Mr. Antonio DominguezChilealimentos A.G.

Board Member CEO Nevada Chile S.A.

9th IRO Conference City of FengyangAnhui Provence, ChinaMay 12th, 2014

CHILEAN RASPBERRY INDUSTRY

CHILEAN RASPBERRY MARKET ANALYSIS

FINAL COMMENTS

Source: Chilealimentos A.G.

RASPBERRY INDUSTRY STARTED ON THE 80’s FOCUSSED TOWARDS FRESH MARKET.

LAST 20 YEARS WITH EYES ON FROZEN RASPBERRY INDUSTRY.

SMALL FARMS/MANUALLY HARVESTED.

RELATEVLY STABLE WEATHER CONDITIONS.

GOOD NATURAL PROTECTION FOR DISEAS.

ACTUAL EXPORTS TO MORE THAN 30 COUNTRIES .

CHARACTERISTICS OF CHILEAN RASPBERRY INDUSRTRY

APROX. 20% AS RETAIL PACKING, BALANCE IS BULK AND JUICE.

GOOD UNDERSTANDING WITH THE LOCAL AUTHORITIES.

HERITAGE IS THE MOST IMPORTANT RASPBERRY VARIETY IN CHILE.

A MAYOR EMPLOYER, MORE THAN 120.00 TEMPORARY JOBS PER YEAR.

THE UNIQUE FOOD WITH A NATIONAL SYSTEM OF TRACEABILITY (FROM FARM TO THE IMPORTER)

THE MAIN FROZEN FRUIT EXPORTED.

THE FOURTH JUICE EXPORTED

CHARACTERISTICS OF CHILEAN RASPBERRY INDUSRTRY

Surface: 30.300 Hectares

Source: Odepa, Chilealimentos A.G.

Raspberry52%

Blueberry40%

Strawberry3%

Cranberry2%

Chilean Guava1%

Blackberry1%

Others1%

CHILE: BERRIES

Total production: 200 MT

DISTRIBUTION OF BERRIES IN CHILE

Source: SAG, Chilealimentos A.G.

DISTRIBUCION OF BERRIES IN CHILE

1.333 km

30.100 ha, equivalent to 10% of chileanfruit plantations

30º Lat. South41º Lat. South

Raspberry48%

Blueberry39%

Strawberry6%

Cultivated Blackberry

4%

Cranberry2%

Murtilla1%

Other0%

Blueberry37%

Raspberry24%

Strawberry21%

Blackberry11%

Cranberry 6%

Other1%

Raspberry52%

Blueberry40%

Strawberry3%

Blackberry1%

Cranberry2%

Chilean Guava1%

Others1%

BERRIES REPRESENTS 11% OF CHILEAN FRUIT

PLANTATIONS.

Heritage variety is cultivated in 79% of the planted area, followed by Meeker with 16%.

RASPBERRY: HECTARES PER VARIETYHectares

16.128

12.787

2.643

451 163 40 15 11 10 5 30

2.000

4.000

6.000

8.000

10.000

12.000

14.000

16.000

18.000

Hectares / Producers / Fruit brokers / Collection Points/ Processors / Exporters

Raspberry in Chile

Average Performance: 3,9 ton/há

Average Surface: 0,8 há

Varieties:Heritage: 81%Meeker: 15%Chilliwack: 3%

Harvesting : Manual 98% / Machine 2%

Source: SAG

16.128 19.610 439 356 103 103

RASPBERRY INDICATORS

More than 50% of total supply of raspberries is contracted and 30% comes from fruit brokers.

SUPPLY SOURCE OF RAW MATERIAL

8%

30%

56%

6%

OWN FRUIT BROKER CONTRACTED DIRECT SUPLY

Source: Chilealimentos A.G.

RASPBERRY: MANUAL HARVEST

Volume: MT.

Source: Odepa, Chilealimentos A.G.

62.029 59.800 57.412

49.535

42.072

59.33163.404

45.468 44.632

2005 2006 2007 2008 2009 2010 2011 2012 2013

TOTAL CHILEAN RASPBERRY PRODUCTION

Source: Odepa, Chilealimentos A.G.

Juice: 7:1; Deshydrated 6,25:1; Canned 0,65:1

RASPBERRY PRODUCTION DESTINATIONS

Product

Frozen 35.165 84% 49.912 84% 50.875 80% 36.507 80% 36.780 82%

Juice & Pulps 3.696 9% 5.698 10% 8.331 13% 5.887 13% 4.910 11%

Fresh 755 2% 569 -1% 361 <1% 257 <1% 274 1%

Canned 362 <1% 377 <1% 174 <1% 116 <1% 99 <1%

Dehydrated 94 <1% 275 <1% 1.163 2% 144 <1% 69 <1%

Local Consumption 2.000 4% 2.500 4% 2.500 4% 2.500 5% 2.500 6%

Total

2009 2010 2011 2012 2013

45.468 44.63242.072 59.331 63.404

Source: Chilealimentos A.G.

0

35.000

70.000

105.000

140.000

0

11.000

22.000

33.000

44.000

55.000

2005 2006 2007 2008 2009 2010 2011 2012 2013

MT US$ M

Volume and Value

FROZEN RASPBERRY INDUSTRY EXPORTS

FROZEN RASPBERRY AVERAGE PRICES

Source: Chilealimentos A.G.

USD/ KG. FOB

USD

1,8

3,5

2,4

3,6

0,0

1,0

2,0

3,0

4,0

5,0

2007 2008 2009 2010 2011 2012 2013 *2014 JAN-FEB

MARKETS OF FROZEN RASPBERY EXPORTS

Source: Chilealimentos A.G.

2013:US$ 116 MM

2005:US$ 68 MM

2000:US$ 38 MM

USA42%

Canadá13%France

11%

Netherlands7%

Germany6%

U. Kingdom5%

Australia4%

Japan2%

Switzerland2% Others

8%

USA44%

Canadá17%

France9%

Australia7%

Belgium3%

Netherlands2%

Japan2%

Poland2%

N.Zeland2%

Brazil2% Others

10%

USA20%

France20%

Germany17%

U.Kingdom12%

Canadá9%

Belgium6%

Netherlands4%

Switzerland3%

Australia3% Others

6%

RASPBERRY JUICE EXPORTS

Source: Chilealimentos A.G.

Ton/ 65° Brix US$ M FOB

0

5.000

10.000

15.000

0

500

1.000

1.500

2.000

2005 2006 2007 2008 2009 2010 2011 2012 2013

FRESH RASPBERRY EXPORTS

Source: Chilealimentos A.G.

MT. US$ M FOB

0

7.000

14.000

21.000

28.000

0

1.500

3.000

4.500

6.000

2006 2007 2008 2009 2010 2011 2012 2013

CHILE: RASPBERRY FIELDS

CHILE: RASPBERRY FIELDS

CHILE: RASPBERRY FIELDS

CHILE: RASPBERRY FIELDS

CHILE: RASPBERRY FIELDS

0,00

0,50

1,00

1,50

2,00

2,50

3,00

3,50

4,00

4,50

2009/2010 2010/2011 2011/2012 2012/2013 2013/2014

Fob Price Kg. Min. Raw Mat. Max. Raw. Mat.

MATERIAL RAW PRICE V/S FOB PRICE

Source: Chilealimentos A.G.

USD/KG.

FOB PRICE

MAX. RAW MATERIAL PRICE

MIN. RAW MATERIAL PRICE

FROZEN RASPBERRY EXPORTERS LIST (YEAR 2013)

Source: Chilealimentos A.G.

Exporters ToneladesAlimentos y Frutos S.A. 4.853Comercial Frutícola S.A. 4.072Fruticola Olmue S A 4.325Soc Agroindustrial Valle Frio Ltda 2.628Frutícola León Ltda 3.832Exportadora Copramar Ltda. 2.182Soc Agr.For.Y Ganad.Framberry 1.546AGROINDUSTRIAS PINOCHET FUENZALIDA 1.215Agroindustrial Niquen S.A. 1.196Exportadora Frucol Ltda 1.022Berries Chile Uk S.A. 869BMC INTERNATIONAL CHILE 1.054Nevada Export Limitada 689Otros 7.296

Total 36.780

Source: SAG, Chilealimentos A.G.

Regulation SAG 3410/2002

Objectives: Traceability of the product Verification of inocuity through the whole chain

of raspberry production (export quality)

Controls Registrations of participants Audits the raspberry chain with enphasis on

inocuity. Sampling of water for agrochemicals

applications.

CHILEAN RASPBERRY CONTROL

THE CHILEAN RASPBERRY INDUSTRY

FINAL COMMENTS

FINAL COMMENTS

Many small farmers

Need more Raspberries

Vertical Integration

Climate issue

Variety improvement

Focus on customer needs

THANK YOU!

CHILE