B6 Friday,September18,2015 SPECIAL REPORT: 2015 CHILE ... · SPECIAL REPORT: 2015 CHILE BUSINESS...
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B6 Friday, September 18, 2015 SPECIAL REPORT: 2015 CHILE BUSINESS REPORT S ynergy Media Specialists asked Minister of Foreign Affairs of Chile Heraldo Muñoz about his country’s relations with China. How would you characterise Chile- China relations today? Relations between Chile and China today are among the most solid our country has worldwide and, certainly, in the Asia- Pacific region. Chile was the first Latin American country to sign a free-trade agreement (FTA) with China, as well as the first South American nation to establish diplomatic relations with China and grant market economy status to China. Another “first” was achieved during Premier Li Keqiang’s official visit in May, when Chile took steps to become a financial platform for the internationalisation of the renminbi in Latin America. Throughout the last decade, Chile furthered its already positive relationship with China in the political and economic fields. In political terms, in 2012, both countries agreed to elevate their bilateral relationship to the status of “strategic association”, implementing high-level cooperation mechanisms in the political and economic areas. In the economic sphere, the entry into force of the Chile-China FTA has brought about an important increase in bilateral trade. Since then, our countries have negotiated supplementary agreements in services (in force since 2010) and investment (in force since 2014), with the objective of deepening trade and investment ties. How strong is the present state of bilateral trade between Chile and China today? Today, China is Chile’s first trading partner in the world. Moreover, during the visit of Premier Li Keqiang, we were able to make important progress beyond the area of trade in goods, with the signing of significant cooperation agreements promoting reciprocal investment and cooperation in new sectors. For Chile, one of the main objectives of the FTA with China is to diversify our exports to China and progressively include new goods and services. During 2014, trade between Chile and China reached US$32.671 billion, representing 24 per cent of the Chilean foreign trade. Chilean exports reached US$18.437 billion. Moreover, China is our second partner on non-copper shipments, with US4.215 billion in 2014, and a 6 per cent more than the previous year. Trade increased last year due to the growth of agricultural and forest industry goods, which grew by US$245 million and US$169 million, respectively. The trade balance has been favourable for Chile since 2002 and in 2014 the surplus reached US$4.204 billion. Also, between 2002 and 2014, trade grew at an average annual rate of 24 per cent while exports to China increased by 25 per cent yearly. What sectors will benefit the most from a closer relationship? Chile is focusing its effort in diversifying its export basket to the world, including China. In this context, during the next few years, Chile will promote trade opportunities in the areas of agricultural and manufactured products. The free-trade agreement between Chile and China went into effect nine years ago this October. Since January 1 this year, all Chilean exports to China enter tariff free. This means that 1,611 additional Chilean products were added to the 5,725 that had this benefit. Decade of ‘free trade’ drives China-Chile ties Minister of Foreign Affairs of Chile Heraldo Muñoz Among the main Chilean goods to benefit are fresh grapes, wine, fish flour, frozen trout, salmon, olive oil and iron manufacturing. To mention just a few examples, in 2004 less than 0.2 per cent of fresh fruits shipments from Chile had China as their destination; nowadays, 16.6 per cent goes to that market. Food products also increased their participation going from 1.4 to 7.9 per cent. The same happened with the wine macro-sector that increased from 2 to 8 per cent and the forest industry from 11 to 24 per cent, all of them in the same period. Imports coming from China have also shown a constant increase, with an annual increase of 19 per cent during the 2005-2014 period. Visit www.synergymediaspecialists.com for the complete interview and more information on China-Chile relations. With nine wineries across Chile, including in San Pedro, Tarapacá, Leyda and Santa Helena, VSPT Wine Group has become the leader of fine wine sales in the country. The group is the second-largest exporter of Chilean wine and today delivers some of Chile’s best wines to Asia. The Group’s Viña San Pedro winery, founded in 1865, is the oldest Chilean large-scale winery. This year marks 150 years of viticulture with the winery’s renowned brands including Altaïr, 1865 Single Vineyard and Gato Negro. The winery commercialised its wines for the Asian market in 1940, when the group first exported wines to Japan. Viña Tarapacá, founded in 1874, is the No 1 winery for ultrapremium wines in Chile, and its Gran Reserva has become a leading wine in Chile and abroad. VSPT Wine Group’s Viña Leyda winery has won numerous awards and gained international recognition. The winery’s location in the region’s cool, coastal climate produces highly sought-after sauvignon blanc and pinot noir wines. The group continues to strengthen its ties to Asian markets and has significantly increased its sales in China, Hong Kong, South Korea and Japan. “We have built our business on our solid business strategy, strong brands and quality products,” says Pedro Herane, VSPT Wine Group’s CEO. “As a global producer, we are today recognised both for our processes and the high quality of our wines.” The group exports wines to more than 80 countries and this year invested US$35 million in vineyard plantations and the expansion of its main bottling plant, which is set to be the most modern in South America. “This investment will allow us to double our production capacity,” Herane says. “Combined with our world-class infrastructure and technology, we look forward to competing more efficiently within the established and growing international wine markets.” www.vsptwinegroup.com Grandes Vinos de San Pedro, VSPT Wine Group’s premium division VSPT Wine Group has a successful history of over 70 years in Asia Pedro Herane, CEO Sponsored page in cooperation with Synergy Media Specialists One of the largest forestry companies in the world, employing over 13,000 people, ARAUCO has 30 global production facilities and a sales presence in over 80 countries. Charles Kimber, ARAUCO’s senior vice-president of commercial and corporate affairs, shares his thoughts on business in China. When did ARAUCO establish its business in China, and how has it evolved? ARAUCO started doing business with China in 1977 with sales of saw logs for the sawn timber industry and wood pulp for the paper industry. Our annual pulp sales have increased to over US$1 billion, and important volumes of sawn timber have been added to our product offering. When ARAUCO entered the Chinese market, our export products were shipped to only one port in China. Today, we have over 200 customers and deliver products to paper producers and wood product processors across the country. ARAUCO is currently one of China’s main pulp suppliers, and our continuous presence in the Chinese market for over 38 years has helped us build steady and trustworthy relationships in China. What factors contributed to ARAUCO’s successes in China? Gaining the trust of the Chinese market takes years of work, and ARAUCO was able to pass that hurdle. However, maintaining trust is no less of a challenge. Since we have been in China, we have experienced the changes in the market. Initially, we saw China as a spot market with significant variations. Today, customers in the Chinese market require agreements from suppliers that translate into annual sales programmes. A key factor for our success in China has been the country’s sustained growth rate. Chile and China have also driven and promoted alliances and agreements which have contributed to our strong and stable trade relationship. What does the future hold? China is ARAUCO’s largest market, and our presence here is very important. The Chinese market has the greatest growth rates in the world in terms of wood pulp, paper consumption and wood products in general. In addition to the country being an exporter of finished products that require importing raw materials, there is huge potential in China for growth right across the domestic end-consumer market. Following our strategy and long- term vision, ARAUCO will continue to support the growth of the Chinese paper and wood products industries with quality products and our reliable commercial partnership approach to doing business. www.arauco.cl ARAUCO is planting the seeds of success in China ARAUCO delivers products to over 200 customers, including paper producers and wood product processors in China. With over five decades of experience as a leading trading firm in South America, Capricorn represents the biggest Chinese groups and enterprises engaged in a wide range of industries including food, power, construction and electrical. “We supply steel towers for transmission lines, technology products, textiles, chemicals, plastics and a diverse selection of other products sourced from our reliable partners in China,” says Mark Argy, president of Capricorn. “We are currently working on the largest transmission line project in South America. Our supplier for the project is the largest steel tower manufacturer in the world.” The company has been active in China for 25 years and has established close relations with Chinese businesses. Capricorn has also benefited from the free trade agreement (FTA) signed between China and Chile in 2005. “When you eliminate tariffs on steel and chemical products, you create an enormous advantage for businesses and, ultimately, customers,” Argy says. Capricorn also has offices in Lima, Peru, and Medellin, Colombia, and will set up a new office in Sao Paulo, Brazil, in the coming months. Capricorn’s office in Guangzhou is dedicated to quality control to ensure products are tested before they are shipped to Chile. “We support many large South American companies with offices in China who ask us to support them in monitoring suppliers from a quality and delivery perspective,” Argy says. “We share our expertise and experience in China while connecting Chinese companies to partners in South America.” As demand for Chinese products in South America continues to increase, Argy constantly evaluates suppliers looking to serve his customers in the region. “We are planning to establish joint venture projects with Chinese companies in Chile and are in discussion with large groups in China,” Argy says. “Today, Chinese companies are being encouraged to enter international markets and to import more foreign products into China. In both cases, they need international partners, and we can fulfil that role for them.” With a firm strategy in place, Capricorn looks set to strengthen its relationship with China. Argy says: “The quality of Chinese-made products continues to improve. In the beginning, we simply imported basic raw materials; today, we import high-technology products. We will continue to grow in line with the reputation and quality of Chinese products.” www.capricorn.cl Supplying South America with quality products from China and Asia Mark Argy, president Carey, Chile’s largest law firm with more than 200 legal professionals, will be opening its first overseas representative office in Beijing later this year. “We have established strong relations with large Chinese law firms over the years,” says Jaime Carey, managing partner of Carey. “We feel the time is right to establish an office in China to facilitate two-way investment between Chinese and Chilean companies.” The firm was actively involved in the first wave of Chinese investments into Chile and is anticipating a second wave of Chinese investors looking at opportunities in the telecom, mining, infrastructure, finance and agro sectors. As the winner of Chambers Latin America: ‘Latin American Law Firm of the Year’ in 2012, Carey’s clients include large multinational firms and Chile’s leading cross-industry companies. As a full service firm, Carey is an effective bridge between jurisdictions and is committed to being the first point of contact for Chinese investment into Chile. “The opening of our representative office in Beijing symbolises our commitment to our China practice,” Carey says. “We are focused on opportunities in the Chinese market and fully expect Chile and China to further increase their business and trade ties in the years to come.” www.carey.cl Helping two-way investment between Chinese and Chilean companies Jaime Carey, managing partner The Port of Valparaiso is Chile’s main container and passenger port, and one of the South Pacific’s most important seaports. Today, considering the Port of Valparaiso’s cargo throughput, China has become the No 1 import partner and No 2 export partner, and the port is helping with an increasing amount of trade between the two countries. “Since the free trade agreement between our countries was established in 2005, total cargo through the port has increased from 5.8 million tons in the first year to more than 11 million tons in 2014,” says Gonzalo Davagnino, general manager of the Port of Valparaiso. “By 2014, 30 per cent of imports through the Port of Valparaiso were from China.” Increased bilateral trade and the Port of Valparaiso’s “brotherhood agreement” with the Port of Shanghai symbolise strong connections between Chile and China. Today, continuing developmental plans for the Port of Valparaiso present tremendous opportunities for Chinese investors, port operators and infrastructure developers. The port has been awarding concessions to leading global firms to operate and expand Terminals 1 and 2, allowing the port to serve four Post Panamax vessels simultaneously. Future projects include a new world-class passenger terminal, an intermodal station to handle increased trans-shipped rail cargo, and a third 2.2 million 20-foot equivalent (TEU) unit capacity terminal. “These significant projects may eventually require a concessioner to build and operate them,” Davagnino says. “We feel these projects could be attractive for Chinese investors looking for opportunities in Chile, as both countries continue to strengthen their very close relationship.” www.puertovalparaiso.cl Port of Valparaiso brings Chile and China closer together Gonzalo Davagnino, general manager Viña Carta Vieja’s proud family heritage dates back to 1825, when Carlos Adolfo del Pedregal brought European grape vines from his native Asturias, Spain, and planted them in Chile’s Loncomilla valley. “Our family history can be found in every bottle of wine we produce,” says José Manuel del Pedregal Labbé, CEO of Viña Carta Vieja. “Our family lives and breathes the business, and our quality wines are appreciated by our customers.” Since 1825, Origen, Aves del Sur, Carta Vieja and G7 are the Del Pedregal brands. Ninety-five per cent of the wines produced are for export, and a third of these reach China and the rest of Asia. “China was our first export destination in Asia, and we established an office in Shanghai about three years ago as a result of the growth in the market,” says José Manuel del Pedregal Mujica, an eighth-generation family member, son of the CEO and export director of America and Europe. “Last year, we recognised the potential of the rest of Asia and moved our operations to Hong Kong.” In China, the Carta Vieja and G7 brands are gaining popularity. Carta Vieja is the most emblematic brand, while G7 represents the pride of seven generations of winemaking. “We have changed the taste of these wines to make them even more enjoyable,” del Pedregal Labbé says. “Our wines reveal the identity of Chile: cool, fresh whites and warm, intense reds.” With anticipated growth in China and the rest of the world, the family recently bought a new farm and increased their total land area to 1,300 hectares. “This increase in capacity means we are now self-sufficient in terms of grapes and technology,” del Pedregal Mujica says. “We intend to build our wine brands and deliver excellent wines to our customers in China and the rest of the world.” www.delpedregalfamilywines.com Eight generations of winemakers from Chile’s Loncomilla valley reach out to China José Manuel del Pedregal Labbé, CEO
Transcript of B6 Friday,September18,2015 SPECIAL REPORT: 2015 CHILE ... · SPECIAL REPORT: 2015 CHILE BUSINESS...
B6 Friday, September 18, 2015
SPECIAL REPORT: 2015 CHILE BUSINESS REPORT
Synergy Media Specialistsasked Minister of ForeignAffairs of Chile Heraldo Muñozabout his country’s relationswith China.
How would you characterise Chile-China relations today?Relations between Chile and China todayare among the most solid our country hasworldwide and, certainly, in the Asia-Pacific region. Chile was the first LatinAmerican country to sign a free-tradeagreement (FTA) with China, as well asthe first South American nation toestablish diplomatic relations with Chinaand grant market economy status toChina. Another “first” was achievedduring Premier Li Keqiang’s official visit inMay, when Chile took steps to become afinancial platform for theinternationalisation of the renminbi inLatin America.
Throughout the last decade, Chilefurthered its already positive relationshipwith China in the political and economicfields. In political terms, in 2012, bothcountries agreed to elevate their bilateralrelationship to the status of “strategicassociation”, implementing high-levelcooperation mechanisms in the politicaland economic areas.
In the economic sphere, the entry intoforce of the Chile-China FTA has broughtabout an important increase in bilateraltrade. Since then, our countries havenegotiated supplementary agreements inservices (in force since 2010) andinvestment (in force since 2014), with theobjective of deepening trade andinvestment ties.
How strong is the present state ofbilateral trade between Chile and China today? Today, China is Chile’s first trading partner
in the world. Moreover, during the visit ofPremier Li Keqiang, we were able tomake important progress beyond thearea of trade in goods, with the signing ofsignificant cooperation agreementspromoting reciprocal investment andcooperation in new sectors.
For Chile, one of the main objectivesof the FTA with China is to diversify ourexports to China and progressivelyinclude new goods and services.
During 2014, trade between Chile andChina reached US$32.671billion,representing 24 per cent of the Chileanforeign trade. Chilean exports reachedUS$18.437 billion. Moreover, China is oursecond partner on non-coppershipments, with US4.215 billion in 2014,and a 6 per cent more than the previousyear. Trade increased last year due to thegrowth of agricultural and forest industrygoods, which grew by US$245 million andUS$169 million, respectively.
The trade balance has beenfavourable for Chile since 2002 and in 2014the surplus reached US$4.204 billion.Also, between 2002 and 2014, trade grewat an average annual rate of 24 per centwhile exports to China increased by 25per cent yearly.
What sectors will benefit the most from acloser relationship?Chile is focusing its effort in diversifyingits export basket to the world, includingChina. In this context, during the next fewyears, Chile will promote tradeopportunities in the areas of agriculturaland manufactured products.
The free-trade agreement betweenChile and China went into effect nineyears ago this October. Since January 1this year, all Chilean exports to Chinaenter tariff free. This means that 1,611additional Chilean products were addedto the 5,725 that had this benefit.
Decade of ‘free trade’ drives China-Chile ties
Minister of Foreign Affairs of ChileHeraldo Muñoz
Among the main Chilean goods tobenefit are fresh grapes, wine, fish flour,frozen trout, salmon, olive oil and ironmanufacturing.
To mention just a few examples, in2004 less than 0.2 per cent of fresh fruitsshipments from Chile had China as theirdestination; nowadays, 16.6 per cent goesto that market. Food products alsoincreased their participation going from1.4 to 7.9 per cent. The same happenedwith the wine macro-sector thatincreased from 2 to 8 per cent and theforest industry from 11 to 24 per cent, all ofthem in the same period.
Imports coming from China have alsoshown a constant increase, with anannual increase of 19 per cent during the2005-2014 period.
Visit www.synergymediaspecialists.comfor the complete interview and moreinformation on China-Chile relations.
With nine wineries across Chile,including in San Pedro, Tarapacá,Leyda and Santa Helena, VSPT WineGroup has become the leader of finewine sales in the country. The groupis the second-largest exporter ofChilean wine and today deliverssome of Chile’s best wines to Asia.
The Group’s Viña San Pedrowinery, founded in 1865, is the oldestChilean large-scale winery. This yearmarks 150 years of viticulture with thewinery’s renowned brands includingAltaïr, 1865 Single Vineyard and GatoNegro. The winery commercialisedits wines for the Asian market in 1940,when the group first exported winesto Japan.
Viña Tarapacá, founded in 1874, is
the No 1winery for ultrapremiumwines in Chile, and its Gran Reservahas become a leading wine in Chileand abroad.
VSPT Wine Group’s Viña Leydawinery has won numerous awardsand gained international recognition.The winery’s location in the region’scool, coastal climate produces highlysought-after sauvignon blanc andpinot noir wines.
The group continues tostrengthen its ties to Asian marketsand has significantly increased itssales in China, Hong Kong, SouthKorea and Japan.
“We have built our business onour solid business strategy, strongbrands and quality products,” saysPedro Herane, VSPT Wine Group’sCEO. “As a global producer, we aretoday recognised both for ourprocesses and the high quality of our wines.”
The group exports wines to morethan 80 countries and this yearinvested US$35 million in vineyardplantations and the expansion of itsmain bottling plant, which is set to bethe most modern in South America.
“This investment will allow us todouble our production capacity,”Herane says.
“Combined with our world-classinfrastructure and technology, welook forward to competing more efficiently within theestablished and growinginternational wine markets.”www.vsptwinegroup.com
Grandes Vinos de San Pedro, VSPT Wine Group’s premium division
VSPT Wine Grouphas a successfulhistory of over 70 years in Asia
Pedro Herane, CEO
Sponsored page in cooperation with Synergy Media Specialists
One of the largest forestrycompanies in the world, employingover 13,000 people, ARAUCO has 30global production facilities and asales presence in over 80 countries.Charles Kimber, ARAUCO’s seniorvice-president of commercial andcorporate affairs, shares histhoughts on business in China.
When did ARAUCO establish itsbusiness in China, and how has it evolved?ARAUCO started doing businesswith China in 1977 with sales of sawlogs for the sawn timber industryand wood pulp for the paperindustry. Our annual pulp sales have increased to over US$1billion,and important volumes of sawntimber have been added to ourproduct offering. When ARAUCOentered the Chinese market, ourexport products were shipped to
only one port in China. Today, wehave over 200 customers and deliver products to paper producersand wood product processors
across the country. ARAUCO iscurrently one of China’s main pulpsuppliers, and our continuouspresence in the Chinese market for
over 38 years has helped us buildsteady and trustworthy relationshipsin China.
What factors contributed toARAUCO’s successes in China? Gaining the trust of the Chinesemarket takes years of work, andARAUCO was able to pass thathurdle. However, maintaining trust isno less of a challenge. Since wehave been in China, we haveexperienced the changes in themarket. Initially, we saw China as aspot market with significantvariations. Today, customers in theChinese market require agreementsfrom suppliers that translate intoannual sales programmes. A keyfactor for our success in China hasbeen the country’s sustained growthrate. Chile and China have alsodriven and promoted alliances andagreements which have contributed
to our strong and stable traderelationship.
What does the future hold?China is ARAUCO’s largest market,and our presence here is veryimportant. The Chinese market hasthe greatest growth rates in theworld in terms of wood pulp, paperconsumption and wood products ingeneral. In addition to the countrybeing an exporter of finishedproducts that require importing rawmaterials, there is huge potential inChina for growth right across thedomestic end-consumer market.Following our strategy and long-term vision, ARAUCO will continueto support the growth of the Chinesepaper and wood products industrieswith quality products and ourreliable commercial partnershipapproach to doing business. www.arauco.cl
ARAUCO is planting the seeds of success in China
ARAUCO delivers products to over 200 customers, includingpaper producers and wood product processors in China.
With over five decades of experienceas a leading trading firm in SouthAmerica, Capricorn represents thebiggest Chinese groups andenterprises engaged in a wide rangeof industries including food, power,construction and electrical.
“We supply steel towers fortransmission lines, technologyproducts, textiles, chemicals, plasticsand a diverse selection of otherproducts sourced from our reliablepartners in China,” says Mark Argy,president of Capricorn. “We arecurrently working on the largesttransmission line project in SouthAmerica. Our supplier for the projectis the largest steel towermanufacturer in the world.”
The company has been active inChina for 25 years and hasestablished close relations with
Chinese businesses. Capricorn hasalso benefited from the free tradeagreement (FTA) signed betweenChina and Chile in 2005. “When youeliminate tariffs on steel and chemicalproducts, you create an enormousadvantage for businesses and,ultimately, customers,” Argy says.
Capricorn also has offices in Lima,Peru, and Medellin, Colombia, andwill set up a new office in Sao Paulo,Brazil, in the coming months.
Capricorn’s office in Guangzhou is dedicated to quality control toensure products are tested beforethey are shipped to Chile. “Wesupport many large South Americancompanies with offices in China who ask us to support them inmonitoring suppliers from a qualityand delivery perspective,” Argy says.“We share our expertise andexperience in China while connectingChinese companies to partners inSouth America.”
As demand for Chinese productsin South America continues toincrease, Argy constantly evaluatessuppliers looking to serve hiscustomers in the region. “We are
planning to establish joint ventureprojects with Chinese companies inChile and are in discussion with largegroups in China,” Argy says. “Today,Chinese companies are beingencouraged to enter internationalmarkets and to import more foreignproducts into China. In both cases,they need international partners, andwe can fulfil that role for them.”
With a firm strategy in place,Capricorn looks set to strengthen its relationship with China. Argy says:“The quality of Chinese-madeproducts continues to improve. In thebeginning, we simply imported basicraw materials; today, we import high-technology products. We will continue to grow in line with the reputation and quality ofChinese products.”www.capricorn.cl
Supplying South America with quality products from China and Asia
Mark Argy, president
Carey, Chile’s largest law firm withmore than 200 legal professionals,will be opening its first overseasrepresentative office in Beijing laterthis year.
“We have established strongrelations with large Chinese law firmsover the years,” says Jaime Carey,managing partner of Carey. “We feelthe time is right to establish an officein China to facilitate two-wayinvestment between Chinese andChilean companies.”
The firm was actively involved inthe first wave of Chinese investmentsinto Chile and is anticipating a
second wave of Chinese investorslooking at opportunities in thetelecom, mining, infrastructure,finance and agro sectors.
As the winner of Chambers LatinAmerica: ‘Latin American Law Firm of the Year’ in 2012, Carey’s clientsinclude large multinational firms andChile’s leading cross-industrycompanies.
As a full service firm, Carey is an effective bridge betweenjurisdictions and is committed tobeing the first point of contact forChinese investment into Chile.
“The opening of ourrepresentative office in Beijingsymbolises our commitment to ourChina practice,” Carey says.
“We are focused onopportunities in the Chinese marketand fully expect Chile and China tofurther increase their business andtrade ties in the years to come.”www.carey.cl
Helping two-way investment betweenChinese and Chilean companies
Jaime Carey, managing partner
The Port of Valparaiso is Chile’s maincontainer and passenger port, andone of the South Pacific’s mostimportant seaports. Today,considering the Port of Valparaiso’scargo throughput, China has becomethe No 1 import partner and No 2export partner, and the port is helpingwith an increasing amount of tradebetween the two countries.
“Since the free trade agreementbetween our countries wasestablished in 2005, total cargothrough the port has increased from 5.8 million tons in the first year to more than 11million tons in2014,” says Gonzalo Davagnino,general manager of the Port ofValparaiso. “By 2014, 30 per cent ofimports through the Port of
Valparaiso were from China.”Increased bilateral trade and the Portof Valparaiso’s “brotherhoodagreement” with the Port ofShanghai symbolise strongconnections between Chile andChina. Today, continuingdevelopmental plans for the Port ofValparaiso present tremendous
opportunities for Chinese investors,port operators and infrastructuredevelopers.
The port has been awardingconcessions to leading global firmsto operate and expand Terminals 1and 2, allowing the port to serve fourPost Panamax vesselssimultaneously.
Future projects include a newworld-class passenger terminal, anintermodal station to handleincreased trans-shipped rail cargo,and a third 2.2 million 20-footequivalent (TEU) unit capacityterminal. “These significant projects may eventually require aconcessioner to build and operate them,” Davagnino says. “Wefeel these projects could beattractive for Chinese investorslooking for opportunities in Chile, asboth countries continue tostrengthen their very closerelationship.”www.puertovalparaiso.cl
Port of Valparaiso brings Chile and China closer together
Gonzalo Davagnino, general manager
Viña Carta Vieja’s proud familyheritage dates back to 1825, whenCarlos Adolfo del Pedregal broughtEuropean grape vines from his nativeAsturias, Spain, and planted them inChile’s Loncomilla valley.
“Our family history can be foundin every bottle of wine we produce,”says José Manuel del PedregalLabbé, CEO of Viña Carta Vieja. “Ourfamily lives and breathes thebusiness, and our quality wines areappreciated by our customers.”
Since 1825, Origen, Aves del Sur,Carta Vieja and G7 are the DelPedregal brands. Ninety-five per centof the wines produced are for export,and a third of these reach China andthe rest of Asia.
“China was our first exportdestination in Asia, and weestablished an office in Shanghaiabout three years ago as a result ofthe growth in the market,” says JoséManuel del Pedregal Mujica, aneighth-generation family member,son of the CEO and export director ofAmerica and Europe. “Last year, werecognised the potential of the rest ofAsia and moved our operations toHong Kong.”
In China, the Carta Vieja and G7 brands are gaining popularity.Carta Vieja is the most emblematicbrand, while G7 represents the pride of seven generations ofwinemaking.
“We have changed the taste ofthese wines to make them even moreenjoyable,” del Pedregal Labbé says.“Our wines reveal the identity ofChile: cool, fresh whites and warm,intense reds.”
With anticipated growth in Chinaand the rest of the world, the familyrecently bought a new farm andincreased their total land area to1,300 hectares.
“This increase in capacity means we are now self-sufficient interms of grapes and technology,” delPedregal Mujica says.
“We intend to build our winebrands and deliver excellent wines toour customers in China and the restof the world.” www.delpedregalfamilywines.com
Eight generations ofwinemakers from Chile’s Loncomilla valleyreach out to China
José Manuel del Pedregal Labbé, CEO
