Post reports that Chile has consolidated its reputation as one of the main players in the global food industry. According to Chilealimentos A.G. (Chile’s Food Processors Association) food sales in Chile reached US$44.4 billion in 2020, which represents a 7.8% decrease of sales compared to 2019, and Chilean domestic food sales reached US$27 billion in 2020. Chile is among the top fifteen agricultural exporters in the world, and its main agricultural exports are wine, blueberries, cherries, grapes, prunes, dehydrated apples, salmon and mussels.
In 2020, food exports decreased 3.4% over 2019, mainly due to lower volumes of salmon, trout and fresh fruits export shipments. Currently, Chile exports 77% of its food as fresh and semi-processed food products, and the remainder 23% as processed food products. In addition, Chile enjoys a robust commercial network thanks to its 30 trade agreements with 65 countries
Chile has a modern and developed food processing industry that represents 31% of Chile's economy, and is forecast to grow to more than 35% by 2030. According to Chile's Central Bank, the Chilean food processing industry represents 25% of the national GDP. The Chilean food processing industry is constantly innovating their products in order to satisfy consumers’ demands for ready-to eat meals, functional foods that boost the immune system, and all types of plant-based food and beverages.
In addition, food-processing companies are always looking for innovative ingredients, such as natural additives, preservatives, thickeners, and sweeteners, to make healthier food products especially for consumers with food intolerances such as lactose and gluten-free products. Furthermore, 54% of Chile’s total food production is destined to the domestic market and 46% is exported to more than 190 countries worldwide
Large food processors are able to import directly due to volume and expertise. Small companies that produce processed foods, however, will often depend on an intermediary such as a distributor to receive the necessary foreign ingredients. Larger companies buy directly from producers or distributors. Food processors sell their products nationally or internationally. Some big international companies use their production plants in Chile to serve other markets in Latin America. Chilean food processing companies mainly sell to retailers such as supermarkets and hypermarkets (60% of all processed food). A smaller share of 38% of packaged food is sold through traditional grocery retailers such as independent small grocers or food/drink specialists.
Best Product Prospects:
Post reports that the best prospects for U.S. exporters in the Chilean food processing sector include natural flavors, sweeteners and natural alternatives, pork meat (ex.: for Chilean sausage industry), non-fat dry milk, coconut and oats, protein concentrate, odoriferous substances, alternative grains (ex.: quinoa, lentils, and chickpeas), super foods (chia, flaxseeds, nutritional yeast, etc.), almonds, whey and lactose, others: additives, preservatives, thickeners, oats, vegetable fats and oils, mixed condiments, starches and enzymes.