The Spain-Chile Business Meeting reinforces public-private collaboration and bilateral investment

Held at the CEOE headquarters

Chilean President Gabriel Boric highlighted his government's roadmap and the existing possibilities for future collaboration. In this regard, he affirmed that “we share friendly ties with Spain and are partners. Spain is the country that has once again prompted Europe to look to Latin America.”

---

 

El President of Chile, Gabriel Boric, opted to strengthen public-private dialogue and commitment between both countries, during a Spain-Chile business meeting, celebrated on CEOE, in which more than 200 businessmen have participated. At the event, which was inaugurated by the third vice president of the government of Spain, Teresa Ribera; the first vice president of CEOE, Miguel Garrido; the president of SOFOFA, Rosario NavarroAnd the president of the Chamber of Commerce of Spain, José Luis Bonet, the existing business and investment opportunities in the Andean country were analyzed.

 

The event served to learn first-hand about the current situation in the country, and analyze the opportunities in key sectors of this market, such as energy, infrastructure, mining or agribusiness, among others. The objective of the meeting was also to promote bilateral economic and business relations, and assess joint collaboration avenues to collaborate on projects of common interest for both countries.

 

Accompanying the President of the Republic, Gabriel Boric, were the Minister of Foreign Affairs, Alberto Van Klaveren; his counterpart in Energy, Diego Pardow; the director of InvestChile, Karla Flores; and a prominent business delegation from the country, headed by the vice president of the Confederation of Production and Commerce-CPC, Susana Jiménez.

 

The EU-Chile Association Agreement has contributed to intensifying exchanges, causing Spanish exports to Chile to multiply by four and imports by more than two in the last ten years.

 

Chile, a country with great potential 

 

The president of Chile, Gabriel Boric, highlighted his Government's roadmap and the possibilities of collaboration that exist for the future. In this sense, he assured that “with Spain unites us with friendly ties and we are partners. It is the country that has pushed again Europe to look at Latin America. We are also united by shared values, such as multilateralism or respect for human rights,” he explained. Companies are sometimes ahead of the State, especially in the field of innovation, she considered; and assured that Chile is not only a place to extract raw materials, but also to generate added value, with potential for technology transfer, among other areas. Boric reported a 31% growth in foreign investment flows in 2022.

To continue promoting this growth, he mentioned, robust and solid policies will continue to be implemented, and above all long-term. “Legal security, regulatory stability, quality of the norm and sense of State” are key factors in the current context, he declared. “The problems of democracy are solved with more democracy and not with less,” he continued; and, therefore, the country has strengthened its institutions, has opted for multilateralism and has opened up to the world. We must continue to deepen the ties between our countries, and promote sectors such as the lithium industry or green hydrogen, to increasingly enrich the value chains.

 

Chile is a country with unique opportunities for development, considered President Boric; That is why we must prosper, collaborating, innovating, and always generating common well-being. He alluded to the allegory of the windmills from Don Quixote, to refer to the decarbonization that we have carried out by ourselves, as well as the great development of green hydrogen. He also highlighted the field of lithium, given that Chile has the main reserves in the world, and this should be used to add value in the country and diversify the actors participating in the industry.

 

“We want lithium to be known in the world not only for its role in the energy transition, but also for its role in social development,” he said. “Chile is synonymous with clean energy,” and to take advantage of its full potential, it is very important to continue guaranteeing legal security for investments in the sector.

 

Finally, Boric stressed that Chile also has great advantages in the field of green hydrogen. The Government is working on transversal and long-term policies for this sector. Spain is a great ally, he said; and the European fund of more than 200 million for the development of green hydrogen is essential.

 

The first vice president of the CEOE (Spanish Confederation of Employers' Organizations), Miguel Garrido, highlighted the close relations between the two countries. "The Ibero-American Summits, the European Union-Chile Association Agreement, and more recently, our collaboration within the OECD, are good examples of this."

 

Public-private collaboration and reinforcement of investment

 

In the opening session of the meeting, the third vice president of the government of Spain and minister for the Ecological Transition and the Demographic Challenge, Teresa Ribera, highlighted the importance of strengthening relations with Chile: “it is a priority for Spain and for the EU, especially in the areas of the energy transition and the environmental agenda; proofs of this are the next EU-CELAC Summit and the modernization of the EU-Chile Association Agreement last December.”

 

“The Government has the will to strengthen ties with Chile and thanks to the Agreement – ​​achieved largely by the determined support of Spain and the firm commitment of Chile –, shared values ​​are placed at the center of the relationship between the EU and Chile , such as the defense of Human Rights, sustainable trade or the fight against climate change, with special attention to a renewable model and the sustainable use of critical raw materials,” added Ribera.

 

He concluded his speech by emphasizing the solid relationship between both countries: “Chile is a first-class partner and ally for Spain.”, and meetings like today allow us to share experiences and knowledge, identify opportunities for collaboration and establish new strategic alliances.”

 

In turn, the first vice president of CEOE, Miguel Garrido, highlighted the close relations that both countries maintain. “The Ibero-American Summits, the European Union – Chile Association Agreement, or more recently the collaboration that we maintain within the OECD, are good examples of this, spaces where we dialogue about the need to further strengthen our mutual areas of interest. “Chile is synonymous with growth and opportunities; a country very close to us, which has been able to offer companies the conditions of trust necessary to invest. “It is a central axis of the Pacific Alliance and a preferred destination for Spanish investments,” he stressed.

 

Commercial and investment activity is also reinforced, said Garrido, due to the close relationship between the CEOE, CPC, and its industrial branch-SOFOFA. Proof of this is the relaunch of the Chile-Spain Business Council in 2019. “A joint work tool that we maintain in favor of relations between our countries,” and since then it has already held six meetings, with the aim of contributing to mutual knowledge and increasing business between our two countries. Finally, he also highlighted the excellent relationship maintained within the CEIB Business Council, where work is already underway on the fourth edition of the Ibero-American Open Innovation Forum, which will take place in the first half of 2024 in Chile.

 

La president of the Society for Manufacturing Development, SOFOFA, Rosario Navarro, highlighted that Spain and Chile together face challenges at a global and local level. Chile has recognized the importance of an open economy connected to the world, especially to Europe and of course to Spain. “Our bilateral relationship is vital, we are both committed to defending reciprocal investment, gender equality, sustainability and social dialogue. “In an increasingly interconnected world, our joint potential is critical,” she said.

 

With our alliance and determination, Navarro continued, we can overcome any obstacle that comes our way. “We are committed to the CEOE and to Spain, to continue strengthening our ties,” he declared. In addition, we have common interests and possibilities for collaboration in sectors of common interest, such as new technologies, infrastructure, energy, creative industries, among many other sectors.

 

For his part, the president of the Chamber of Commerce of Spain, José Luis Bonet, recalled the prominent role that Chile plays in the Latin American economy, being “a country that has always sought to strengthen the economic integration of the continent, decisively betting on multilateralism and trade openness.” Bonet also pointed out that Chile and Spain share values ​​and that makes them “authentic allies” and “levers for greater rapprochement between Latin America and the European Union.”

 

The president of the Chamber of Spain also insisted on the ratification process of a free trade agreement between the EU and Chile, which modernizes the one currently in force signed in 2003 and will eliminate tariffs by almost 100% and will include provisions to work for gender equality and respect for the environment. “We believe that the relationship between Spain and Chile can only grow within the framework of a common agenda aimed at the double digital and green transition,” she added; At the same time, he reiterated “the importance of continuing to advance public-private collaboration through solid legal and institutional frameworks,” to allow the numerous opportunities that arise in the short and medium term to be taken advantage of.

 

Chile and Spain, strategic partners

 

The Business Meeting concluded with a conversation led by the Secretary of State for Commerce, Xiana Méndez, with the President of Chile, Gabriel Boric, in which the latter assured that public-private collaboration is fundamental, and advocated for a permanent dialogue, regulatory stability and legal certainty. “The private sector has a capacity for innovation that surpasses the State in speed, initiative and flexibility, which is why we have to constantly be learning from each other,” he stated. Third generation free trade agreements are key to also strengthening this relationship.

 

Before the Chilean president, the Secretary of State for Commerce, Xiana Mendez, stressed that Spain assumes the Presidency of the Council of the EU for the fifth time, in a complex geopolitical context and with challenges to face in global supply chains. “This new reality has decisively conditioned the definition of the priorities of the Spanish Presidency, among which are guaranteeing open strategic autonomy, advancing the ecological transition and promoting greater social and economic justice,” he declared. To advance in achieving these objectives, he continued, it is essential to strengthen strategic alliances with countries with which we share values, agenda and interests, as is the case of Chile.

 

The Secretary of State for Commerce valued the closing of the Agreement in Principle to modernize the trade pact between the EU and Chilee, which took place in December last year, and awaits its next signature and ratification soon: “The EU-Chile Association Agreement has increased bilateral trade and investment flows, which is why we have fully supported modernization in the conviction of that a new Agreement must respond to the new priorities and global challenges that have arisen since its signing twenty years ago.” Likewise, he greatly valued the commitment that Chile has shown during these negotiations and considered it essential to sign the new generation Advanced Framework Agreement during this Spanish Presidency of the Council of the EU, since it is a fundamental milestone to strengthen and deepen the relationship between both countries. .

 

Intense business relationships

 

In terms of investments, Spain is the second most important investor in Chile, with nearly a thousand Spanish companies present in the Chilean market. The trend began in the early 90s with large investments in the telecommunications, energy and health services sectors, and it has not stopped since. This is because Chile offers legal certainty and attractive opportunities for investors in various sectors in which Spaniards have great potential.

 

For the Confederation of Production and Commerce of Chile-CPC, represented by its vice president, Susana Jiménez, “it is very valuable to meet with their peers from the Spanish Confederation of Business Organizations-CEOE, within the framework of President Gabriel Boric's tour. to Spain, in which it is expected to continue deepening the solid bilateral ties in trade and investment matters.”

 

The historical and cultural proximity between both countries has been the fertile ground for excellent bilateral relations that are increasingly active and have been reinforced in recent years, favored by the growing interest of Spanish companies in the business opportunities it offers. the Chilean market, said the vice president.