Tunisian textile sector and mfcpole infrastructures Neila GONGI - Novembre 2009 mfcpole

Content 1.A look at Tunisian Textile industry 2.Looking to the future: National industry strategy Monastir region: a hub of textile in Tunisia 4.mfcpole presentation  Overview  mfcpole company  Situation  Components 5.mfcpole services 6.mfcpole progress state: national and international investment

1- A look at Tunisian textile and clothing industry 3 A pillar of Tunisian industry : - This sector has evolved steadily over the past 40 years - New orientation on vertical integration, shift to up-market ready-to-wear clothing and produce small and medium size series 3 The largest number of European companies on the southern part of the Mediterranean Tunisian companies work in partnership with EU companies - Over the period 2005 – 2008: investment in textile sector grew by 27%

1- A look at Tunisian textile and clothing industry Export sector : - 5th largest supplier to Europe and 2nd largest exporter of textile per capita in the world - EU absorbs 96% of the sector’s exports Development of material sourcing : a win-win partnership: - Free trade agreement signed with the EU, the Agadir Agreement (Egypt, Jordan and Morocco), and Turkey : preferential access to goods, free of customs duty. Proven know-how: - more than 30 schools, institutes and training centers covering all branches of the textile/clothing sector.

1- A look at Tunisian textile and clothing industry Incentives: - For foreign investors: total freedom to invest and the possibility of holding 100% of capital, repatriation of dividends and of proceeds from the sale of capital, the right to foreign exchange for current transactions … - For totally exporting companies: total exemption from duty and levies on imported equipment, raw materials and semi finished goods, as well as total exemption from tax on profits for the first 10 years of activity. Geostrategic location and supportive infrastructure - Less than an hour flight from Europe and more than 1300 flights a week to and from Europe - 7 international airports and 7 commercial ports. Competitive production costs

2- Looking to the future: National industrial strategy 2016 The strategic orientations of the textile/clothing sector seek to reach both qualitative and quantitative objectives, including: Main lines of industrial strategy 2016 in T&C sector - Moving from subcontracting to co-manufacturing then production of finished products by 300 companies by 2016, compared to just 70 companies now X 2

2- Looking to the future: National industrial strategy 2016 Main lines of industrial strategy 2016 in T&C sector  Strengthening design and modeling.  Developing Technical Textile Fields ( Protection, Health, mobility, Aeko…)  Developing finishing & Dyeing activities, targeting coverage of 40% of needs by 2016 (140 million meters), compared to 10% now (40 million meters)

2- Looking to the future: National industrial strategy 2016  Opting for clustering to enhance innovation by improving corporate chain of value, infrastructure, research and skills  support the moving to regional platforms, by strengthening infrastructure and training. The Set up of the “Pôle de Compétitivité Monastir-El Fejja” (mfcpole) is within this strategy

9 3- Monastir region: a hub of textile in Tunisia Strategic location : Monastir is 2 hours drive and less than an hour flight from Tunis Pleasant surroundings and Competitive industry in T&C : More than 1359 industrial enterprises (about 50% of T & C in Tunisia have chosen the region of Monastir : Zannier, Benetton, Klopman,...) Hub of expertise and qualified human resources in textile: 16 higher education institutions with 24,000 students per year, 08 vocational training centers  Infrastructure propelling: international airport, a competitiveness pole devoted to textiles/clothing, playing the role of motor for the textiles/clothing sector, ensuring that innovation is a pillar of company-level strategies.

The Competitiveness Pole in Tunisia: « mfcpole is composed of a T&C technopole, economic activities parks and a network of partners from research, training and production  Company : mfcpole.  Status : Private ( S. A).  Shareholders: BIAT, STB, BNA, BT ( National Banks).  Missions : Planning, management and maintenance of the Competitiveness Pole. Promotion of the Pole and attraction of investments (one stop shop ); Animation of a network of partners (from industry, research and training structures); Incubation and coaching new projects, technological and innovation awareness; Reinforcement of cooperation and partnership at national and international levels. 4- mfcpole presentation mfcpole company InfrastructureNetworking Services

11 4- mfcpole presentation Situation

12 4- mfcpole presentation Components Textile Technopole 50 ha Industrial Park 50 ha Monastir Finishing Area 50 ha Finishing Area 50 ha Industrial Park 60 ha Industrial Park 60 ha La Manouba (El Fejja)

A favourable location Monastir region is a pool of textile industry and expertise 5 mn to Monastir downtown, 5 mn to the International Airport of Monastir. Close to a University and R&D pool in textile and 3 vocational training centers specialised in textile and clothing. Touristic zone 4- mfcpole presentation Textile technopole and the Industrial Activities Parc of Monastir International airport

multisector industrial activities and services Park ( 50 ha in a first step and availability of land stock) - Variable and modular plots (for sale) from m 2 to m 2 - Spaces for small businesses Bordering to the Technopole Textile technopole and the Industrial Activities Parc of Monastir Business center Fashion Institute Fashion space Enterprises park Training and R&D Specialty All industrial and services activities of textile Training, R&D and Innovation 3.5 ha -Incubator and workshop relay: incubate and stimulate the creation of textile enterprises -Technology Resource Center (pilotd of testing, laboratories of analysis, technological awareness and transfer) -Fashion Institute Park dedicated to innovative companies 25.5 ha (for rent) -Infrastructures complying with international standards (video surveillance, fiber optics, gas, collective purification station,…) -Advantage of proximity to adapted infrastructure (TRC, …) -Variable and modular plots and adapted industrial buildings Common Spaces 21 ha Business center, fashion space, sport and leisure equipments and spaces, mfcpole administration

15 4- mfcpole presentation Industrial Activities Park of El Fejja (Grand Tunis)

16 4- mfcpole presentation Industrial Activities Park of El Fejja (Grand Tunis) -El Fejja : an emerging industrial city of «Grand Tunis», on the Tunis-Béjà high way, (25 mn to Tunis Airport and 35 mn to Tunis Port) -Having support provided by the Technopole and high quality services (animation and professional maintenance, video surveillance, fiber optics, gaz…) -Area dedicated to textile finishing and dyeing activities -Area dedicated to multisectoral industrial activities, services and small businesses (55ha in a first step) Variable surface plots Space for handcraft industries (variable plots) Extension area -Business Center, fairs, training center, multi- functional spaces, catering and leisure area, high level infrastructure -Collective purification station: a capacity of m 3 /day -Average water supply: 400 m 3 /jour.

17 Network of partners involving actors from training (higher education and vocational training), research and development, support institutions and manufacturing companies operating in the field of textile and clothing stimulate the creativity and the implementation of innovative projects and actions 4- mfcpole presentation Network of partners In’Tex mfcpole is leading many collaborative projects aiming at gathering enterprises to develop synergies (partnership, new products in technical textile…): -mfcpole is partner of Textech Med project (european project) -mfcpole is working with 4 enterprises to develop new product (technical textile) -4 European collaborative projects under 7 th Framework Program, European Instrument for Neighborhood and Partnership…

18 4- mfcpole presentation Partnership  National partnership: mfcpole signed 20 partnership agreements  International partnership : in order to extend its network of partners and to pave the way for international cooperation, mfcpole signed 10 cooperation agreements  Technopark Chateaux Gombert (France).  Marseille Innovation ( France)  UP’TEX (France)  TECHTERA (France)  Sophia Antipolis (France)  Environnement Park (Italy)  Technopark of Prato (Italy)  Technological Park of Andalousia (Spain)  Scientific Park of Madrid (Spain).  Daedook Innopolis ( S. Korea) mfcpole intends to extend its partnership network with other partners (from Germany, UK, USA and sweeden …)

19 5- mfcpole services  mfcpole facilities (maintenance, park management, building...).  Implementation services : specific information (investments advantages...), implementation coaching (business studies, financement facilities (adapted bank coaching, leasing facilities,...), personnel recruitment, one stop shop for all the procedures)  Collective and collaborative services : promotion and marketing, national/ international matchmaking and networking, collaborative projects, business development operations (export), technological awareness…  Individual/ business services : coaching of project holders, positioning studies, market studies…

The best conditions for a competitive production : Proximity and quality services, Benefit from advantages and facilities provided by the technopole (R&D, innovation, training, technological awareness…). High quality infrastructure complying with international environmental standards and promoting the use of new energies materials and Eco-building. mfcpole : intelligent industrial hub in the Mediterranean

For further details mfcpole Adress : Immeuble Biat 2ème étage, Grand Boulevard du Lac I 1053 Tunis Tél: Fax: