Market Intelligence
Agricultural Equipment and Machinery Chile

Chile Agriculture Equipment & Technology

High energy costs and the impact of climate change are pushing Chile’s lucrative agriculture sector to adopt efficient equipment and technologies. 

Chile has grown to become a top global agricultural exporter accounting for 24 percent of the country’s total exports and 11 percent of Chile’s gross domestic product (GDP). The success of Chilean agriculture is due to the country’s diverse geography, favorable growing conditions, counter seasons from the Northern Hemisphere, and array of free trade agreements granting preferential market access.  However, the Chilean agricultural sector is facing significant challenges including the high cost of energy, small land plots, and the impact of climate and a historic draught that is now in its 12th year.   

Opportunities for U.S. exporters come from the private sector.  Chile imports most of its agriculture/agribusiness machinery and equipment, and only basic equipment is manufactured locally.  The U.S. is the preferred supplier of agricultural equipment and machinery in Chile due to the reputation for quality and reliability of U.S. manufacturers.  In addition, Chile agricultural companies recognize U.S. agriculture technologies as advanced and innovative.   

Chilean agricultural companies and farmers are preparing to invest in modern equipment and technologies to improve critical functions including automation, sustainability and traceability, transportation, conservation, storage and use of water.  These investments are urgently needed to minimize the impact of climate change, and to improve production efficiency.   

The categories of agricultural equipment that are in high demand in Chile are: 

  • Traceability Systems and Best Practices:  Technological systems in which fruits and vegetables can be traced through specified stages of food production, from farm to fork, to increase or achieve 100% traceability. 

  • Automation and Mechanization: Equipment and devices that replace expensive and scarce labor. 

  • 5G -Connected Equipment/Precision Agriculture Equipment: Chile’s 5G network is expected to be deployed in late 2021 or early 2022 and the agricultural sector is looking to take advantage of the technology’s increased speed and reliability to install more connected devices for efficient resource management. 

  • Water Management and Irrigation Systems:  A Chilean government plan to expand the country’s network of damns is aimed at improving water management in the agricultural sector.  Equipment, systems and supplies for efficient irrigation and water distribution; micro-water reservoirs and dams, harvesters of rainfall, devices to capture mist/humidity. 

  • Energy Efficient Machinery and Equipment: For all agriculture activity and post harvesting processes.   

  • Soil and Animal Health:  Soil and animal health aid products including fertilizers and pesticides, products that can suppress and eliminate ammonia, moisture and odors in animal production, products that improve chemical, biological and physical quality of land.   

  • Urban and Organic Agriculture:  Infrastructure, technology, tools, systems, community development systems are good prospects in relation to urban agriculture.      

For more information on the agricultural equipment sector in Chile contact CS Chile Commercial Specialist Mary Lathrop at Mary.Latrop@trade.gov.  

 

05/27/2021