The most common and most likely answer to this crossword clue is the 4 plus 5 letter word LAKE GARDA
I've seen this crossword clue in Independent
L
A
K
E
G
A
R
D
A
More clues leading to the result LAKE GARDA
Buddy explains!

The straight part
We know that "In Italy, a mere" is the straight/definition part of the clue. The straight part is often a synonym or definition, in this case in italy, a mere = lake garda.The cryptic/wordplay part
In cryptic crossword there's often an wordplay/cryptic part as well.This part involves a more complex hint, such as an anagram, homophone, hidden word, etc.
Sadly, We don't have an explanation for this specific crossword clue yet.