ROME, Nov. 7 (Xinhua) -- A recent measure aimed at lowering the threshold of tax-free shopping in Italy would benefit Chinese tourists visiting the country, a representative of the Italy China Council Foundation (ICCF) said on Tuesday.
Earlier this month, Italy's government passed the budget law for next year -- worth some 24 billion euros (25.6 billion U.S. dollars) -- which is now undergoing final approval proceedings in both houses of Parliament.
In the package, the government decided to lower the minimum threshold of tax-free shopping from 154 euros to 70 euros (74.8 dollars) for all non-European tourists visiting the country.
The step was welcomed by entities and businesses dealing with foreign customers, as well as by the ICCF.
"The measure will have a positive impact on tourism overall, and consequently on the entire 'Made in Italy' supply chain, and we hope it will soon enter into force," ICCF President Mario Boselli said.
"Coming shortly after the launch of our new information desk dedicated to Chinese tourists at Malpensa Airport in Milan ... this measure represents one further reason for Chinese travelers to choose Italy as their destination," he said.
Despite the loss in value-added tax (VAT) revenue, the lower threshold may generate up to 119 million euros in additional funds per year to the state, according to an estimate by Italy's main business daily Il Sole 24 Ore based on Ministry of Tourism data.
Inbound tourism expenditure in Italy reached 44.3 billion euros in 2022, more than doubled compared to the previous year, and came close to pre-pandemic levels, the latest Survey on International Tourism by the Bank of Italy showed.
In real terms, however, the figure was still nearly 10 percent lower than in 2019, according to the central bank, and it would need to keep recovering to boost the tourism industry, which is one of the key sectors of Italy's economy. (1 euro = 1.07 U.S. dollar)
