Mise en page 1 - Invest in Tunisia, The Foreign Investment ...

B E N E T T O N
The BENETTON group recently put forth a three year development plan with new goals for 2007: to
increase sales and profits significantly by improving quality and further delocalizing production outside
of Italy. The group plans:
to invest more than 430 million euros to renovate its plants and its 5,000 outlets;
to develop footwear and accessories, for which margins are higher.
The group also intends to increase its turnover by more than 20%, from 1.85 billion euros in 2003 to
2.19 billion euros in 2007.
It also hopes to continue to invest in new materials in order to keep up with client demand for quality
products at reasonable prices.
BENETTON also intends to invest one hundred million dollars for plants in Tunisia, Hungary and Croatia
where entire collections can be produced. In this context, 80% of Benetton’s European merchandise will
have been produced on low cost production lines by 2007, compared to 60% at this time.
Organization, efficiency, a clear image, and effective advertising are the ingredients that make
BENETTON famous.
The group’s success is such that it is often considered the “McDonalds of the fashion industry”.
The BENETTON Group began operations in Tunisia in 1994 in the framework of delocalization of
production and quickly expanded its activities there: “Geographic proximity to Europe, low labor costs,
the country’s political stability and the many tax breaks available have all played a major role in the
decision to develop our Tunisian affiliate.” Massimo Jonata, Director of BENETTON Tunisia.
Furthermore, “BENETTON has been able to count on ongoing support from agencies like FIPA and API,
which can be contacted and counted on to resolve any problems during start-up of a new initiative.”
Massimo Jonata, Director of BENETTON Tunisia.
BENETTON Tunisia is one of the most important companies in Tunisia at this time. The group has decided
to further strengthen its position in the country by investing 10 million euros in development of a new
industrial project. This project will allow for an increase in the number of items manufactured in Tunisia
and boost export of finished products. This will have repercussions on the Tunisian textile sector as a
whole since subcontracting could double production capacity and bring about new investments.
BENETTON Tunisia thus expects to employ 250 people directly and 6,000 indirectly.
7