Chile will produce 236,666 tons of cured and sausage meat this year, according to the National Association of Sausage Meat Industries (ANIC). This represents some US$500m in sales and a 7% volume increase compared to 1999.

 However, profitability in the sector has decreased in recent years, said ANIC general manager Osvaldo Munoz, because the 1998-9 recession forced producers to reduce prices in order to maintain demand.

 Most Chilean sausage meat production is aimed at the domestic market. The export market remains relatively insignificant due to the difficulty of transporting perishables, compounded by limited demand for traditional products. The solution, Munoz said, is to diversify product ranges and establish foreign production plants.

 In October, the sausage producing company Cecinas Llanquihue announced plans to export to Argentina. The company sees potential in this market because annual per capita consumption of cured and sausage meat is only 7 kilos in Argentina, compared to 15 kilos per year in Chile.

 Chilean producers are also feeling the effects of increased competition from cheap imports from the European Community (EU), especially Spain.  The sector has expressed concerns that the EU products are subsidized.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

By Steve Anderson, correspondent