While Italy and South Africa already had a significant trade relationship, both countries felt there was potential to take this relationship further, South African Trade and Industry Minister Dr Rob Davies and Italian Economic Development Minister Claudio Scajola highlighted on Monday.

The Ministers met in Pretoria to discuss a number of issues, including cooperation in terms of South Africa's industrial policy and small enterprise development.

Davies noted that there were complementary opportunities for Italian firms and organisations, which were expressing an interest in South Africa's agroindustries and the furniture-making sector.

South Africa had imported about R17-billion worth of goods from Italy in 2008, which Scajola noted was mainly machinery, electrical equipment and appliances. In turn, South Africa exported about R13-billion worth of goods to Italy, mainly comprising precious metals, coal and metallurgical products.

Davies said that South Africa mostly exported primary or raw materials and imported manufactured goods.

However, in line with South Africa's industrial policy, South Africa was aiming to shift the balance increasingly towards value-added products.

He explained that, for example, instead of exporting timber used for the manufacture of furniture, South Africa should rather manufacture the furniture itself.

Scajola added that Italy, too, planned to intensify both trade and industrial participation.

He said that the European country had an interest in building industries in South Africa that would be able to use Italian technology and machinery to produce goods from South Africa's raw materials.

He noted that the country wanted to open up cooperation and collaboration in sectors such as tourism and the minerals industry.

Both Italy and South Africa already had a number of large companies established in each other's country.

Meanwhile, Davies noted that there were regions in Italy where small businesses were particularly successful in industries like food products, clothing and textiles and furniture making.

The two countries had already started with a training programme, in line with a cooperative agreement between the two countries, that would see 18 South Africans go to Italy to be trained in these sectors.

South Africa would review the success of the programme and decide on a way forward.