ProChile insists on exporting more know-how
Kate Casey Due to the fact that Chile’s economy depends principally on its exports, and that the current level of exports is inflated by the surge of natural resource commodities (copper and cellulose, for example), it is important to concentrate on non-traditional exports that will greatly help with the future economy. This is the opinion of Alicia Frohmann, Director of ProChile, a branch of the Ministry of Foreign Relations dedicated to promoting Chile’s exports. Between the years 1997 and 2007, revenues from non-traditional exports tripled, maintaining a sustained growth of 20% over the past three years. Within this group are processed foods, wine, salmon fillets, manufactured products and professional services. According to report from Aqua.cl, before 1997 the non-traditional exports composed 60% of the national total and natural resources composed the rest. Today the situation is the reverse, mainly due to the important price and demand for copper, and Frohmann insists on the urgency to prepare for the turning of the tide, and increase value in other resource areas by investing in training and innovation. “If the only way to stay competitive on a global level is to market knowledge, then it is reasonable to put at least 2% of the GNP towards research and development and add more value to our products,” states Frohmann. Considering Chile’s current competitive advantages in processed food exports, the country is projected to be within the top ten food provider countries by the year 2015.