Top 5 reasons to export to Chile

July 4, 2019
TopReasonsChile

Chile is one of the most prosperous Latin American countries, consistently ranking among the countries with greater economic freedom, transparency, and competitiveness.

 

Why should you consider exporting your products to Chile?

 

Growing middle class

According to The World Bank, “Chile has been one of Latin America’s fastest-growing economies in recent decades thanks to a solid macroeconomic framework, which enabled the country to reduce the population living in poverty (on US$ 5.5 per day) from 30 percent in 2000 to 6.4 percent in 2017”.

A study from Libertad y Desarrollo (LyD) revealed that a total of 11.3 million people in Chile are part of the middle class. By far, the largest socioeconomic group in the country, which already represents 64.3% of the population.

Growth potential

The Department of International Trade of UK says that “GDP growth dipped to 1.9% in 2014 but since 1990 has averaged 5.3% per year. Expectations for growth in 2015 were around 3%.

Chile ranks seventh globally in the Index of Economic Freedom. In other rankings such as Ease of Doing Business, World Competitiveness, and Business Environment, it is ranked either first or second in Latin America.

 

Retail (from gov.uk)

According to global research in 2015 Chile was the third best emerging global market for retail opportunities. It is the second best-emerging market for retail opportunities, according to global research in 2013. There are considerable opportunities for foreign consumer and retail goods in Chile. These cover a wide range of sub-sectors, including:

  • Clothing and footwear
  • Health and beauty
  • Home and kitchen appliances
  • Food, especially convenience foods
  • Alcoholic beverages, especially high-quality whiskey

Trade

According to the International Trade Administration, “Chile has successfully negotiated Free Trade Agreements with 62 countries around the world. Chile has given its 18 million citizens unprecedented access to the world’s products and services. This offers a unique opportunity for U.S. exporters interested in expanding their businesses in arguably the most open and stable market in Latin America”.

 

Education and training (from gov.uk)

Education spending has doubled in real terms since 1990 and today represents 4-5% of GDP. The percentage of students undertaking further education has doubled in the last decade.

There are opportunities for UK companies in areas such as:

  • Hardware, e.g. laboratory equipment and interactive whiteboards
  • Software and platform-based learning, especially for English language learning
  • Simulators for technical training

Universities are actively seeking collaboration in research and teacher and student exchanges. The UK has attracted one-third of all Master and Ph.D. candidates studying abroad on a Chilean government grant scheme over the last 6 years.

 

Infinitus has successfully introduced several products and services to Chile. We offer you our experience to take yours! Contact us so we can build a market entry strategy designed especially for your business needs.

 

SOURCES:

https://www.export.gov/article?id=Chile-Market-Overview

https://www.gov.uk/government/publications/exporting-to-chile/doing-business-in-chile-chile-trade-and-export-guide

https://www.chiletoday.cl/why-asian-business-appetite-for-chile-continues-to-grow/

https://www.worldbank.org/en/country/chile/overview

https://www.eldiarioexterior.com/clase-media-en-chile-crecio-49559.htm