M'SIA & ITALY TO SIGN BILATERAL AGREEMENT

KUALA LUMPUR, June 17 (Bernama) -- Malaysia and Italy are expected to sign a
bilateral agreement today which will bolster economic collaboration between the
two countries.

Ministry of International Trade and Industry secretary-general Abdul
Rahman Mamat said it was crucial to foster a stronger relationship between both
countries, especially with the current global economic situation.

"We are trying to look into non-tariff barriers and also promote regional
groupings like Asean," he told reporters after the opening of the Italian
Business Mission here Wednesday.

Total trade between Malaysia and Italy decreased slightly to US$2.3 billion
last year from US$2.4 billion in 2007, due to the global economic crisis.

To facilitate further economic activities between the two countries, a
joint trade committee would be set-up, he said.

"We hope that the private sector can assume a more active role in this trade
committee as there are lots of opportunities and also ways of helping them
penetrate a difficult foreign market," said Abdul Rahman.

By leveraging on Italy's small and medium enterprises (SMEs), which are
known to be strong in technology, designing capabilities and market access, it
will further elevate cooperation between both countries.

Last year, Italy was Malaysia's fifth largest trading partner within the
European Union and the country's sixth major export destination within it.
Exports were valued at US$936.3 million.

From January to April 2009, bilateral trade between Malaysia and Italy
amounted to US$561.7 million with exports totalling US$241.8 million and imports
US$319.9 million.

In terms of investment, to date, a total of 96 manufacturing projects with
Italian participation have been approved.The projects involve investments of
US$240.2 million.

-- BERNAMA