Economic cooperation has always been a pillar of the relations between Italy and Serbia. Today trade and economic ties are further strengthened by the current Italian-Serbian strategic partnership agreement, whose tenth anniversary was marked last year.
In November, a study entitled “Italian companies in Serbia. A success story”, issued thanks to the selfless engagement of Italian-Serbian Chamber of Commerce and the Italian Embassy, was presented. The idea of making a “review” of the Italian companies emerged from the need to recognize and record their contribution to the development of the Serbian and Italian economies. Overall, the collected data indicate very positive tendencies, with Italy in the first ranks of the Serbian economy and a significant share in investments and employment in Serbia. In fact, there are more than 1600 Italian companies or companies with Italian shareholdings currently registered in Serbia and employing over 50,000 workers. From the last research has emerged that as much as 5.4% of Serbia’s GDP was generated by these businesses, said Mirjana Kojić, The Secretary General CCIS
What did the study generally show when it comes to the Italian economy in Serbia?
The results of the research shed light on several promising factors concerning the Serbian economy. In the first place, Italian companies are equally present in Serbia, but different in size and structure, activities, and geographical location. The main grouping by business sector shows that the largest concentration of the production of components for the automotive industry is located in Kragujevac, of the textile industry in Niš and Vojvodina, of packaging in the Šumadija district, and ICT in Novi Sad.
In terms of size, SMEs are more numerous, but as regards the percentage of employment more than 70% of employees are employed in large companies.
From the point of view of Italian companies, Serbia is becoming a new growing market, rich in resources in the field of technology and services with the greatest added value. If the data presented so far are not yet sufficient to prove the strong link between Italy and Serbia and the vast Italian presence in the country, in conclusion, we would like to present the data regarding the growth in the number of Italian companies in the last 7 years. As a matter of fact, since 2014 about 250 new Italian companies have been registered on Serbian territory.
What we constantly strive to is improving commercial support, strategic points in accessing new markets, research, and selection of partners, finding optimal locations for potential investors
How can cooperation be improved, and in which branches of the economy can we expect more Italian companies?
There is definitely room for improving the cooperation and activities of our Chamber. What should be further improved is the legal certainty and the rule of law. Features such as efficient courts and public administration, predictability of taxes and other levies, equal treatment before the law and in public procurement, transparency, resolved property relations, planning documents, etc., would provide legal security for investments.
As the pandemic is currently receding, we sincerely hope that a noticeable increase in the interest of Italian companies in the field of internationalization and commercial expansion towards Serbia will occur. Consistently, we hope that the level of new investments and production will also increase, as well as the search for suppliers and production partners. According to our research, the most promising sectors for Italian companies are those of food processing, mechanical and electro industry, chemical, furniture industry, while also investments in sophisticated sectors and services may prove profitable.
How important is good cooperation for the stability of the region, in which Serbia plays a leading role?
Political and economic stability in the region is crucial for the progress and further development of the economies of the surrounding countries. The idea of creating a “mini-Schengen” area may be tempting and important for all business entities operating in Serbia, as it would remove or simplify administrative barriers to efficient business in the entire region, and even expand the room for potential consumers.
Notably, our Chamber has excellent cooperation with Chambers in the region and we are already implementing joint initiatives such as the last “Roadshow Italia”, held in cooperation with the Italian-Croatian Chamber of Commerce. On that occasion, several Italian businessmen from the Friuli Venezia Giulia region presented in front of a large audience the potential of Serbia and Croatia in attracting investments and opportunities for new business cooperation with Italian firms.
What advantages of Serbia are important to highlight when a company from Italy plans to enter here?
The features making us the most suitable and attractive partner are an optimal business climate and political and economic stability. Moreover, optimal geographical position, highly qualified staff, competitive operating costs, good connectivity, and developed infrastructure, and even subsidies. One of the great advantages of Serbia is that, thanks to free trade agreements, duty-free export to CEFTA, EFTA, Russian, and the EU markets, as well as Turkish one, is possible.
As for all potential future investors, the Italian ones will also benefit from these advantages. They will have full support in the realization of their ideas and business plans. A positive circumstance for Italian companies is that due to the already large presence of companies in our country, they already have a good basis and solid prior knowledge of what to expect in Serbia.
Italians are extremely proud of their origin, they even emphasize that much more than other nations
The Chamber actively participates in connecting Italian companies in Serbia, with institutions, companies, and organizations. What projects are you planning by the end of the year?
In line with the current epidemiological situation, the Chamber strives to provide constant online support to interested Italian companies wishing to access the Serbian market. CCIS offers the possibility of organizing online video calls and B2B meetings between Serbian and Italian companies interested in cooperation.
In 2021, the Chamber is intending to improve and reorganize its services and increase its numbers in order to respond to the requests of companies from many economic sectors. All planned activities aim at presenting the possibility of doing business in Serbia in the best possible way, and at promoting “Made in Italy” and business cooperation between the two countries, both independently and in cooperation with other Chambers, the entities of “Sistema Italia”, ministries, and other relevant institutions.
Planned activities include informative ones (Catalogue of CCIS members), educational ones (courses and training; internship programs), and various business activities (Roadshows in Italy; Roadshows in Serbia; meetings with ministries and Serbian institutions; individual and institutional missions in Serbia and Italy, B2B meetings, and Speed Business Meetings; Leonardi Gala evening and award ceremony; seminars, thematic webinars with our members, and presentations; Chamber evenings; events “Made in Italy”, “We Make Future Rimini 2021”, etc).
This year will be also dedicated to the preparations for celebrating the 20th anniversary of the of Italian-Serbian Chamber of Commerce in Serbia, occurring next year, and we hope that we will mark this important jubilee with numerous business and social events and activities.
Do you have any advice when it comes to the Italian way of doing business in Serbia?
As doing business with foreigners, the main prerequisite for successful cooperation is being aware of the customs, history, and culture of the country your business associates come from. Many successful businesspeople pay significant attention to this, and Italians are certainly one step ahead of everyone. They carefully foster their culture and tradition, both in the social and business world.
They are sociable and hospitable, so it is a common situation for them to hug each other before meetings. Most of the successful companies in Italy are family-run. Relationships within a company often look like family relationships because there is trust. Managing is also different in Italy. Furthermore, Italians are great creators and have managed to bring their ideas, their style, and their way of doing business everywhere in the world, and they are famous for that.
For the Italians who are already working in Serbia, we can say that they have adapted well to our way of doing business, they love and respect our culture and way of life, which is very similar to theirs.