Anie bets on Paraguay, hub for industry and energy

A country that is bidding to become a strategic platform for those who produce technologies, networks, plants, components. That country is Paraguay. And it is there that Anie Confindustria has chosen to bet, participating in the institutional mission led by the Undersecretary for Foreign Affairs and International Cooperation, Maria Tripodi, with a precise objective: to intercept the new geography of investments between Italia and Mercosur.

The mission - which also saw the holding of a Business Forum in which the Director General of Ice Agenzia, Lorenzo Galanti, and representatives of Sace and Simest also took part - comes at a time when the historic agreement between the EU and Mercosur was signed in Asunción on 17 January, closed after more than 25 years of negotiations. An agreement that promises to change the scale of trade and industrial exchanges with Argentina, Brazil, Paraguay and Uruguay.

'For companies in the electrical and electronics industry, Paraguay and, more generally, the Mercosur area are becoming increasingly interesting,' observes Anie vice-president Ludovica Zigon. The reason is simple: Paraguay is growing faster than the regional average, attracting capital, has achieved investment grade and is investing in the infrastructure needed to really industrialise. The government of President Santiago Peña, in office since 2023, has initiated a series of reforms aimed at strengthening the private sector, attracting international investment and supporting the country's industrialisation process.

The heaviest dossier is that of energy. Paraguay is strong in hydropower and has a USD 6.5 billion plan in front of it over ten years to strengthen transmission and distribution. In parallel, it is opening up to renewables, solar and data centres: energy-intensive activities that seek stable, clean and low-cost supplies. This is where Italian companies can enter, bringing technology to networks, efficiency and systems. "I hope that Italian companies in the electricity sector will look at the opportunities offered with confidence," said Italy's ambassador to Paraguay, Marcello Fondi.

Next to energy is transport. The suburban train between Asunción, Luque and Ypacaraí, 43 electric kilometres, is worth between 450 and 600 million dollars. The bioceanic rail corridor, which will connect Brazil and Chile via Paraguay, is close to USD 1 billion for the national section. Finally, opportunities of interest for Italian companies also emerge when looking at industry and construction, sectors that are also supported by a particularly competitive tax system - known as the '10-10-10' model, based on a 10% rate for VAT, corporate and personal income tax - as well as by the maquila regime, which allows production for export with a 1% tax on added value