BUSINESS ENVIRONMENT AND INVESTMENT OPPORTUNITIES

Transcription

1 BUSINESS ENVIRONMENT AND INVESTMENT OPPORTUNITIES TURKISH-ITALIAN COOPERATION MEETING ANKARA ISTANBUL IZMIR October ST FDI ATTRACTION ROADSHOW THE ITALIAN GOVERNMENT 0

2 CONTENT OF THE DOCUMENT WHY LOMBARDY BUSINESS OPPORTUNITIES IN LOMBARDY REGION INVEST IN LOMBARDY 1

3 LOMBARDY KEY FIGURES Switzerland Austria LOMBARDY France SO GDP: almost 25% of Italy s total GDP higher than Norway, Austria, Denmark, Finland, Ireland and Portugal VA CO LC BG MB MI LO CR PV BS MN Lombardy s per capita nominal GDP +23% of the average per capita European GDP Lombardy has more than companies One of the four European economic engines One of the top ten World Economic Centers (According to Standard & Poor s) Over 60% of FDI coming to Italy (92 of the top 100 multinational companies in Italy) Milan, the European city with the highest density of multinational companies 2

4 ITALY AT ITS BEST 8 Belgium, France 110 Slovenia 64 Belgium Business Costs in Milan are lower than in Paris, Frankfurt, Berlin and London (according to KPMG, Competitive Alternatives) 7 59 France 6 United Kingdom 5 EU Average, Germany, Netherlands, Slovenia, Spain United States Bologna Milan Naples Palermo Rome Turin Procedures (number) Bari, Cagliari, Campobasso, Catanzaro, L Aquila, Padua, EU Average 28 Potenza Austria, Finland Georgia, Portugal Austria 21 Finland 14 Spain 13 United States 12 Georgia 2 Time (days) 40 Germany 29 United Kingdom 24 Rome 18 Average 13 Italian cities 13 Bologna, Naples, Palermo 7 Netherlands 1 Portugal Registering property in Milan is faster and less expensive than in many EU economies Starting a business in Milan is faster than in UK or Germany Source: Doing Business database 3

5 A PERFECT MIX OF QUALITY AND COSTS Cost/quality matrix in wood manufacturing Top performance area Milan (Region) Quality score Barcelona (Region) Tuscany (Region) East Midlands Lorraine (Region) Munich (Region) Frankfurt (Region) Paris (Region) Greater London Cost Index Source: FDI Benchmark

6 THE EXCELLENCE OF SMEs IS LOOKING FOR NEW INVESTMENTS Number of companies per size and sector 99,4% of the total firms > 40% Total added value Manufacturing Real Estate Services 4,4 Mln An additional unit of capital invested in a foreign branch makes in Lombardy 16 percent more in terms of gross margin then the European average An additional unit of capital invested in a foreign branch in Lombardy makes 19 percent more in terms of turnover then the European average Micro & Small Middle Large Source: Based on Istat data

7 HIGH TECHNOLOGY MANUFACTURING Number of employees in high tech manufacturing sector\ 000, Data 2013 High qualified human resources (e.g. engineers, skilled workers, etc.) have competitive salaries compared to other EU Countries 6 Source: Eurostat 6

8 WITH LOW COSTS Comparing ISTAT and OECD Data Comparing hours worked per worker Source: OECD Data and ISTAT, 2014 Source: OECD Data Considering OECD data, Italy has lower hourly wage and lower labour costs comparing to France, Germany, Austria and UK. In comparison with other countries (Austria, France, Uk, Germany) Italian workers have high average annual hours worked. 7

9 A BRIDGE BETWEEN EUROPE AND THE MEDITERRANEAN Companies in warehousing and storage Number of Companies,

10 WITH SOME COMPETITIVE ADVANTAGES Logistic sector: real estate value per sq. /sq./year, 2014 Source: World Capital 9

11 CONTENT OF THE DOCUMENT WHY LOMBARDY BUSINESS OPPORTUNITIES IN LOMBARDY REGION INVEST IN LOMBARDY 10

12 MAIN BUSINESS SECTORS IN LOMBARDY REGION Life Science & Chemical Industry Engineering Milan hosts 26% of Italian companies operating in biotechnology One third of Italian chemical local units and 40% of the sector work force are located in Lombardy First region in Europe for the number of chemical employees Manufacture of rubber and plastic products offer ROE higher than average returns obtained from foreign subsidiaries in the main European regions More than 83% of chemical companies involved in research and development activities make product innovation 4 districts specialized in engineering and mechanical sector Weight of mechanical sector on regional export is always more than 20% The engineering industry in Lombardy has 7064 local units for a total of employees ICT & Multimedia Design & Fashion Industry Financial Services Milan most wired city in Italy and one of the most wired in Europe companies (10% of total Italian ICT enterprises) Technology parks of international significance (e.g. Kilometro Rosso, ComoNext) 542 companies specialized in design (11.7% of total Italian design sector) 61% of the Italian turnover produced in the Province of Milan 17 specialized institutes Hosting Salone Internazionale del Mobile More than fashion companies with employees 13 trade fairs dedicated to fashion and accessories buyers and industry professionals during fashion trade shows Almost 10% of Italian financial services organizations are located in the province of Milan More than 40 foreign banks own their offices in Milan About people are specialized employees in this sector 11

13 INCENTIVES AVAILABLE IN LOMBARDY Lombardy Regional Incentives European Fund for Regional Development Italian National Incentives European Grants DOTE LAVORO: Regional founds for hiring: unemployed workers, new workers (entering the labor market), people with high risk of social exclusion COMPETITIVENESS COMMITMENT up to 1 million euro for R&D Total budget: 48 mln euro for the period 2013/2015 FESR (EUROPEAN FUND FOR REGIONAL DEVELOPMENT): support Research & Innovation and activities for Research & Development Total budget: 350 mln euro for R&D for the period 2014/2020 HIRING HUMAN RESOURCES: tax credit for hiring young (35% of the gross salary for 18 months) and woman personnel (50% of the gross salary for 18 months) ACQUISITION OF NEW MACHINERY: financial aid at subsidized rate for machinery acquisition in industrial sector: max 2 mln euro of loan (total budget available: 12 mln euro) INNOVATIVE START-UP: flexible working contract for hiring skilled personnel; tax credit for hiring skilled personnel (35% of the annual salary); easy access to financial credit (max 2,5 million euro) at subsidized and government warranties and accelerate procedures for the newco setting up and registration HORIZON 2020: 7-year program ( ) Total funds: 80 billion euro in different sectors: billion to Excellent Science priority billion to Industrial Leadership priority billion to Societal Challenges priority 12

14 M&A OPPORTUNITIES WITHIN ITALIAN INDUSTRIES Main sectors of activities Invest in Lombardy portfolio features Other Automotive >100 Mln 0-5 Mln Mechanics Mln 5-10 Mln Food Fashion Energy & Engineering Main sectors of activities Automotive components; Industrial mechanics; Fashion and accessories (apparel, shoes, jewelry); Food processing; Pharmaceutical; Renewable energy and engineering Mln Invest in Lombardy portfolio features Companies biased toward industrial partners to support their growth abroad High skilled SME characterized by Made in Italy quality and expertise in niche sectors Opportunities turnover range from 2 mln euro to over 150 mln euro 13

15 CONTENT OF THE DOCUMENT WHY LOMBARDY BUSINESS OPPORTUNITIES IN LOMBARDY REGION INVEST IN LOMBARDY 14

16 INVEST IN LOMBARDY IN A SNAPSHOT Our Services Thinking of starting up a business in Lombardy? Our Stakeholders 15 PUBLIC PARTNERS 22 PRIVATE PARTNERS Investment Opportunities Business start-up Location search Recruitment Access to credit, incentives and finance Want to expand your business in Lombardy? Analisys and research Location search Recruitment Access to credit, incentives and finance Executive education Our Results > meetings with foreign companies > 450 foreign investors supported by IIL 70 finalized investments 122 Investments generated throughout the territory for every euro invested by public institutions 15

17 Get in touch with us! S t e f a n o N i g r o Tel Thank you! Follow us: Invest in Lombardy InvestinLombardy 16

18 1 ST FDI ATTRACTION ROADSHOW THE ITALIAN GOVERNMENT 17