Chile

Chile flag

Map of Chile

General Overview:

Population: 16,134,219 (July 2006 est.)
GDP (purchasing power parity): US$187.1 billion (2005 est.)
GDP per capita: US$11,300 (2005 est.)
GDP (real growth rate): 6% (2005 est.)
Industries: copper, other minerals, foodstuffs, fish processing, iron and steel, wood and wood products, transport equipment, cement, textiles
Imports: US$30.09 billion f.o.b. (2005 est.)
Import commodities: petroleum and petroleum products, chemicals, electrical and telecommunications equipment, industrial machinery, vehicles, natural gas
Exports: US$38.03 billion f.o.b. (2005 est.)
Export commodities: copper, fruit, fish products, paper and pulp, chemicals, wine
Alberta's export to Chile: CDN$57 million (2005)
Alberta's main exports to Chile: sulfur, coal, heavy petroleum oil, telecommunication equipment and wheat
Canada's main exports to Chile: sulfur, coal, heavy petroleum oil, chemicals, machinery, wheat, and lentils

For detailed information about Chile, the following websites provide economic, political and historical information:

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Export Statistics

For detailed statistical information on Alberta and Canadian exports to Chile, consult the following statistical publications and databases:

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Alberta-Chile Relations

The Canada-Chile Free Trade Agreement eliminates tariff and non-tariff barriers between the two countries including import duties on industrial and resource based goods and tariffs on agricultural products.

  • World Relations
    Alberta International and Intergovernmental Relations summary of Alberta's relationship with Chile.

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Sector Opportunities

  • Building Materials and Construction Equipment

    The following equipment has the best prospects for exportation to Chile:

    • hydraulic excavators, levelers, scrapers, road rollers, ditchers and trenchers, articulated off-highway trucks, highway snow movers and blowers, cab-chassis, dumpers for off-highway use

    • mixers for concrete, mortar and bitumen, asphalt plant, paving machinery, finishers (asphalt and concrete)

    • telescopic cranes, pieces and parts for shovels, clamshells, scrapers and cranes.

    Another opportunity present for Alberta industry is the prospect to export high-income prefab homes. These home units are similar to Canadian standards: wood framed, paneled walls, fully insulated, vinyl sidings, ample kitchens, large family rooms, one or two floors, central heating system, etc.

  • Environmental Goods and Services

    One of the most significant changes to the environmental services business in Chile has been the effort to privatize companies and to privately finance the expansion and upgrading of their operations.

    Canadian environmental businesses have a distinct advantage since they have core competencies in the sectors which Chile heavily requires. It is important to enter into this market by teaming up with local partners.

  • Mining Equipment and Supplies

    It is important to have a Chilean partner, either as a joint venture, subsidiary or a local contact. Presently 32 Canadian mining companies are operating in Chile. CODELCO, the State owned Copper Corporation is aimed at improving its productivity. Equipment imported by CODELCO includes: heavy trucks, power shovels, drilling equipment, loaders, crushers, and motorized vehicles.

    Opportunities also exist for equipment that reduces the environmental risks associated with mining. These opportunities will emerge as Chile enforces many of the environmental standards it recently adopted.

    Opportunities for Alberta companies exist in exploring the estimated 1 million hectares of undeveloped mineral reserves in Chile. Other possibilities are in exploration and exploitation of mineral deposits, as well as in environmental protection technologies and expertise.

  • Oil and Gas Equipment

    Three different offices regulate the energy sector in Chile:

    • Ministry of Economy and Energy (Ministrio de Economía y Energía - MME)
    • Superintendency of Electricity and Fuels (Superintendencia de Electricidad y Combustibles - SEC)
    • The National Energy Commission (Comisión Nacional de Energía - CNE)

    ENAP has developed 23 fields in the Magallanes basin but petroleum production in Chile has been declining steadily.

    Chile typically imports oil from Venezuela and Africa. Chile is a growing market for natural gas as the country tries to move away from hydroelectricity as the dominant source of energy. Chile has traditionally imported natural gas from Argentina but the recent energy crisis in that country has put those imports in serious jeopardy. Argentina has drastically reduced the volume of natural gas exports to Chile and is unlikely to be able to continue to supply Chile with natural gas.

    Shortages in supply from Argentina have renewed Chilean interest in supplies from Peru and Ecuador and Chile has expressed a desire to create a more regionally integrated energy policy. Although Canadian machinery and equipment virtually enter Chile duty free, import licenses are required.

For additional information on business opportunities and resources for market intelligence, visit:

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Exporting Your Products - Services for Exporters

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Other Resources

Canada

Chile

International

U.S.

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Alberta International, Intergovernmental & Aboriginal Relations Contacts

For customized export facilitation, contact our sector officers for South America:

Date Updated: Sep 30, 2008
RDP-808