Annual Report 2006 by Valentina

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ITPO ITALY Annual Report on Activities and Achievements

2006

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Foreword This year, 2007, sees us at UNIDO ITPO Italy reach a mature 20 years of age, just after UNIDOâ&#x20AC;&#x2122;s own 40. We have also received the official visit of Mr. K. Yumkella, UNIDO Director General to Italy in November 2006. His visit gave us the occasion to schedule some significant events over new types of work, such as using debt swaps to finance a major piece of work on traceability in Egypt, in which participants included a number of Italian Cabinet Ministers and ambassadors of developing countries, in addition to academics and business managers. The high-level meetings honouring Mr. Yumkella were also crowned with the presentation by the President of the Italian Senate, the Honourable F. Marini, of a plaque commemorating UNIDOâ&#x20AC;&#x2122;s 40th anniversary. Looking back over the past year, object of this Report, I find a quantitative delivery of output well above the previous one, though it could have been better, and the product mix may be somewhat different. In part, this is due to our trying to set the base for more vigorous output growth in the future: we are strengthening our network in Italy through more formal cooperation arrangements with associations of enterprises, fairs and exhibitors, and sector associations. We are tightening our links to public institutions in Italy, whether it be our main donor, the Ministry of Foreign Affairs, with whom we have carried out major tasks over the past two years, or the Ministries in charge of areas of interest to us, such as Environment and Agriculture. We are also giving more importance to collaboration with institutions in developing countries, especially those supporting and promoting SMEs, in particular where there are financial vehicles that can be used by our SME clients (the Balkans, MEDA). This is also the first full year since the Investment Promotion Units, IPU, have become independent of us and linked-up directly with headquarters. While still getting support from our unit in Rome, the IPUs have used the skills imparted to them to good effect, utilising the UNIDO methodology for financial analysis and enterprise promotion, including the preparation of full business plans. In a similar vein, we are solidifying our collaboration with UNIDO headquarters, for example, through our participation in the India SME/Clusters programme, and in assisting HQ in projects serving SMEs in Argentina and Uruguay. We expect this to gain in importance over the coming years, as we work in increasingly coordinated fashion on matters of joint interest, such as Environment, the Delegates Programme, and the use of interns. While all this preparatory work took time and treasure, our work performance was also disrupted by an unusual concatenation of bureaucratic imperatives that befell us in 2006: an evaluation that was first mooted in April, i.e. after we had done our work programming, but started in October and ended after the New Year, and a series of audits which started in July and, somehow, is still with usâ&#x20AC;Ś Evaluations and audits are necessary and, even useful but perhaps some consideration for the imperatives of work should be part of the scheduling process. We were able to give our best collaboration to the colleagues conducting these exercises and, still somehow, manage to do some work. I think the staff of ITPO Italy deserve some kudos for their performance. While on the subject of staff, I am in the process of making some adjustment to its structure, in essence reducing numbers in exchange for greater experience and quality, while replacing some of the senior staff which we lost over the past few years. We also think we should return to our main mandate, industrial promotion and enterprise-based development cooperation which can directly improve the livelihoods of people by creating employment in competitive and economically and environmentally sustainable small and medium enterprises. The more intensive use of the Delegates Programme which I intend to push for, will help us return to these basics.

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We can help create such employment thanks to the methodology we use to evaluate prospects, project ideas, and enterprises. UNIDOâ&#x20AC;&#x2122;s methodology of investment promotion and financial appraisal of investment projects has proven its value time and time again, including this last year when the different firms and institutions that receive our technical assistance praised the method. In the same vein, the Chamber of Commerce of Pordenone asked us to help them prepare the business plans of some member companies that are pondering joint ventures in China. Finally, some staff members of the Italian Ministry for the Environment and the Italian Institute for Industrial Promotion were briefed on this methodology, and that enhanced our ability to work together. And working together is a good way to close this foreword.

Diana Battaggia

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Contents ITPO at Glance

Services to Enterprises - Summary of Results 2006 - Geographical and Sector-Based Distribution of Investment Promotion Activities in 2006 - UNIDO Network - UNIDO’s Delegates Programme 2006 - Collaboration with other International Development Cooperation Institutions

10 11 12 13 15 17

Mediterranean Arab Countries

Other Regions and Countries - Latin America - Asia - Sub-Saharan Africa - Eastern Europe

25 26 28 30 31

Special Investment Promotion Programmes - Joint Programme Italian Ministry for the Environment – ITPO Italy - Framework Agreement with Ministry of Foreign Affairs - Promotion and Identification of Business Opportunities

32 33 34 36

Highlights - UNIDO 40 years Supporting Development - Energy and Environment Programme - Development and Investment Opportunities in Equatorial Guinea - Upgrading the Furniture Industry in Egypt - Growing Business in Jordan - The Eighth Carthage Investment Forum - Support to the Development of Serbian SMEs - Collaboration with UNIDO Headquarters for Development of Indian Productive Clusters - Facilitating access to external markets for Uruguayan companies in MAPs sector - Technical Assistance for the Development of Joint Ventures in China - Italian Network to Support Investment Promotion Activities - Official Visit of the UNIDO Director General

38 39 41 42 43 44 45 46 48 49 50 51 52

Annexes - Business Meetings 2006 - Investment Promotion: Country presentations and seminars - Capacity Building: Country presentations and seminars - Projects Under Negotiation in 2006 - Projects Concluded in 2006 - Operational Projects - Italian Credit Lines Disbursement - Company Visits - Study Tours

55 56 58 61 62 65 66 66 67 69

Press Review

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ITPO at Glance

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The United Nations Industrial Development Organization (UNIDO) promotes industrial development by attracting private investment and technology transfer to developing and transition countries. Its action encompasses energy and environment issues, and contributes to the Millennium Development Goals by increasing productive employment and improving living standards. UNIDO Headquarters are located in Vienna, and Country, Regional and Desk Offices are spread worldwide. In addition, UNIDO operates the networks of Investment and Technology Promotion Offices (ITPOs), Investment and Promotion Units (IPUs), National Cleaner Production Centres (NCPCs) and International Technology Centres (ITCs). The Italian Investment and Technology Promotion Office, ITPO Italy, became operational in 1987 with the financial support of the Italian Ministry of Foreign Affairs – General Directorate of Development Cooperation. The Office’s mandate is to enhance SMEs competitiveness in developing countries through the transfer of technology and managerial skills required for the implementation of industrial projects, as well as support to access funds. These activities are expected to boost employment and establish a competitive and environmentally sound economy. Besides providing firms with services that range from partner search to financial evaluation of investment projects, UNIDO ITPO Italy also assists public Institutions. The range of services provided by the Office has been evolving over the years, mainly as a result of increased relationships among countries, and enhanced access to information and investment opportunities. In particular, the Office’s activities have been redirected towards supplying more specific products and services such as custom-made country programmes, sectoral programmes, and economic and technical feasibility studies of industrial cooperation projects. Environmental and energy issues have become the target of strategic policy interventions. Furthermore, the Office has taken advantage of new Decentralized Cooperation opportunities by designing and implementing selected projects jointly with Italian local public administrations in their new role as partners in international cooperation. Besides being part of the ITPO network (with offices in Bahrain, Belgium, Brazil, China, Korea, France, Greece, Japan, Poland, and United Kingdom), ITPO Italy also cooperates closely with the IPUs in selected Mediterranean countries (Tunisia, Morocco, Jordan, and Egypt), and the Support Unit (SU) in Serbia. The IPUs and the SU are operational platforms that promote and maintain industrial relations between Italy, the Mediterranean area, and the Balkans by facilitating direct contacts among enterprises and, hence cooperation agreements. In addition, the IPU and ITPO networks share a database, Exchange, jointly managed to supply information on industrial projects to firms and institutions.

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Services to Enterprises Dissemination of information on emerging markets ITPO Italy provides companies and institutions with up-to-date information on general legal matters about FDI, economic conditions, investment financing, and opportunities for industrial cooperation in some selected developing and Eastern European countries. Screened and selected projects are promoted and brought to the attention of Italian entrepreneurs in order to identify possible business partners. Search for partners For an industrial investment project to be successful, in many cases, involvement of a local partner is essential. ITPO Italy, both directly and through its “operational antennae” across several countries, assists entrepreneurs in the identification of suitable partners for the development of investment projects. Organisation of entrepreneurial meetings ITPO Italy organises business meetings among entrepreneurs throughout Italy and developing countries, mainly during or alongside specialized sectoral exhibitions at which delegations of entrepreneurs have been invited. Preliminary evaluations of investment projects ITPO Italy is able to assist Italian and developing country entrepreneurs interested in formalising business relations by carrying-out preliminary evaluations to asses the economic and financial feasibility of project ideas. Assistance in negotiations including the preparation of business plans ITPO Italy provides assistance to Italian companies in their relations with potential counterparts in other countries during all phases of negotiations. These services include the organisation of company visits, the definition of the technical and economic parameters of the project, the drafting of the agreement, the identification of financial resources available for the implementation of the project, and the preparation of complete business plans, so as to facilitate access to available credit lines and alternative financial sources. Assistance to Italian and foreign companies applying for financing under Law 49/87 art. 6 ITPO Italy provides assistance to Italian and foreign companies from countries where credit lines were opened under art. 6 of Law 49/87 by the Italian Ministry of Foreign Affairs to support the acquisition of state-of-the-art industrial machinery and equipment and services of (mainly) Italian origin in favour of local companies. ITPO Italy (i) provides information on the procedures and applicability to potential Italian exporters of technology, and (ii) provides assistance in the preparation of the technical documents required for the application through the local banking systems in cooperation with local IPUs (wherever they exist, i.e. in Morocco, Tunisia, Egypt, Jordan). Assistance to companies applying for financing under Law 49/87 art. 7 Under the agreement concluded with the Italian Ministry of Foreign Affairs, ITPO Italy is entrusted with (i) the promotion of the use of art. 7 applications among potential Italian beneficiaries, (ii) the provision of information on the specific applicability to individual cases and, most of all, (iii) the preparation of the technical documents required to apply for financing the equity participation of Italian companies in joint-ventures under art. 7, Law 49/87. Assistance to companies includes the preparation of either a business plan featuring a financial pre-appraisal, or a complete feasibility study, depending on the complexity of the project idea.

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Summary of Results 2006 Promotional Activities

6 3 Co un try p res e nt a t i o ns a nd s e m i n a rs o rg a ni z ed s i ng l y o r joi nt l y O r g a ni zat i o n a nd s up p o r t t o e ntr e p r en euria l delega tio ns to pa rtic ipa t e in 2 0 b u s in es s m e e ting s i n 7 co untri es, assi sti n g 1 85 Ita lia n e n tr ep re ne u rs a nd 28 9 e n tr e pr en eu r s f r o m de ve lo pi ng co u nt ri es 3 Delegates from develop i n g c o u nt r i e s hos te d 5 Study tours a n d/or promo tio nal tours orga ni zed i n It a l y 1 In te rn atio na l tra de a nd i nv es tm en t fo rum 2 0 Public atio ns , i nves tment guides 34 Developing coun tri es in vo lved

Capacity building 1 0 Semi nar s org ani z ed sin g ly o r j oi n tl y 4 0 Company visi ts

Project completion 3 52 P ro je ct s p ro m o t ed G eog ra phi c Dis tri b utio n : Afri ca 1 2, A s i a 34 , Lati n America 47 , Medi terranean A r a b C o u n tr i e s 217 , Eas t er n Eu ro pe 4 2 1 30 P ro ject s u n de r n e go tia t ion G eog ra phi c Dis tri b utio n : Afri ca 9 , Asia 4 , Lati n America 4 , Mediterra nea n Ar ab Countries 1 13 3 6 P ro je ct s con c lud e d G eog ra phi c Dis tri b utio n : Afri ca 2 , Asia 5 , Medite rranean Arab Countries 29 Tota l Investment Amount: around U S$ 7 5 m i l lion N umb er o f ne w jobs cr ea t ed : 206 1 1 0 P ro je ct s o pe r at iona l G eog ra phi c Dis tri b utio n : Asia 4 , Ar ab Mediterra n e a n C o u n tr i e s 5 , Africa 1 Tota l Investment Amount: around U S$ 4 0 m i l lion

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Geographical and Sector-Based Distribution of Investment Promotion Activities in 2006 Sector-based Distribution 2006 Project Portfolio

Others 10%

Agriculture, cattle-raising, fishing 4%

Agro-industry 21%

Textiles, textile articles 12%

Packages, containers 2%

Automobile parts, transportation equipment 2%

Mineral products 7%

Chemistry, plastics 4% Computers, telecom 3%

Furs, leathers and by-products 4%

Construction, building materials 4%

Furniture 7% Environment 8%

Consumer goods 8% Electrics, electronics 4%

Geographical Distribution 2006 Project Portfolio

Eastern Europe 12%

Africa 3%

Latin America 13%

Asia 10% MEDA 62%

Note: MEDA â&#x20AC;&#x201C; Mediterranean Arab Countries â&#x20AC;&#x201C; Jordan, Egypt, Tunisia, and Morocco.

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UNIDO Network

UNIDO is represented by designated country or regional offices and, in addition, by a Network of Investment and Technology Promotion Offices, financed by the countries they are located in, by Investment Promotion Units, by National Cleaner Production Centres established jointly with the United Nations Environment Programme, and by International Technology Centres.

UNIDO ITPO Italy promotes industrial development and technology transfer with the support of locally-based Investment Promotion Units (IPUs). Such Units were established in Egypt, Jordan, Morocco, Tunisia, and Uganda, and entrusted with promoting the development of local Small and Medium Enterprises (SMEs), and attracting Foreign Direct Investment (FDI). The IPU based in Uganda recently ended its activity with concluding work and an event in Italy. While not exactly an IPU, the Support Unit to the Serbian Agency for Development of SMEs also helps keep a close link with enterprises and other partners in Serbia. Beyond providing technical and financial assistance, IPUs facilitate industrial collaboration between enterprises in developed countries and local SMEs. IPUs also develop specific programmes relating to industrial sectors such as agro-food, textile and garments, leather, building materials, marble, plastic, automotive, environment, and renewable energies. While until recently, IPUs were managed directly from ITPO Italy, they are now basically under HQ administrative and operational supervision and linked to other ITPOs, while a support unit remains in Rome.

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UNIDO HQ (http://www.unido.org ) Field Offices Europe: Turkey Armenia Africa: Algeria Cameroon Côte d'lvoire Egypt Ethiopia Ghana Guinea Kenya Madagascar

UNIDO Desks Morocco Mozambique Nigeria Senegal Sudan Tunisia Tanzania Burkina Faso Eritrea Mali Rwanda Sierra Leone South Africa Zimbabwe

Latin America: Colombia Mexico Uruguay Bolivia Ecuador Nicaragua Middle East: Iran Lebanon Jordan

Asia: China India Indonesia Pakistan Philippines Thailand Vietnam Laos

Investment and Technology Promotion Offices Investment Promotion Units Investment and Technology Promotion Office Italy ( http://www.unido.it ) Belgium Russia China (2 offices) Egypt France (2 offices) United Kingdom Korea Morocco Greece Brazil Japan Tunisia Italy Bahrain Uganda Poland Jordan

National Cleaner Production Centres Europe: Africa: Armenia Ethiopia Croatia Egypt Czech Kenya Hungary Morocco Macedonia Mozambique Russia South Africa Slovak Tanzania Tunisia Uganda Zimbabwe

Latin America: Brazil Costa Rica Cuba El Salvador Guatemala Mexico Nicaragua

Asia: Cambodia China India Korea Lao Sri Lanka Uzbekistan Viet Nam

Middle East: Lebanon

● Support Unit

● Support Unit to Serbian SME Development Agency

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UNIDO’s Delegates Programme 2006 The Delegates Programme is operational in all UNIDO ITPO offices and represents an essential tool supporting promotional activities. Not only did it prove to be an efficient means of obtaining the support of local Institutions, but it also helped to promote bilateral cooperation between Developing Countries and Italy. Thus the Delegates form a link between the economic system of their home country and Italy. They assist Italian companies and those from their own countries in the development of collaboration agreements through the promotion of Investment opportunities and by facilitating the search for potential partners. Coming from public institutions, banks, or the industrial associations of developing countries, the Delegates are posted usually for short-term periods at UNIDO ITPO Italy. They bring with them from their home countries, and present to Italian companies, a portfolio of selected investment opportunities. After their experience at the ITPO, the delegates return to their home countries, creating an international network of human resources and important contacts for UNIDO ITPO Italy and Italian industries. Their improved knowledge also becomes a resource to their own institutions and the SMEs that they assist. The Delegates Programme is relevant in terms of Investment Promotion (delegates must come with a portfolio of projects), Capacity Building (delegates become familiar with ITPO procedures and UNIDO methodology, and learn about the Italian working environment), and transfer of knowledge, as Delegates return home with prized new knowledge and experience for use in their home countries. Forty delegates worked with UNIDO ITPO Italy between 1989 and 2006. They came from 24 countries in Latin America, the Far East, the Middle East, Africa, and Europe. During 2006, ITPO Italy hosted representatives from Mexico, Uruguay, and Mongolia while Delegates from the Cote d’Ivoire, Chile, Colombia, and Ecuador are expected to join in the coming year.

MEXICO - Delegate: Mr. Luis LUGO (Jun 06 – Jul 06) Sponsoring institution: Ministry of Economic Development of Hidalgo State The Delegate met with companies which have an interest to do business in Mexico and the relevant institutions. Through several meetings, the delegate introduced to potential Italian partners both project proposals and the business and investment environment of Mexico, in particular in the dimension stone and electronic sectors.

URUGUAY - Delegate: Ms. Silvana GROSSO (Sep 06 – Dec 06) Sponsoring institution: Ministry of Industry, Energy and Mining of Uruguay In the framework of a cooperation agreement between ITPO Italy, UNIDO and the Ministry of Industry, Energy and Mining of Uruguay, with financial support of the Italian Government, a Uruguayan delegate spent 3 months in Italy with the main goal of promoting Uruguayan companies and projects. The main Uruguayan opportunities promoted in Italy were: phyto-medicines, the leather industry, and agro-industry in general.

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MONGOLIA â&#x20AC;&#x201C; Delegate: Ms. Jigjid OYUNCHIMEG (Oct 06 â&#x20AC;&#x201C; Dec 06) Sponsoring institution: Mongolia National Chamber of Commerce and Industry The delegate programme provides an effective channel for Mongolia to reach out to Italian organizations and companies and to build-up a new image of Mongolia within the Italian business community, as a country having achieved stability in political and economic conditions, hence ready to receive and profit from foreign investment. The Delegate received 4 inquires from Italian companies, who have an interest in cooperation with Mongolian companies. The inquiries include (1) to import finished cashmere products from Mongolia, (2) to cooperate with Mongolian companies in the gold sector (3) to establish a certification body for textile goods in Mongolia, and (4) to cooperate with Mongolian companies with potential and desire to develop cashmere products of high quality.

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Collaboration with other International Development Cooperation Institutions ITPO Italy and the European Union The cooperation agreement signed by the European Union (EU) and the United Nations (UN) in 2003 entitles UNIDO ITPO Italy to operate on the basis of European funds through the implementation of cooperation projects financed by EuropeAid and the DG Development. Since then, UNIDO ITPO Italy has been developing several projects jointly with important Italian and international institutions (Chambers of Commerce, Regional Agencies for Development, and Business Centres). These projects aim at promoting FDI, fostering trade, and providing technical assistance to developing countries. Some additional activities are being developed within the framework of the AL-Invest and Interreg programmes, while others are under definition on the basis of other European programmes such as Asia-Invest, MEDA, Pro-Invest, and ESIPP. The main fields of activity of the European programmes comprise technical assistance, financial support, and economic cooperation. These activities are fully consistent with ITPO’s mandate. In 2006, the main activities pursued under European Union/Commission programmes are the following: • Participation in several Al-Invest Programmes; • Participation by ITPO in several Asia-Invest Programmes. ITPO Italy and Other UN Agencies and International Organizations ITPO Italy has continued to cooperate with UNIDO headquarters as well as with other UN Agencies. In the past year, ITPO has conducted a study with UNEP on the feasibility of compact water-treatment units. It has cooperated with UNESCO on new and renewable energy. And, last but not least, ITPO is working jointly with UNIDO HQ, in conducting a clusters project in India, as well as doing some specific activities on Argentina and Uruguay. Market and Feasibility Study of Compact Units for Wastewater Treatment in Tunisia Pollution and degradation coming from the land in costal and maritime environments is as top priority in Tunisia. Within this context UNEP, UNIDO ITPO Italy and IPU Tunis, in collaboration, implemented in 2006 a Market and Feasibility Study for Compact Units for Wastewater Treatment in Tunisia. The study analyzed the potential of these technologies in poverty alleviation and environment, especially in areas where rapid rates of urbanization and development of tourism exceeded the growth of wastewater treatment capacity. Collaboration with UNIDO HQ UNIDO has been mandated to implement the “Consolidated project for SME development in India through establishment of mutual credit guarantee schemes, cluster twinning and foreign investment and technology promotion”. The project is financed for an amount of about 3.000.000 Euro by the Italian Ministry for Foreign Affairs, it has a duration of three years, and the Ministry of Small Scale Industries is the Indian counterpart. The project is articulated around three basic components - Cluster Twinning, Investment and Technology Promotion, Mutual Credit Guarantee Fund. Activities are still in progress and will continue into the next year, when ITPO Italy should have a pivotal role in investment and technology promotion. In another activity, ITPO Italy is collaborating with UNIDO HQ to assist Argentine and Uruguayan enterprises. UNIDO HQ is implementing a Programme of Modernization of SMEs to facilitate bet-

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ter access to credit and export markets, and a Programme of Valorisation, Identification and Promotion of Argentine meat, foreseeing the creation of a consortium for the export of meat, and also a Programme for the Implementation of Guarantee Funds and other financial instruments. In the framework of the these programmes, UNIDO ITPO Italy is carrying-out promotion activities in Italy through country presentations, study tours, fairs, and exhibitions. In Uruguay, ITPO Italy contributes to the implementation of an Italian-funded project for the support of SMEs. Beyond strengthening the system of local SMEs, the quality of their production, and their access to export markets, the project targets inner areas of the country and key sectors of the Uruguay economy (food industry, manufacture of phytotherapeutics and phytocosmetics). UNESCO Finally, UNIDO ITPO Italy has begun a collaborative programme on New and Renewable Energy with UNESCO. ITPO Italy and Local Italian Authorities The recently completed reform of the Italian Constitution, which gives local and regional authorities greater autonomy, allows local governments to participate in international cooperation. Interacting with these new stakeholders, UNIDO ITPO Italy is matching complementarities and integrating core business initiatives. This especially applies to investment promotion and technology transfer initiatives by local Italian governments and institutions, and motivates UNIDO ITPO Italy to seek opportunities of identifying and promoting industrial development projects, and to stimulate dialogue among local governments, institutions, and international organisations (UNDP, ILO, IFC, EU, etc.). The actual policy implemented by UNIDO ITPO Italy consists of supporting local authorities, governments, and institutions in the development and implementation of projects and programmes undertaken in collaboration with institutions from developing and transition economies. Assistance to the design, negotiation, and implementation of either area or sectorspecific investment promotion and technology transfer projects is supplied according to priority criteria that are agreed upon with the institutions involved. In 2006, ITPO Italy assisted the Italian Ministry of Foreign Affairs to establish some sort of Mediterranean platform to simplify and perhaps also spread the costs of assisting industrial development in the MEDA region (the “Piattaforma Mediterranea”). ITPO, together with the Ministry contacted the Italian Regional Governments to gauge their interest in buying into this venture that is expected to work as an integrated agency or clearing house, linking local Italian governments/institutions with institutional/business counterparts in the MEDA region who are seeking assistance. Many local governments showed enthusiasm for this idea that will be pursued in 2007. UNIDO ITPO Italy’s technical assistance consists also of sharing operational know-how with these new Italian infra-national entrants in international development cooperation, and helping to extend to developing countries the experience of Italian SMEs and the regional policies which have helped them grow.

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Main tasks conducted in 2006: • Support program for the Serbian SME Agency (Regione Lazio, Provincia di Bologna); • B2B meetings in Tunisia (Regione Marche); • Internationalisation of SMEs in South America, mainly Chile and Argentina (Regione Lombardia).

Business Meetings “Italy – Serbia: the Road to Investment” Bologna – Palazzo Malvezzi – 11th October 2006

Business Meetings “Italy – Serbia: the Road to Investment” Rome – Villa Aldobrandini 13th October 2006

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Mediterranean Arab Countries

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ITPO Italy and the Arab-Mediterranean Network

The Mediterranean, once known as mare nostrum, our sea, remains to this day the focus of Italy’s attentions and affection. Obviously, the health of the Mediterranean concerns Italy, but depends also on what happens along all its shores, and in the catchments of rivers that flow into it. In this sense, either Italy concerns itself with all of the Mediterranean, or simply abandons all hopes of keeping the sea healthy. For this reason, ITPO Italy has a special programme that seeks to promote prosperity around the Mediterranean, as well as helping enterprises and the agencies that assist them to define and enact policies that will help make the footprint of industry smaller, and more benign to the environment. ITPO also seeks cooperation with public bodies that have not only a say in policies but also a knowledge that can be of use, also all around the Mediterranean such as, for example, the Italian Ministry for the Environment, the agencies in other countries that deal with environment, the Kyoto Protocol, its Clean Development Mechanism, and new and renewable sources of energy (NRSE). Four of the countries of the region, Egypt, Jordan, Morocco, and Tunisia have the advantage of an Industrial Promotion Unit (IPU) located within public agencies that promote and assist SMEs. For all these reasons, ITPO Italy activities in these countries are normally more intense and more important and meaningful. They often imply several promotional events, work on a sectoral basis, more numerous contacts between enterprises, greater attention on the part of the authorities and greater outputs in terms of enterprise cooperation, joint-ventures, exchanges of technology and investments, keeping in mind the mutual interest of all neighbours in the health of the sea. The few pages that follow give the reader greater information on ITPO activities in this most important area of Italy’s concern. Arab Mediterranean Support Unit In 2006 this specific Unit hosted by ITPO Italy, was created and assigned the tasks of supporting the HQ’s Arab Mediterranean Network and of coordinating the activities of the ITPOs and the IPUs of the region. A new software application (CPPCompany Project Profile) was improved in close collaboration with Headquarters in order to give the Units a new and more modern tool to formulate project proposals that are to be promoted. In close collaboration, and with the assistance ITPO Italy, the Unit gave support to the IPUs in the organization of promotional events in Italy ECOMONDO 2006 and abroad. In this respect, a country presentation for Egypt was organized in April along with B2B meetings. In May, a country presentation of Jordan was organized along with the Investment Forum held in Jordan in June. Further interaction between the Unit and ITPO was seen in the organization of and participation in fairs throughout the year. SANA Fair in Bologna in September and ECOMONDO in Rimini in November are amongst the biggest fairs in their respective sectors and the participation of companies from the Mediterranean Region was substantial. Following ECOMONDO, a dialogue developed at Ministerial level between Jordan and Italy over the definition of environmental activities

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in Jordan. In December, the Unit took part, along with ITPO Italy, in the organization of a three- day event with INSME – IPI. It was a seminar targeting access to finance for SME startups.

Sectoral Division MEDA Project Portfolio 2006

Others 6% Textiles, textile articles 13%

Agro-industry 19%

Services 1% Packages, containers 3%

Focus on Egypt

Mineral products 9% Jewellery, gold and silverwork 1%

Automobile parts, transportation equipment 1% Chemistry, plastics 5% Computers, telecom 2% Construction, building materials 5%

Furs, leathers and by-products

Consumer goods 4% In terms of entrepreneurial ac7% Furniture tivities, Egypt still represents Electrics, electronics 9% Environment 6% “the gate” to the Middle East 9% and Africa. Moreover, with over 70 million inhabitants, Egypt has an interesting internal market. There are some dynamic sectors such as food industry, tourism, information and communication technologies, textile and garments, tannery, marble, electric and electronics, furniture, and environmental goods and services. At the same time, industries benefit from a low energy cost and reasonable salaries for Egyptian manpower, which, on average is better trained than in neighbouring countries. All these reasons make Egypt an attractive destination for foreign investment. UNIDO ITPO Italy promotes investments and technology transfer in Egypt with the support of the local UNIDO IPU (Investment Promotion Unit), based in Cairo. UNIDO’s Offices collaborate in the organization and the preparation of ad hoc institutional and entrepreneurial meetings.

In mid-September 2006, an Italian delegation of 15 companies (SMEs) of API-Cuneo (confederated association of entrepreneurs) undertook a 5-day mission to Cairo with daily meetings with institutions and local companies. The mission was appreciated by both Italian and Egyptian investors. A B2B meeting in Florence was scheduled in late September 2006 between CEDIF (INTELFIN Group), an Italian company leader in wireless technology, and the Egyptian LADIS, a company specialized in the digitalization and computerization of documents for public administrations. These two companies are negotiating a joint venture. Within this agreement, INTELFIN-CEDIF should provide: network implementation; terminal installations (totems, LCDs, network cameras), billing management connections, remote network management, entertainment services, communication services -VOIP included-, monitoring services (fire, water pollution, security, road traffic), and advice on the development of CRM. LADIS should be the local counterpart for the development of the project, responsible for all contractual and financial issues and implementation in other Middle Eastern countries’ municipalities. In November 2006 (Mazara del Vallo – Sicily), an Industrial Productive Fishing District was presented to numerous Italian institutions. It contains a system of 110 companies (from fishing to processing, shipbuilding, innovative technologies, trade of products) with a total turnover of 300 million Euro. The District, with the support of ITPO Italy who visited 10 SMEs, launched a project of a new company (public & private joint venture) and partnerships with similar Egyptian SMEs. The contacts have recently begun, but hopes are high and prospects, encouraging.

Several other activities were also carried-out: • Participation in the technical fair EURODOMUS in Padua (home furnishings);

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• Promoting joint programs in renewable energies in the MED region by stimulating contacts and discussions among relevant stakeholders aimed at promoting investment in new, renewable, and non-conventional sources of energy (NRSE) in these countries; • Reengineering of business processes for companies operating in the wood processing industry. Focus on Jordan

UNIDO ITPO Italy promotes Investments and technology transfer in Jordan with the support of the local UNIDO IPU (Investment Promotion Unit) based in Amman. The Italian Ministry of Foreign Affairs (General Directorate Cooperation and Development) has defined together with Jordanian Authorities a programme of SME development, which is also operational in Morocco, Egypt, and Tunisia. In these countries, an Industrial Promotion Office managed by UNIDO was initially established to support local SMEs applying to an Italian credit line but has since broadened its coverage. The soft loan, meant for the purchase of Italian goods and services, can be accessed by local SMEs and joint ventures through Jordanian banks. With the support of the Investment Promotion Unit, UNIDO ITPO Italy provides free assistance to Italian companies interested in starting industrial activities in Jordan through the following: financial-economic evaluation of projects, preparation of technical documents for obtaining funding, and search for industrial partners. Furthermore, a number of activities have been organised jointly with IPU’s local counterpart, the Jordan Investment Board, as shown below: • Investment Forum, on the 18th and 19th of June 2006, to facilitate meetings and promote collaboration between Jordanian and foreign companies on the basis of selected projects in different sectors: olive oil, pharmaceutical, chemicals, furniture, marble, cosmetics (Dead Sea products), garments, and electronics. Over 500 companies (local and foreign) participated with a number of 242 reported meetings and 181 negotiations made. Considering the 46 most promising negotiations, almost 50% of them involved Italian companies. In this respect, UNIDO ITPO Italy has ensured the participation of more than 60 Italian companies and institutions. Such a big delegation covered all the sectors involved in the Forum and guaranteed more than 100 bilateral meetings between Italian and Jordanian entrepreneurs. UNIDO ITPO Italy provided the delegation with all the support it needed; • Programme on biotechnologies: through integrated actions (sector studies, project identification/formulation etc) the programme intends to identify and promote investment opportunities in the biotech sector • Support to export consortia: the programme supports the creation and development of local export consortia based on the successful experience of Italian clusters and consortia. This initiative, to be implemented with local institutions, intends to improve Jordan’s SMEs competitiveness.

Focus on Morocco

Morocco is a natural bridge between Western countries and the Islamic world. It can be divided into two main areas: the central Moroccan plain, a fertile area rich with rivers, and the Atlas Mountains, a desert and agricultural area. The country is rich in economic resources, particularly in agriculture and mining. In recent years, Morocco reached important economic results creating a stable and balanced economy.

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UNIDO ITPO Italy promotes investments and technology transfer in Morocco with the support of UNIDO IPU Morocco, located within the National Agency for the Promotion of Small and Medium Enterprises (ANPME). In collaboration with IPU Morocco, the Office has been implementing specific programmes, at national and regional level, in several sectors: agro-food, textile and clothing, leather, tanning, marble, ceramics, electric and electronic, and environment and renewable energies. During 2006, 56 industrial cooperation opportunities have been presented to the Italian business community. An up-to-date investment opportunities catalogue has been sent to Italian institutions and entrepreneurs’ association. Several Italian companies and institutions have been directly informed about industrial cooperation projects in Morocco. Thirty-six industrial projects were negotiated and 6 agreements were signed. One of these projects has already become operational. Several other joint activities have been carried out: • Training and technical assistance to local companies: project evaluation, preparation of business plans, company visits; • Participation in technical fairs : SEP fair Padua – Environmental sector, SANA fair Bologna– Agro-food sector, Ecomondo fair Rimini – Environmental sector, Salon International de l'Agriculture du Maroc Meknès – Agro-food sector; • Organization of partnership events: SEP workshop in Padua, Ecomondo fair in Rimini, and B2B Meetings in Casablanca for the Environmental sector.

Focus on Tunisia UNIDO ITPO Italy promotes Investments and technology transfer in Tunisia with the support of UNIDO IPU Tunis, located within the Agence de Promotion de l’Industrie (API). Similar programmes exist in Egypt, Morocco, and Jordan. They all feature a technical component, an Industrial Promotion Office managed by UNIDO, combined with a soft loan facility (Art. 7 Law 49/89) and services to SMEs. With the support of the Investment Promotion Unit, UNIDO ITPO Italy offers free assistance to Italian companies interested in starting-up industrial activities in Tunisia. UNIDO ITPO Italy promotes Foreign Direct Investment and the creation of partnerships between Tunisian and European companies with the objective of reinforcing the competitiveness of the local industrial system. The Office assists Tunisian entrepreneurs by facilitating economic cooperation between industrial associations, consortia, and individual companies. In brief, UNIDO ITPO Italy promoted several actions in Tunisia and shepherded several Tunisian entrepreneurial delegations to prominent Italian fairs with the aim of strengthening cooperation between Italian and Tunisian SMEs. Among others, huge events such as : “The Carthage Investment Forum”, “the SIAT Fair 2006”, “the Medenine workshop in Jerba”, the “SANA fair”, and a joint B2B initiative done in collaboration with the Marche region. About 58 Tunisian projects were promoted in 2006 and about 45 Italian companies took part in events organized by UNIDO ITPO Italy in Tunisia. Furthermore, within the framework of a letter of intent signed between UNEP / UNIDO ITPO Italy and IPU Tunis, ITPO Italy implemented, in collaboration with IPU Tunis, a Market and Feasibility Study for Compact Units for Wastewater Treatment. As a result of these activities, eight projects are currently under negotiation and another eight projects were concluded while, two projects are being implemented.

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Other Regions and Countries of Intervention

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Latin America UNIDO ITPO Italy is member of the EU AL-Invest programme for the development and promotion of long-term commercial agreements, technology transfer, joint-ventures, and other types of collaboration that could involve European and Latin American companies. Sectoral meetings that engaged more than 400 organizations and Institutions operating in Europe and Latin America, facilitated the flow of information on industrial cooperation and investment opportunities.

Sectoral Division of Latin America Project Portfolio 2006

Wood products, paper, processed articles 4%

Other 8%

Agriculture, cattle-raising, fishing 6%

Textiles, textile articles 2% Services 2% Mineral products 8%

Agro-industry 28%

Medical technology 4% Furs, leathers and by-products 6% Environment 4% Computers, telecom 8%

Energy 2% Consumer goods 16%

Construction, building materials 2%

Argentina In October 2002, UNIDO started a wide action of Recovery of the Argentine Industrial sector consisting of the following programmes: the Programme of Modernization of SMEs to facilitate better access to credit and export markets; the Programme of Valorisation, Identification and Promotion of Argentine meat, foreseeing the creation of a consortium for the export of meat; the Programme for the Implementation of Guarantee Funds and other financial instruments to facilitate access to credit by SMEs and ease liquidity constraints. In the framework of these Projects, UNIDO ITPO Italy is carrying on promotion activities in Italy through country presentations, study tours, fairs, and exhibitions. ITPO Italy also supports the project through the promotion of investment opportunities in Argentina and Europe. Among the productive sectors offering major opportunities are: food industry, dairy products, wood processing, medical herbs and aromatic plants, natural cosmetics, mining, manufacture of leather and footwear, and machinery for agriculture. Chile and Argentina Internationalisation of SMEs in South America. In collaboration with Regione Lombardia, the project aims at promoting business linkages between Italian SMEs and Argentina/Chilean SMEs. This work is still under examination.

Ecuador In collaboration with CORPEI (Export and Investment Promotion Corporation of Ecuador) Business meetings and promotional initiatives were organised to promote investments and commercial agreements in several sectors such as: manufacture of sugar, fruit, tropical wood, olive oil processing, coffee by-products, building materials, renewable energy, and vehicles assembly.

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Uruguay Jointly with the National Directorate of Artisans and Small and Medium Enterprises of the Ministry of Industry, Energy and Mines (DINAMPYME), ITPO Italy contributes to the implementation of Italian Cooperation-funded projects for the support of SMEs. Beyond strengthening the system of local SMEs, the quality of their production and their access to export markets, the project targets inner areas of the country and key sectors of the Uruguayan economy (food industry, manufacture of phytotherapeutics and phytocosmetics). The project, Fostering Uruguayan Entrepreneurial Activities, has as its main goal to help the SME sector penetrate export markets. In particular, work is proceeding on agreements between Italy and Uruguay in phyto-therapeutic products, i.e. herbal and plant-based medicine.

Mexico With the support of the Mexican Delegate, Mr. Luis Lugo, several activities were carried-out in order to promote a portfolio of selected projects. Mr. Lugo came from a region rich in volcanic stones that could present opportunities for international investors interested in dimension and natural stones. He also proposed projects in electronics to the Italian business community.

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Asia China In recent years, China has been very attractive for the Italian business community and since 1993 UNIDO ITPO Italy has been active there. Industrial investment in China was promoted through: • Collaboration in European and international projects such as Asia Invest; • Organization of specific promotional events, such as country presentations and seminars; • Assistance to Italian companies in China and Chinese delegations in Italy. Furthermore, the Office provided free assistance to Italian firms in the preparation of business plans for joint ventures, which could thus receive funding through art 7 of Italian Law n.49/1987.

Sectoral Division Asia Project Portfolio 2006

Agro-industry 15% Others 27% Automobile parts, transportation equipment 8%

Chemistry, plastics 13%

Textiles, textile articles 27%

ITPO signed a general agreement with the Chamber of Commerce (CCIAA) of Pordenone to jointly promote new investment projects for industrial companies in developing countries. Within this framework, ITPO Italy was asked to conduct the economic and financial analysis of the New Chinese Enterprise (NCE) business plan. After a start-up meeting in 2006, ITPO Italy organized several operational meetings, first visiting the companies to meet and to know their management and to collect all information and data necessary for the analysis.

Environment 10%

Among concluded projects is a joint venture in the environmental sector. The new company, to be located in Zhejiang Province, will manufacture Kobold Turbines for the Chinese market. This Italian technology uses marine currents to generate clean renewable energy. India In 2006, ITPO Italy has been involved in an important 3-year project for India, which would contribute to the development of SME. This project would work through three components, namely: • cluster twinning, • foreign investment and technology promotion, and • mutual credit guarantee schemes.

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The project is financed for an amount of about 3.000.000 Euro by the Italian Ministry for Foreign Affairs, it has a duration of three years, and the Ministry of Small Scale Industries is the Indian counterpart. ITPO Italy has worked to identify any potentially interested Italian counterparts to participate in this project and to cooperate with Indian SMEs and clusters. During 2006 the main contribution of ITPO Italy has been to help identify the Italian clusters potentially interested in twinning with the Indian ones. Further, ITPO Italy contacted almost 20 organizations in 7 different Italian regions in different sectors such as leather (tannery and footwear), auto parts, and light engineering (foundry, ball bearings, surgical instruments). Indian requirements were communicated to SME associations, Clusters Associations, Industrial Confederations, Chambers of Commerce and Industry, Regional and Local Governments, and Financial institutions, to search for partners and promote projects. An Indian-Italian Joint Committee held in Rome and attended by both Ministers of Trade was the culmination of the yearâ&#x20AC;&#x2122;s activities.

Mongolia The importance of the cashmere industry to the Mongolian economy is clear: it provides income and employment for over a third of the population. Raw cashmere and cashmere products are Mongoliaâ&#x20AC;&#x2122;s third largest export. A vibrant cashmere industry has the potential to contribute to the growth of the economy, to the manufacturing sector, to employment at both the herder and manufacturing levels, and exports. Opportunities in wool fabrics and garments, and in particular the production of cashmere items, raised particular interest among some companies from the Italian industrial districts of Milano and Biella. This came out during the 2 monthsâ&#x20AC;&#x2122; stay of the Mongolian Delegate, Ms. Jigjid Oyunchimeg, who reached commendable results in the promotion of the project portfolio she managed.

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Sub-Saharan Africa

Uganda The UNIDO ITPO Uganda Programme in 2006 both promoted projects scouted by the Unit in previous years, and organized two successful events seeking new projects to promote. Early in the year, UNIDO ITPO Italy received a visit on behalf of the Ugandan Vice President H.E. Mr. Bukenya, presenting to ITPO Italy a project on essential oils. As a follow-up, UNIDO ITPO visited the area of the project in Uganda and further work is still going on.

Sectoral Division Sub-Saharan Africa Project Portfolio 2006

Textiles, textile articles 4% Services 4%

Others 4%

Agriculture, cattle-raising, fishing 14%

Mineral products 4% Medical technology 4% Furs, leathers and by-products 4%

Environment 10% Construction, building materials 4%

Agro-industry 44%

Chemistry, plastics 4%

In February, UNIDO ITPO Italy along with UTB (Uganda Tourism Board) organized a delegation of 13 Ugandan companies operating in the tourism sector to participate in BIT-Milan (Borsa Internazionale del Turismo), a well-known fair and exhibition for enterprises active in tourism. On this occasion, an ad hoc event was organised for Ugandan firms to promote their investment opportunities. The BIT Fair granted the Ugandan Delegation another stand for 2007 free of charge. In December, another presentation on Uganda was organized to promote all the projects scouted and new investment opportunities were shown to Italian entrepreneurs. And, somewhat outside of its usual field of work, UNIDO ITPO Italy along with the East African Consortium elaborated a project proposal for an all Italian Hospital to be built in Kampala for which negotiations are still in progress.

Equatorial Guinea A country presentation was held at the African and Oriental Institute (Rome, 1st February 2006). At this event, with the participation of the President, H.E. Mr. Teodoro Obiang Nguema, and 4 Ministers of his Government, Italian entrepreneurs got first hand information about investment opportunities offered by this Central African country. In collaboration with the Personal Representative for Africa of the Prime Minister, Hon. Alberto Michelini and the Italo-Equatoguinean Association, UNIDO-ITPO Italy coordinated the seminars and the bilateral meetings between the Ministers and the Italian companies. As a result of these promotional activities, two joint venture agreement were signed, one for waste management in Bata City, and the other for the production, packaging, and sale of fruits and vegetables.

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Eastern Europe

Serbia In 2006, UNIDO ITPO Italy, in collaboration with the Provincia di Bologna and Lazio Region, implemented a project to support and enhance the effectiveness of the Serbian Agency for the Development of SMEs & Entrepreneurship. The project, “Institutional support and capacity building intervention to enhance the role of the Serbian Agency for the Development of SMEs & Entrepreneurship” works through a Support Unit within the Agency. Besides the conclusions of many technical assistance components proposed through the project, UNIDO ITPO Italy scouted about 60 investment opportunities and actively promoted, among Italian companies and business associations, 42 selected cooperation proposals. The Office also edited an up-to-date catalogue of cooperation proposal and a Serbia investment guide, disseminating them among 2000 private companies and the most important Italian industrial and entrepreneurial associations. As a result of these activities, in October 2006 the event “Italy – Serbia: the road to investment” was organized in Rome and Bologna to enhance the economic and industrial cooperation between Italian and Serbian SMEs. About 250 representatives of Italian companies and economic and entrepreneurial associations as well as 25 Serbian firms took part. As tangible consequence of this action, several business agreements were signed between Italian and Serbian entrepreneurs.

Sectoral Division Eastern Europe Project Portfolio 2006

Wood products, paper, processed articles 8%

Others 3%

Agro-industry 31%

Textiles, textile articles 11%

Precision instruments and equipment 3% Machinery, mechanical equipment 3% Furs, leathers and by-products 3% Furniture 16% Construction, building materials 5%

Automobile parts, transportation equipment 3% Computers, telecom 14%

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Special Investment Promotion Programmes

ITPO Italy has worked on a number of these programmes in 2006 that are funded directly by donors (so called “IP Programmes”). While not part of the ITPO Core Project, they are carriedout under basically the same procedures as other activities but are more directly linked to donor and local priorities. While they are mostly funded by the Italian Ministry of Foreign Affairs (Directorate General for Development Cooperation) they may entail agreements with and/or funding from other national, infra-national, or sector institutions (e.g. the Ministry for the Environment, Regione Lazio, Province of Bologna…) or Agencies (Employer associations such as Confindustria, Industry groups such as AIRP,etc…).

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Joint Programme Italian Ministry for the Environment – ITPO Italy Involving Private Companies in Sustainable Development This Programme is linked to an agreement between the Italian Ministry for the Environment, Land, Territory and Sea (IMET) and UNIDO ITPO Italy that involves IPUs from Egypt and Morocco for the identification and promotion of environmentallyfriendly investment projects. Many activities were conducted in 2006 focusing on: renewable energies, water treatment, waste management and recycling of urban and industrial waste, and Kyoto Protocol CDM Projects. Scouting and development of Investment opportunities Efforts were concentrated on the identification of investment opportunities in the priority sectors. As a result, a portfolio of projects was defined: 13 projects were selected for promotion in Morocco, 7 in Egypt, and in 6 Italy. Investment Promotion Throughout 2006 ITPO Italy ensured the participation of selected companies and institutions to the following sector events: • SEP Pollution 2006 with companies from Egypt (3) and Morocco (1), and the organisation of a business meeting with 40 Italian companies. • ECOMONDO 2006 with companies from Egypt (5) and Morocco (5); the organisation of about 100 BtoB meetings and of a seminar entitled: “Opportunities in Water Treatment Sector in Egypt, Jordan, Tunisia and Morocco”. • Mini investment forum in Casablanca (14/15 September 2006) with the participation of 8 Italian and 14 Moroccan companies. A seminar on the investment climate and financial facilities in the country and two round tables about water treatment and renewable energies were also organized. Thanks to these activities 3 projects (2 in Morocco and 1 in Egypt) were concluded in 2006. CDM Project promotion Besides the activities meant to identify CDM projects in Egypt, Morocco and Tunisia- on Friday 29th September, UNIDO ITPO Italy presented the opportunities for CDM Projects with the lecture “CDM Projects in the Mediterranean countries: focus on Morocco, Egypt and Tunisia” within the framework of the Conference “Implementing the Kyoto Protocol” at CO2 Expo in Rome. Supporting Institutions on Investment Promotion An introduction was made for officials of the Italian Ministry for the Environment (Department for Environmental Research and Development) and the Italian Institute of Industrial Promotion (IPI) on UNIDO’s methodology of investment promotion and project appraisal.

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Framework Agreement with Ministry of Foreign Affairs

The collaboration started in 2005 between the Italian Directorate General for Development Cooperation (DGCS) and UNIDO-ITPO Italy continued into 2006 with the aim to sustain Italian firms and Institutions into acquiring information and opening up to opportunities of industrial collaboration in developing countries as well as finding ways and means of supporting Italian firms in their quests for markets and support from international institutions whether European, regional, or global. Except for continuing work on the economic and financial reporting project in Iraq/Jordan and the Serbian Support Unit, activities under this vehicle are now broadly complete. Major achievements of this cooperation are: Support to foreign investors in accessing funds Part of the programme was dedicated to strengthening the financial support to the foreign investments in Africa and other developing countries. On the one hand, a more general phase of study was dedicated to the analysis of the opportunities offered by micro-credit and by the Trusts Funds in order to improve the access to credit for two different beneficiaries: individuals and companies. On the other, some actions were also undertaken to improve the utilization of Trust Funds. Support was also provided to the Italian utilization of EU facilities for ACP (Africa, Caribbean, and Pacific) countries in terms of improving the flow of information on EU facilities for ACP countries and of facilitating access of Italian companies and institutions to the European Development Fund. Identification of investment opportunities in Africa The programme intended to create a preparatory phase of identification of investment opportunities in Africa through studying the business context and the most promising sectors. Opportunities in agro-industries and food processing A study/guide was elaborated on potential investments in the agro-industry sector in subSaharan countries. The study describes the investment context in sub-Saharan Africa and elaborates a strategy of development in the agro-food sector focusing on the following projects: production of bio-diesel in Mozambique, organic coffee in Uganda, tomato processing in Senegal, biogas power units in Ghana, shea butter in Benin, dried vegetables and fruits in Namibia, cereals processing in Mali, sorghum beer in Togo, and a vegetable oil chain in Tanzania. Investment guide Besides providing general and macro economic data on the countries, the guide outlines development policy and identifies priority sectors and sector opportunities. Moreover the guide provides investors with information on business climate, investment policies developed by governments, trade procedures, and local taxation systems. Guides were elaborated for the following countries: Equatorial Guinea, Madagascar, Mozambique, Nigeria, Sao TomĂŠ and Principe, Sudan, and Swaziland. Fostering FDI dynamics and technology transfer in Iraq and Jordan Master of Arts in Economic and Business Journalism The spread of information on economic policies and events, as well as on the dissemination of news related to business, investment opportunities, and financial vehicles is essential for the efficient functioning of markets. Therefore, it was thought that the creation of a Masters Degree in economic/business reporting could be a useful addition to the instruments for developing FDI and promoting SMEs. During 2006 two major actions were conducted: the elaboration of a reference manual to be utilised during the two-year academic course to be based in Iraq and the preparatory phase that

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enabled ITPO Italy to collect more information on the organisational aspects of the course, to establish several useful contacts in Iraq and Jordan, and to update the content of the project. The main finding of this phase was the necessity to change the operational phase of the project: due to the political situation, the unstable context, the general lack of appropriate infrastructure, Iraq cannot provide, at the moment, an appropriate context for a Master of Arts programme. Alternatives are under evaluation, including relocation to Jordan and various means of distance learning. Support Program for the Serbian Agency for Promotion of SMEs To strengthen local industrial potential, and to enhance the integration of Serbia in the global economy, UNIDO ITPO Italy, the Italian Ministry of Foreign Affairs, Regione Lazio and Provincia di Bologna agreed in 2005 to start the implementation of a cooperation project supporting the Serbian SME Development Agency in the process of industrial matchmaking between Italian and regional counterparts, through the attraction of both FDI and commercial flows. The policy implemented is that of upgrading the backstopping capacities of the SME Development Agency. The expected result consists of enabling the Agency to adequately accomplish its tasks of support to local SMEs by providing them with updated information, management advice and technical assistance, suitable for private sector development. In order to fulfil this expectation, a Support Unit of UNIDO ITPO Italy - hosted by the Serbian Agency for the Development of Small and Medium-sized Enterprises and Entrepreneurship - is operational since February 2005 in the Agency’s premises in Belgrade. Specific objectives of the project are: • To enhance the Agency’s monitoring of the local entrepreneurial environment (including an upgrade of the IT system and related cross-networking), with special attention to the internationalisation process of local enterprises, and to supporting foreign investors interested in industrial and innovation technology cooperation. • To facilitate the establishment of industrial and trade links between entrepreneurs from both countries, of cooperation channels between Serbian and Italian local authorities and institutions, to foster local development, to reinforce the supply chain, the internationalisation process, and the incubation of new enterprises; • To improve the enactment of policies and services tailored to SMEs through the mobilisation and optimisation of financial resources from different sources (i.e. national, EU, etc.) with a bias in favour of young and female entrepreneurs. • To foster sustainable cooperation among Serbian, Italian, and international key actors in the area of training, applied research (in particular in the field of renewable energy), and innovation.

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Promotion and Identification of Business Opportunities

Special Studies for the Identification of Investment / Business Opportunities Compact Units for Wastewater Treatment in Tunisia To reverse the decline in costal and maritime environments from pollution and degradation coming from the land, the 1995 Global Programme of Action for the Protection of the Marine Environment from Land-based Activities (GPA) calls on Governments to develop National Programs of Action (NPA) incorporating dynamic and iterative processes that institutionalize the phased implementation of priority activities within a cross-sectoral, participatory framework. The main purpose of an NPA is to develop concrete projects that mobilize both stakeholders and resources and thus need to be mainstreamed into budgetary and policy frameworks. Within this context and on the basis of a letter of intent signed between UNEP, UNIDO ITPO Italy, and IPU Tunis, ITPO Italy, in collaboration with IPU Tunis, conducted a market and feasibility study of Compact Units for Wastewater Treatment in Tunisia. The study analyzed the potentialities of such technologies in poverty alleviation and environment, especially in areas where rapid rates of urbanization and development of tourism exceeded the growth of wastewater treatment capacity. The market and feasibility study was conceived to provide a detailed overview of the current state-of-the-art in wastewater treatment in Tunisia, including the most recent technologies such as Compact Units (CUs). The feasibility study also meant to assess the feasibility of producing/assembling CUs in Tunisia. In fact, bearing in mind the financial part focussed on the production side of Compact Units, the final response confirms that the production of this low cost, low maintenance and environmentally-friendly technology is economically sustainable and recommended in Tunisia, and that the results of the study are that Compact Units can work efficiently in rural, periurban, urban, and tourist areas. Retreaded Tyres in Algeria, Egypt, Morocco, and Tunisia This project intends to improve the processing, trading and, export of re-treaded tires. To this end, UNIDO ITPO Italy signed a letter of intent with AIRP (the Italian Association of Retreaded Tyres Producers), to carry-out four market and sector studies to support internationalization of some Italian companies and improve the productive capacity of Algerian, Tunisian, Moroccan, and Egyptian SMEs operating in the retreaded tyres sector. Within this study, the potential of this sector was analyzed in these four emerging countries. The studies analysed the main features of economic and legislative aspects relating to re-treaded tires and checked on the presence of direct and indirect barriers as well as the application of international legislation and standards in terms of production on site and exports. As a positive consequence of the implementation of the four sector studies on re-treaded tyres, AIRP asked ITPO/IPUs network to carry out a second phase of activities focussed on a B2B event to be held from 23 to 27 May 2007 in Bologna within the framework of AUTOPROMOTEC fair 2007. To this end, AIRP and PROMOTEC offered ITPO and IPUs a stand, assuring the match-making with associated companies and coorganizing a special seminar aimed at highlighting the results of the sector studies.. Participation to Fairs and Business Meetings Recognizing in UNIDO ITPO Italy, in collaboration with the IPUs, a valid catalyser of companies and projects from developing and transition countries, some Italian trade fair organizers often ask ITPOâ&#x20AC;&#x2122;s collaboration to arrange missions of entrepreneurs to take part in their events. Through UNIDO ITPO Italy and with the support of fair organizations, entrepreneurs from developing countries that would like to take part in these events are assisted to cover the costs of visiting Italy. These visits aim to put in touch entrepreneurs from developing countries with state-

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of-the-art technology allowing them to contact technology suppliers and to present their products and/or projects to the Italian business community. In 2006, ITPO Italy organized entrepreneurial missions to EURODOMUS, SANA, ECOMONDO and SEPPollution. AL-INVEST III Activities One of the most important instruments of the EU funded Al-Invest III program is aimed at the organization of B2B meetings between European and Latin American companies. During 2006, UNIDO ITPO Italy took part in the following events: • Business meeting on premium, exotic and non-traditional meat. Italian delegation (4) visited Argentina. Involved countries: Argentina- Chile-Uruguay. • Business meetings “Macfrut 2006” (Cesena – Italy). Delegations from Italy (9); Argentina (22); Brazil (20), Colombia (4); Ecuador (4); México (4). • Business meetings “Mercolactea 2006” (San Francisco – Argentina). Delegations from Italy (8); Argentina (38); Chile (4); Brazil (4). • World Furniture Congress 2006 (Palma de Mallorca – Spain). Delegation of 4 Italian companies. Involved country: Brazil. • Business to business meetings “SANA 2006” (Bologna – Italy). Delegations from Italy (33), Argentina (25), Bolivia (1), Brazil (17), Colombia (4), Chile (3), México (6), Uruguay (10).

Business Meeting at SANA 2006

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Highlights

The pages that follow report in somewhat greater detail on some actions or events that were unusual or, in some other ways, interesting or presented some aspect of work that deserved of greater mention, as opposed to the extremely concise presentation of activities in countries in which UNIDO ITPO Italy worked during the past year. At times, when an interesting picture was available, it has been added, on the time-honoured theory that a picture is worth a thousand words.

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UNIDO 40 Years Supporting Development Women Entrepreneurs: a Promise for the Future On November 16th UNIDO ITPO Italy organised this conference in Villa Aldobrandini in Rome within the framework of the Cooperation Forum for Peace and Solidarity. This conference was dedicated to women’s entrepreneurship and was attended by illustrious Italian and foreign representatives coming from developing countries. Different socio-economic situations were discussed to create an event of thoughtful review and reappraisal. Ms. Battaggia, in the chair, had the pleasure of introducing many distinguished guests, including, Ms. Maria Pia Caravaglia, Deputy Mayor of Rome. The Counsellor Mr. M. Massoni and Ms. D. Battaggia day started with a typical Italian female listening to Ms. Anna Fendi’s presentation success story: FENDI. Ms. Anna, one of the Fendi sisters, told the story of her company, a household name over the whole world with its more than 100 boutiques and 600 shops. The fashion dynasty Fendi started in 1925 when Edoardo and Adele opened a leather and fur goods shop in via del Plebiscito in central Rome. Anna and her four sisters- Alda, Carla, Franca and Paola - inherited the family business in 1946 and went on to invent new ways of working with fur, tanning, dying, and treating, and were able to use previously discarded skins, turning them into fashionable garments. This team of Italian women transformed the company into an international powerhouse known for the quality of its products and its innovative techniques. “My mother always said: quality, quality”, and Anna Fendi passed the mantle on to her daughter who replaced her as creative director for accessories but, even as the world changes, Fendi stays on.

Ms. Oyunchimed sharing her knowledge of Mongolia

A second, very different picture was provided by Ms. Jigjid Oyunchimeg – Head of Business and Investment Support Centre at the Mongolian National Chamber of Commerce and Industry. While there have been democratic developments in Mongolia, the scope for women in the political and decision- or policy-making arena is still limited. The difference in life-styles between women who live in the countryside and those who live in the cities is still large. Women in the countryside have daily routines that are fairly traditional, like milking sheep and cows, cooking, taking care of the children. In the cities, women take a more active part in the social, political, and economic life. For instance, the number of female members of the Mongolian parliament, called the Great State Hural is 5 out of 76. In the public sector, more than 50% of public employees are female especially at middle and lower levels. Concerning women entrepreneurs: in 2004 there were 25.000 active business enterprises registered, 96% of which employed 50 or fewer workers. Ms. Oyunchimeg said it is difficult to estimate the women’s contribution to the business community but there are success stories like Ms. Oyuntsetseg, general director of “Petrovis”, the biggest

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petroleum company in Mongolia, an encouraging sign that “something has begun to change.” A third powerful example was presented by the Hon. D. K. Rwabita, Ugandan Ambassador to Italy, who described the economic and social role of women in Sub-Saharan Africa. He explained how traditionally the woman was meant to be a “plough” for food production and cash crops, a “tap” for water (having to walk for several kilometres to fetch water for the family), as the “cook and the cooker” (travelling to get firewood for cooking food, heating water, and lighting the house), the one nursing the children, and the wife. After the coming of missionaries in Africa and colonialists, some women started being educated but only for clerical jobs whereas subjects like sciences, mathematics, engineering, and law remained the domain of men.

Ms. Maria Pia Caravaglia, Deputy Mayor of Rome, and Ms. Diana Battaggia

After independence in the 1960s, African governments began to invest in education for girls and parents were encouraged to send their daughters to school. In Uganda, this led to a drop in the rate of illiteracy from 60% to 30% in 2005. Due to rising number of educated women, today Uganda can count on 80 women out of 333 members of Parliament and on 10 women out of 70 among full and Deputy Ministers. They have been accorded full and equal dignity of person with men in welfare and realization of their potential and have equal opportunities in political, economic, and social activities. Nevertheless, most of those living in the countryside still face much resistance and discrimination from their husbands and relatives. Hon. Rwabita insisted on the necessity for African women to have access to new technology and factors of production (land, capital, and markets) to education, and to support from the law to redress traditions and customs that are anti-women and hinder their development. “Africa will never develop unless women folk are brought to the forefront, educated, and given the resources to develop their families, their communities, their countries, and Africa at large”. With these words, Hon. Rwabita concluded his very supportive presentation.

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Energy and Environment Programme

Involving Private Companies in Sustainable Development

This Programme supports collaborative action by the Italian Ministry for the Environment, Land, Territory and Sea (IMET), UNIDO ITPO Italy, and the four IPUs for the identification and promotion of environmentally-friendly investment projects. IMET signed a collaboration agreement with ITPO recognizing the importance of its links with private companies. Though the programme with IMET addressed only Egypt and Morocco, other countries were added under UNIDO’s longstanding environment work program and were associated to activities conducted under the agreement with IMET. In 2006, activities focused on the following sectors: renewable energy, water treatment, waste management and recycling of urban and industrial waste, and Kyoto Protocol Clean Development Mechanism (CDM) Projects. Scouting and development of investment opportunities Efforts were concentrated on the identification of investment opportunities within the defined priority sectors. As a result, a sizeable portfolio of environmentally-friendly projects was built: 13 projects were selected in Morocco, 7 in Egypt, 14 in Tunisia, and 6 Italy. Scouting for environmentally-friendly projects also started in Jordan from the second half of 2006. Finally, 3 project ideas were identified in other countries (Myanmar, Venezuela, and Equatorial Guinea). Investment promotion ITPO Italy ensured the participation of selected companies and institutions in the following sector B2B meetings during 2006: SEP Pollution 2006; ECOMONDO 2006; Mini investment forum in Casablanca (September 2006). More than 80 Italian and 40 foreign companies (Egypt, Morocco, Tunisia, Jordan and India) took part to these events. In addition to identifying CDM projects in Egypt, Morocco, and Tunisia, UNIDO ITPO Italy made a wider presentation of opportunities for CDM Projects at CO2 Expo in Rome on Friday 29th September with a Conference on “Implementing the Kyoto Protocol, CDM Projects in Mediterranean countries: focus on Egypt, Morocco, and Tunisia”. Moreover, to support some specific activities done by ITPO and the IPUs within the water and wastewater sector, a seminar entitled: “Opportunities in Water Treatment Sector in Egypt, Jordan, Tunisia, and Morocco” was organized at ECOMONDO 2006. Since 2005, UNIDO ITPO Italy is promoting a project aimed to produce the ENERMAR system in developing countries. This system, using the Kobold Turbine, produces clean renewable energy from marine currents. The Kobold turbine embodies proprietary technology developed and patented by an Italian company called “Ponte di Archimede” who is currently testing a unit of about 200kW in the Strait of Messina, generating electricity from ocean currents. In 2006 this company signed 2 joint venture agreements to produce this technology in China and Indonesia. Special activities for the Identification of Investment Opportunities or Technology Transfer Requirements Two specific studies were finalized during 2006: Compact Units in Tunisia (in collaboration with UNEP) and recycling and reutilization of used tyres in Arab-Mediterranean Countries (in collaboration with AIRP). According to the results of these studies some specific activities were done in order to identify opportunities for private companies within these sectors (e.g. scouting of project in collaboration with the IPUs, seminar within ECOMONDO 2006).

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Development and Investment Opportunities in Equatorial Guinea Equatorial Guinea is a little, but very rich country of West Africa which has been presented in Rome to the Italian Government and entrepreneurs by its own President, H.E. Mr. Teodoro Obiang Nguema, and by 4 Ministers of his Government. The Forum was organized by the Personal Representative for Africa of the Prime Minister, Hon. Alberto Michelini, in collaboration with UNIDO-ITPO Italy, and with the Italo-Equatoguinean Association, on the 1st February 2006, at the African and Oriental Institute. The Forum’s main objectives were: • To present Equatorial Guinea, through a good country presentation, illustrating current economic, social, and political conditions; • To introduce the Italo-Equatoguinean Association, composed of members of the Guinean and Italian Governments and entrepreneurs. This Association intends to promote the development of cultural, scientific, economic, commercial, and social relations between Italy and Equatorial Guinea; • To create business relationships between the Equatoguinean Government and the Italian entrepreneurs through B2B meetings; • To promote the country at the international level, giving a good picture of its current situation. Equatorial Guinea is a developing country in Central Africa. Its territory is split between the central African mainland and the island of Bioko, off the coast of Cameroon, where the capital, Malabo, is located. The discovery of large oil reserves in 1996 and their subsequent exploitation contributed to a dramatic increase in government revenue and liquidity. As of 2004, Equatorial Guinea is the third-largest oil producer in Sub-Saharan Africa. Its oil production has risen to 360,000 barrels/day, up from 220,000 only two years earlier. Oil accounts for over 60% of GDP and 90% of foreign exchange receipts. The economy is growing at an average of 20% per year. Although its primary export is oil, the country is also rich in other resources that need to be exploited in a sensible and sustainable way. H.E. the President, Mr. Teodoro Obiang showcased the opportunities that his country offers as the third largest African oil producer, after Nigeria and Angola.

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Upgrading the Furniture Industry in Egypt

One of the most significant productive sectors of the Egyptian economy is represented by furniture. Local companies export their products mainly to Arab countries but some of them have the potential – and others, the desire – to expand their activities and seek the custom of western consumers. Companies rightly understand that this goal can only be attained when their output is of good quality. UNIDO ITPO Italy, in collaboration with IPU Cairo, saw this need and worked to define an effective action to support and help Egyptian entrepreneurs. Local expectations were met with an ad hoc programme that could lead to the reengineering of business processes for companies operating in the wood processing industry. The Egyptian Industrial Modernization Centre (IMC) and SNAIDERO group (Snaidero Engineering and Trading S.p.A.) got the Office interested in taking part in a project of modernization of furniture-making. UNIDO ITPO assisted SNAIDERO to conduct extensive capacity-building in order to increase the quality of the Egyptian woodworking and furniture-making industries. To better support the programme, the Office partnered-up with UNIDO IPU Egypt as the natural local institutional partner for setting-up a desk in Cairo and for the implementation of related activities. At UNIDO ITPO Italy’s request, SNAIDERO agreed that the desk at IPU would conduct technical activities (to improve knowledge on technical aspects of furniture), promotional activities (to enhance the desk’s visibility and thus attract new Egyptian companies), and manage relationships with institutions. IPU would also offer the desk various services: assistance for seminars, workshops, study tours and business meetings, development of business plans and financial analysis of local companies, drafting short publications/studies related to the sector, and articles for the specialized press. Forty Egyptian furniture companies were visited; twenty-six were selected and supplied information about their problems, priorities, and technological needs. Diagnoses and action programmes were prepared and are now being acted upon. Till now, the UNIDO ITPO Italy-SNAIDERO-UNIDO IPU Egypt programme, which is also being implemented with the technical and financial support of the Egyptian Industrial Modernization Centre (IMC), has been able to transfer manufacturing know-how and best practices to its entrepreneurial partners, enabling Egyptian companies to improve the quality of their products and setup modern and efficient manufacturing facilities.

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Growing Business in Jordan

The Investment and Trade Forum

In 1996, the Jordan Investment Board (JIB) was founded to act as the governmentâ&#x20AC;&#x2122;s arm for promoting Jordan as a unique destination for foreign investments, working closely with the private sector to achieve its objective. Currently, the JIB presents services for facilitating registration and licensing procedures for projects, and offers all possible simplified procedures to investors. The UNIDO Investment Promotion Unit in Jordan (IPU) is part of the UNIDO Investment and Technology Promotion Offices' network as well as of the UNIDO Mediterranean Network. The IPU was setup in 2000 with the funding of the Italian government and has since been hosted by the JIB with which it successfully cooperates. The IPU supports the development of local industrial Small and Medium Enterprises, facilitates their access to markets and financial services, and contributes to enhancing the competitiveness and sustainability of industrial development in Jordan. Under the patronage of His Majesty King Abdullah II, the JIB with the support of the IPU and the Italian Ministry of Foreign Affairs organized the Trade and Investment Forum with the focus on mobilizing trade and investment in Jordan. The Forum targeted key stakeholders in donor agencies, NGOs, associations, banking, and business development organizations that are active in the area of SME development. In order to achieve optimal benefits of the Forum, the organizers brought on board, as speakers, a number of top class practitioners in economic and SME development in Jordan, and speakers with international experience in this arena, who shared their views, observations, and practical experience with the audience. The Investment and Trade Forum provided a platform for foreign companies to establish business in Jordan for the regional market, therefore the agenda was conceived to provide the entrepreneurs with technical information about 1) the investment environment in Jordan; 2) business opportunities offered and, 3) financial schemes available for investment and trade. Over 500 local and foreign companies took part in this event. In particular, almost 100 local companies enjoyed the privilege of exhibiting their products at the H.M. King Hussein Bin Talal Convention Centre. As part of this Forum, 242 meetings were reported and 181 negotiations were done. Considering the 46 most promising negotiations, almost 50% involved Italian companies. In this respect, UNIDO ITPO Italy ensured the participation of more than 60 Italian companies and institutions and provided this delegation with all requested support. Such a big delegation covered all the sectors involved in the Forum and led to more than 100 bilateral meetings between Italian and Jordanian entrepreneurs.

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The Eighth Carthage Investment Forum

Under the auspices of the Ministry of Development and International Cooperation, FIPA-Tunisia, the Tunisian Foreign Investment Promotion Agency, organized in Tunis, on 15-16 June 2006, the 8th Carthage Investment Forum. The Forum brought together 791 participants, 505 Tunisians and 286 foreigners coming from 22 countries. «Investing in the future» was the motto of this Eighth Forum, which focused on strategies to attract foreign direct investment, consolidation of a knowledge-based economy and a the generalized use of information technologies. Two thematic panels were held on the first day in which studies and success stories relating to Tunisia 's production system in various industrial sectors were presented. Four roundtables were chaired by private sector representatives and Tunisian public institution leaders. The second day was devoted to partnership meetings and networking involving about 80 foreign companies, 30 French, 20 Italian, and 30 from other countries. The following personalities took part in the event: -

Mr. Mohammed GHANNOUCHI, Prime Minister of Tunisian Republic; Mr. Mohamed Nouri JOUINI, Minister of Development and International Cooperation; Mr. Hédi JILANI, President of UTICA (Tunisian Association for Industry and Commerce); Mr. Abdessalem MANSOUR, PDG of the Tunisian Bank for Small and Medium Enterprises; Mr. Jean Eric AUBERT, Word Bank representative; Mr. Taieb HAHDRI, Minister of Scientific Research and Technology; Mr. Afif CHELBI, Minister of Industry, Energy and Small and Medium Enterprises.

Within this framework, and in line with UNIDO commitment to support Tunisian efforts to attract foreign direct investment, ITPO Italy launched a vast promotional campaign aimed at sustaining the development of Tunisian SMEs and favouring linkages with potential Italian investors. To this end, UNIDO ITPO Italy organized and assisted the Italian entrepreneurial delegation participating to the Forum, in collaboration with ASSAFRICA & MEDITERRANEO-Confindustria, EUROSPORTELLO VENETO, API (Agence de Promotion de l’Industrie), FIPA Milan and IPU Tunis. In particular, UNIDO ITPO Italy and IPU Tunis had the task to manage the matchmaking according to the profiles of the Italian and Tunisian participants (these latter, actively involved through the use of the IPU project portfolio). As a results of the promotional efforts, a delegation of 20 Italian SMEs took part in the event and eighty-four bilateral meetings were arranged.

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Support to the Development of Serbian SMEs

Assistance to the Serbian Agency for the Development of SMEs To strengthen local industrial potential, and to enhance the integration of Serbia in the global economy, UNIDO ITPO Italy, the Italian Ministry of Foreign Affairs, Regione Lazio, and Provincia di Bologna agreed in 2005 to start the implementation of a cooperation project aimed at supporting the Serbian SME Development Agency in the process of industrial matchmaking between Italian and regional counterparts, through the attraction of both FDI and commercial flows. The policy implemented is that of improving the capacity of the SME Development Agency so that it can adequately deliver its support to local SMEs by providing them with up-to-date information, management advice, and technical assistance. To this end, a Support Unit hosted by the Serbian SME Agency is at work since February 2005. After a first phase of formal training, through the Support Unit, ITPO Italy collaborated actively with the Serbian Agency for the Development of Small and Medium-sized Enterprises and Entrepreneurship in the identification of investment projects, business opportunities, and/or technology needs of local companies. Through a “learning-by-doing” process, the Serbian Agency started to apply UNIDO’s methodology of investment promotion and financial assessment of industrial projects. At the same time, UNIDO ITPO Italy contacted more than 2000 Italian companies and institutions operating in some selected sectors (forestry-based industry, agri-business, Information and Communications Technology, textiles, and pharmaceuticals) to support the promotion efforts of the SME Agency. To facilitate the dissemination of country information within the Italian business community, a country profile on Serbia’s economy and main features of industrial sectors was created and published in accordance with UNIDO guidelines for publications. Direct Support to Enterprises: “Italy-Serbia – The Road to Investment” Within the framework of the program to support the Serbian SME Development Agency, UNIDO ITPO Italy organized the B2B workshop “ItalySerbia: The Road to Investment”, on 11-12-13 October 2006. The aim was to support the development of Serbian small and medium enterprises and strengthen the business relations between Serbian and Italian SMEs. As a result of the promotional activities undertaken, about 250 Italian companies and institutions (Consortia, Chambers of Commerce, Industrial and sector associations) and 25 selected Serbian companies of the 60 previously scouted and included in the UNIDO ITPO Italy Serbian catalogue of investment opportunities participated in the event. To increase the probability of creating positive and effective economic relations between Italian and Serbian companies, match-making was prepared on the basis of cooperation proposals previously provided by the companies and through the utilization of UNIDO Event Manager Software, Business Meetings “Italy – Serbia: the Road to Investment” th Bologna – Palazzo Malvezzi – 11 Oct. 2006

thus ensuring a rational scheduling of the meetings.

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About 187 meetings were managed during the two B2B sessions under the supervision of UNIDO staff. Furthermore, a study tour took place at CAAB (Centro Agro-Alimentare Bologna) on October the 12th to strengthen business linkages between Italian and Serbian companies operating in the agribusiness sector. The study tour also gave the opportunity to illustrate to Serbian companies the activities and the organization of a modern logistic platform for the distribution of fresh and semi-processed fruits and vegetables, allowing Serbian companies to establish additional contacts with CAAB operators. As tangible consequence of this BtoB workshop, many economic and industrial agreements were signed between Italian and Serbian entrepreneurs and are currently being developed.

Mr. De Angelis, Executive (Assessore) of Lazio Region meeting with Ms. Battaggia over Decentralized Cooperation (Lazio co-finances assistance to Serbian SMEs)

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Collaboration with UNIDO Headquarters for Development of Indian Productive Clusters UNIDO has been mandated to implement the “Consolidated project for SME development in India through establishment of mutual credit guarantee schemes, cluster twinning and foreign investment and technology promotion”. The development objective of this project is to contribute to the reduction of poverty through economic growth, and use the significant potential of small and medium sized enterprises (SMEs) in the economic growth of India. The project has funding of about € 3.000.000 from the Italian Ministry for Foreign Affairs, for 3 years, and the Ministry of Small Scale Industries is the Indian counterpart. The project has three basic components - Cluster Twinning, Investment and Technology Promotion, Mutual Credit Guarantee Fund - and will probably be focused on the three different sectors of Leather and Leather Goods, Auto-Components, and Light Engineering. With specific reference to the components: • Cluster Twinning aims to enhance the competitiveness and sustainability of existing but currently underachieving SME clusters; • Investment and Technology Promotion activities are meant to increase the international competitiveness of Indian SMEs; • Establishment of a Mutual Credit Guarantee Fund in India is an important institutional mechanism for enabling SMEs to access financial resources. During 2006, the main contribution of ITPO Italy has been to help identify the Italian clusters potentially interested in twinning with the Indian ones. As to the search for potential counterparts and promotion of projects in Italy, ITPO Italy contacted almost 20 organizations in 7 different Italian regions and also participated in the Indian-Italian Joint Committee held in Rome with the presence of the Indian and Italian Ministers of Commerce and Industry, of Confindustria, of FICCI, of ABI and of senior representatives of the main Indian and Italian enterprises. This search/promotion activity is still in progress and will continue into 2007. In the coming year, ITPO Italy should have a pivotal role in the promotion of investment and technology exchanges.

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Facilitating access to external markets for Uruguayan companies active in phytotherapy products (MAPs) The participation of the Phyto-Uruguay Consortium, Uruguayan companies associated to promote exports of Medicinal and Aromatic Plants (MAPs), during the 18th International Exhibition of Natural Products – SANA – conveyed positive signs and helped to improve the development prospect for these products in Uruguay. For a small open economy like Uruguay’s, trade plays an important role, with exports of goods and services accounting for roughly 20 % of GDP. Since the early 1990s, the country has embarked on a path of steady liberalization in goods and services as well as deeper regional integration. Uruguay’s exports are highly concentrated among a few products, especially agricultural ones. At the same time, Uruguay is endowed with vast resources of plants used by its people as medicines, flavours, and fragrances, and traded in the local markets. The increasing demand for MAPs and the requirements for high quality clearly shows the need to upgrade the products for international markets. UNIDO in collaboration with DINAPYME played an important role to facilitate access to external markets and strengthening the recently created Phyto-Uruguay Consortium acting on those variables that increase value through the productive processes, and quality and productivity improvements. The presence of Phyto Uruguay Consortium at SANA 2006, presented a good opportunity to evaluate the feasibility of getting these products into European markets. The Uruguayan companies gained great visibility as exhibitors of these products to the world market and this gave them an excellent opportunity to meet European companies, in particular from Italy, Spain, and France, and to develop commercial relationships. The business meetings with the interested SANA exhibitors, scheduled in advance, gave good chances for developing new contacts and business opportunities, as trade professionals and buyers came from all parts of the world. ITPO’s recognition from participating companies as an institution able to bring into contact the supply and the demand for project ideas in herbal medicines/fragrances confirmed ITPO in its decision to work on the promotion of these firms/products.

Uruguayan companies participating at SANA Trade Fair

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Technical Assistance for the Development of Joint Ventures in China ITPO signed a general agreement with the Chamber of Commerce (CCIAA) of Pordenone to jointly promote new investment projects for industrial companies in developing countries. On the basis of this relationship, the ITPO was involved by the CCIAA as service provider, in particular for assistance with project appraisal, within a joint program financed by ICE. This venture is conducting a feasibility study to analyze and evaluate the feasibility for five Italian companies to enter the Chinese market by jointly incorporating and managing a New Chinese Enterprise (NCE). The NCE will operate in the sector of mechanics and plastic moulding. At the beginning, the main objective of NCE will be the management of commercial relationships between the five Italian companies, and those of their suppliers and customers. If things go well, the possibility of making an investment in production will also be examined. ITPO Italy has been asked to conduct the economic and financial analysis of the NCE business plan. After a start-up meeting in 2006, ITPO Italy has organized several operational meetings, first visiting the companies to meet and get to know their management and to collect all information and data necessary for the analysis. Collecting and processing this information and data will continue until early 2007 and then, the economic and financial analysis will be performed by using COMFAR III Expert software, according to UNIDO methodology for the appraisal of the investment project. The deadline to submit the final report is due at the end of February 2007.

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Italian Network to Support Investment Promotion Activities ITPO Italy decided to broaden its collaboration with associations and institutions that work with or represent enterprises in various sectors as a means of strengthening its network. To that end, a number of letters of intent were signed in 2006 when ITPO felt the need to develop new institutional alliances to support the internationalization of Italian companies and better disseminate UNIDO ITPO Italy project portfolios of business opportunities in less developed countries, with important national and regional institutions. Letters of intent were signed with CONFAPI, the Chamber of Commerce and Industry of Ancona, Confindustria Bari, AIRP (Associazione Italiana Ricostruttori di Pneumatici) and, Centro Estero delle Camere di Commercio dellâ&#x20AC;&#x2122;Umbria. Overall objectives of these agreements are to set up an operational framework for cooperation in implementing projects to raise investments in developing countries and transition economies. Based on this premise, UNIDO ITPO Italy will provide assistance to these institutions in defining and supporting actions for the internationalization of their associates by ensuring free support services both for economic initiatives and for projects of industrial cooperation. On the other hand, signatory associations commit themselves to support UNIDO ITPO Italy in organizing Italian industrial delegations and by selecting interested companies and assuring the participation of their associates to events managed by UNIDO ITPO Italy. Most agreements contain the following main lines of intervention: identification of national and international financial instruments usable for industry cooperation and foreign direct investment in developing countries; assistance in meeting conditions for use of grants and credit lines and economic/financial evaluations of investment projects; participation in European and International tenders in developing countries and transition economies. Further, ITPO Italy supplies information and services to SMEs on local legislation, investment opportunities, credit facilities, partners search, and business plan formulation, especially in target countries. These letters of intent do provide a more effective framework for collaboration and give ITPO greater assurance that collaborating institutions/associations will use their influence with member enterprises to ensure more participation in ITPO activities and events, hence, making ITPOâ&#x20AC;&#x2122;s work more productive. A similar network exists in countries where there is an IPU, but such a network would also be useful in all other target countries.

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Official Visit of the UNIDO Director General

Mr. Kandeh K. Yumkella, UNIDO Director General, visited Italy on November 7th and 8th, 2006. This was his first visit to Italy since his appointment, one of a series of visits to UNIDO’s major donor countries, with the aim of presenting the Organization and its initiatives on the fortieth anniversary of its foundation. A special agenda was organized for the Director General to make sure he would meet some of the most important Italian personalities and institutions and to officially introduce him to the Italian Government. Among leading personalities Mr. Yumkella met is the President of the Senate, Hon. Sen. Franco Marini, the second highest State office holder in Italy. The meeting was memorable The Honourable Mr. F. Marini, President of the Senate of because the President honoured him with a Italy presenting plaque commemorating UNIDO’s 40 years to Mr. Yumkella plaque commemorating UNIDO’s Fortieth Anniversary. The President acknowledged the important mandate of UNIDO and expressed his wish to see UNIDO better known throughout the Italian Government. Mr. Yumkella was received by the Prime Minister, Hon. Romano Prodi who welcomed him to Italy. A meeting with the Minister of Foreign Affairs and Deputy Premier, Hon. Massimo D’Alema also took place. The friendly encounter with Deputy Premier D'Alema led to a good conversation and exchange of views on UNIDO's future, especially in relation to the reform of the United Nations System. Hon. D’Alema and Mr. Yumkella also conversed on the rising Italian contribution to peace-keeping missions, notably in Lebanon. The meeting with Ms. Patrizia Sentinelli, Deputy Minister of Foreign Affairs, showed that UNIDO and Italian Cooperation share goals and objectives. Finally, Mr. Yumkella’s visit to the Minister of Environment Hon. Alfonso Pecoraro Scanio led to a discussion over possible future collaboration on matters of environmentally sustainable development. The first day, the Director General met UNIDO ITPO Italy staff and during his visit he reaffirmed his and our Organization’s commitment to support development efforts worldwide. During his visit the Director General took part in the following events: • November, 7th Roundtable on “Trade and sustainable development to fight poverty” held at the Ministry of Foreign Affairs; • November, 8th presentation of the book “International Handbook on Industrial Policy” by Prof. Patrizio Bianchi, Rector of the University of Ferrara, at Palazzo Valdina in Rome.

The Prime Minister the Honourable Mr. R. Prodi, greeting Mr. Yumkella

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And finally, the Director General attended the signing ceremony for a joint venture between the firm Ponte di Archimede International SpA, and the Dai Shan County Gao Ting Shipyard of China for the development of an innovative way of generating electric power with ocean currents using the Kobold turbine, a proprietary technology developed and patented by Ponte di Archimede. The joint venture will be testing the new technology and researching and developing technologies for renewable energies in China and neighbouring countries. The Honourable Mr. M. D’Alema, Deputy Premier and Minister of Foreign Affairs of Italy, greeting Mr. Yumkella

In conclusion, Mr. Yumkella’s visit to Italy should now enable him to appreciate better the high esteem in which UNIDO is held in Italy and how much its work in industrial development is valued. Similarly, Mr. Yumkella expressed his appreciation for the continued support of Italy and the good performance of ITPO Italy. The paragraphs below describe more fully the two events attended by Mr. Yumkella during his visit.

The Honourable Mr. A. Pecoraro Scanio, Minister of the Environment meeting Mr. Yumkella

The Honourable Ms. P. Sentinelli, Deputy Minister of Foreign Affairs welcoming Mr. Yumkella

November 7th - Egypt debt swap and traceability ITPO Italy in collaboration with the Italian Ministry of Foreign Affairs (MAE) organized a special Roundtable on “Trade and sustainable development to fight poverty: the experience of debt for development swap mechanism in Egypt”. The conference took place in honour of the visit of Mr. K. Yumkella, Director General of UNIDO, in the International Conference Hall of the Ministry of Foreign Affairs and was attended by more than 100 people. Thirty-one participants were ambassadors or representatives of Embassies. The Hon. Vittorio Craxi , Undersecretary of the MAE opened the round table and was followed by Hon. Umberto Ranieri, President of the Commission for Foreign Affairs and Europe of the Italian Chamber of Deputies. Mr. Yumkella presented UNIDO’s mandate, activities, and plans for

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the future while other issues were described by Mr. Domenico Magliano, Director General of Economic Cooperation of MAE, followed by Messrs. Giuseppe Morabito, Vice-Director of the General Directorate of Cooperation for Development of MAE and Filippo Giansanti, Director of Office IX of the Ministry of Economy and Finance. During his presentation Mr. Yumkella said that: “Our role, as the United Nations Industrial Development Organization, is to promote industry, to reinforce the message that we cannot eradicate poverty without creating wealth, we cannot eradicate poverty without promoting a strong private sector, without having viable small and medium size enterprises in developing countries that can provide jobs, that can raise incomes, and that can, in fact, adopt new technologies, and make these countries viable and effective participants in global trade. This job is perhaps even more important today because we do see that globalization is occurring very fast, globalization doesn’t respect borders, religion, or politics, it is driven by technology, by finance, and therefore if we don’t do extra work to make sure that another part of the world participates in this prosperity, we will not be secure and we will not be stable. It is clear today that we have to look at aid differently”. Several ambassadors from developing countries intervened to express their point of view and their expectations for the future, especially in regard to the relative slowness of the debtreduction mechanisms. Ms. Battaggia, UNIDO ITPO Italy Head concluded the conference. November 8th – Presentation of the “International Handbook on Industrial Policy” Prof. Patrizio Bianchi, Rector of the University of Ferrara and advisor of UNIDO ITPO Italy, presented his book, International Handbook on Industrial Policy, at Palazzo Valdina in Rome. The presentation was attended by the UNIDO Director General, Mr Kandeh K. Yumkella and by more than 30 representatives of Italian Institutions, academia, and business associations. The book revisits an old topic that is becoming fashionable again: industrial policy. Traditional policies of Import Substitution Industrialization (ISI) are well and truly irrelevant now, but the structural changes occurring in the world economy are bringing forth a new quest for industrial policies that are feasible under these new globalized conditions. These policies are really programmes of measures aiming to create an environment favourable to business. These measures are of two types : those designed to increase efficiency by promoting competition (antitrust, regulation, intellectual property rights, etc) and those pushing for intangible assets such as knowledge, innovation, and human capital (R&D policy, training and education policy, local development policies, etc.) as winning assets in world competitiveness. The handbook provides an empirical overview of these new industrial policies supported by a strong theoretical background and, while giving valuable insights to policy-makers, also raises a number of issues for future research.

Mr.Yumkella and Ms. Battaggia listen while Prof. Bianchi launches his new book on industrial policies.

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Annexes

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Business Meetings 2006

Country

Date

Fair/Exhibition

Venue (City)

Mediterranean Countries and Asia

15-18/3

Padua

Padua (Italy)

Latin America

7/8

C. Rivadavia (Argentina) AL-Invest

C. Rivadavia (Argentina)

All regions

7/4

Agrofer

Cesena

Latin America

04-06/05/06

Business to business meetings “Macfrut 2006” AL-Invest

Cesena (Italy)

Jordan

11/5

PACKAGING FAIR

Milan (Italy)

Latin America

11-14/05/06

Business to business meetings “Mercolactea 2006” AL-Invest

San Francisco (Argentina)

Tunisia

15-18/05/06

Medenine Partnership Day

Jerba (Tunisia)

Latin America

22-24/05/06

World Furniture Congress 2006 AL-Invest

Palma de Mallorca (Spain)

Mexico

31/5

MARMOTEC

Carrara (Italy)

Companies and institutions participating with UNIDO support Egypt: 3 Morocco: 2 Jordan:2 Tunisia: 2 India: 1 Italy Italy : 9 Argentina : 66 Chile : 4 Uruguay : 5

Italy : 9 Argentina : 22 Brazil : 20 Colombia: 4 Ecuador : 4 México: 4 Peru : 4 Jordan : 1 Italy : 4 Argentina : 38 Chile : 4 Brazil : 4 Italy : 6

Italy : 4 Mexico: 1

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Foreign companies directly assisted

Italian companies directly assisted

Country

Date

Fair/Exhibition

Venue (City)

Tunisia

31/05-02/06/06

SIAT

Tunis (Tunisia)

Tunisia

14-17/06/2006

Carthage Investment Forum

Tunis (Tunisia)

Jordan

18-20/06/2006

Jordan International Investment and Trade Forum

Amman (Jordan)

Mediterranean Countries and Latin America

7-10/09/2006

SANA AL-Invest

Bologna

China

15-17/09/2006

Dongying Asia Invest B2B

Dongying

Morocco

15/09/2006

B2B Meetings

Casablanca (Morocco)

Argentina

5-8/10/2006

Marmomacc

Verona

Serbia

11/10/2006

Serbia : the read to investment

Bologna

Serbia

13/10/2006

Serbia : the read to investment

Rome

Mediterranean Countries

8-11/11/2006

ECOMONDO 2006

Rimini

Tunisia

30/11/2006

La Cooperation Industrielle entre la Region Marche et la Tunisie Totale

Tunis, Tunisia

Companies and institutions participating with UNIDO support Italy : 7 Tunisia Italy :19 Tunisia Total participants: more than 500 Jordan:185 Italy :56 companies and 12 Institutions Morocco: 3 Tunisia: 7 Jordan: 4 Argentina: 3 Uruguay: 10 Italy: 33 China: 300 Italy: 10 Europe: 60 Italy 8 Morocco 15 Argentina: 8 Total participants: 170 Serbia: 32 companies and institution Italy:138 companies and institutions Total participants: 146 Serbia: 32 companies and institution Italy:114 companies and institutions Morocco: 6 Egypt: 3 Jordanm: 3 Tunisia: 3 Italy: 10

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Foreign companies directly assisted

Italian companies directly assisted

185

289

Investment Promotion: Country Presentation and Seminars Title Project of transfer of know-how for the Development of the Thermal Systems in Argentina Republic of Guinea Presentation

Venue Montegrotto Terme Rome

Data January 6th

Target Country Argentina

January 31st

Global Outline of UNIDO ITPO Italy activities and discussion the purpose to strengthen an operative linkage with CONFAPI throughout the signature of a memorandum of understanding Global Outline of UNIDO ITPO Italy activities and presentation of EU-Mongolian Cashmere project within the Framework of Asia Invest II Program

Rome

February 17th

Guinea Equatorial All

Milan

February 23rd 24th

Mongolia

Global Outline of UNIDO ITPO Italy activities and presentation of EU-Mongolian Cashmere project within the Framework of Asia Invest II Program

Milan

February 23rd 24th

Mongolia

Global Outline of UNIDO ITPO Italy activities and presentation of EU-Mongolian Cashmere project within the Framework of Asia Invest II Program

Milan

February 23rd 24th

Mongolia

Global Outline of UNIDO ITPO Italy services and methodologies Global Outline of UNIDO ITPO Italy activities and discussion the purpose to strengthen an operative linkage with these Institutions throughout the signature of a memorandum of understanding Global Outline of UNIDO ITPO Italy activities and discussion the purpose to strengthen an operative linkage with this Institution throughout the signature of a memorandum of understanding Global Outline of UNIDO ITPO Italy activities and promotion of Jordan Investment and Trade Forum Global Outline of UNIDO ITPO Italy activities and promotion of Jordan Investment and Trade Forum Global Outline of UNIDO ITPO Italy activities and promotion of Jordan Investment and Trade Forum Global Outline of UNIDO ITPO Italy activities and promotion of Jordan Investment and Trade Forum Global Outline of UNIDO ITPO Italy activities and promotion of Jordan Investment and Trade Forum Global Outline of UNIDO ITPO Italy activities and promotion of Jordan Investment and Trade Forum Global Outline of UNIDO ITPO Italy activities and promotion of Jordan Investment and Trade Forum Global Outline of UNIDO ITPO Italy activities and promotion of Jordan Investment and Trade Forum Global Outline of UNIDO ITPO Italy activities and promotion of Jordan Investment and Trade Forum Renewables in the Mediterranean Region: market and investment opportunities Global Outline of UNIDO ITPO Italy activities and promotion of Jordan Investment and Trade Forum

Rome

March 7th

All regions

Ancona

March 7th

All regions

Perugia

March 13th

All regions

Genova

March 13th

Jordan

Genova

March 13th

Jordan

Genova

March 14th

Jordan

Turin

March 15th

Jordan

Milan

March 15th

Jordan

Milan

March 16th

Jordan

Milan

March 16th

Jordan

Milan

March 17th

Jordan

Milan

March 17th

Jordan

Milan

March 17th

Egypt / Morocco

Latina

March 27th

Jordan

________________________________________________________________

Title Global Outline of UNIDO ITPO Italy activities and promotion of Jordan Investment and Trade Forum Global Outline of UNIDO ITPO Italy activities and promotion of Jordan Investment and Trade Forum Il solare termico per la produzione di calore nell'industria

Venue Bari

Data March 30th

Target Country Jordan

Bari

March 30th

Jordan

Rome

March 31st

Egypt Country Presentation Serbia - quali opportunità nel settore della meccanica e del legno arredo International Seminar about Exotic and Non Traditional Meats Global Outline of UNIDO ITPO Italy activities and promotion of Jordan Investment and Trade Forum Global Outline of UNIDO ITPO Italy activities and discussion the purpose to strengthen an operative linkage with these Institutions throughout the signature of a memorandum of understanding Asia Invest program co-operation Investment and Trade Opportunities in Jordan Presentation of Carthage investment forum Presentation of Jordan Forum Investment and Trade Opportunities in Jordan Investment and Trade Opportunities in Jordan Presentation of Jordan forum Wuxi delegation visiting in Assolombarda Seminar about Investment Opportunities in Argentina. Presentation of Mexican opportunities on marble extraction Global Outline of UNIDO ITPO Italy Global Outline of UNIDO ITPO Italy African Economic Outlook 2005/2006 Avvocato in Cina Presentation of Mexican projects Presentation of Mexican Projects Presentation of UNIDO activities and in particular Serbia project Global Outline of UNIDO ITPO Italy activities Fostering Private Involvement in Sustainable Development Acqua come strumento di lavoro

Rome Pordenone

April 4th April 5th

Mediterranean Countries and Africa Egypt Serbia

Rivadavia (Argentina) Rome

April 5th - 6th

Argentina

April 6th

Jordan

Perugia

April 12th

All regions

Rome Rome Naples Bologna Genoa Turin Padova Milan Florence

April 28th May 4th May 09th May 09th May 11th May 12th May 12th May 18-19th May 29th

China Jordan Tunisia Jordan Jordan Jordan Jordan China Argentina

Carrara

May 31st

Mexico

Rome Rome Rome Rome Venezia Venezia Terni

May 31st June 5th June 6th June 6th June 09th June 09th June 19th

All regions All regions Africa China Mexico Mexico Serbia

Terni Casablanca

June 19th June 22nd

All regions Morocco

Rome

July 17th

Rome

July 20th

Mediterranean Countries and Africa Ecuador

Rome

August 3nd

Serbia

Rome Bologna

August 24th September 7th

Srylanka Uruguay

Seminar about Investment & Commercial Opportunities in Ecuador Presentation of UNIDO activities and in particular Serbia project Presentation of Kobold Turbine Country presentation “Trade and investment opportunities in the natural herbs and cosmetics sectors in Uruguay”

________________________________________________________________

Title Investment climate: Special Focus in Environment Sector ITPO Italy Energy and Environment Program Presentation (within the 1st Global Cleaner Production Conference & Exhibition)

Venue Casablanca (Morocco) Cairo (Egypt)

Data September 14th September 18th

Target Country Morocco

CDM Projects in the Mediterranean countries: focus on Morocco, Egypt and Tunisia Serbia. The road to investment Serbia. The road to investment Trade and Sustainable Productive Capacity to Fight Poverty: The experience of UNIDO within the Italian Debt for development Swap in Egypt

Rome Bologna Rome Rome

September 29th October 11th October 13th November 7th

Mediterranean Countries Serbia Serbia Egypt

Rimini

November 8th

Rome

November 16th

Bologna Milan Bologna

November 28th December 12th December 15th

Mediterranean Countries Mediterranean Countries, Asia and Africa China Egypt Uganda

Water Treatment: Which opportunities in Morocco, Jordan, Egypt and Tunisia Domestic and Foreign Investments for Women Entrepreneurs in Industry Are you ready for China? Growing business and Investments in Egypt Investimenti in Uganda : OpportunitĂ e Sfide

Egypt

________________________________________________________________

Capacity Building: Country Presentations and Seminars

Title Seminar about Italian Distric Model

Venue Rome

Data March 15th

Target Country All regions

UNIDO ITPO experience within SMEs warranty schemes

Cesena

April 6th

India

Entrepreneurship, Architecture, Design

Belgrade

April 18th 20th

Serbia

Using financial markets to detect illegal arms trade - a sample from developing countries

Rome

April 28th

All regions

COMFAR III expert Basic Workshop

Vienna

May 7-12th

All regions

UNIDO's methodology of Investment promotion

Rome

May 24th

Latin America

Tempi Moderni

Venice

May 26th

All regions

Technological change and wages at the local level: a case study of the IT revolution.

Rome

June 23th

All regions

Seminar of the Mediterranean Countries Economic Councils organized under the Tresmed 2 initiative

Rome

June 26-27th

Profit and non-profit between integration and social growth: common strategies and best practices

Padua

July 7th

MEDA All regions

________________________________________________________________

Projects Under Negotiation in 2006 Country

Project Number

Argentina

ARG/035/M/04-11 ARG/049/I/05-05 ARG/053/I/05-05 ARG/055/I/06-05 CPR/033/I/06-03 CPR/034/I/06-04 CPR/035/I/06-04 CPR/071/M/04-04 EGY/296/C/03-06 EGY/331/C/04-07 EGY/345/C/05-02 EGY/356/C/05-05 EGY/363/C/05-08 EGY/364/C/05-08 EGY/401/C/05-09 EGY/402/C/05-09 EGY/410/C/06-02 EGY/411/C/06-06 EGY/413/C/06-06 EGY/414/C/06-06 EGY/415/C/06-06 EGY/416/C/06-06 EGY/417/C/06-06 EGY/418/CL/06-06 EGY/419/C/06-06 EGY/420/C/06-06 EGY/422/C/06-06 EGY/423/C/06-06 EGY/425/C/06-06 EGY/429/C/06-06 EGY/430/C/06-06 EGY/431/C/06-07 EGY/433/C/06-07 EGY/434/C/06-07 EGY/435/C/06-07 EGY/436/C/06-07 EGY/437/C/06-07 EGY/438/C/06-09 EGY/439/C/06-09 EGY/440/C/06-09 EGY/445/CL/06-12 EGY/446/CL/06-12 EGY/447/CL/06-12 EGY/448/CL/06-12 EGY/449/CL/06-12 EGY/450/I/06-12 EGY/451/I/06-12 EGY/452/I/06-12

China

Egypt

Title Porphyry Industrial Processing Plant Timber processing plant Artichoke production Import of fruit and vegetables Textile Agro-food Agro-food Automotive Chair furniture Manufacture of Wood and Wood Products Office Furniture Logistic services Marble processing Food logistic Furniture and historical monument restoration Modern Furniture Food Industry Agrofood - jams and juice Security Locks and systems Pharmaceuticals Marble and granite Textile and Dying Agrofood - Olive oil Safety shoes manufacturing Steel Granite and marble Furniture Furniture: Conference, Office, Educational, Upholstered Chairs Furniture Automotive Steel Furniture: Conference, Office, Educational, Upholstered Chairs Production of classic furniture Furniture: Kitchens, Office, Hotel, Bedrooms, Dinning Rooms Furniture Furniture Furniture Marble Food industry biscuits-candy-hard candy-snacks Plastic packaging Printing and Packaging Tiles and Bricks Plastic film for Flexible Packaging Olive oil Spinning factory Closed radio wide area network to link marinas or cities Machines and systems for pasta factories Risk analysis in industrial plants

________________________________________________________________

Country Jordan

Lebanon Morocco

Project Number JOR/2005/002 JOR/2005/004 JOR/2005/008 JOR/2005/011 JOR/2005/012 JOR/2005/013 JOR/2005/015 JOR/2005/020 JOR/2005/023 JOR/2005/024 JOR/2005/026 JOR/2005/030 JOR/2005/033 JOR/2005/034 JOR/2005/035 JOR/2005/036 JOR/2005/038 JOR/2005/041 JOR/2005/045 JOR/2005/069 JOR/2006/076 JOR/2006/077 JOR/2006/078 JOR/2006/080 JOR/2006/081 JOR/2006/082 JOR/2006/087 JOR/2006/092 JOR/325/J/06-02 JOR/329/J/06-07 LEB/001/I/06-05 MOR/026/R/02-03 MOR/046/R/02-05 MOR/058/R/02-06 MOR/065/R/02-06 MOR/127/R/03-07 MOR/144/R/04-02 MOR/146/R/04-02 MOR/147/R/04-03 MOR/149/R/04-03 MOR/151/R/04-03 MOR/152/R/04-03 MOR/153/R/04-03 MOR/155/R/04-03 MOR/158/R/04-03 MOR/160/R/04-03 MOR/166/R/04-04 MOR/174/R/04-04 MOR/182/R/04-04 MOR/188/R/04-04

Title Granite lime stones and travertine - Jordan marble Dead Sea Travertine Gold and Diamond Jewellery Extra Virgin Olive Oil Dead Sea cosmetics Dead Sea personal care products Dead Sea beauty products Extra Virgin Olive Oil Production of packaging materials Production of corrugated and laminated boxes Herbal and spices Production of concentrates and pre-mixes for animal feed Fresh baby food in glass jars. Recycling of Organic solvents Solid waste recycling plant Market access for Dead Sea products Improvement of management and production systems Knitted Garments Terrazzo Tiles production Specialized furniture Italian design Gold chains Production of Jewellery items Software development Computer Networking systems Dead Sea Cosmetics GSM Logistics Provider, Handsets Dealer & E-Wallet Operator Metal industry Pharmaceuticals Olive Oil Olive Oil Pharmaceutical centre for blood bags Textile Textile Textile Textile Agro-food Textile Agro-food Textile Textile Textile Textile Textile Textile Textile Textile Textile Textile Agro-food Leather

________________________________________________________________

Country

Sierra Leone Tanzania Tunisia

Uganda

Project Number MOR/189/R/04-04 MOR/193/R/04-04 MOR/232/R/05-04 MOR/255/R/06-01 MOR/260/R/06-03 MOR/276/R/06-07 MOR/280/R/06-08 MOR/284/R/06-08 MOR/285/R/06-09 MOR/287/R/06-09 MOR/290/R/06-10 MOR/291/R/06-10 MOR/294/R/06-11 MOR/299/R/07-01 MOR/300/R/07-01 MOR/301/R/07-01 SIL/001/I/05-02 TAN/002/I/05-06 TUN/295/R/05-06 TUN/296/T/05-06 TUN/327/T/06-03 TUN/329/T/06-03 TUN/333/T/06-04 TUN/341/T/06-05 TUN/353/T/06-08 TUN/355/T/06-09 UGA/088/K/02-08 UGA/092/K/03-01 UGA/094/K/03-01 UGA/109/K/06-03 UGA/113/K/03-07 UGA/137/K/05-05

Title Leather Leather Leather Zinc cave Water treatment Agro-food: Argan Oil production Marble Energy distributor Industrial waste water treatment (textile sector) Water treatment Olives production Production of recycled tissue paper Production diversification ( agro-food sector) Technology transfer: Paper transformation Production of air conditioning Units CES fabrication Granite slabs production Cashew nut Vegetables production Marble extraction Marble extraction Sand extraction Recycling technologies Organic Olive oil Printing plant Renewable Energy Export of certified organic fruits and vegetables Tannery Breakfast cereals and short time foods Production of Moringa products Production of fruit juices Private Hospital

________________________________________________________________

Projects Concluded in 2006 Country CHINA

Project Number CPR/017/I /05-07

Project Title Printing facility

CHINA

CPR/030/I/05-11

Textile

CHIAN

CPR/045/I/06-11

Kobold china: production of kobold turbine

EGYPT

EGY/293/C/03-05

Wooden, metal, plastic furniture

EGYPT

EGY/403/C/05-09

Kitchen and home furniture

EGYPT

EGY/407/C/06-01

Production of filters for water treatment .

EGYPT

EGY/408/C/06-02

Production of Twines, Elastic nets, Cordages

EGYPT

EGY/412/CL/06-06

Automotive and car batteries

EGYPT

EGY/421/C/06-06

EGYPT

EGY/424/C/06-06

Production of classic, office, style, hotel, contemporary furniture Production of furniture

EGYPT

EGY/426/C/06-06

Office furniture

EGYPT

EGY/427/C/06-06

Production of furniture

EGYPT

EGY/432/C/06-06

Production of different kinds of chairs

EQ. GUINEA

GNQ/002/I/06-08

Agro food processing

EQ. GUINEA

GNQ/003/i/06-08

INDIA INDONESIA

Investment million US$ 10

Jobs created 300

300

0,15

0,2

0,46

1,3

1,5

0,15

1,8

100

Solid waste treatment

5,5

120

IND/001/I/05-07

Shoe insoles production

3,5

IDN/001/I/06-02

Tide energy generation- Kobold Turbine

0,3

0,487

0,2

1,5

0,5

JORDAN

JOR/2005/006

Hallabat, granite and limestone

JORDAN

JOR/2005/017

Production of extra virgin olive oil

JORDAN

JOR/2005/061

JORDAN

JOR/328/J/06-07

Hallabat and granite production

JORDAN

JOR/332/J/06-12

Production of extra virgin olive oil

MOROCCO

MOR/257/R/06-03

Doors manufacturing

0,92

MOROCCO

MOR/259/R/06-03

Environment

0,02

MOROCCO

MOR/262/R/06-04

Thermal insulating polyurethane slabs

4,16

MOROCCO

MOR/263/R/06-04

Fabric finishing and ennoblement

2,78

MOROCCO

MOR/272/R/06-06

Clothes manufacturing

0,92

275

MOROCCO

MOR/274/R/06-05

Environment

0,4

TUNISIA

TUN/238/B/04-03

Mechanics/Electrics

0,3

275

TUNISIA TUNISIA TUNISIA

TUN/305/T/05-08 TUN/340/T/06-05 TUN/342/T/06-05

Marble extraction Ceramic Medi-dry vegetable processing

0 0,54 2

0 65 40

TUNISIA

TUN/343/T/06-05

Electronics

1,75

TUNISIA

TUN/349/T/06-07

Maghreb primeurs â&#x20AC;&#x201C; tomato processing

TUNISIA

TUN/356/T/06-09

Furniture

0,054

TUNISIA

TUN/358/T/06-11

Marble extraction

Extra Virgin olive oil

TOTAL

75,591

________________________________________________________________

2061

Operational Projects 2006

Country Angola China China China China Jordan Morocco Morocco Morocco

Project Number ANG/001/I/04-11 CPR/001/M/04-02 CPR/016/R/07-05 CPR/044/M/03-09 CPR/057/M/03-11 JOR/187/J/01-11 MOR/226/R/04-12 MOR/230/R/05-04 MOR/233/R/05-05

Title Processed meat Machinery for shoes production Textile Integrated welding project Vitamin k3 Marble and Granite Processing Agro-food Electric Textile

Total Investment (million US$) 9 8 10 2,15 6,8 0,5 4 4 1,3

Italian Credit Line Disbursement

2006 Morocco Jordan Egypt

Total funds

Disbursed

Outstanding

15.493.707

8.141.800

7.351.907

47,5%

9.296.224

5.338.394

3.957.830

42,6%

10.033.372

100%

________________________________________________________________

Company Visits Country of Interest China

Date

Place

Company visited

Sector

23-gen

Milan

24-gen

Turin

Amafilter c/o Studio Ambrosetti Magnetto S.p.A.

15-feb 28-feb 1-mar 22-mar 8-mag 9-mag

Santena (TO) Milan Mirano Treviso Parma Florence

Filters producing and servicing Wheels produc. for automotive industry Automotive Industrial chemistry Arabic gum Olive Oil Tomato canning Cosmetics

Morocco Latina America Sudan Jordan Jordan Jordan

10-mag

Marble

Jordan

10-mag

Castello di Codego Orvieto

Jordan

12-mag

Padova

Snaidero Eng.

12-mag 19-mag 24-mag

Padova Milan Lonate Pozzolo

24-mag

Montevideo Uruguay Montevideo Uruguay Montevideo Uruguay Montevideo Uruguay Sovizzo S.Giovanni Lupatoto Rome Grosseto

Il Quadrato Fantelli srl Lamperti Textile Machines Laboratorio Guillermo Lockhart S.A. Laboratorio Athena

Olive oil machineries producers Eng. For furniture companies Furniture Chemical Textile

27-lug 2-ago 11-ott

24-mag 25-mag

AGES Gaviol S.r.l. Dalco S.r.l. ALFA LAVAL Tropical Food KLAB network of Spaâ&#x20AC;&#x2122;s Simec spa Spadoni s.r.l

Pharmaceutical Pharmaceutical

HomeopatĂa Hahnemann Urumarket S.A.

Pharmaceutical

Gimax srl Vibemac spa

Polyurethane Panels Textile

INTELFIN S.p.A. Nuova Solmine S.p.A.

Telecommunications Base Chemistry

Colzate Bagnatica Sesto San Giovanni

Promatech spa Italpresse spa Aeromeccanica Stranich spa

26-ott

Pordenone

Stark S.p.A.

13-nov 22-nov

Bologna S.Quirino (PN)

TALI Spa Microstamp srl

Textile Wood processing centrifugal, axial fans and dampers for industrial applications Metal cutting field and wood working tools Simil leather Technologies for design and moulding

25-mag 30-mag 12-lug 15-lug 24-lug

Pharmaceutical

China

Jordan/Mexico Jordan/Eq.Guinea China Morocco Latin America & Europe Sud America & Cuba Latin America & Europe Latin America & Europe Morocco Morocco MEDA Countries Serbia and Mediterranean Morocco Morocco Morocco China Uruguay China

________________________________________________________________

Country of interest China

Date

Place

Company visited

Sector

23-nov

Attimis (UD)

Civitech S.r.l.

29-nov

Pordenone

Stampoplastica S.r.l.

1-dic 10-dic

Pordenone Mazzara del Vallo (TP) Mazzara del Vallo (TP) Mazzara del Vallo (TP) Mazzara del Vallo (TP) Mazzara del Vallo (TP) Mazzara del Vallo (TP) Mazzara del Vallo (TP) Mazzara del Vallo (TP) Mazzara del Vallo (TP)

Premek srl Paolo Lanza

Manufacturing of metal components Realization of stamps, injection moulding and blow moulding precision mechanical Fish Processing

China Egypt- Lybia

Farmocean

Fish Processing

Egypt- Lybia

Itaga

Fish Processing

Egypt- Lybia

Goldenfish

Fish Processing

Egypt- Lybia

FrioMed

Fish Processing

Egypt- Lybia

Mediterranea Fish

Fish Processing

Egypt- Lybia

Blue Mar Group

Fish Processing

Egypt- Lybia

Ittica Trappetto

Fish Processing

Egypt- Lybia

Eurofish

Fish Processing

Egypt- Lybia

10-dic 10-dic 10-dic 10-dic 10-dic 10-dic 10-dic 10-dic

China

________________________________________________________________

Study Tours Participating Delegation Honduras: 4 / Salvador: 3

Date

Location

15 March 2006

Rome

4-6 April 2006

Rome/Pa dua

Egypt: 5

18-19 May 2006 16 -17 November 2006

Milan

Wuxi Entrepreneurs Director and programme manager of the Southwest China Investment Promotion Centre Coordinator of the UNIDO Beijing Office

15-20 September 2006

Rome

Egypt, Cairo

12 companies Italian companies API Cuneo representatives

Brief description The companies visited Italy to know 2 Italian District and to know about the Italian industrial model The companies and GAFI representatives met several Italian institution and companies in Rome and Padua Wuxi textile delegation visiting in Milan Italy The main objective of the South West Investment Promotion Center study tour in Europe (ITPOs Paris, Manchester, Rome) was learning and keeping abreast of current operations, strategies and developments with regard to UNIDO investment promotion & technology transfer activities in England, France, Italy and Austria, and establish long-term operational relations. The delegates could met several Italian institutions such as: • Italian Ministry of International Trade • Italian Confederation of SMEs (CONFAPI • the Institute for Industrial Promotion of the Ministry of Economic Development (IPI) • Italian confederation of agricultural entrepreneurs (Confagricoltura) • Confederation of Italian Industry The mission was organized by API (SMEs Association) for 12 companies (food processing, textile, engineering, electronics, marble, ceramics, logistics, industrial planning, petrol oil technology) from Cuneo (Piedmont), as an action not only to promote and support business/investment projects in Egypt for its associates but also to introduce itself and the Piedmont Region’s industrial system to Egyptian institutions, associations and companies through the support offered by ITPO Italy and IPU Egypt. API, was accompanied by the Vice President of the Piedmont Region and the President of the Province of Cuneo, and met representatives of the General Authority for Investment and Free Zones, the Egyptian Businessmen’s Association, the Federation of Egyptian Industries, the 10th of Ramadan Association, the 6th of October Association, the Italian Embassy, the Italian Trade Centre and of ETRACE

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Press Review

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Italia Oggi - February, 4 2006 - page 10

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Italia Oggi - July, 8 2006 - page 10

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Italia Oggi - October, 14 2006 - page 11

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Italia Oggi - November, 25 2006 - page 11

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Corriere Economia - April, 10 2006 - page 11

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UNIDO HEADQUARTERS Vienna International Centre P.O. Box 300 A-1400 VIENNA Tel. +43 – 1 – 26026 Fax +43 – 1 – 21346 www.unido.org

UNIDO ITPO ITALY Via Paola, 41 (00186) Roma Italia Tel. +39 – 06 – 6796521 Fax +39 – 06 – 6793570 www.unido.it

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