Foreign Investors Seek Opportunities in Chilean Agroindustrial SectorPublished: June 11, 2009
At the 2nd International Investment Forum, organised by InvestChile Program, it was announced that US$ 43 million would be invested in new projects in this sector.
Taking place in Santiago de Chile during this week, the idea of the forum is to explore new niches that will convert our country into a major agri-food producer. It is also designed to initiate strategic partnerships within the sector.
With the important participation of 63 investors from the USA, Italy, Spain, France and Colombia, new investment in the sector was announced together with a significant number of initiatives from the Chilean Economic Development Agency (CORFO). These initiatives, designed to stimulate the wine, olive and fruit sectors, will come into effect over the next five years and are estimated to be worth around US$ 120 million.
Foreign companies that took the decision to invest in Chile included: Farm BioControl (Spain), a biotechnology company with a project worth over US$ 8 million; Donissa (Spain), involved in the marketing and production of table grapes and tropical fruits, with an investment of US$ 14 million; and the Isla Bom Jardin group (Spain), also involved in the fruit industry, with an investment of US$ 21 million.
Over the next few days, around 300 bilateral business meetings are expected to take place. In addition, 53 companies will visit the regions of Coquimbo, Valparaíso, O'Higgins, Maule, Bio Bío and La Araucanía to schedule work with local companies in the sector.
"Fruit growing, the wine industry, and especially the emerging olive industry, have continuously adjusted themselves to the conditions of the market, improving their competitiveness and business development. In a few years, they have become flourishing export industries, even in these difficult times, thanks to a successful internationalisation strategy and the innovation that they've introduced into their processes and products," highlighted CORFO's Acting Executive Vice-President, Jaime Arellano.
Investment OpportunitiesAt the forum, which is taking place at the Hyatt Hotel, each region has a stand where they can provide visitors with information concerning the advantages and opportunities of their area.
The agronomic areas investors regard as having a high business potential include: the cultivation of berries, nuts, avocados, cherries and other emerging varieties; processing plants for juices, concentrates, pulp, frozen products, canned goods, and dehydrated fruits; fruit nurseries for emerging varieties; and plants for high value added processed foods.
Agroindustry NumbersChilean agri-food exports have practically doubled over the last 8 years, surpassing US$ 4.3 billion; the fruit sector has contributed US$ 3 billion, the wine industry US$ 1.3 billion, and the olive sector US$ 5 million. The latter has increased the value of its exports by 66% since 2005, the result of diversifying its markets.
The country has achieved these results because of its geographic and climatic advantages, and due to its strict sanitary policy concerning plants and animals. The Mediterranean fruit fly has been eradicated from the country's orchards, and Chile remains the only country in the world that is philoxera free.
Source:www.universia.cl