Tuesday, June 18, 2024

Mexico-Chile summit leads to over US $100M in business

A Mexico-Chile business summit held in May has led to companies closing over US $100 million in business deals. 

The summit, which took place in the Los Pinos Cultural Center in Mexico City, was organized by ProChile, an arm of Chile’s Foreign Affairs Ministry that promotes Chilean business relations abroad. During the event, businesses from the two countries closed commercial relationships or business deals valued at approximately US $114 million, projected to be realized over the next three years. 

More than 40 Chilean companies and 100 Mexican importers attended the gathering. 

27 companies closed deals at the May 2023 summit. (Twitter)

“There is an important commercial link between the two countries,” said Marcelo Sobarzo, commercial director of ProChile in Mexico. 

Mexican and Chilean economic markets are driven by three mechanisms, he said: the Mexico-Chile Free Trade Agreement, the Pacific Alliance and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership. 

As a result of these agreements, 99% of the products and services traded between the two countries are not subject to tariffs. 

“In 2024, we will celebrate 25 years of our free trade agreement… We have a longstanding commercial relationship that has helped us achieve the results [of the summit], and we hope to continue improving so that more companies can reach Mexico,” Sobarzo said. 

Imports of Chilean goods and services to Mexico increased by 46% from 2021 to 2022. (Twitter)

According to ProChile, Chilean companies did about US $4.2 billion in trade with Mexico during 2022, representing an increase of 7.5% since 2018. This makes Mexico Chile’s eighth most important trade partner.

Following the event, over 81% of those in attendance claimed they were satisfied with the summit and its economic projections, and 27 companies closed deals that will take effect within the next three years. 

“It was a very fruitful activity with many opportunities to build relationships with Mexican businesspeople,” said Natalia Piña, the regional manager of the Spanish multinational agro-industrial company Global Fruselva, which has subsidiaries in Chile. 

Santiago Betancourt, the manager of regulatory affairs at Oxxo, expressed similar sentiments. Oxxo, a Mexican convenience store chain, arrived in Chile in 2017 and has since opened over 100 stores across the country.

“We participated in the summit with the aim of strengthening our commercial relationship between the two countries, and we found a great space for connecting with new suppliers and customers,” Betancourt said. 

With reports from Forbes and EFE Comunica 

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