Today we commemorate the 65th anniversary of the Republic of Italy, a key player in European and global political, social and economic affairs, and an important ally of Pakistan. Italy and Pakistan have enjoyed friendly relations and share a common insight on important international issues of mutual interest ever since diplomatic relations between the two countries were established in 1948.
This steadfast and ever growing association entails co-operation in economic, political and cultural domains. Over the years, Pakistan has received strong support from Italy in European Union matters as well as other global political and economic forums.
Italy is one of the major trading partners of Pakistan, with bilateral trade exceeding a billion US dollars annually. During the past several years, trade between Pakistan and Italy has increased significantly and other developmental activities have also grown. The Italian government has been encouraging companies to invest in Pakistan, resulting in direct investment and joint ventures in several sectors including oil exploration, CNG cylinder manufacturing, agriculture, textile machinery, and transport. Major Italian companies operating in Pakistan include Land Renzo, ENI, Chiesi Pharmaceuticals, Alitalia, and Maxco Textiles.
Italy, the 7th largest economy in the world, is well known for its influential and innovative business economic sector, a productive and competitive agricultural sector, and for its creative and high-quality automobile, industrial, appliance and fashion design. It is a major importer of raw materials and energy resources, an area Pakistani business can cater to. There are significant opportunities for enhancement in mutual trade between Pakistan and Italy especially in the areas of agri-business and textiles. With the third largest spinning capacity in Asia, Pakistani imports of Italian textile machinery are expected to increase at a steady rate. There is also a lot of room for improvement in export of cloth as well as other textile raw materials to Italy.
In the agri-business and agri-food areas, the recently launched Impresa/Agristan company made up of leading entrepreneurs is working for promotion and mutually beneficial collaboration between Italy and Pakistan.
To support education, a number of accords are in place for scientific research and cultural co-operation between Pakistani and Italian institutions. The Italian film industry has plans to help in the technical and artistic development of film production in Pakistan. An agreement between the two governments is in the process for collaboration of producers in co-productions, supply of requisite material and equipment and training of film technicians in Italian studios and labs.
The Italian government has also agreed to establish a school of archaeology in the Swat valley to equip Pakistani archaeologists, scholars, researchers and students with the latest techniques of excavation, preservation and conservation of ancient sites. There are plans to set up an office at Saidu Sharif for co-ordination of olive-oil tree plantation/grafting activities in Pakistan.
As a long-standing ally, Italy gives great importance to provision of development assistance to Pakistan in addition to the regional context of stabilisation and security. To help the flood victims in Pakistan, the Italian Development Co-operation has created a fund amounting to 2.6 million euros in order to help lessen the impact of the floods on the living conditions of the most vulnerable sectors of the population of Khyber Pakhtunkhwa. Italy will also extend a loan of 40 million for the development of social safety nets in rural areas of Balochistan, Khyber-Pakhtunkhwa and the Federally Administered Tribal Areas. The major objectives of the loan are establishment of a socio-productive infrastructure system and safety net mechanism. The Italian Co-operation portfolio in Pakistan at the moment is worth €203 million, of which €133 million are earmarked for current activities, while €70 million is to be spent via agreements which are under development.
Italy is home to some of the friendliest and most creative people in the world. Through their discoveries and inventions, they have left their indelible mark in the history of Europe and the world. As Honorary Consul of Italy in Lahore, it gives me great pride to represent such an industrious and beautiful country. It is my privilege and pleasure to salute this outstanding nation and wish the people of Italy success and enduring friendship on their National Day.