico dedicated to the food and beverage industry. In its 12th edition, it is a must for national and international operators who want to discover the latest industry news, learn about trends in demand and establish direct commercial relations. Italy, Germany, Canada, the USA, Spain, France and Portugal are some of the 23 participating countries. www.alimentaria-mexico.com ITALIAN VALUE
MARCH 2014
223