From: OVERSEAS BUSINESS REPORTS (CHILE)
University of Missouri-St. Louis
Match 13 DB Rec# - 25,961 Dataset-MARKET
Source : USDOC, International Trade Administration
Source key :IT
Program key :IT MARKET
Program :Market Research Reports
Update sched. :Monthly
ID number :IT MARKET 111104388
Title :CHILE - OVERSEAS BUSINESS REPORT - OBR9210
Data type :TEXT
End year :1992
Date of record:11/13/1992
Keywords 1 :
| ENTERPRISE FOR THE AMERICAS
| LATIN AMERICA
| LATIN AMERICAN COUNTRIES
| LATIN AMERICAN FREE TRADE ASSOCIATION
| LATIN AMERICAN GROUP
| SOUTH AMERICA
| SOUTH AMERICAN COUNTRIES
| SOUTH AMERICAN GROUP
| WESTERN HEMISPHERE
CHILE - OVERSEAS BUSINESS REPORT - OBR9210
This article is derived from a report dated October 1992, prepared at the
U.S. Government - U.S. Department of Commerce, Washington, DC. The article
consists of 60 pages and discusses the economic and commercial climate in
Chile, with emphasis on information useful for potential U.S. sellers and
investors. It includes the following sections:
Foreign Trade Outlook
Free Trade Zones
Payment and Exchange Controls
Import Channels and Distribution
Key Government Agencies/Associations
Transportation and Utilities
Marketing Aids and Promotion
Industrial/Intellectual Property Rights (IPR)
Guidelines for Business Travelers
United States Embassy: Santiago, Chile
TABLE OF CONTENTS
Country Profile; Cultural and Religious; Political Perspective; Economic
Foreign Trade Outlook
Imports and Exports; Market Opportunities; Competition
Trade Agreements, Trade Policy
United States; Latin America; Other Multilateral
Tariffs and Agricultural Priceband; Tariffs and VAT; Luxury Goods; Special
Regulations; Used Goods; Deferral of Import Duties; Import Licensing
Certificate; Import Clearances; Temporary Import Permits; Temporary Exports
Free Trade Zones
Region I; Region XII
Import Certificates; Commercial Invoice; Bill of Lading; Freight Insurance;
Tolerances; Samples and Advertising; Marking and Labeling; Phytosanitary;
Payment and Exchange Controls
Payment and Financing; Currency Exchange; Services
Import Channels and Distribution
Importers and Agents; Distribution Areas; Government Procurement
Key Government Agencies/Associations
Transportation and Utilities
Ocean Shipping; Ports; Air Transport; Railroads; Highways and Roads
Fuel; Coal; Electric Power; Electric Current Major Projects
Marketing Aids and Promotion
Market Research; Commerce Services; Advertising; Magazines; Radio;
Television; Press; Trade Fairs
Background; Chilean Central Bank; Chilean Development Corporation;
Export-Import Bank; Foreign Credit Insurance Association; Overseas Private
Insurance Company; U.S. Trade and Development Program; Multilateral
Investment Climate; Foreign Investment Statute; Licensing
Industrial/Intellectual Property Rights (IPR)
Background; Patents; Industrial Models; Trademarks; Copyrights
General Parameters; Corporate Tax; Foreign Investor Taxes; General and
Unions; Minimum Wage; Fringe Benefits; Work Week; Profit Sharing; Vacations;
Guidelines for Business Travelers
Entry Requirements; Business Practices; Language; Holidays; Office Hours
Health; Telecommunication; Time Differentials; Local Transportation; Hotels;
United States Embassy: Santiago, Chile
Statistical Sources; Commercial and Industrial Guides; Business Guides;
Business Newsletters; Other Sources
TABLE I Chile's Trade Balance With Leading Trading Partners 1989-1990
TABLE II Leading U.S. Exports To Chile 1990 and 1991
TABLE III Leading Chilean Exports To The United States 1990 and 1991
TABLE IV Surcharges On Luxury Goods
TABLE V Duties On Temporary Admissions
TABLE VI Major Projects
TABLE VII Marketing Aids
TABLE VIII U.S. Banks And Financial Institutions
TABLE IX Authorized Foreign Investment 1986 - 1991
TABLE X Materialized Foreign Investment 1986 - 1991
TABLE XI Major Authorized Investments
TABLE XII Chilean Consulates In The United States
This report is designed for the U.S. Business Community, to describe Chile's
economic and commercial environment, and provide specific guidance on
exporting to Chile. Readers should note that Chile, a democracy, has one of
the most liberal trade and investment regimes in Latin America. The result
is a general uniform tariff rate and national treatment given to almost all
foreign investment. Those portions of this report dealing with investment
highlight the general tax and registration requirements, but are not
intended as an in depth analysis of these two topics.
Chile stretches 2,700 miles from the southern border of Peru to the
southernmost tip of South America, just north of Chilean Antarctica.
Chile's 802,650 square miles of territory, approximately the size of Texas,
includes Easter Island and Juan Fernandez Island in the Pacific Ocean.
The shape of Chile and its expanse result in a wide variety of climates,
from the desert mining regions in the north to the cold, icy Tierra del
Fuego archipelago in the south, encompassing the Straights of Magellan.
Temperatures in the central valleys, including the capitol city of Santiago,
are normally mild, while the southern zone, with dense forests and lakes, is
rainy and cold.
Chile's estimated population is 13,500,000. Santiago is the capital city,
with a population of approximately 5.7 million. Chile's literacy rate is
92.5 percent. The Chilean labor force consists of some 4.8 million workers,
and the latest unemployment rate, August 1992, was 4.8 percent.
Cultural and Religious
Chile's population can be described as homogeneous, but exhibiting a
significant European influence. A large number of immigrants from Spain,
England, Germany, France, Yugoslavia, and Italy have arrived over the years,
providing cultural diversity.
Chile enjoys religious freedom. An estimated 85 percent of the population
is Roman Catholic and 6 percent is protestant. Chile's official language is
Spanish, but business executives of major companies speak English.
In March 1990, Chile returned to its 150-year tradition of elected civilian
government, with the election of President Patricio Aylwin. Since then, the
principle of civilian authority over the armed forces has been
reestablished, along with an effective working relationship with the Chilean
Congress. The Aylwin Government has sought to demonstrate that democratic
government is compatible with stable economic growth and social equality.
President Aylwin is currently serving a four-year term, but the Chilean
Constitution does not permit President Aylwin to succeed himself. Future
presidents, however, will be authorized to serve one eight-year term. The
next presidential election is 1993. Chile's bicameral legislature is
composed of a senate and a chamber of deputies, located in Valparaiso,
Chile's major seaport. The executive agencies and the judicial branches of
government are located in Santiago.
From 1984 to date, Chile has become one of the world's most promising,
emerging markets for U.S. trade and foreign investment. The country's
liberal economic policies have facilitated seven years of uninterrupted GDP
growth averaging 5.6 percent. Growth was aided by adopting free market
policies; eliminating most non-tariff barriers; establishing uniform and
reduced tariff rates; and providing an open and favorable climate for
In 1991, Chile's GDP growth was 6 percent, the second highest in Latin
America, matching the country's average for the last 10 years. The outlook
for 1992 is for steady expansion and a GDP growth in excess of 7 percent.
Chile's balance of payments registered a 1991 surplus of nearly $100 million.
Inflation declined to 18.7 percent in 1991, down some 33 percent from 1990.
Chilean financial authorities project a further decline to between 13 to 15
percent for calendar year 1992.
Copper exports remain a vital cornerstone of Chile's robust economic
growth. In 1991, they accounted for $3.6 billion in foreign exchange
earnings, approximately 48 percent of Chile's total . Other principal
sources of Chile's sustained economic growth are recovery in manufacturing
and consumer demand; continuing improvements in agricultural output;
development of non-traditional exports such as salmon (Chile is the world's
second largest exporter); and increased exports of fresh fruit and
vegetables. There has also been modernization of forestry equipment;
application of more advanced technologies for producing quality cellulose,
and related pulp and paper products; and a steady growth of copper, gold,
and other minerals.
Another feature in Chile's growth is its excellent access to international
credits from the commercial banking sector, as well as from such
multilateral sources as the World Bank (IBRD) and the Inter-American
Development Bank (IDB). European governments granted 'soft' loans following
Chile's 1990 transition to democracy.
Chile's successful economic policies have led the IMF and the IBRD to
determine that Chile no longer requires the types of IMF arrangements or
IBRD loans often used by many developing countries to achieve sound economic
management policies. Chile's ability to meet its international debt
obligations has bolstered its economic strength and broadened its appeal
among foreign investors. Chile's total foreign debt is currently $17
The report called Foreign Economic Trends and Their Implications for the
United States (FET) for Chile is prepared semi-annually by the American
Embassy, Santiago, is available for $17 - Order Number PB92-214782, and as
part of the "Chile Country Set" from the National Technical Information
Service (NTIS). Orders for the "Set" can be made by writing to: NTIS, 5285
Port Royal Road, Springfield, VA 22161, Tel: (703) 487-4650.
The NTIS order number for the Chile Country Set is: PB92-214758, $35. The
FET is also available from any U.S. Department of Commerce District Office
or through one of the more than 600 federal depository libraries of the
National Trade Data Bank service (NTDB). The NTDB is a data bank for
reports from U.S. Executive Agencies.
Most privatizations were accomplished before 1989, prior to the Aylwin
regime taking office. The Aylwin regime's policy is to seek opportunities
for joint ventures between state-owned companies and the private sector, to
ensure local participation. The Chilean Development Corporation, CORFO,
continues as major owner of the remaining state industries. Since the
inception of privatization, in 1974, CORFO has sold off properties in the
mining, airline, rail, telecommunications, insurance, port, and electric
power generation sectors. Rail privatization includes 51 percent of the
cargo sector. The Port of Corral was the first private port opened for
public use in Chile.
Major hydroelectric and related projects are likely candidates for
near/medium term privatization. In the mining sector, recent legislation
has authorized CODELCO, the state-owned copper producer (the world's
largest) to establish joint ventures with private firms, domestic and
foreign, to develop some of CODELCO's extensive mining properties. The law
requires that the property is not currently being exploited, is not
considered in CODELCO's current expansion plans, and has been subject to
"basic exploration" by CODELCO. To date, 10 projects have been identified.
The contact for CODELCO joint ventures is: Mr. Jorge Bande, Senior Executive
Vice President, Development, CODELCO, Huerfanos 1270, Santiago, Chile. Tel:
FOREIGN TRADE OUTLOOK
Imports and Exports
For 1991, total imports, all source, were $7.4 billion (FOB), an increase of
almost 6 percent over 1990. Total exports, all source, were $8.9 billion
(FOB), an increase of 7 percent over 1991.
The three leading supplier countries to Chile are the United States, Japan
and Germany. In terms of two-way trade, Chile's three leading trading
partners are the United States, the Latin American Integration Association,
and the European Community. In 1991, Japan was Chile's leading export
market. The United States was a close second, however, $1.582 billion to
Japan's $1.596 billion, and remains Chile's leading trading partner.
U.S. exports to Chile in 1991 reached $1.8 billion (FAS), almost a 30
percent increase over 1990. The U.S. share of Chile's import market remains
approximately 22 percent. Principal U.S. exports to Chile are: mining
machinery and heavy transportation equipment, fertilizers related chemical
products, telecommunications systems, raw materials, and computers and
Currently, Chile is a primary market for industrial materials and capital
goods. The demand for consumer goods is increasing, but presents fewer
opportunities. A number of foreign consumer goods producers manufacture in
Chile, under either licensing or joint venture agreements. There are also a
growing number of domestic consumer goods producers.
Chile is also expected to import mining equipment and parts, heavy duty
vehicles for the mining and forestry industries, industrial machinery and
parts, raw materials, fertilizers (triple phosphate), equipment and supplies
for the fishing industry, and food preparation equipment.
In addition, U.S. suppliers have opportunities to participate in and supply
equipment for major projects involving ammonia/urea development, improved
telecommunication facilities, highway construction, subway expansion,
medical equipment and supplies for implementing and improving primary and
tertiary health care and replacement equipment for existing health care
facilities. (See "Major Projects" section for detail.)
The Harkin-Kennedy amendment was lifted in December 1990, opening
opportunities for U.S. defense and military-related sales to Chile. In this
sector, there are good prospects for exporting aircraft and parts, avionic
and ground support equipment, high technology instruments for the armed
forces, and leasing of commercial aircraft. Other U.S. export opportunities
are in transportation equipment, railroad equipment, new buses, and
The quality and technology of U.S. products are attractive to Chilean users,
although our prices are often uncompetitive against lower prices and quite
favorable credit terms offered by competition from Japan, Taiwan and Eastern
Europe. Some supplier countries also offer subsidized products, employee
training, and foreign plant visits, at no cost to the Chilean importer or
end-user. In Latin America, Argentina, Brazil, and Mexico present the
toughest competition for U.S exporters.
TABLE I - CHILE'S TRADE BALANCE WITH
LEADING TRADING PARTNERS - 1989-1991
(FOB Value - U.S. Dollars Millions)
1989 1990 1991
UNITED STATES (a) -104 -351 -536
LA INTEGRATION ASSOC.(b) -794 -717 -793
EUROPEAN COMMUNITY(b) 1,617 1,685 1,474
JAPAN(b) 384 820 998
(a)USDOC; (b)Chile Cen. Bk.
TABLE II - LEADING U.S. EXPORTS TO CHILE 1990-1991
(CIF Value - U.S. Dollars Millions)
Bituminous coal 19.3 8.3
Urea 19.4 24.2
Superphosphates 19.9 24.3
Corn (not for seed) 10.6 31.2
Soda and Soda Ash 15.8 20.8
Ammonium Phosphate 11.1 11.8
Polyethylene 12.6 23.4
Shovels 15.4 10.5
Loaders 18.1 16.1
Dump trucks 9.0 30.9
Data Processing Equipment 14.3 19.3
Data Process Memory Units 7.5 12.2
Data Processing (parts & pieces) 14.0 19.7
Edible oils 7.3 15.6
Mine Crushing Equipment 18.4 8.4
Fitting Articles (fixtures) 10.5 11.5
Radio Transmitting Equipment 25.8 19.0
Heavy Duty Vehicles (off-road) 30.0 2.0
Heavy Duty Chassis & Cabins 6.0 14.7
Sub-total Leading U.S. Items 297.4 344.1
Other U.S. products exported 1,107.7 1,294.8
Combined totals 1,076.0 1,237.8
Source: Chilean Central Bank (Discrepancies between U.S. and Chilean trade
statistics are the result of U.S. use of FAS rather than CIF, and related
LEADING CHILEAN EXPORTS TO THE U.S.
1990 and 1991
(FOB Value In U.S. Dollars Millions)
Salmon 42.8 52.9
Swordfish filets, fresh 18.8 27.2
Avocados 30.3 26.2
Grapes 265.7 326.2
Nectarines 23.3 24.4
Plums 25.5 26.6
Peaches 19.5 21.0
Tomato puree & juice 20.0 10.1
Apple juice 13.3 41.4
Iodine 16.6 17.8
Potassium nitrate 10.2 9.7
Methanol 6.2 15.8
Sodium nitrate 17.2 14.4
Gold 87.2 121.7
Copper 110.8 81.5
Copper cathodes & parts 258.8 236.3
Copper, other refined 49.3 18.7
Silver 7.2 29.9
Shoes and Boots 16.0 18.5
Wine 14.0 18.5
Sub-total leading Chilean exports 1,052.6 1,138.8
Other Chilean exports 416.6 457.4
Combined totals 1,469.2 1,596.2
Source: Chilean Central Bank (Discrepancies between U.S. and Chilean trade
statistics are the result of U.S. use of CV rather than FOB, and related
TRADE AGREEMENTS-TRADE POLICY
On May 13, 1992, the White House announced the United States intends to
undertake a comprehensive free trade agreement (FTA) with Chile, upon
completion of the North American Free Trade Agreement with Canada and
Mexico, and its acceptance by the U.S. Congress.
Once formal negotiations on an FTA with Chile begin, it will become the
first country in South America to participate in the free trade benefits of
the Enterprise of the Americas Initiative (EAI). Previously, in June 1991,
Chile was granted a $150 million Investment Sector Loan under aegis of the
EAI, and a 40 percent reduction, to $23 million, of its PL-480 debt.
Under the EAI aegis, Chile and the United States have established a
consultative mechanism, called the Trade and investment Council (TIC), to
address important bilateral trade and investment issues.
The TIC's work will help expedite resolution of several key bilateral
issues, including protection for intellectual property rights, tariffs and
non-tariff barriers, and an investment treaty, thereby facilitating
negotiations towards an FTA.
Mexico - In September 1991, Chile signed a "free trade" or comprehensive
bilateral agreement with the Government of Mexico, to secure new markets for
Chilean exports. The agreement calls for a program of progressive tariff
reductions beginning in January 1992. Bilateral tariffs will virtually be
eliminated by 1998. The agreement also covers rules of origin, safeguards,
trade dispute settlements, tax treatment, and investment promotion.
Chile is currently negotiating an FTA with Venezuela, and is studying other
forms of trade conventions with Argentina and Costa Rica. Chile is not
currently a member of the Southern Common Market, MERCOSUR, consisting of
Argentina, Brazil, Paraguay and Uruguay.
Chile has been a member of the, General Agreement on Tariffs and Trade,
GATT, since 1949, participating in a number of multilateral duty concessions
and extending and receiving most favored nation treatment (MFN). In 1979,
Chile signed a bilateral trade agreement with the United States within the
context of GATT's multilateral trade negotiations. Chile has also signed
the GATT Codes on import licensing, subsidies, and countervailing duties.
Chile was the first contracting party in the GATT to bind its complete
tariff schedule; the current rate is 35 percent. Chile was also the first
developing country in the GATT to commit to avoiding use of quantitative
restrictions to regulate imports.
Tariffs and Agricultural Priceband
In 1991, Chile's import duties or tariffs were lowered to a uniform tariff
rate of 11 percent of the CIF value. One exception is the agricultural
price band or surcharge mechanism on wheat, edible oils and derivatives, and
raw sugar. The surcharge is designed to maintain domestic prices for these
commodities, within a predetermined band, in order to shield Chilean
producers from international price fluctuations. The band's effect has
reduced imports, especially of wheat.
Chile has relatively few import or non-tariff barriers other than controls
for hazardous materials and the minimum pricing requirements under the
agricultural priceband. Chile's 11 percent import tariff is based on GATT
regulations. The country also uses the Harmonized Tariff Schedule (HS) to
classify imports and exports. The combined effect of the uniform tariff and
priceband surcharge, however, can exceed the current 35 percent tariff
bindings under the Uruguay Round.
The 11 percent, uniform import duty or tariff applies to more than 95
percent of Chile's imports. Said duty is calculated on the cost, insurance
and freight (CIF) value of the imported goods.
Chile also levies a value added tax (VAT) of 18 percent, on practically all
goods. (In December 1993, the government's intention is to reduce the VAT
to 16 percent.) The VAT is calculated/compounded on the basis of the CIF
value plus the import duty.
National Customs Service officials (Servicio Nacional de Aduanas) may refuse
to accept a supplier's CIF value in a case of obvious price distortion,
e.g., price is too low by accepted world standards. In such instances
customs officials may increase the duty on the imports to ensure fair value
is charged and to prevent under-invoicing.
Luxury goods pay taxes or surcharges on their CIF value, at the time of
their entry into Chile. These taxes are in addition to the 11 percent
import duty and the VAT. In such cases, the VAT is calculated/ compounded
on the basis of the import duty, plus CIF value, plus surcharge. Luxury
goods include: expensive cars (with engines above 1500 cc), ivory articles,
fine jewelry, such textile goods as Persian, Khilim and Dhurrie rugs,
expensive tapestries, alcoholic beverages, tobacco, furs, and gasoline. (See
1 Importers, end-users, and foreign subsidiaries in Chile pay import
duties and VAT. Such payments are not the responsibility of the foreign
SURCHARGES ON LUXURY GOODS
Articles of gold, platinum and ivory 50
Jewels of precious or synthetic stones 50
Fine furs, whether or not manufactured 50
High quality rugs and tapestries 50
Yachts (except with sails and for sporting events) 30
Home trailers, self-propelled 50
Pyrotechnic products and fireworks 50
Liquors ** 30
Wine and beer 25
Non-alcoholic beverages, syrups
and other alcoholic substitutes 13
Mineral water 15
** Lower duties, 13,15 or 25 percent, may apply.
Samples are admitted duty free, as long as they cannot be sold or used
commercially. If they have commercial value, both the normal duty of 11
percent and the 18 percent VAT are levied. Small size and limited quantity
normally suggest the sample has no commercial value.
New automobile imports incur the 11 percent import duty, plus the 18 percent
VAT, compounded. There are two additional taxes on automobile imports: (1)
an engine size tax based upon engine c.c.; and (2) a luxury tax. Neither
(1) or (2) apply to buses, trucks, ambulances, off road vehicles, motor
homes, and other special vehicles.
The engine size tax (1) is based on the engine c.c. measurement and is
obtained using following formula: Percentage tax = c.c. size times 0.03
minus 45 and then deduct 30 percent. For example, for a car with a 2,000
c.c. engine, the formula results in 2,000 x 0.03 - 45 - 30 percent, or 60 -
45 - 30 percent, resulting in a 10.5 percent engine size tax, which is then
applied on the CIF value. There is a ceiling for this tax, which in 1992 is
The luxury tax (2) is based on the car's CIF cost, and amounts to 85 percent
of the value in excess of $9,422.07. The tax fee or base limit is adjusted
Applying the foregoing rules, an imported car with an engine smaller than
1500 c.c. and a CIF value less than $9,422.07 will not pay any additional
tax, other than the 11 percent general duty and the 18 percent VAT.
Used goods imports, other than capital equipment, carry an import duty of
16.5 percent of the CIF value. The VAT tax of 18 percent must also be
paid. Used passenger cars, and used parts, however, are customarily
prohibited importation along with most other used vehicles. (A car is
considered used when it is more than one model year removed from its
proposed date of importation.)
Exceptions to used equipment duties and vehicle import restrictions are:
ambulances, armored cars, public road cleaning vehicles, mobile homes,
prison vans, street cleaning vehicles, and cement-making vehicles. These
goods pay 11 percent import duty plus the VAT. Fire-fighting vehicles are
not subject to import duty, and pay their VAT on the CIF value only.
There is no import prohibition for used car parts for vehicles already in
Chile. Also, used capital goods can be exempted from import duties and the
VAT, see following section on duty deferral.
Deferral of Import Duties
Import duties on capital goods can be postponed, with installment periods of
3, 5, and 7 years. The minimum value per item must be at least $4,900. The
rate of interest is currently 8.3 percent per year and is reviewed every six
months, but once applied it is fixed for entire payment period. Deferment of
duties is also possible on parts and pieces that are imported simultaneously
with the capital goods in question, provided the parts do not exceed 10
percent of the CIF value of the goods or machinery.
Waiver of the deferred/postponed import duties on capital goods is possible
where said goods are used to produce exports. Said exports must be roughly
equal to or greater than local sales to obtain the full duty waiver, and the
value of said exports must exceed the value of the 11 percent duty on the
capital goods imported.
VAT exemptions on capital goods imports, brought in for investment purposes,
are possible in the following cases: (1)where the import is brought in under
Chile's Foreign Investment Law, DL 600, of 1974; or (2)there is no local
production of such goods; or (3)there is insufficient local production of
Import Licensing Certificate
Chile's Central Bank requires importers obtain a registration certificate,
"Informe de Importacion", for all imports valued over $3,000. The
certificate is for statistical purposes, but is free and normally issued on
a pro forma basis. Article 88 of the Central Bank endorses free importation
of goods and prohibits discrimination against imports by prior import
deposits, quotas and related non-tariff barriers. (Consular notarization of
exports to Chile is not required.)
The registration certificate can be issued by three authorities, depending
on the amount of the proposed import, as follows: (1) the Central Bank (for
amounts exceeding $3,000 f.o.b.); (2) the Chilean Copper Commission for
copper imports; or (3) a commercial bank in Chile (for amounts $ 3,000
f.o.b. or less).
Import certificates require up to 5 days to obtain, provided the forms are
filled in correctly, and no hazardous substance or pricing distortions are
involved. Exporters should not ship to Chile, however, until the
importer notifies the exporter that the license has been issued. A fine can
be levied on the importer when this procedure is not followed. To avoid a
fine or confiscation, imports generally must be shipped within 120 days from
the date of approval of the permit.
Clearances normally take two days from the time import documents are
presented to customs officials, until actual release of the goods to the
importer or his customs agent.
Goods can also be cleared in advance, provided Chilean customs receives
faxed copies of the bill of lading, commercial invoice, and the insurance
(if any). The bill of lading must have been verified by a bank, however.
The Chilean importer's customs broker can then submit these to Chilean
customs officials for clearance purposes. Once the shipment arrives, the
goods can be released immediately.
Mistakes of quantity, value and/or description on a bill of lading, when it
is compared to the description on the import registration, are normally
corrected at customs by the importer's customs broker. However, when it is
clear that an import shipment bears no relationship to the bill of lading,
implying improper procedure, customs may consider the shipment as
In the case of food stuffs and live animals, original phytosanitary or
health certificates, from the country of origin, are required. Copies are
not accepted. Firearms can be imported, but they require a special permit
from a military authority in Chile.
Temporary Import Permits
Temporary imports of goods are authorized for government-approved
exhibitions and for temporary demonstration purposes. In the case of
exhibitions, the fair authorities are authorized to grant a temporary
admission certificate. For Chilean, government-approved exhibitions, no
duty or VAT is levied, and goods may remain in country up to six months.
Goods imported for temporary demonstration purposes require the resident
end-user or potential vendee to obtain a temporary admission certificate
from Chilean customs authorities. The goods are taxed, however, based upon
the number of days they are in country. For example, from 1 through 15 days
the duty will be 2.5 percent; from 16 through 30 days the duty will be 5
percent. Percentage is calculated on the basis of the CIF value, plus the
uniform 11 percent import duty, plus the 18 percent VAT (See Table V).
TABLE - V
DUTIES ON TEMPORARY ADMISSIONS
From To Rate of Tax (%)
1 day 15 days 2.5
16 days 30 days 5.0
31 days 60 days 10.0
61 days 90 days 15.0
91 days 120 days 20.0
121 days - 100.0
Imported goods, returned to the foreign supplier for repair or replacement
of defective parts, normally do not pay additional import duties or VAT
taxes upon reentry into Chile. A temporary export permit must be obtained,
however, to certify as to the purpose of the export, and to authorize
reentry of the good. Should the repair increase the value of the good, both
an 11 percent duty and VAT will be levied on added value. Should a
duplicate replacement be substituted for the original good, full import duty
and VAT are levied on the replacement.
Full import duty and VAT would also apply when replacement parts are sent
into Chile to replace the original, defective imported parts. However,
where the original contract of sale price (CIF) of the imported good
included the cost of service and replacement parts, customs officials can
determine that the duty and VAT for these replacements parts were paid upon
original entry. In such instances, no additional duty or VAT will be levied,
provided appropriate documentation has been filled out by the importer and
approved by Chilean customs.
FREE TRADE ZONES and PORTS
Chile's two free trade zones are the Free Zone of Iquique (ZOFRI) in the
northern tip, Region I, of Chile, and the Free Zone of Punta Arenas
(PARANEZON) in the southern tip, Region XII. ZOFRI encompasses the free
ports of Arica and Iquique. Punta Arenas also has a free port. Most
merchandise is permitted import into Regions I and XII, except for arms,
ammunition, and/or merchandise considered inconsistent with Chilean "morale,
public health or national security." Modern facilities for manufacturing,
packaging and exporting exist in each zone. Finished products produced
there are reputed to be of good quality. Labor is considered relatively
Duties and VAT requirements are as follows: (a)imports entering, and
remaining in, Chile's free ports pay no duty or VAT; (b)imports leaving the
free ports, but remaining in their respective free trade zones, pay a six
(6) percent import duty, but no VAT; (c)imports leaving the free trade
zones to enter the greater Chilean market, pay full tariff and VAT charges;
(d)subject to negotiations with Chilean customs officials, imports can
remain in-bond for extended periods, for transshipment to other countries.
ZOFRI, established by the Chilean Development Corporation, CORFO, in 1975,
is currently undergoing partial privatization. Approximately 49 percent of
ZOFRI is to be sold to private interests. The U.S. is the second largest
user of ZOFRI after Japan. Hong Kong is third. Region I has air, ground
and ocean transportation to other parts of Chile. Storage facilities are
Most imports into Punta Arenas come from the UK, Italy, France, the United
States, and Japan. Smaller quantities of mostly consumer electronics come
from other Asian nations. The Port is undergoing expansion to improve
unloading and shipping operations for large freighters. Storage facilities
Importers are required to register with the Central Bank through an
authorized commercial bank. In order to register, the importer must submit
a pro-forma invoice issued by the supplier or his authorized agent. Import
authorizations or certificates must contain, among other details, the name
of the importer, form and terms of payment, detailed description of the
goods, country of origin, and means of transportation. Certificates are
generally processed within 5 days after submission, provided forms are
filled in as noted under the aforementioned "Import Licensing Certificate"
The import certificate authorizes a period of 120 days for shipment to be
received, after the date of approval. Some extensions may be obtained.
A commercial invoice is required on all ocean freight, air cargo, or parcel
post shipments to Chile. Copies of the commercial invoice must be prepared
in quadruplicate, in Spanish or English. The invoice must show clearly FOB
or FAS steamer value in the extreme right-hand margin. The CIF value
(itemized by cost, insurance, and freight) must also be shown and must
appear under and to the left of the FOB or FAS value. The unit price of
each item must also be shown. The date of the insurance, if any, covering
shipment must be indicated on the invoice. The importer usually refers to
an import number that appears on the invoice.
Notarization of the commercial invoice is not required.
Bill of Lading
At least two copies of the bill of lading should be sent to the banker, the
agent, or the consignee at destination, as appropriate. The bill of lading
must show total metric weights and total charges. These figures must agree
with those on the import registration certificate.
Corrections, additions, or erasures are not permitted on the bill of
lading. If an error is discovered it may be rectified by a "letter of
correction". It is advisable that problems of this type be handled by a
customs broker in Chile. "To order" bills of lading are permitted under
Freight insurance may be bought from Chilean and foreign companies
authorized to do business in Chile. The Central Bank authorizes the sale of
foreign exchange for the payment of an insurance premium. Insurance
documentation should be based on instructions given by the importer.
Some allowances or tolerances in the import documentation are permitted,
e.g., where there is excess shipment value, weight or volume. Permission is
always subject to discretion of Chilean customs authorities, as follows:
. Volume/weight may exceed the amount declared in
the import documentation by 10 percent;
. Customs authorities may authorize a tolerance of up to 10 percent of
the CIF value with a maximum variation of $3,000.
. However, an importer needs to present a special request to the
authorities when the above tolerances vary by $1,500 above or below
the reported value;
. For freight plus insurance, a tolerance of 10 percent is allowed.
Tolerances are based on CIF value differences between the pro-forma and the
final invoice. The aforementioned tolerance margins are designed to cover
unexpected contingencies and cannot be used indiscriminately. Improper use
of these regulations may be penalized by the authorities, e.g., by fines.
When the tolerances are exceeded, a "complementary" import license (CIL) is
required in order to declare the correct values. This new authorization
will also take 5 days to obtain. In general, the CIL is also required for
changes in the means of transportation, terms of payment, country of origin,
and other statistical information.
Samples and Advertising
Samples are subject to the documentary requirements that apply to commercial
shipments. Parcels containing samples must be labeled "muestras sin valor
comercial" (samples without commercial value), and must be packed so as to
facilitate customs examination of the content. Samples of no obvious
commercial value may enter Chile duty free. Samples with commercial value
are dutiable at the rate applicable to commercial shipment of similar
articles, unless mutilated so, as to be unsaleable, in which cases there is
no duty. Under no circumstances should packages with samples having
commercial value be labeled "muestras sin valor."
Samples having no commercial value may be sent to Chile by "small packets"
rate postage. This is comparable to third-class mail in the U.S. Further
information on small parcels and other postage rates to Chile may be
obtained in the United States from local U.S. postmasters.
Advertising materials, including distribution of mail order catalogs, are
dutiable, but single catalogs and instruction manuals accompanying imports
of goods or equipment, are not.
Marking and Labeling
Imported products customarily consumed by the public must display the
country of origin on them before being sold in Chile. Packaged goods, except
those subject to the payment of stamp taxes, e.g., imported cigarettes,
playing cards, and toilet preparations must be marked to show the quality,
purity, ingredients, or mixtures, as well as the net weight or measure of
Canned or packaged foodstuffs imported into Chile must bear labels in
Spanish for all ingredients, including additives, manufacturing and
expiration dates of the products, and the name of the producer or importer.
All sizes and weights of the net contents also must be converted to the
metric system. Goods not complying with these measurements may be imported
but not sold to consumers until conversion is made. Thus, foodstuffs
labeled in English have to be re-labeled in Chile before they can be sold.
A phytosanitary certificate, issued by the appropriate health authority of
the exporting country, must accompany all imports of plants, cuttings,
roots, stems, rootstocks, flowers, fruits, bark, wood, or any other part of
the plant in its natural or processed state capable of harboring insects, as
well as commodities dangerous to plants (including plant products, living
organisms, containers and soils), In the United States, the Animal and
Plant Health Inspection Service (APHIS) of the U.S. Department of
Agriculture issues these certificates. For more information contact:
Regulatory Services Staff, Plant Protection and Quarantine, APHIS, USDA,
Federal Building, U.S. Department of Agriculture, Hyattsville, MD 20762;
tel.: (301) 436-8537.
At recent bilateral discussions in Chile, June 1992, the Chilean health
authorities, Servicio Agricultura Ganadaria (SAG), agreed to revoke the
requirement of an animal health certificate or visa for all imports of
animals into Chile. However, such imports must still be accompanied by a
sanitary certificate from a competent authority in the country of origin,
certifying that the animals are in good health and free from contagious
diseases. More detailed information may be obtained from APHIS, Veterinary
Services, Import-Export Staff, Federal Building, U.S. Department of
Agriculture, Hyattsville, MD 20782; tel.: (301) 436-8530.
The import of pharmaceutical specialties, cosmetics, and most biological and
bio-chemical preparations require prior registration with the Institute of
Public Health (Instituto de Salud Publica) and may be subject to special
labeling and other requirements, depending on the nature of the individual
Imported goods may remain in custom warehouses for 90 days. If said goods
are unclaimed after the 90-day period, the goods will be declared abandoned
by Customs and sold at public auction.
PAYMENT AND EXCHANGE CONTROLS
Payment and Financing
Payment to suppliers, where no previous, commercial relationship between
buyer and supplier exists, is best made through irrevocable letters of
credit, by a Chilean commercial bank to the supplier. This financial
transaction is fast and simple, and no lengthy delays in remittance of
foreign exchange are experienced. Payments are made upon receipt of notice
of shipment of goods. Other methods of payment to suppliers include an
unconfirmed letter of credit and open account. Suppliers dealing in open
account usually should have developed a long-standing relationship with the
buyer or buyers in question.
Some Asian suppliers, in Japan, Hong-Kong, South Korea, and China, offer
product with good prices and attractive soft credit terms, even subsidized.
The Chilean currency is the peso. The Government's official peso exchange
rate is called the "acuerdo," or daily rate. The actual market rate of the
peso, however, is authorized to vary or "float" 20 percent, or 10 percent
either side of the official exchange rate, under what is termed an exchange
rate band. The Central Bank determines its daily, official, foreign
exchange rate by use of a crawling peg system. In June 1992, the Central
Bank began referencing the "peg rate" on a daily rather than a monthly
basis, referencing a basket of foreign currencies, comprised of the U.S.
dollar, the German mark and the Japanese yen.
Intermittent maxi or mini devaluations or evaluations also take place. For
example, on January 22, 1992, the Central Bank revalued the peso upward by 5
Individuals, corporations or business entities bringing investment capital
into Chile in the form of foreign loans face the Central Bank's encaje
reserve requirement on foreign loans. The encaje requires all such
investors to deposit 30 percent of their foreign borrowed capital into a
non-interest bearing account for one year. The deposit may be waived if the
borrower agrees to pay the Central Bank an amount equivalent to the interest
on such a deposit. One purpose of the encaje is to discourage short term
capital inflows, which can adversely affect Chile's exchange rate and fuel
Foreign exchange dealers are required to trade in foreign exchange at the
official or acuerdo rate. Authorized foreign exchange dealers include Banco
del Estado (state-owned), commercial banks, and exchange houses. An
exception to this requirement is the direct transaction in foreign exchange
between private partners (particulares). Such transactions are permitted if
they are occasional or non-customary, and not advertised. The rate for the
particulares transaction is at a small premium over the official rate and is
not used for import payments, because the official rate is available to all
importers issued an import certificate.
Central Bank regulations mandate that contracts for import services be
registered, if they are to require payments of fees or royalties in foreign
currencies. Separate application must be made for authorization to access
the foreign exchange when payment is due. In practice, approval has been
granted on a case-by-cases basis, to avoid inappropriate or excessive
payments involving tax evasion.
IMPORT CHANNELS AND DISTRIBUTION
Importers and Agents
Currently there are over 2,500 importers operating in Chile, most of them
small to medium-sized firms. Several large firms handle a variety of
goods. Many large importers are also wholesalers and are located in
Santiago, with branch offices in other cities including free-trade zones.
Customarily, suppliers enter the Chilean market by appointing an agent,
distributor, or wholesaler. This local representative, to be effective,
must be aggressive, knowledgeable about product, and well connected with
potential end-users. The representative will need to promote products
through TV, radio, newspapers, and specialized magazines.
A supplier should be thorough in selection of an agent or representative.
For this purpose, it may wish to take advantage of U.S. Commerce Department
services. These include the Agent/Distributor Service (ADS), which helps
identify interested agents and distributors, and a customized market study
or the Comparison Shopping Service (CSS), which can identify potential
representatives. Commissions normally range from 5 to 10 percent. In
establishing a contractual relationship with a local representative, the
U.S. supplier should ascertain its contractual liability vis-a-vis the
representative under Chile's labor law. For example, under Labor Law 19.010
normal severance pay given to an employee, agent, distributor, or
wholesaler, who is not terminated for "misconduct", is equivalent to one
month's pay for each year that the contract has been in effect. The
employee must also be given 30 days notice.
Suppliers can establish their legal relationship with a local representative
in one of two ways: (1) an ordinary work contract regulated by the
aforementioned LL-19.010; or (2) the more customary commercial or commission
contract, where the parties establish their own terms and conditions, and
are not bound by requirements of LL-19.010, especially its severance
Under (1), a work contract, LL-19.010 applies. This contractual
relationship can be established in writing or it can be de facto, provided
in the latter instance the local representative is clearly in an employee
relationship and not a free agent. In order to terminate said contractual
relationship, where there is no "misconduct" by the employee or local
representative, employer or supplier must pay severance in accordance with
Where a representative/employee is terminated for misconduct, however, no
severance pay is required. Where a representative or employee is terminated
because the supplier/employer considered such termination necessary from a
business or operational standpoint, then severance, as noted in LL-19.010,
must be paid.
Under (2), the commissions contract, where an employer-employee relationship
is not established and thus LL-19.010 is not applicable, the conditions for
work, termination, severance, etc. are those incorporated in the contract
itself. Where no provision is made in the contract for: its termination;
territory to be covered by the representative; and the supplier and
representative are in disagreement as to how to proceed on such issues;
local contract law decides, under the Civil Code of Chile.
To avoid legal expenses under a commission contract, the supplier should:
(a) establish specific performance conditions for the representative; (b)
decide upon ground rules for termination; (c) determine territory to be
covered by the representative, as supplier may later wish to appoint
additional agent(s) elsewhere in Chile; and (d) have local counsel to review
text to ensure it's consistent with Chilean legal standards.
State enterprise, commercial airlines, public utilities, and government
agencies frequently import their own machinery and supplies. In the case of
the state mining companies, most purchases are made directly through their
New York offices. (See "Government Procurement" Section).
Establishing a local subsidiary or branch office gives the best guarantee
that the exporter will receive efficient service and aggressive promotion of
his products. This method of market penetration may involve considerable
investment, but can be justified when sales are made in volume or when local
service facilities and inventories are required.
Santiago is the principle distribution center for Chile. About 40 percent
of the country's population lives within 100 miles of the capital. By far,
the greatest number of import houses, distributors, and agencies have their
headquarters in Santiago, although many have branch offices, sales
representatives, and technical services in other Chilean cities.
Exporters intending to sell in southern Chile frequently seek a
representative living in the Concepcion area. Concepcion is one of the
fastest-growing areas of Chile. Located nearby are a petrochemical complex,
iron and steel works, metalworking industries, coal mines, textile and
paper/pulp mills, and fishing industries.
U.S. suppliers are advised to consider meeting agents or distributors
first-hand, before deciding upon whether to hire them. U.S. firms find it
useful to do this, and to size up market opportunities, by participating in
Trade Missions and Catalog Shows organized by the U.S. Department of
Commerce. For further information on such events, U.S. suppliers are urged
to contact their nearest Department of Commerce District Office.
Government entities usually do their own procurement. Chilean law calls for
public bids for large purchases, although procurement by negotiation is
permitted in certain cases, e.g., highway construction for the $20 million
"Tunel Melon", outside Santiago.
U.S. firms interested in supplying goods and services to the Chilean
Government will be more successful if they appoint a well qualified, local
agent. Further, U.S. manufacturers or exporters who wish to be legally
represented in Chile should register with the Chilean Direccion de
Aprovisionamiento del Estado (Bureau of Government Procurement Supplies),
Amunategui 66, Piso 4, Santiago, Chile.
Foreign bidders on government tenders must post a bank and/or guarantee
bond, usually equivalent to 10 percent of the total bid, to assure
compliance with specifications and delivery dates.
In the case of foreign suppliers of aviation supplies, aircraft, parts, and
avionic and airport equipment it is mandatory to register with the Direccion
General de Aeronautica Civil (Bureau of Civil Aviation). Only such
pre-registered suppliers will be considered as qualified to bid on tenders
and related purchases.
In 1984, the Chilean Government began to implement a "Buy Chile" policy.
This policy calls for all Chilean government-owned enterprise to favor
locally made products when conditions of sale, such as price, quality, and
delivery dates are equal to or better than the foreign exporter. This
practice is aimed at curtailing unemployment and to assist development of
Chilean industry. However, a large number of high technology products are
not yet manufactured in Chile. Consequently, state-owned enterprises still
import rather than purchase locally. Requests for bids, either public or
private, are published in local newspapers and/or in the Chilean
government-owned "Diario Oficial" (Official Gazette).
CHILEAN GOVERNMENT AGENCIES ACTIVE IN FOREIGN PROCUREMENT
Ministerio de Salud
(Ministry of Health)
Central de Abastecimiento del Sistema
Nacional de Servicio de Salud
Av. Matta 644
Tel: (56-2) 556-9061
Fax: (56-2) 556-7899
Direccion de Aprovisionamiento del Estado
(Bureau of Government Supplies) Amuntegui 66, Piso 4
Tel: (56-2) 696-1098
Ministerio de Obras Publicas
(Ministry of Public Works)
Tel: (56-2) 672-4506
Empresa de los Ferrocarriles del Estado
(Chilean State Railways)
Av. Lib. B. O'Higgins 3322
Tel: (56-2) 779-6515
Fax: (56-2) 776-2609
Empresa Nacional de Mineria - ENAMI
(National Mining Enterprise)
Tel: (56-2) 39-6061
Fax: (56-2) 33-3505
Corporacion Nacional del Cobre - CODELCO
(Chilean Copper Corporation)
Tel: (56-2) 690-3000
Empresa Nacional del Petroleo
(State Oil and Gas Producing Enterprise)
Tel: (56-2) 38-1845
Fax: (56-2) 38-0164
Petrox-Refineria Petroleo S.A.
Santa Luc a 270, of. 201
Tel: (56-2) 33-8372/39-1829
Refineria de Petroleo de Concin S.A.
(State Oil Refinery)
Santa Lucia 270, Piso 3
Tel: (56-2) 33-8400/632-4136
Empresa Nacional de Computacion e Informacion Ltda.
(National Data and Information Enterprise)
Av. Apoquindo 3063
Tel: (56-2) 233-3466
Empresa Nacional de Carbon S.A. - ENACAR
(State Coal Producing Enterprise)
Antonio Bellet 281
Tel: (56-2) 235-2715
CHILEAN GOVERNMENT AGENCIES IN NEW YORK
Corporacion de Fomento de la Produccion
(Chile Production Development Center)
One World Trade Center, Suite 5151
New York, New York 10048
Empresa Nacional de Petroleo
(National Petroleum Enterprise)
One World Trade Center, Suite 5151
New York, New York 10048
Corporacion Nacional de Cobre de Chile
(Chilean Copper Corporation)
Door 49, 12 East 49th, 16th floor
New York, New York 10017
(Chilean Government Trade Bureau)
One World Trade Center, Suite 5151
New York, New York 10048
PRIVATE SECTOR PROCUREMENT FIRMS
Empresa Maritima del Estado - EMPREMAR
(State Maritime Company)
11 de Septiembre 1860, Piso 15
Tel: (56-2) 204-7130
Empresa Nacional de Electricidad S.A. - ENDESA
(State Power Generating Enterprise)
Santa Rosa 76
Tel: (56-2) 222-9080
Fax: (56-2) 222-6328
Empresa Nacional de Telecomunicaciones S.A. - ENTEL CHILE
(State Telecommunications Enterprise)
Santa Luc a 360, Piso 8
Tel: (56-2) 690-2121
Fax: (56-2) 699-3424
Compania de Acero del Pacifico - CAP
y Compania Siderurgica Huachipato S.A.
(State Steel Producer)
Huerfanos 669, Piso 8
Tel: (56-2) 632-2322
Compania Chilena de Electricidad - CHILECTRA
(State Power Distribution Enterprise)
Santo Domingo 789
Tel: (56-2) 632-2000
(Chilean Telegraph Service)
Tel: (56-2) 696-8807
Empresa Nacional de Explosivos S.A. - ENAEX
(State Mining Explosives Manufacturing Enterprise)
11 de Septiembre 2355, Piso 2
Tel: (56-2) 231-8864/232-3176
Fax: (56-2) 231-9848
Sociedad Quimica y Minera de Chile S.A. - SOQUIMICH
(State Nitrate and Salts Enterprise)
Miraflores 222, Piso 10 y 11
Tel: (56-2) 632-6888/632-3355
Fax: (56-2) 632-6757
Compania de telefonos de Chile S.A. - CTC
San Mart n 50
Tel: (56-2) 691-2020
CHILEAN PRIVATE SECTOR OFFICES IN NEW YORK
Chilean Nitrate Sales Corporation
Chilean Iodine Bureau
One World Trade Center, Suite 5151
New York, New York 10048
Compania de Aceros del Pacifico
(Pacific Steel Works)
Ten Rockefeller Plaza, 14th floor
New York, New York 10020
Linea Aerea Nacional - LAN CHILE
630 5th Avenue, Suite 809
New York, New York 10111
Tel: 212/582-3250 Fax: 212/582-6863
CHAMBERS OF COMMERCE AND ASSOCIATIONS IN CHILE
Camara de Comercio de Los Estados Unidos en Chile
(Chamber of Commerce of the United States in Chile)
Av. Americo Vespucio Sur 80, Piso 9
Tel: (56-2) 208-3451/208-4140
Camara Nacional de Comercio de Chile F.N.G.
(National Chamber of Commerce of Chile)
Santa Lucia 302, Piso 4
Tel: (56-2) 39-6639/39-7694
Fax: (56-2) 38-0234
Camara de Comercio de Santiago A.G.
(Chamber of Commerce of Santiago)
Santa Lucia 302, Piso 3
Tel: (56-2) 632-1232
Sociedad Nacional de Mineria (Mining)
Teatinos 20, Piso 3
Tel: (56-2) 695-5626
Confederacion de la Produccion y del Comercio
(Confederation of Production and Commerce)
Estado 377, Piso 5, Of. 507
Tel: (56-2) 33-3690
Asociacion de Fabricantes de Conservas de Chile
(Association of Canned Foods Manufacturers)
Ahumada 254, Of. 1209
Tel: (56-2) 698-0682
Asociacion de Industriales Quimicos - ASIQUIM
(Association of Chemical Manufacturers)
Monsenor Felix Cabrera 23, of. 21
Tel: (56-2) 232-1843
Sociedad de Fomento Fabril - SOFOFA
Agustinas 1357, Piso 11-12
Tel: (56-2) 698-2646
Camara Chilena de la Construccion
(Chamber of Construction)
Marchant Pereira 10, Piso 3
Tel: (56-2) 233-1131 Fax: (56-2) 232-7600
Camara de la Industria Farmaceutica
(Chamber of the Pharmaceutical Industry)
Hernando de Aguire 1981, Providencia
Tel: (56-2) 225-2925
Sociedad Nacional de Pesca
(National Society of Fisheries)
Ahumada 254, Piso 11, Of. 1107
Tel: (56-2) 696-2019
Asociacion de Industriales del Calzado de Chile
(Chilean Footwear Manufacturers Association)
Teatinos 248, Of. 23
Tel: (56-2) 672-4527
Corporacion Chilena de la Madera - CORMA
(Chilean Lumber Corporation)
Teatinos 814, Of. 407
Tel: (56-2) 33-5728
Asociacion de Industriales Metalurgicos - ASIMET
(Association of Metallurgists)
Agustinas 785, Of. 454
Tel: (56-2) 38-0501
Asociacion de la Industria Plastica de Chile - ASIPLA
(Chilean Association of Plastics Industries)
Av. Pedro de Valdivia 1481
Tel: (56-2) 223-4546
Instituto Textil de Chile
(Chilean Textile Institute)
Bandera 566, Of. 101
Tel: (56-2) 672-5214
Asociacion de Industriales de la Madera - ASIMAD
(Association of Wood Products Manufacturers)
Obispo Donoso 5, Of. 51
Tel: (56-2) 274-8707
Chilean American Chamber of Commerce
818 Connecticut Avenue, NW
Washington, D.C. 20006
c/o Margaret M. Morris
Tel: (202) 293-4690
TRANSPORTATION AND UTILITIES
Chile is a maritime nation and services are available to all three coasts of
the United States. Maritime service from the East and Gulf of the U.S. is
via the Panama Canal. Chilean maritime services are provided by: Compania
Sudamericana de Vapores; Empremar S.A.; Compania de Navegacion Interoceanica
(CNI), and Naviera del Pac fico S.A. (NACHIPA). For U.S. service, consult
your local U.S. directory.
Chile has 47 ports along its extensive coastline, but 13 major and
medium-sized ports handle about 80 percent of all general cargo. The 13,
from north to south, are: Arica, Iquique, Antofagasta, Mejillones, Huasco,
Coquimbo, Valparaiso, San Antonio, San Vicente, Talcahuano, Puerto Montt,
Punta Arenas, and Puerto Natales. Puerto Montt, Punta Arenas and Puerto
Natales use the roll-on/roll-off system. Other ports are being equipped to
handle cargo from Argentina. Port facilities are mostly government-owned
and managed by Empresa Portuaria de Chile (EMPORCHI).
A number of ports specialize in the shipment of minerals and petroleum,
e.g., Valparaiso and San Antonio. Storage facilities at Chilean ports,
particularly at Valparaiso and San Antonio, are crowded, and there is little
covered storage available. U.S. exporters should plan on using appropriate
weatherproof and pilferage-proof containers when shipping to Chile.
American Airlines and United Airlines are presently the only two U.S.
airlines providing passenger and cargo services between Chile and the United
States. International air and cargo services are also offered by other
major foreign airlines. There are also several cargo carriers and air
Chile has two privately-owned airlines which operate commercially between
the United States and Chile -- LAN Chile and LADECO. LAN is partly owned
by SAS and partly by the European Bank for Latin America (BEAL in Belgium).
LAN services numerous cities throughout Chile and Easter Island. It
operates, almost on a daily basis, to Buenos Aires, Miami, New York, Los
Angeles, Mexico, Rio de Janeiro, Guayaquil, Caracas, Tahiti (twice a week)
and Madrid and Frankfurt. LAN enjoys a good reputation for on-time service
and has an excellent safety record.
LADECO, the Linea Aerea del Cobre, is partly owned by the Spanish airline
IBERIA. LADECO operates daily flights to Miami (nights/or days schedules),
New York, Los Angeles, and three times a week to Washington, D.C. LADECO
also flies to Rio de Janeiro, Sao Paulo, Buenos Aires, Montevideo, Mendoza,
Asuncion, Mexico, Los Angeles, Bogota, and Caracas. LADECO also services
all of Chile. LADECO is known for its safety and excellent on board
service. It has a large share of Chile's international and domestic cargo
Chile has 31 airports, 10 of which provide international services. Chilean
airports are managed by the Direccion General de Aeronautica de Chile of the
Ministry of Transport.
Chile has the fourth largest rail network in Latin America, extending 11,200
kilometers. About 25 percent of all freight tonnage is transported by
rail. Chilean railroad services are currently operating at a loss, and 51%
of the cargo services have recently been privatized. Passenger service is
Highways and Roads
The entire national road network totals about 70,000 kilometers. The main
road is the Pan American highway, running from the Peruvian border in the
north to the Island of Chiloe in the south. In the far south, between
Puerto Montt and Coyhaique, the Carretera Austral is complete, giving access
to the vast territory of Aysen. International highways also connect Chile
to Argentina and Peru.
The Ministry of Public Works is in charge of planning, design and
maintenance of all public roads. Within the Ministry, the Direccion de
Vialidad (Bureau of Highways) is the most important.
Empresa Nacional del Petroleo (ENAP) is a state-owned enterprise operating
in Region XII. It is the only company engaged in the extraction and
refining of oil in Chile. ENAP's oil production, located in the Magallanes
region, meets only 15 percent of the country's needs, and reserves are
decreasing. Recently, ENAP formed a 50-50 joint venture with its Argentine
counterpart to explore for hydrocarbons in both Chile and Argentina.
Crude oil production for 1992 is estimated at six (6) million barrels, along
with two (2) million barrels of liquid natural gas. The only producer is
Empresa Nacional de Petroleos de Chile (ENAP). It has fields in the Punta
Arenas area, along the southern coast, and in the Strait of Magellan. Chile
only produces 15 percent of its crude oil requirements. Imports for 1992
are expected to reach 40 million barrels or $800 million. Major suppliers
are Nigeria (22%), Gabon (20%), Venezuela (12%), Ecuador (12%), and
Chile imports over $210 million of processed hydrocarbon fuels, including
gasoline, kerosene, diesel oil, fuel oil, liquid gas (LPG), etc. The most
important suppliers are the U.S. (LPG) and several Latin American countries,
including Argentina and Netherlands Antilles (gasoline), Venezuela (diesel
oil), and Mexico (gasoline). Chile's exports of similar products should
exceed $150 million in 1992.
Coal production is approximately 2 million tons per year. Total annual
demand is expected to grow from current levels of 2.7 million tons to 5.6
million tons by the year 2000. Demand will result from construction of
several thermoelectric generating plants. Reserves of coal in the
Magallanes region are currently operated by privately-owned firm of Compania
Nacional de Carb n (COCAR). Mines of Empresa Nacional del Carbon (ENCAR),
state-owned, and Cia Carbonifera de Schwager, private, operate in Concepcion
A significant expansion is underway to increase Chile's production and
distribution of electric power. Installed power electric capacity is 5.100
MW, and total electricity generation in 1991 was 55 TWH.
The production of electrical energy is facilitated by the significant
waterfalls and water reserves in Chile, and by the inter-connected systems
of the hydroelectric plants. The most important energy-producing
enterprises are: Empresa Nacional de Energia (ENDESA), with plants at El
Toro, Rapel, Antuco, Canutillar, and Pehuenche; CHILGENER, operating plants
at Ventanas, Alfalfal and Renca; COLBUN S.A., with plants at Colbun and
Machicura. ENDESA and CHILGENER are privately owned. Compania del Cobre de
Chile (CODELCO) operates two coal and diesel-powered energy plants, in
Tocopilla. (See following "Major Projects" section for other electric power
Electric current for domestic use is 220 volts, 50 cycles, single-phase,
two-wires. Industrial current is usually 380 volts, 3-phase, 50-cycles.
Transformers must be used with 100-110 volt appliances, such as electric
razors and hair dryers.
Appliances with 50-60 cycle motors are often operated without conversion,
but 60 cycle electric clocks obviously are of no use and the cycle
difference must also be considered for such items as record players and
At present, over 50 public and private sector projects, valued in excess of
$30 billion, are being planned or are underway in Chile. The time frame for
completion of these projects ranges from 1992 to 1997, although delays may
U.S. firms interested in selling to or sub-contracting with Chilean project
managers should contact U.S. design and construction firms specializing in
offshore work, especially in the following sectors: mining, water systems,
mineral transfer, telecommunications, forestry, pulp and paper, power
generation, port development, public works, road building, and sewage
U.S. suppliers should be aware that, customarily, they are not authorized to
deal directly with Chilean planners on a sub-contract basis. Rather, the
interested U.S. firms should contact the U.S. engineering and design firms
and turnkey construction firms that have already won or are expected to be
awarded the bids in question. The following 10 proposed projects are merely
illustrative of the scope of major project activity planned or underway in
TABLE VI - MAJOR PROJECTS
PROJECT NAME SECTOR$COST**
Placer Dome-ENAMI (mining) $600
Phelps Dodge-Sumitomo (copper) $538
Steel Plant Huachipato (steel) $200
(hot rolled plates expansion)
Cia de Telefonos de Chile-CTC (telecom)
(optic fiber and
Walker-Noranda-Nissho Iwai (aluminum smelter) $l.6B GASCO/COPEC/ENAP-
Chile-Argentina (pipeline) (hydrocarbon) $400
ENDESA (hydroelectric) $470
CAP/COCAR/CHILGENER (power generation) $250
Ministry of Public Works (road preservation) $858
Empresa Metropolitana de Sanitarias
(and others) (potable water)
(drinking water and
(**)Most figures = millions; B=billion.
MARKETING AIDS AND PROMOTION
The Department's Foreign Commercial Service Officers in Chile and their
staff regularly prepare market summaries on the "best sales prospects" for
U.S. suppliers to Chile. In many cases, the "best sales prospects" have
corresponding, in-depth market research called Industry Sector Analyses
(ISAs). The "best sales prospects" and the available ISAs can be obtained
at all Commerce Department District Offices, located in major commercial
centers throughout the United States, the National Technical Information
Service or NTIS (see "Country Overview"), and from more than 600 National
Trade Data Bank locations at federal depository libraries throughout the
country. The following list ranks "best sales prospects" for 1992, and
notes corresponding ISAs where available. (New ISA's are prepared and/or
TABLE VII - MARKET AIDS
1992 Best Sales Prospects Industry Sector Analyses
1 Aircraft & Parts NA
2 Agricultural Chemicals Fertilizers, Pesticides, Herbicides
3 Computers & Peripherals Computers & Peripherals
4 Industrial Chemicals Chemicals
5 Automotive Parts & Service Eq. Catalytic Converters
6 Mining Industry Eq Mining Industry Eq.
7 Trucks, Trailers & Buses NA
8 Telecommunications Eq. Telephone Com. Eq.
9 Port & Shipbuilding Eq. NA
10 Pollution Control Eq. Pollution Control Eq.
11 Pumps, Vales & Compressors NA
12 Electric Power Systems Electric Power Systems
13 Textile Fabrics Textile & Apparel Market
14 Plastic Materials & Resins Polyethylene prods.
15 Iron & Steel Iron & Steel
16 Computer Software & Services Application Software
17 Construction Eq. NA
18 Automobile & Light Trucks/Vans NA
19 Business Eq. Mainframes
20 Commercial Fishing Eq. Fishing Boats
21 Agricultural Machinery & Eq. Agricultural Machinery
22 Paper & Paperboard Pulp Machinery
23 Food Processing &
Packaging Eq.Food Processing & Pkg. Eq.
Fruit & Vegetable
24 Medical Eq. Medical Eq. & Supplies,
25 Textile Machinery & Eq. Textile Survey
26 Pulp & Paper Machinery Pulp & Paper Machinery
27 Security & Safety Eq. Safety & Security Eq.
Woodworking Machinery Forestry Eq.
29 Avionics &
Ground Support Eq. Avionics & Ground
30 Railroad Eq. Railroad Eq.
Note: Other ISA's include: Water Irrigation Equipment, Fiber Optic Cable
and Transmission Equipment, Travel and Tourism Services.
The U.S. Department of Commerce is a useful source for marketing information
and developing potential Chilean contacts. The Comparison Shopping Service
(CSS), which provides contract market research in foreign markets, and the
Agent Distributor Service (ADS), which identifies local agents and
distributors in foreign markets, are available through U.S. Department of
Commerce District Offices. Contact your local Department of Commerce
District Office for further details on these and related services.
The Department's National Trade Date Bank (NTDB) contains over 100,000
trade-related documents, including current ISA market research, Census data
on U.S. imports and exports, and the complete Foreign Traders Index
(identifies, by seven digit SIC number, firms doing business with U.S.
companies in foreign countries). The NTDB is a CD-ROM information source
updated monthly, and available at over 600 federal depository libraries
nationwide. The NTDB can be purchased for $35 for a single disk, or $360
for a 12-month subscription. For more information or to order, call (202)
482-1986, or fax (202) 482-2146.
Most Chilean advertisement is placed through the press, radio, and
television. Private agencies handle the largest share of advertisement.
Most of the advertising agencies belong to the Asociacion Chilena de
Agencias Publicidad (Chilean Association of Advertising Agencies), ACHAP,
located at Silvina Hurtado 1923, telephone: (56-2) 204-7628, Santiago.
The major news weeklies and magazines published in Santiago and distributed
nation-wide are: HOY, owned by the Christian Democrat party and similar in
format to Time magazine; QUE PASA, a magazine that covers current events,
like Newsweek; and COSAS, a biweekly which carries international articles
and illustrations. Others include ECONOMIA Y SOCIEDAD, SOUTH
PACIFIC MAIL, and AMERICA.
Radio is still the principle electronic communication medium in Chile. In
Santiago, there are 21 AM stations and 25 FM stations. All the radios are
commercial-oriented, with the exception of those run by universities. Major
networks for commercial advertisement are Portales, Mineria, Agricultura,
Radio Chilena, and Cooperativa. Major musical and commercial oriented FM
stations are: El Conquistador, Andres Bello, Galaxia, and Futuro.
Chile has had color television since 1978, and uses the NTSC system. There
are an estimated 1,030,000 such TV sets in the country. Television Nacional
de Chile, with 115 stations covering 97 percent of Chile's territory is the
most important network.
TV Nacional relays directly from its central studios in Santiago, via
repeaters and videos, as far as Arica, Punta Arenas, and Easter Island.
Catholic University of Chile, channel 13 in Santiago, reaches almost the
entire country. Two new privately-owned TV networks, Megavision and Le
Red, are presently operating in Santiago.
Television programming is primarily entertainment and commercials. All
channels must be financially self-supporting. Local production accounts for
40 percent of TV time. The remainder is mostly U.S.-made movies, series,
local soap operas etc., and also series from Mexico, Argentina, Brazil and
Imported films and videos are dubbed in Spanish.
Chile has about 30 newspapers throughout the country. These range from
large dailies to small-town tabloids. There are six daily newspapers in
Santiago with a combined circulation of approximately 700,000.
El Mercurio, Chile's most influential and prestigious morning paper, has
affiliates in 15 other Chilean cities. El Mercurio also owns Las Ultimas
Noticias and the afternoon tabloid La Segunda. La Nacion is a state-owned
daily newspaper. Another daily newspaper, La Epoca, is owned by the
Christian Democratic party. La Tercera competes for the largest readership
and is also distributed nation-wide. There are also two daily financial
tabloids, Estrategia and El Diario.
An excellent way for U.S. firms to penetrate the Chilean market is by
participating in one of Chile's major trade exhibitions, most of which are
held in Santiago. These include FISA (the annual Santiago International
Trade Fair) or EXPOMIN (the biennial Latin American Mining Exposition).
FISA is the most important annual commercial event in Chile, while EXPOMIN
is the most important mining fair in Latin America and the second most
prestigious in the Western Hemisphere. Other important fairs include FIDAE,
the annual International Air and Space Fair, and SOFTEL, the International
Computer, Telecommunications and Automation Fair.
The United States rents pavilions in these fairs to enable U.S. exhibitors
to exhibit their product. The USA pavilions are organized by the Commercial
Section of the U.S. Embassy in Santiago, and all U.S.-owned industrial
firms, service providers, and consumer goods producers are eligible to rent
space in the U.S. pavilion. Substantial benefits in the form of business
contacts, off-the-floor sales and projected sales are a highlight of USA
pavilions. For example, at the 1991 FISA, 75 U.S. exhibitors claimed
off-the-floor sales of $2.4 million, projected 12 month sales of $22.8
million, and 10,108 business contacts developed. Projected sales at
EXPOMIN, May 1992, were $36 million.
U.S. firms wishing to exhibit at FISA '92 (October 28 - November 8, 1992)
may rent a standard, furnished 17.5 square-meter booth in the U.S. Pavilion
for $180 per square meter. Outdoor space is available at $30 per square
meter. For more information, please contact: Mr. Rick Villalobos,
Commercial Counselor, American Embassy Santiago, Unit 4111, APO AA 34033,
Fax: (56-2) 697-2051.
Beginning in 1974, the government's emphasis on privatization facilitated
the transition from public to private control of Chile's financial
institutions. As a result, banks and other financial entities have
experienced substantial deregulation and growth. They have largely replaced
Chilean public entities as a source of investment and project financing
since 1979. Many established banks have expanded, while new domestic and
foreign banks have opened.
Today, however, bank loans per se represent an ever-smaller portion of the
national economy than in the 80s. For example, in 1991, they constituted
only 61 percent of GDP, versus 82 percent in 1982. In 1991, Chilean firms
relied on bank credits for only 11 percent of their financing, down from 40
percent in 1986. Pension funds, insurance companies and other financial
institutions, benefitting from privatization, have captured a larger share
of the economic pie from traditional banking institutions. Further, large
private sector companies increasingly rely on the issuance of long-term
corporate bonds or short-term commercial paper.
The rise of private pension funds, mutual funds and insurance companies, all
beneficiaries of privatization, has resulted in a number of well-endowed
financial institutions willing to buy corporate paper. Four major finance
companies, financieras, operate in the Chilean market, specializing in
short-term consumer and commercial loans. They are smaller than the largest
banks, but operate in a dynamic and profitable manner.
There are 36 banks in Chile, in addition to the four financieras. The
largest state-owned bank is Banco del Estado. The Chilean private sector
owns 16 banks, while 19 are foreign-owned, including most major U.S. banks.
The following list of U.S. banks suggests the confidence with which they
view the stability of the Chilean economy.
Chilean banks are equipped with most sophisticated electronic systems used
in Europe, Japan and the United States, and have access to international
information systems. The Chilean Government is com-mitted to keeping the
financial sector in private hands.
U.S. BANKS AND FINANCIAL INSTITUTIONS IN CHILE
American Express Bank Ltd.
Agustinas 1360, Santiago
Teatinos 220, Santiago
Banco Security Pacific
Agustinas 621, 4th Floor, Santiago
Bank of America
Agustinas 1465, Santiago
Bank of Boston
Moneda 799, Santiago
Bankers Trust Inversiones Ltda.
Ahumada 11, 11th Floor, Santiago
I.M. Trust & Co. Holdings S.A.
Ahumada 11, 12th Floor, Santiago
(subsidiary of Bankers Trust)
Brink's Chile Ltda.
Olivos 964, Santiago
Chicago Continental Bank
Moneda 1138, Santiago
Ahumada 48, Santiago
Chase Manhattan Bank Chile
Discount Bank of New York
Huerfanos 669, Off. 303, Santiago
Manufacturers Hanover Bank Chile
(merged with Chemical Bank)
Agustinas 1439, Santiago
Merrill Lynch Chile S.A.
Av. B.O'Higgins 949 Off. 1501, Santiago
Republic National Bank of New York
Huerfanos 1060, Santiago
Chilean Central Bank
Since 1989, the Chilean Central Bank has been an autonomous entity with the
responsibility for: (1) issuing import authorizations/certificates of
importation; (2) issuing local currency; (3) regulating banks and finan-cial
institutions, (4) setting interest rates; (5) providing lines of credit and
refinancing; (6) re-discounting; and (7) supervising all foreign exchange
Chilean Development Corporation
Chile's Development Corporation, CORFO, provides long-term financing,
research, and technical assistance to small and medium-sized industries.
CORFO is also interested in attracting foreign investor companies interested
in establishing joint ventures with Chilean partners. CORFO's objective is
to broaden Chile's export manufacturing capability. For more information,
contact CORFO at One World Trade Center, New York, New York 10048; Tel:
(212) 938-0555, c/o Sigfredo Garcia, Vice President.
The Export-Import Bank (Eximbank) of the United States is an important
source of financing for U.S. exports, offering a range of loan and loan
guarantee programs. Buyer credit financing provides direct long-term (5 to
10 year) loans with a fixed interest. Eximbank works in conjunction with
the Foreign Credit Insurance Association (FICA) to offer various export
insurance programs, including short and medium term export credit insurance,
multi-buyer insurance, letter of credit insurance, and lease insurance
policies. Additional information on Eximbank and FICA can be obtained from:
Export-Import Bank of the United States, 811 Vermont Ave., N.W., Washington,
D.C. 20571; Tel: (202) 566-8990. The Eximbank Small Business Hotline is:
Foreign Credit Insurance Association FCIA
For information on export credit insurance, contact: Foreign Credit
Insurance Association - FCIA, 40 Rector St., 11th Floor, New York, New York
10006, Tel: (212) 306-5000
Overseas Private Insurance Company OPIC
The Overseas Private Insurance Company (OPIC) is a self-funded U.S.
government agency that promotes U.S. private investment in some 120
developing countries and areas, including Chile.
OPIC assists American investors in this effort through three principle
programs: (1) financing of investments through direct loans and loan
guarantees; (2) insuring investment projects against a broad range of
political risks; and (3) providing a variety of investor services. For
additional information on OPIC, write to: OPIC 1615 M Street, N.W.,
Washington, D.C. 20527, Tel: (202) 457-7010, Fax: (202) 833-3375.
U.S. Trade and Development Program
The Trade and Development Program (TDP), a U.S. Government agency, provides
funding for U.S. firms to carry out feasibility studies, consultancies, and
other planning services related to major projects in developing countries
like Chile. By providing assistance in project planning, TDP promotes
economic development, while at the same time helping U.S. firms get involved
in projects that offer significant export opportunities. An official
request for TDP assistance must be made directly to TDP or through the U.S.
Embassy in Santiago, Chile, by the appropriate government or private sector
entity in question. For further information, contact: Mr. Albert Angulo,
Regional Director, U.S. Trade and Development Program, Room 309/S.A.-16,
Washington, D.C. 20523-1602, tel: (703) 875-4357, Fax: (703) 875-4009.
Multilateral Development Banks
Multilateral Development banks, such as the World Bank (IBRD) and the
Inter-American Development Bank (IDB) provide financing for major
development projects in member countries. In most cases, these banks give
loans for government projects based on international competitive bids
between suppliers and contractors from member countries. Chile and the
United States are members of these organizations.
Under Chile's foreign investment statute, Decree Law 600 (DL-600) of 1974
and subsequent modifications, the policy of the Chilean Foreign Investment
Committee (CFIC) is to encourage foreign direct investment (FDI). DL-600
specifically prohibits discrimination against FDI. The CFIC policy is based
upon the view that FDI provides vital capital for industrial development,
supplies cutting edge technology for economic growth, and helps to generate
The better of national or MFN treatment is normally accorded FDI.
Exceptions are in the broadcasting, fishing, shipping, and hydrocarbon
sectors, where ownership restrictions apply, usually requiring majority
national control. Foreign participation is possible even in these sectors,
however. In the case of hydro-carbons, for example, risk or exploration
contracts with foreign companies are possible in designated areas.
Concerning taxation, foreign investors are entitled to the same treatment as
domestic businesses (see "Foreign Investor Taxation").
Regional investment incentives are available. These grant special benefits
for investments in less developed regions of the country, including the
previously described free trade zones. Furthermore, investment projects
critical to the country's development, including ports, mining enterprises,
transportation, and forestry are given special government incentives.
Foreign Investment Statute
Under DL-600 and subsequent modifications, the following apply:
(1) Investments of $5 million or more must be examined and approved by the
Chilean Foreign Investment Committee (CFIC), an autonomous agency,
ultimately responsible to the Ministry of Economy. Investment below
$5 million can be approved by the Executive Secretary of the CFIC,
provided the Ministry of Economy approves.
(2) Investment in the public utilities sector, e.g., communications,
public services and defense, or investment by a foreign state, must be
also approved by the CFIC.
(3) There is a three-year limitation before capital can be repatriated,
although the Chilean Congress is considering legislation to reduce
this period to one year, possibly in late 1992 or early 1993.
(4) Profit remittances on dividends are not limited as to time or amount.
(5) The foreign investor has two options for income tax purposes, a common
or general regime for all Chilean businesses, and a special, foreign
investment regime, (see "Foreign Investor Taxation").
(6) Investments in export-related projects, exceeding $50 million, are
authorized to establish and use accounts abroad, for the payment of
principle and interest on loans, technology, supplies and/or profits.
(7) Approval of foreign investment applications are normally prompt and
unbureaucatic. From 1982-1991, the CFIC has approved projects valued
at some $9.4 billion. As of July 1992, new projects exceeding $2
billion have been authorized, more than half of the $3.4 billion
approved for all of 1991.
(8) There is no minimum requirement for local participation in the operation
of a foreign investment in Chile, except in the fishing, shipping,
broadcasting and hydrocarbons sectors.
(9) Foreign exchange for profit and capital remittances is available under
same conditions as apply to Chilean nationals purchasing foreign exchange to
cover imports. (See "Currency Exchange")
(10) Central Bank of Chile handles all terms, commissions, and other charges
for foreign credits associated with foreign investments. (See "Chilean
For more information on the CFIC, contact Chilean Foreign Investment
Committee, Executive Secretariat, Teatinos 120, Piso 10, Santiago, Chile,
Telephone: (56-2) 698-9476.
AUTHORIZED FOREIGN INVESTMENT 1986 - 1991
Sectors 1986 1987 1988 1989 1990 1991**
Services* 109.6 124.6 490.4 667.2 682.7 510.5
Industry 105.7 53.0 91.3 229.2 89.9 334.5
Mining 40.3 363.9 1348.9 1965.1 594.6 2304.9
Agriculture 0.6 4.0 4.1 5.6 7.4 29.5
Construction 6.2 16.2 10.5 6.1 14.6 52.4
Transport 0.3 - --- 0.3 2.7 22.0
Forestry - 0.4 2.6 0.2 53.5 140.3
Aquiculture - 0.9 1.7 14.9 1.1 0.8
Total 262.7 563.0 1949.5 2958.6 1446.5 3395.9
* Includes investment funds
** Provisional figures
Source: Chilean Foreign Investment Committee
MATERIALIZED FOREIGN INVESTMENT 1986-1991
Sectors 1986 1987 1988 1989 1990 1991**
Services* 77.0 130.9 322.5 152.9 379.6 258.2
Industry 42.4 234.1 101.7 126.3 83.7 202.0
Mining 60.4 125.2 357.7 604.4 629.2 574.6
Agriculture 0.6 2.2 2.0 6.5 5.6 2.2
Construction 3.4 3.3 2.6 7.1 6.7 29.4
Transport 0.3 --- 0.1 0.3 3.5 3.3
Forestry --- 0.4 0.4 0.4 18.4 10.9
Aquiculture --- 0.9 0.3 --- 5.6 5.7
Total 184.1 497.0 787.3 897.9 1132.3 1096.3
* Includes investment funds ** Provisional figures
Source: Chilean Foreign Investment Committee
MAJOR AUTHORIZED INVESTMENTS - 1991
(New and Increases to Current Projects)
(In Millions of U.S. Dollars)
Authorized Increase to
Country New Projects Current Projects US$ %
United States 48 24 1,489.5 44.0
Japan 8 4 423.7 12.5
Finland 3 0 400.5 11.8
Australia 2 1 305.0 9.0
Canada 4 0 145.0 4.3
Cayman Islands 8 1 139.2 4.1
United Kingdom 12 7 73.3 2.2
Netherlands 4 6 71.3 2.1
Singapore 2 0 50.0 1.5
Hong-Kong 2 1 50.0 1.5
Switzerland 9 3 32.4 1.0
Int. Organizations 3 0 28.7 0.8
Netherlands Antilles 2 1 28.1 0.8
Spain 15 2 22.6 0.7
Italy 4 2 22.5 0.7
Germany 10 7 19.3 0.6
Argentina 35 9 15.0 0.4
Panama 9 8 11.7 0.3
France 9 2 11.0 0.3
Ireland 2 0 10.7 0.3
Others 51 22 45.4 1.4
Total 242 97 3,395.0 100.0
Total Countries Investing in Chile: 37
Source: Chilean Foreign Investment Committee
There are no legal restrictions on licensing, but agreements must be
registered at the Central Bank of Chile. Remittance of royalties to other
countries must also be approved by the Central Bank in order to have
access to the foreign currency exchange market.
INDUSTRIAL/INTELLECTUAL PROPERTY RIGHTS (IPR)
Chile's IPR regime is generally compatible with international norms and is
viewed as adequate and effective in most respects. Indications are that
efforts to enforce IPR rights in Chilean courts have been successful.
Limited areas of deficiency relate primarily to patent protection, and
certain aspects of copyright protection which do not meet minimum Berne
Convention standards. There is also the concern that a current draft
copyright law could discriminate against record producers. Chile enacted
a new IPR law on patents and trademarks, in January 1991, which became
operative September 1991. The new law covers patents, trademarks,
industrial designs and utility models. The law provides patent protection
for pharmaceutical products and processes, eliminating Chile's 1931
prohibition against such protection.
In 1991 Chile signed the Paris Industrial Property Convention. Under
Chile's new IPR law, all patents, including pharmaceutical patents, are
protected for 15 years from the date of grant. This is less than the U.S.
standard of 17 years from date of grant. Chile's term is also
substantially less than the emerging international standard of 20 years
Chile's IPR law usually provides patent protection to foreign-origin
inventions, already under patent in another country, provided the
remaining patent term does not exceed 15 years. Exceptions to such
protection are the lack of transitional or pipeline protection for
pharmaceutical patents and for agricultural chemicals.
The new IPR law does not provide patent protection for plant and animal
varieties. Other specific items which cannot be patented are:
. Beverages and food, including food for animals;
. Financial or commercial systems;
. Use of advantages derived from natural resources;
. Work methods or industrial secrets (trade secrets);
. New applications for articles, objects or elements already known and
employed for certain purposes;
. Inventions that have been previously known or used or disclosed in
. Foreign inventions already known to the public in any country of the
world, although unknown in Chile;
. Pure scientific principles, without any known practical application;
. Inventions that go against Chilean law or morals.
Unlike the United States, there is no restoration of a patent term in Chile
where delay in the commercial marketing of the product is caused by
governmental regulatory review. US law provides for restoration in such
circumstances, not to exceed five years.
Registration on an industrial model grants ownership for a period of up to
The protection of industrial models is only granted for products
manufactured within Chile and provided they have not been offered for sale
more than one year before their registration.
Recent legislation grants special protection to prevent video and audio
Registration of a trademark (national or foreign) grants absolute ownership
for a period of 10 years, renewable indefinitely. There is formal
recognition of well-known international trademarks and the extension of the
period for cancellation, from two to five years. Items are classified and
trademarks must be registered in each applicable group of items listed. Use
of the trademark is not required for registration.
Chile is a signatory to the Berne and Universal Copyright Conventions.
Chile's copyright laws state that protection endures for the life of the
author plus 30 years. This is short of the life plus 50-year term required
under the Berne Convention (to which Chile is a signatory) for both literary
and artistic works. Consequently, it is unclear whether Chile considers the
Berne convention self-executing, at least to the degree that works of Berne
nationals, not domiciled in Chile, are protected for the life of the author
plus 50 years.
Chile also limits the duration of protection for computer programs produced
by a legal entity to 30 years from first publication. In the United States,
computer programs are protected as literary works, and receive the full
Video and audio tapes are protected under Chile's copyright laws.
Copyright laws do not include the exclusive right to authorize or prohibit
rental of the original of a work or copies thereof, or the right to prohibit
the importation of copies into Chile.
Chile does not have a sui generis law for protecting the design of
semiconductor mask works. The United States, however, protects mask works
fixed in semiconductor chips for a period of 10 years from first commercial
exploitation anywhere in the world, or from registration in the United
States, whichever expires first.
Chile is considering a new draft copyright law which would upgrade
protection. One of the provisions in the draft is of concern. This
provision, if adopted, would automatically give precedence to the rights of
the composer in cases of conflicting claims between composers and record
producers, apparently overriding contractual provisions.
Chile signed the Inter-American Convention on Author's Right in Literacy,
Scientific and Artistic Works and the Universal Convention on Author's
Rights in July 1977.
Individuals and businesses established in Chile, except foreign branches,
are subject to a tax on income received from Chilean as well as from
non-Chilean sources. Foreign residents are taxed only on their
Chilean-source during the first three years of residence in Chile. This
period can be extended for a maximum of three additional years. After the
original three-year period or an extension, foreigners are taxed on their
worldwide income. For tax purpose, a person acquires residence when staying
in Chile more than six months, whether consecutive or not, in two
consecutive calendar years.
Domestic and foreign corporations are subject to a 15
percent first category income tax rate. The first category rate is 15
percent, and is applied to new taxable income for commercial, industrial,
mining, fishing, and real estate investments.
Services rendered abroad by a foreign corporation to a resident entity are
subject, as a general rule, to a 40 percent additional withholding tax.
This rate is reduced to 20 percent in the case of engineering and technical
assistance services rendered exclusively outside Chile. Payments abroad for
freight, loading and unloading, commissions, and international
communications are exempt. Foreign branches operating in Chile are taxed
only on their Chilean-source income.
Gross income includes gains from the following:
1. Real estate;
2. Interest, annuities, bonds, debentures, or other investment;
3. All types of businesses;
4. Income, regardless of origin, nature, or denomination, not taxed under
another category and not exempt;
5. Most types of capital gains.
Other than the exclusion of foreign-source income during three years of
extension for foreigners, there is no relief from double taxation.
Foreign Investor Taxes
A foreign investor, when contracting with the Chilean Foreign Investment
Committee (CFIC), may select one of two options for Chilean income tax
purposes -- a common or general regime, applicable to all Chilean
businesses, or a special foreign regime. The foreign regime features two
alternate methods of taxation -- a fixed overall income tax rate of 49.5%
and a 40% rate which includes a variable surtax.
The General Tax Regime, applicable to all Chilean businesses, currently has
a corporate tax rate of 15% on accrued income. If the remaining corporate
profits are to be repatriated abroad, however, there is an additional tax of
35%. This tax, using the total accrued income as its basis, authorizes a
tax credit on the amount of corporate tax paid, as demonstrated in the
following, hypothetical example A:
$1,000 = taxpayer's accrued income for any taxable year.
x 15% = corporate tax rate of general regime.
150 = actual corporate tax to be paid.
$ 850 = remaining profits to be repatriated.
$1,000 = tax basis for repatriation of profits.
x 35% = actual tax for repatriation of profits.
$ 350 = theoretical tax on profits repatriated.
$ -150 = credit on corporate tax paid.
$ 200 = actual tax on profits repatriated.
The Special Tax Regime for foreign investors is more costly than the general
tax regime, but provides more certainty. The Chilean congress can change
the corporate tax rate under the general tax regime, but the special tax
regime for foreign investors remains fixed.
To be eligible for this special tax regime, the investor must request said
regime when applying for a contract with the Chilean Foreign Investment
Committee (CFIC), under DL-600. Failure to make such application, is
interpreted to mean a foreign investor has elected the general tax regime.
The process for taxation under the special tax regime has two tax rate
options, one of 49.5%, and one of 40%. The 40% rate also includes a
variable surcharge ranging from zero to 30 percent. Consequently, the 40%
tax on repatriated profits can escalate to as high as 70%, when maximum 30%
surcharge is included.
This surcharge is determined by a formula which calculates the ratio of the
average equity invested and the average remittances during the previous
five-year period. Customarily, the higher the remittances the higher the
surcharge, as the purpose of this tax option is to encourage reinvestment in
In both the 49.5% and the 40% options, however, tax calculations are made on
the same basis as that in the general tax regime, see the following,
hypothetical example B.
$1,000 = taxable accrued income for any taxable year.
x 15% = corporate tax rate of general regime.
$ 150 = actual corporate tax to be paid.
$ 850 = remaining profits to be repatriated.
$ 850 = tax base for repatriation of profits.
x34.5% = tax rate on profits repatriated has been reduced by
the 15% corporate tax paid in order to determine the tax basis;
hence the 49.5% rate is now 34.5%.
When the foreign investor elects the special regime tax rate of 40%, the
corporate tax rate of 15% applies on accrued income, as in HYPOs A and B.
Next, the 40% tax, plus the surcharge, if any, are added together and
applied against profits to be remitted/repatriated, as in HYPO B.
Two additional items must be noted concerning the special tax regime for
First, a bill proposing reduction in the 49.5% fixed rate is currently under
consideration in the Chilean Congress. If passed, the overall tax burden
under this current rate would be reduced to 42%. At the same time, the 40%
tax rate and surcharge option is likely to be eliminated, as it is seldom
Second, should a foreign investor elect to waive either of the special
regime options, said investor will become subject to the general tax
regime. Once an investor waives the fixed rate, however, said investor
cannot return to it during the life of the existing contract with the CFIC.
(It is possible, of course, that a new contract could be entered into with
the CFIC, provided the CFIC deemed it in Chile's interest.)
The Chilean labor force totals approximately 4,800,000. Most workers are
sufficiently skilled to adapt to such specialized sectors as mining,
agriculture and fishing.
The unemployment rate of 6.5 is relatively low, but labor as well as
technical and professional personnel are available. (See "Importers and
Agents" for discussion of severance pay)
Unions are regulated by the Labor Code. The right to constitute unions
without any prior authorization is valid. Unions may in turn form
federations. Membership is personal and voluntary. A worker can only
belong to one union.
The purpose of unions (sindicatos) in Chile, according to the Labor Code, is
to represent the workers in the exercise of their rights arising from labor
contracts, integrate employers and workers and watch the compliance of all
the labor laws.
Unions may be formed one year after the opening of a firm and with a minimum
of 25 workers, representing at least 10 percent of all the staff. The
director of a union must be Chilean, over 21 years of age, and have worked
at least 6 months in the firm. While the worker is serving as director he
cannot be removed from the job.
A monthly minimum income (sueldo minimo) is established for blue and
white-collar workers. This sum is Chilean Pesos 33,000 per month or
Employers have no obligation to provide fringe benefits. Pension and
sickness are covered by social security in-stitutions. There is no
obligation to provide facilities for meals, but some employers do, in fact,
The normal work week is limited to 48 hours. It can be divided into 8-hour
days from Monday through Friday. In general, a break of 60 minutes must be
allowed in the middle of the day.
Profit sharing can be agreed upon in establishing the terms of a worker's
contract. The law provides that companies must distribute 30 percent of the
profits to the workers. The basis to determine the percentage is taxable
income less 10 percent of net profit. However, if the employer pays a bonus
of 25 percent of a worker's yearly income, up to a maximum of 4.75 percent
of the worker's monthly minimum wage, the obligation of paying profit
sharing is satisfied.
After one year of employment, most Chilean workers are entitled to 15
working days at full salary. Workers who have worked for more than 10
years, continuously with the same enterprise, vacations are extended by one
more working day for every three years of service. Vacations cannot exceed
35 working days. Vacations are generally taken in summertime (mid-December
Female employees are entitled to a 6-week leave before and 12 weeks after
the birth of a child with full pay.
In November 1980, by Decree Law 3,500, a new social security system was
created. Social security is managed by private entities called
Administradoras de Fondo de Pension (administrators of pension funds) AFPs.
The contributions are placed in a fund made up of certain qualified
investments, such as government securities, fixed-term deposits in banks,
bonds and shares, etc.
Pensions are financed through contributions, which are accumulated in
individual AFP accounts. For this purpose, workers must contribute 10
percent of their monthly taxable income. Normally, men have the right to a
pension at the age of 65 and women at the age of 60.
In addition, workers must contribute 7 percent of their remuneration for
medical care and 3.3 percent for death or disability coverage. Employers
contribute a percentage ranging between 0.9 percent for labor accidents.
This percentage varies according to the risks involved in their jobs.
GUIDELINES FOR BUSINESS TRAVELERS
Tourists traveling to Chile for recreation, studies, personal reasons, and
related activities do not require a visa. Instead, a free, tourist card,
valid for 90 days, is issued on arrival in Chile. An extension for an
additional three months may be applied for. No photos are required. A
round-trip ticket to another country must be shown, if requested by Chilean
Citizens of countries not maintaining diplomatic relations with Chile do
need a visa. Tourists may enter Chile with a valid passport.
Tourists are allowed to bring into Chile only with their personal
belongings, as follows:
1. Travel articles, clothes, electric toilet articles (shaving machines,
manual hair driers, etc.), cameras and other articles for personal use or
ornament; articles must have been worn or used.
2. An unlimited quantity of printed books, most of which should be used,
and of different editions;
3. Objects of exclusive use for the practice of professions or occupations;
this should be verified with an identification card, professional card, or
other document that Chilean customs deems sufficient; also, portable objects
used by professionals and artisans (handbags with medical instruments;
musical instruments, etc.); but not machines, instruments, or objects
needing some installation for use.
4. One hundred cigars, 400 cigarettes (two cartons) and a limited amount of
Apart from the aforementioned personal belongings, the following items may
be brought in by tourists provided they pay an 11 percent import duty and 18
percent VAT, and any additional surcharges, on each item, as applicable.
1. Gifts without commercial value.
2. Merchandise, excluding the items which are subject to an additional tax
(see Table IV - Surcharges).
A tourist's motor vehicle may be temporarily brought into Chile without
putting up a bond covering duties and taxes. However, the owner of the
vehicle must sign a statement at the Customs Office to the effect that the
vehicle will be re-exported.
Business persons traveling to Chile for consultation and/or attendance at
seminars, do not require a business visa. However, business travelers to
Chile, who are planning to buy, sell, pay salaries or conduct related
business transactions are required to obtain Chilean business visa before
arriving in Chile. A business visa may be obtained from any Chilean
Consulate office in the United States. For a list of Chilean consular
offices in the United States see Table XII.
CHILEAN CONSULATES IN THE UNITED STATES
Consulate General and Chilean Embassy
1732 Massachusetts Avenue. N.W.
Washington, D.C. 20036
Phone: (202) 785-3159/1746/1747/1748
FAX: (202) 659-1748
Houston: Consulate General
1360 Post Oak Boulevard, Suite 2330
Houston, Texas 77056
Phone: (713) 621-5853
FAX: (713) 961-3910
Miami: Consulate General
1110 Brickell Avenue, Suite 616
Miami, Florida 33131
Phone: (305) 373-8623
FAX: (305) 374-4270
Los Angeles: Consulate General
510 6th Street, Suite 1204
Los Angeles, California 90014
Phone: (213) 624-6357
FAX (213) 488-1337
New York: Consulate General
866 United Nations Plaza, Room 302
New York, New York 10017
Phone: (212) 980-3366 or 980-3707
FAX: (212) 888-5288
San Francisco: Consulate General
870 Market Street, Room 1062
San Francisco, California 94102
Phone: (415) 982-7662 or 982-7665
FAX: (415)- 982-2384
446 Public Ledger, Suite 1030
Building Chestnut Street
Philadelphia, Pennsylvania 19106
Phone: (215) 829-9520
FAX: (215) 829-0594
Business practices in Chile are similar to those in the United States and
Europe. Further, most Chilean business people are well-traveled, educated
individuals, enabling them to remain current on international business
trends and technological developments. They are friendly and interested in
doing business with U.S. firms and individuals. In business transactions
with Chilean businesses, prompt replies, via airmail, telephone or fax,
should be the norm.
Spanish is the official language of Chile. It is highly important to use
Spanish in trade literature, catalogs, and instructions for using and
servicing exported goods. Although many Chilean business people are fluent
in English, use of the Spanish language will be a significant aid in the
Chilean market. If English is used, colloquial expressions or phrases
should be avoided. Weights and measures should be expressed in the metric
Chile observes the following legal/business holidays in 1992:
January 1 Wednesday New Year's Day
April 17 Friday Good Friday
April 22 Wednesday Census Day
May 1 Friday Labor Day
May 21 Thursday Battle of Iquique
June 18 Thursday Corpus Christi
June 29 Monday St. Peter and St. Paul
September 11 Friday Official Holiday
September 18 Friday Independence Day
October 12 Monday Columbus Day
December 8 Thursday Immaculate Conception
December 25 Friday Christmas Day
The following Chilean holidays fall on weekends and have not been included
in the above list:
August 15 Saturday Assumption Day
September 19 Saturday Day of the Army
November 1 Sunday All Saints Day
NOTE: The U.S. Embassy in Chile also observes official U.S. holidays.
January and February are peak summer months and favorite vacation time in
Chile. Consequently, they are poor months for doing business. Appointments
also may be difficult to obtain during the weeks in which New Year's,
Easter, Independence Day and Christmas fall.
The workday of 8 hours generally begins between 6:00 a.m. (factories) and
9:00 a.m. (private office and banks). The workday may be extended beyond 8
hours by the official 30-minute lunch period. Business lunches tend to run
2 hours or more. A number of business firms such as importers, exporters,
whole-salers and factories are open on Saturdays until noon. Retail stores
are usually open from 10:00 a.m. to 1 p.m., some shopping centers and
supermarkets open on Sundays. Government offices are generally open to the
public from 8:30 a.m. to 1 p.m. Banks are open to the public from 9:00 a.m.
to 2:00 p.m.
The general level of community health is good in Santiago. In rural
communities, there are some cholera, typhoid and hepatitis due to the water
contamination. Foods and beverages are generally safe throughout Chile,
however. Nevertheless, the Ministry of Health recommends that vegetables,
seafood, fish and fruits be well cooked before eating. Caution should be
exercised in the selection of restaurants, eating raw fruits and vegetables
and drinking tap water.
International and domestic services are excellent. Facsimile and telex are
Santiago is EST plus 2 hours except when Washington, D.C. is on daylight
savings time (DST). During DST in Washington, D.C., Santiago and
Washington, D.C. share the same time zone. There are two short periods in
the Washington, D.C. spring and autumn when Santiago is one hour ahead.
In Santiago, taxi, subway, and bus service is good and fares are
reasonable. Air services are extensive and frequent within Chile. Cars can
also be rented and international driving licenses are accepted.
There are a number of luxury class hotels in Santiago, including the
Sheraton San Cristobal and the Hyatt located some 15 minutes drive from
downtown Santiago. Other good hotels are the Holiday Inn Crown Plaza, the
San Francisco-Kempinsky, the Carrera Hotel, located in the center of town.
There are also some uptown hotels, such as the Santiago Park Plaza, and
several apartment hotels.
The basic monetary unit is the peso. The exchange rate is subject to
change. There are no restrictions on the amount of foreign currency or
Chilean currency that foreign travelers can bring or take out of Chile. All
foreign exchange transactions should be carried out through commercial
banks, or authorized exchange bureaus which function mainly in travel
agencies. Bank note denominations are 500, 1,000, 5,000 and 10,000. There
are coins of 1, 5, 10, 50 and 100 pesos. Cents are not used.
UNITED STATES EMBASSY, SANTIAGO, CHILE
The United States is represented in Chile through its Embassy located at
1343 Agustinas, Santiago. The Embassy's telephone number is: (56-2)
671-0133, and Fax: (56-2) 697-2051. The U.S. and Foreign Commercial Service
staff is available to assist U.S. business people visiting Chile.
l. Boletin Mensual (Monthly Bulletin), Banco Central de Chile, Agustinas
1180, Santiago, Chile. Tel: (56-2) 696-2281.
2. Compendio Estadistico, (Statistical Compendium), Instituto Nacional de
Estadisticas, Av. Presidente Bulness 418, Santiago, Chile. Tel: (56-2)
3. Produccion y Consumo de Energia en Chile, (Production and Consumption of
Energy in Chile), ENDESA, Empresa Nacional de Electricidad S.A., Santa
Rosa 76, Santiago, Chile. Tel: (56-2) 222-9080.
4. Indicadores de Comercio Exterior, (Foreign Trade Indicators), Banco
Central de Chile, Office of Foreign Trade, Agustinas 1180, Santiago
Chile. Tel: (56-2) 696-2281.
5. U.S. Exports/World Areas by Schedule E., Commodity Groups Report FT 455,
Annual, and U.S. Exports, Schedule E., Commodity by Country, Report FT
410, Annual, Bureau of Census, Suitland, Maryland. Tel: (301)
Commercial and Industrial Guides
1. American Firms, Subsidiaries and Affiliates in Chile, World Trade
Academy Press, Inc., 50 East 42nd Street, New York, N.Y. 10017. Tel:
2. Directorio de Empresas y Ejecutivos (Directory of Enterprises and
Executives). Comercial ITV Ltda., Santiago, Chile. Tel: (56-2)
3. Directorio Industrial de Chile, (Industrial Directory of Chile, for
manufacturers, products and service industries), SOFOFA. Sociedad de
Fomento Fabril, Agustinas 1357, Piso 11 and 12, Santiago, Chile.
4. Guia de la Industria Metalurgica Chilena, (Chilean Metallurgical Guide),
Asociacion de Industrias Metalurgicas y Metalmecanicas, 'ASIMET'
Asociacion Gremial,Agustinas 785, 4 Piso, Santiago, Chile. Tel: (56-2)
5. Membership Directory 1992-1993, Chilean-American Chamber of Commerce,
Av. Americo Vespucio Sur 80, Piso 9, Las Condes, Santiago, Chile.
1. Price Waterhouse Information Guide, Doing Business In Chile, (1990),
Price Waterhouse and Co., Information Center, 153 East 53rd Street, New
York, N.Y., 10022. Tel: (212) 371-2000.
2. Exporters' Encyclopedia, (1992-1993), Dun & Bradstreet Information
Services, 899 Eaton Avenue, Bethelem, Pennsylvania 18025-0001. Tel:
3. Investing In Chile, (1992), Coopers & Lybrand (Langton Clarke),
Agustinas 853, Piso 2, Santiago, Chile. Tel: (56-2) 639-4255.
4. Capital Formation and Investment incentives Around the World, Walter H.
Diamond and Dorothy B. Diamond, Volume II, Matthew Bender Inc., 11 Penn
Plaza, New York, N.Y. Tel: (212) 967-7702.
Business Newsletters and Reports
1. Business Latin America, Business International Corporation, Subscription
Department, 215 Park Avenue South, 18th Floor, New York, N.Y. 10003.
Tel: (212) 460-0600 or (212) 750-6326.
2. Lagniappe Letter and Quarterly Report, Latin American Information
Services, Inc., 159 West 53rd Street, 28th Floor, New York, NY 10019.
Tel: (212) 765-5520.
3. OAS CECON Trade News, (In-Depth Information Affecting the Latin American
and Caribbean Sectors), General Secretariat, Organization of American
States, 1889 F.Street, N.W., Washington, D.C. 20006. Tel: (202)
4. AACCLA Outlook, Association of American Chambers of Commerce In Latin
America, 1665 H. Street, N.W., Washington, D.C. 20062. Tel: (202)
5. Washington Report, Council of the Americas, 680 Park Avenue, New York,
NY, 10021. Tel: (212) 628-3200.
6. The Backgrounder, The Heritage Foundation, 214 Massachusetts Avenue,
N.E., Washington, D.C. 20002-4999. Tel: (202)546-4400.
7. Chilean Trade, Factors Affecting U.S. Trade and Investment, United
States General Accounting Office, Report to the Chairman, Subcommittee
on International Economic Policy and Trade, Committee on Foreign
Affairs, House of Representatives, U.S. General Accounting Office, P.O.
Box 6015, Gaithersburg, Maryland 20877. Tel:(202)275-6241.
8. The Journal of the Chilean-American Chamber of Commerce, Chilean
American Chamber of Commerce, Managing Editor, Av. Americo Vespucio Sur
80, Piso 9, Santiago, Chile. Tel: (56-2) 208-4140.
1. Annual Agricultural Situation Report Chile, (1991) Reports Office, Room
6068, Foreign Agricultural Service, U.S. Department of Agriculture,
Washington, D.C. 20250. Tel: (202) 382-8924.
2. Annual Report on Exchange Restrictions, (1991) International Monetary
Fund, Worldwide Survey of Exchange Regulations, Publications Office,
IMF, 700 19th Street N.W., Washington D.C. 20431. Tel: (202) 623-7430.
3. Annual Report 1991, Inter-American Development Bank, 808 17th Street,
N.W. Washington, D.C. 20577. (202) 623-1000.
4. Background Notes, Chile (1990), Bureau of Public Affairs, Office of
Public Communications, U.S. Department of State, Washington, D.C.
20520. Tel: (202) 647-6575.
5. Chile: A Country Study, U.S. Government Printing Office, Washington,
D.C. 20402. Tel: (202) 783-3238.
6. Country Labor Profile: Chile, Bureau of International Labor Affairs,
U.S. Department of Labor, Washington, D.C. 20210. Tel: (202) 523-3164.
7. Mineral Yearbook, Volume 3, Areas Report, International, Division of
Publications, Bureau of Mines, U.S. Department of the Interior, 4900 La
Salle Road, Avondale, Maryland 20782. Tel: (202) 634-1001.
8. Mineral Outlook, Report on Chile, Office of Publications, Department of
State, Washington, D.C. 20520. Tel: (202) 647-6575.
9. International Trade Reporter: Export Shipping Manual, Bureau of National
Affairs, 1231 25th Street, N.W., Washington, D.C. 20037. Tel: (202)
10. Chile Economic Report, Corporacion de Fomento de la Produccion, One
World Trade Center, Suite 5151, New York, N.Y.10048. Tel: (212)
11. Export-Import Bank of the United States, Annual Report, 811 Vermont
Avenue, N.W., Washington, D.C. 20571. Tel: (202) 566-2117.
ADDITIONAL INFORMATION AVAILABLE FROM THE NTIS
National Technical Information Service (NTIS). Orders for the "Set" can be
made by writing to: NTIS, 5285 Port Royal Road, Springfield, VA 22161, Tel:
A. Chile Country Set PB92-214758 35.00
The above publication includes the following:
1. Country Fact Sheet (3/93)PB92-214766 9.00
2. Top Imports/Exports (3/92)PB92-214774 12.50
3. Foreign Economic Trends (6/92)PB92-214782 17.00
4. Investment Climate Statement (6/91)PB92-214790 12.50
5. Trade Act Report (11/91) PB92-214808 12.50
6. Article: Chile: This RemainsPB92-214816 9.00
a Benchmark for Successful
Open Economy (4/92)
7. Status Report on PrivatizationPB92-214824 9.00
8. Country Marketing Plan-FY92 (91)PB92-214832 19.00
This file extracted from Dept. of Commerce National Trade Data Bank (NTDB)
CD-ROM SuDoc No. C 1.88:993/12. Processed 12/01/1994 by software developed
by RCM (UM-St. Louis Libraries) / OBR_0012