Business Insider Georgia has prepared an exclusive interview with the Italian Ambassador to Georgia, Massimiliano D\u2019Antuono.<\/p>\n
Italy is stably one of Georgia\u2019s leading trade partners. <\/p>\n Which sectors do you believe offer the most significant potential for deeper economic collaboration?<\/em><\/strong><\/p>\n Key sectors for a deeper economic collaboration include infrastructure and construction, renewable energy, agri-food processing, tourism and hospitality, logistics, and manufacturing. In this context, Italian renowned expertise in\u00a0<\/strong>engineering, design, and project management perfectly matches Georgia\u2019s ongoing infrastructure development and its ambition to become a regional transit hub. There is also growing potential in IT services and light industry, and advanced manufacturing where Italian technological know-how and SME experience can combine effectively well with Georgia\u2019s competitive workforce. Additionally, cooperation in education, vocational training, and innovation ecosystems could further support long-term, sustainable partnerships between the two countries. What are the most common challenges Italian businesses highlight when considering market entry to Georgia?<\/em><\/strong><\/p>\n Italian companies wishing to enter the Georgian market most frequently point to the need to become familiar with the local regulatory and legal framework, and the importance of identifying reliable local partners. Additional challenges often mentioned include navigating administrative procedures and understanding tax and customs regulations.\u00a0Differences in business culture, shortages of high-skilled local workforce, concerns related to contract enforcement,\u00a0and the availability and enforceability of dispute-resolution mechanisms, as well as\u00a0<\/strong>access to detailed, sector-specific market information, are also commonly cited challenges, especially for SMEs approaching Georgia for the first time. <\/p>\n Which types of Italian businesses \u2014 SMEs, mid-sized industrial firms, or large groups \u2014 show the strongest interest in Georgia? <\/p>\n Do you see opportunities for expanding Italian participation in Georgia\u2019s infrastructure development?<\/em><\/strong><\/p>\n There are significant opportunities for expanding Italian participation in Georgia\u2019s infrastructure development, particularly in transport infrastructure, energy networks, urban development, and public-private partnerships (PPPs). Georgia\u2019s modernization agenda, combined with its strategic role as a regional transit hub, creates a favorable environment for Italian companies, which possess a strong expertise in engineering, construction, and project management\u00a0as well as integrated infrastructure solutions. <\/p>\n Given Italy\u2019s strong tradition in food, agriculture, and design, what potential do you see for deeper cooperation with Georgian producers?<\/em><\/strong><\/p>\n There is\u00a0strong potential for cooperation\u00a0between Italian and Georgian producers, particularly in\u00a0value-added food production, wine technology, packaging, branding, and quality certification.\u00a0Italian expertise in design, agri-food innovation, and product development can help Georgian producers\u00a0move up the value chain, improve quality standards, and strengthen their presence in international markets\u00a0through differentiation and stronger brand positioning. Are Italian tech or innovation-driven companies expressing interest in collaborating with Georgian IT firms or startups?<\/em><\/strong><\/p>\n Yes, Italian companies are increasingly eager to explore partnerships\u00a0with Georgian IT firms, especially focusing on software development, fintech, e-government solutions, and outsourcing. Startups are also attractive partners due to their technical skills, competitive costs, and a\u00a0rapidly developing\u00a0and growing innovation ecosystem\u00a0supported by a growing pool of young, highly qualified professionals in this field. How do you see the role of digitalization and green technologies in shaping future Italy\u2013Georgia economic partnerships?
\nHow would you describe the current dynamics of trade and investment between Italy and Georgia?<\/em><\/strong><\/p>\n
\nAccording to Geostat preliminary data, in 2025 Italy positioned itself at the 3rd<\/sup>\u00a0place at the EU level,\u00a0following Germany and almost equaling Bulgaria, and at the 2nd<\/sup>\u00a0place in terms of exports towards Georgia, after Germany.
\nOn the export side, given Italy\u2019s strong industrial and manufacturing profile, machinery remains a cornerstone of bilateral trade. In particular, exports of machinery for special use increased from\u00a0EUR 16.4 million to EUR 20.6 million (+25.3%),\u00a0while standard machinery and other general-purpose machinery declined (respectively -20.2% and\u00a0-30.3%),\u00a0suggesting a reorientation toward more specialized, project-based equipment.
\nA standout development in 2025 is the\u00a0exceptional surge in automotive exports\u00a0(+285.2%),\u00a0a sharp increase which likely reflects not only Georgia\u2019s growing role as a\u00a0re-export, logistics and distribution hubfor Caucasian and Central Asian markets, but also a strengthening demand and possibly the emergence of new commercial or assembly channels.\u00a0Exports of ships and boats also expanded dramatically, rising from negligible levels to\u00a0EUR 12.8 million, confirming progress in high-value, one-off industrial and transport-related projects.
\nAgri-food and pharmaceuticals remain a structurally relevant component of our bilateral trade as well, in spite of a few moderate corrections\u00a0(-5.3% and -11.9% respectively).
\nTraditional Italian consumer sectors show more mixed dynamics, possibly reflecting cyclical demand adjustments. Cosmetics and personal care products continued growing, increasing from\u00a0EUR 20.7 million to EUR 22.6 million (+9.1%),\u00a0indicating resilient demand for Italian lifestyle and quality goods. On the contrary, exports of clothing declined\u00a0from\u00a0EUR 32.3 million to EUR 29.0 million (-10.3%),\u00a0while\u00a0footwear remained broadly stable\u00a0at around\u00a0EUR 13.3 million (-2.4%).\u00a0Furniture exports decreased moderately\u00a0toEUR 15.3 million (-7.2%),\u00a0possibly reflecting price sensitivity and weaker discretionary spending.
\nBut more can be achieved.
\nGeorgia\u2019s vibrant economic growth, open economic framework and increasing role as a regional hub at the crossroads between Europe and Asia, offer rising scope for deeper Italian engagement, particularly in automotive, specialized manufacturing, industrial projects, renewable energy, construction materials, agri-processing and logistics services.
\nNumerous opportunities hence remain still untapped and Italian firms are aware of this. As a result, our bilateral relationship is gradually evolving into a more integrated model combining trade, investment and industrial cooperation.<\/p>\n
\nIt is with this in mind that the Italian Embassy, in close coordination with the Italian Trade Agency Office, has organized two successful business fora in Tbilisi, in 2024 and 2025, gathering numerous Italian businesses and Georgian firms and authorities operating in the field of agri-food and infrastructures with the objective of fostering cooperation in these promising fields.<\/p>\n
\nIn this context, the presence of Italian institutional actors plays a crucial mitigating role. The Italian Embassy and the Italian Trade Agency Office actively support Italian companies by providing up-to-date economic and regulatory information, market intelligence, and practical, first level guidance on local business practices. They assist firms in understanding the legal environment, identifying potential partners, and navigating administrative procedures, thereby reducing information gaps, transaction costs and entry risks.
\nThanks to this institutional support, many of the perceived challenges can be substantially alleviated, creating a more predictable, transparent and supportive operating environment for Italian businesses exploring trade and investment opportunities.<\/p>\n
\n<\/em><\/strong>SMEs and mid-sized industrial firms show the strongest and most consistent interest in the Georgian market, but large Italian groups is gradually appearing as well, attracted by the opportunities of bilateral cooperation and investments in the country.
\nWith regards to SMEs and mid-sized companies, they typically combine relatively small organizational size with a high level of professionalism, technical expertise, and sectoral specialization, a mix that represents a key competitive advantage in a market like Georgia.
\nItalian SMEs are often highly specialized niche players, with strong know-how in areas such as manufacturing, agri-processing, construction technologies, machinery, design-oriented consumer goods, and technical services. Their flexibility and decision-making speed allow them to adapt quickly to local conditions, customize products or processes, and establish close, trust-based relationships with local partners. This makes them particularly well suited to Georgia\u2019s economic structure, which favors high-quality, tailored solutions over standardized mass production and offers opportunities for gradual market entry and partnership-based growth.
\nOn the other hand, mid-sized industrial firms combine this flexibility with greater production capacity and international experience, enabling them to engage in more structured projects, including technology transfer, local assembly, and training of skilled labor. Their presence can generate significant added value for the Georgian economy through the transfer of know-how, quality standards, and operational best practices and by strengthening local value chains.
\nFinally, large Italian groups tend to show interest mainly in infrastructure, energy, and large-scale development projects, where financial scale and long-term investment capacity are essential.<\/p>\n
\nThese opportunities were clearly highlighted during the recent infrastructure-focused event held in Tbilisi, jointly organized by the Italian Embassy and the Italian Trade Agency, which I mentioned above. The initiative brought together 16 Italian companies, mainly SMEs and mid-sized firms, specialized in infrastructure, engineering, and related technologies. After a morning session dedicated to presenting Georgia\u2019s infrastructure priorities, regulatory framework, and investment opportunities, the participating companies engaged in direct B2B meetings with potential Georgian counterparts, both public and private, in addition to international stakeholders, including multilateral development banks.
\nThe enthusiasm conveyed by both Italian firms and Georgian partners confirms that there is concrete room for expanding cooperation, not only through large-scale projects but also via modular, flexible solutions where Italian companies excel. In this context, Italy\u2019s strengths in design, engineering quality, project execution, and adaptability align well with Georgia\u2019s needs for\u00a0sustainable, resilient, and technically advanced\u00a0infrastructure development.
\nInstitutional support from the Italian Embassy and the Italian Trade Agency (ICE) further enhances these prospects by facilitating dialogue, reducing entry barriers, and fostering structured partnerships, thereby helping to transform interest into tangible projects and long-term cooperation.<\/p>\n
\nWhile\u00a0food, agriculture, and design are the sectors for which Italy is best known to the general public,its\u00a0true economic strength lies in a broader ecosystem of high-value-added technology and industrial exports,\u00a0including\u00a0machinery, engineering solutions, and pharmaceuticals.\u00a0These sectors represent the backbone of Italy\u2019s trade and industrial know-how, offering\u00a0advanced technical expertise, process optimization, and innovative solutions\u00a0that are directly applicable to agri-food and related value chains.
\nBy leveraging both its brand reputation in food and design and its technological and industrial capabilities, Italy can support Georgian producers not only in enhancing product quality and presentation, but also in introducing innovative production methods, machinery, and technological know-how that boost efficiency, safety, and competitiveness. This creates a highly complementary cooperation model, where Italian expertise adds value across both traditional and high-tech segments of Georgia\u2019s agricultural and food sectors and supports their long-term integration into global markets.<\/p>\n
\nTo favour these exchanges, the Italian Embassy has been promoting, since 2018, the \u201cSTEM Study Visit to Italy\u201d, a study visit program established in collaboration with the Georgian Innovation and Technology Agency (GITA) and the COTEC Foundation. Through this program, young innovators can enjoy a working experience in a STEM company or startup in Italy, allowing an exchange of best practices and strengthening their skills in this sector.
\nIn addition, we are planning a business mission here in Georgia dedicated to research and innovation, further fostering bilateral cooperation in the scientific and technology field.<\/p>\n
\n<\/em><\/strong>Digitalization and green technologies will play a\u00a0central and increasingly strategic\u00a0role in our future cooperation.\u00a0As mentioned above, significant opportunities exist for the development of renewable energy, connectivity, energy efficiency, smart infrastructure, digital public services, sustainable manufacturing\u00a0as well as in the digital transformation of traditional industries.\u00a0These areas align well with Italy\u2019s priorities and technological strengths, making them\u00a0key drivers\u00a0of long-term partnership\u00a0and resilient, future-oriented economic cooperation.<\/p>\n