CHILE

Chile has enjoyed spectacular – and widely-recognized – growth and stability for the past two decades. With an average annual growth rate of 6.4% over the last decade and leading performance in the agricultural, mining, forestry, and aquaculture industries, Chile is currently the most competitive country in Latin America, according to the World Economic Forum.

Chile is actively involved in pursuing significant science and technology innovation to maintain and raise the country’s competitiveness, with biotechnology as a strategic area essential to this development, especially in the industries in which we have competitive advantages: agriculture, mining, forestry, and aquaculture. With this strategy in mind, in 2003 the Chilean government launched the National Policy for Biotechnology Development, which delineates aggressive action for business development, R&D growth, human resource training, development of a legal framework, and the increase of biotechnology awareness among the general population.

Chilean biotechnology industry

Chile has taken significant steps to incorporate biotechnology into its national economy. Through a powerful range of initiatives, including a new regulatory environment and economic incentives, Chile seeks to develop a world-class biotechnology sector that leverages its global advantage as one of the main producers and exporters of natural resources with high value added products and services.

Biotechnology development is strategic for Chile, allowing the increase of productivity, reduction of production costs and increase of product quality, of which Chile is the leader. Foreign companies are encouraged to evaluate Chile as a platform for new developments in biotechnology. Chile, in a joint effort between private and public sectors, is committed to creating a desirable location for biotechnology in Latin America.

The biotechnology industry is an emerging and growing sector in Chile. Within the last three years the number of biotechnology companies increased by 30%. Most of the development in the industry is within strategic sectors such as agriculture and livestock, human health, the fishing industry, forestry, and industrial biotechnology. At present, the Chilean industry is comprised of 123 biotechnology-related organizations, whose efforts are focused on two main areas. One is to use biotechnology to improve the competitiveness in main export sectors. The other is to create innovative products for existing and emerging markets.

Why Chile?

• The most competitive and stable economy in Latin America

• Open Economy: Gateway for opportunities through free trade agreements with China, USA, Canada, Mexico, South Korea, and Central America. Double taxation agreements in force with Argentina, Brazil, Canada, Croatia, Denmark, Ecuador, Mexico, Norway, Peru, Poland, South Korea, Spain and the United Kingdom. Other agreements already signed or under negotiation.
• Safe Environment with strong regulatory framework and dominance of the rule of law: The new intellectual property law includes the possibility of patenting microorganisms and genes, clinical trials are subject to approval by the National Health Authority, biosafety and bioprospecting regulations currently being developed. Intellectual property is managed by the Intellectual Property Department (www.dpi.cl). Foreigners are protected by the Universal Copyright Convention, Berne Convention, Rome Convention, and the Inter-American Copyright Convention. The Industrial Property Law No. 19.039 incorporates commitments under the WTO's TRIPs agreement, regulating industrial rights related to innovations and protecting trade secrets submitted to health agencies. 
• Extremely low country risk, reaching an historic minimum of 61 basis points over US Treasury Bonds (Source: JP Morgan, January 3, 2005)
• Government support and incentives, including the newly created Innovation Fund, with total resources amount to a US$145 million a year, to boost research and innovation through public-private consortiums.
• Highly skilled human resources: Number of professionals working in biotechnology-related jobs has grown by 17% since 1995.  The total number of scientists in Chile has increased 56.9% since 1990. 
• Competitive business costs.
• Exceptional quality of life: Santiago was ranked 1st as the best combination of quality of life and business potential (America Economia Magazine, 2004).
• Lowest tariffs for technology products in Latin America world-class telecom infrastructure.
• Government support: CORFO, the Chilean Economic Development Agency, is the primary responsible organization within the Chilean Government for the promotion of economic growth in Chile.

Please visit the Chilean Pavilion at BIO 2007! (# 2771)

Contact: Gloria Maldonado, The Chilean Economic Development Agency (CORFO), Head of the Biotechnology Sector, Tel. +56 2 6318617, http://www.corfo.cl/biotechnology/index.html