A long peninsula shaped like a boot, Italy, officially the Italian Republic, is a beautiful country, surrounded on the west by the Tyrrhenian Sea, on the east by the Adriatic, and bounded by France, Switzerland, Austria, and Slovenia to the north.

The distance from New Delhi to Rome, Italy's capital, is 3,684 miles and a typical flight between these two capital cities would have a flying time of around seven and half an hour.

Land on Italy and the first thing you will notice that the country has incredible antiquities, stunning fountains, and a wonderful ambiance. Italy has extremes in abundance for everyone - for pleasure seekers, there are gorgeous piazzas and finest wine, and of course, the romantic gondola rides on the canals of Venice ; for architecture aficionado, there are the Leaning Tower of Pisa and the Colosseum, the most enduring symbol of Italy: for art buffs, it is the birthplace of the Renaissance and the home to the major works of Raphael, Michelangelo and Leonardo da Vinci; and so on.  

But still there is something left about Italy - the Italian fashion industry - a world of glamour, creativity, exquisiteness and originality. Fashion is an important part of the Italian culture and Italians love to spend money on their expensive attire, be it clothes or shoes, expensive jewellery or super-fast cars. When you consider names such as Dolce & Gabbana, Versace and Armani, it's not difficult to see why Italy is called the fashion capital of the world. Italy is the home to numerous globally renowned fashion designers and its fashion industry, with revenues for 48 billion euro, makes Italy the most active in the world.

Italy's textile expertise and RMG exports
The creativity and technical expertise Italy exhibits in terms of fashion is also reflected in its textile activities, especially in the RMG segment. RMG is one of the largest industries in the country and, at present, Italy exports a range of RMG products, especially woven and knit apparel, to a number of European countries including France, Germany, Spain, the UK, Switzerland, etc. These top five countries of export account for almost 43% of the Italy's exports of RMG (Readymade Garment). Italy's exports to India were to the tune of US$ 13.21 billion in 2007, and have increased over the period 2005-07. The RMG exports from Italy to India have increased 118 percent during 2006-07. Similarly Italy's RMG exports to China have experienced an increase of 58.75 per cent during 2006-07.

Italy's RMG imports  
Needless to say, Italy is a fashion hub and Italian textile products, especially its RMGs comprising mainly of woven and knit apparel are second-to-none in the world. Considering this exuberance of Italian fashion and textile, it seems at first sight that the Italian textile market could hardly offer any opportunity to overseas manufacturers who want to export their textile products to Italy. But when we look beyond the surface and analysis Italy's RMG import trade data, it becomes crystal clear that there are enough opportunities in the Italian textile market.  

In 2007, total imports of RMG of Italy amounted to US$ 14853 million, increasing from US$ 13389.39 million in 2006. China is the leading supplier of RMGs to Italy accounting for 24.83 per cent of Italy total import of RMG. Romania, Tunisia, France and Turkey are the other leading countries of import of RMGs, with each of the former three countries accounting for more than 7 per cent of the total imports.

India is the sixth most significant supplier country of RMGs with the value of imports being US$522.64 million in 2007. However, its share has fallen during 2006-07, from 3.87 percent to 3.52 per cent, after an increase from 3.74 per cent in 2005. Germany is the seventh most significant supplier country, with the value of RMG imports from it being US$ 519.37 million in 2007 and import share being 3.5 per cent.

What Italy imports (at 4 digit HS code level)
Italy's two major items of knit garments' import are 6110 (sweaters, pullovers, vests, etc, knit or crochet) and 6109 (T-Shirts, singlets, tank tops etc, knit or crochet), with the import value of US$ 1933 million and US& 1581.66 million in 2007, with the share of knit garment import of 27 per cent and 2213 per cent respectively.

Other significant items imported by Italy are 6108 (women's or girls' slips, pjs, etc, knit or crochet), 6115 (pantyhose, socks & other hosiery, knit or crochet), 6104 (women's or girls's suits, ensemb, etc, knit or crochet), and 6114 (garments nesoi, knitted or crocheted), each with the share of more than 5.5 per cent. The largest increase in imports during 2006-07 was experienced in the case of 6104 i.e., almost 45 per cent increase.

In the case of woven garments, 6204 (women's or girls' suits, ensemble etc, not knit, etc.) and 6203 (men's of boys' suits, ensembles, etc, not knit, etc.) were the top two items of import with the value of US$ 1857.85 million and US$ 1841.13 million, and the import value share of 24 per cent and 23.89 per cent respectively under the category of woven apparel. Other than 6201 (men's or boys' overcoats, clocks, etc, not knit, etc.) import value of all other items under knit and woven garments category have experienced a continuous increase during 2005 and 2006. Though the imports of 6201 increased between 2005 and 2006, its value declined during 2006-07.

Top items in Italy's global imports of knit and woven apparel

 A 0.12 per cent decline in the value of imports of 6107, accompanied by a 41 per cent decline in its quantity and a 69.36 per cent increase in its import price, was witnessed in the year 2007. On the other hand, 1 23.35 per cent increase in the import value of 6108 during 2006-07, accompanied by 1 17.81 per cent decline in its quantity and a 50.09 per cent increase in its average import price was witnessed in 2006-07.

In case of woven apparel, decrease in imports of all the above mentioned items, in value terms, accompanied by a decrease in quantity imported as well as an increase in average price of imports from India was witnessed during 2006-07, with largest increase in the price being in the case of 6214.

All the above facts and figures and their analysis hints at the fact that the Italian RMG sectors offers a range of opportunities to Indian exporters in certain RMG segments.

Tariff & packaging requirements
Italy is a founding member of the European Union and the country is a part of Harmonized Commodity Description and Coding System. In case of imports from all third countries, EU rates are applied and most of the duties are ad valorem, based on the GATT Valuation Code. In Italy, customs and tariffs for manufactured goods are generally not subject significant barriers, and Indian exporters should remember that compliance with EU and Italian standards is the key to doing business in the country.

While exporting your products to Italy, facts what you require to mention are name of products, country of origin, name and address of the manufacturer (in local language), special storage condition, ingredients used, additives, weight and volume, minimum shelf life date of products, etc. 

Small things make a big difference

• Be punctual for business meetings although 'time is money' is not a common phrase in Italy.
• Italians are fashion loving people but they strongly prefer conservative attire in business meetings.
• Italians are known for their love for good wine but they prefer drinking only at mealtimes.
• Number 17 is considered to be bad luck in Italy. So, it is recommended not to gift Italians anything in a quantity of 17.  Flowers should be given in even numbers, except for a dozen or half-dozen.
• July and August are summer vacation time in Italy. So, do not schedule business trips in these months.
• Italians are price conscious and generally ask for a large amount of samples before finalizing a deal.
• Italian companies often have a rigid hierarchy and take time to finalize decisions. Long credit payment terms (60-120 days) are also common in the country.
• At social gatherings, do not exchange business cards. Nor it is recommended to ask someone about his/her profession at the first meeting. Also avoid talking about politics, religion and World War-II.