THE CHILEAN FRESH FRUIT INDUSTRY

THE CHILEAN FRESH FRUIT INDUSTRY PRESENTATION TO VIETNAMESE TRADE DELEGATION CHRISTIAN CARVAJAL MARKETING MANAGER EUROPE ASIA CHILEAN EXPORTERS ASSOCIATION (ASOEX) OCTOBER 2008 WWW.CHILEANFRESHFRUIT.COM WWW.ASOEX.CL AGENDA 1. CHILEAN EXPORTERS ASSOCIATION (ASOEX) 2. CHILE A UNIQUE FRESH FRUIT SUPPLY SOURCE 3. FACTS AND FIGURES IN REGARDS TO CHILES EXPORTS 4. CHILES FRESH FRUIT INDUSTRY IN A GLOBAL CONTEXT 5. FINAL COMMENTS

CHILEAN EXPORTERS ASSOCIATION (ASOEX) CHILEAN EXPORTERS ASSOCIATION (ASOEX) NON FOR PROFIT PRIVATE ENTITY REPRESENTING GROWERS AND EXPORTERS ESTABLISHED IN 1935 MEMBERS: FRESH FRUIT GROWERS-EXPORTERS AND EXPORT COMPANIES ASSOCIATE MEMBERS: 204 COMPANIES REPRESENT 92% OF THE TOTAL VOLUME EXPORTED REPRESENTS 50% TOTAL PRODUCTION BOARD REPRESENTED BY EXPORTERS, EXPORTERS / PRODUCERS AND TRADERS

CHILEAN EXPORTERS ASSOCIATION (ASOEX) FACILITATE THE EXPORT PROCESS OPEN NEW MARKETS PROMOTIONAL ACTIVITIES SUPPORT COUNTRY IMAGE CAMPAIGN MAINTAIN PHITOSANITARY AGREEMENTS (INSPECTION SITES) RESEARCH & DEVELOPMENT ENTITY DEFEND THE SECTOR S INTERESTS INDUSTRY TRAINING CONTRIBUTE TO THE TRANSPARENCY OF INFORMATION WITHIN THE SECTOR GENERATE REPORTS AND TECHNICAL INFORMATION CREATE DOMESTIC AND INTERNATIONAL SYNERGIES. ORGANIZATION OF TECHNICAL AND COMMERCIAL SEMINARS CHILE A UNIQUE FRESH FRUIT SUPPLY SOURCE

CHILE: LOCATION: SOUTH AMERICA CAPITAL CITY: SANTIAGO POPULATION: 16.763.470 (2008) VS VIETNAM 87.375.000 (2007) AREA: 756,950 KM2 VS VIETNAM 331,690 KM2 CURRENCY: CHILEAN PESO LANGUAGES: SPANISH GDP PER CAPITA: USD$14.000 VS VIETNAM USD$3.255 POPULATION DENSITY: 22,18 HAB/KM2 VS. VIETNAM 246 HAB/KM2

ATACAMA VIÑA DEL MAR

TORRES DEL PAINE ANTARCTICA

FACTS AND FIGURES IN REGARDS TO CHILES EXPORTS CHILE S LARGEST FOOD INDUSTRY THE CHILEAN AGRICULTURAL SECTOR REPRESENTS 3,5% OF NATIONAL GDP MEATS 8% OTHER 12% PROCESSED FOODS 14% CHILE S FRESH FRUITS INDUSTRY IS THE COUNTRY S LEADING FOOD SECTOR, REPRESENTING 24% OF TOTAL FOOD EXPORTS (USD$8.4 BILLION) OTHER SEA FOOD PRODUCTS 12% SALMON 18% WINES 12% FRESH FRUIT 24% Source: ODEPA / CHILE ALIMENTOS / Asoex Data prepared by the Chilean Export Association (Asoex) from the inspection records developed by the export companies for submission to the SAG

CHILES FRESH FRUIT EXPORTS (TONES) YEAR MILLIONS US$ FOB TONES (000) 1970 15 S/I 1975 39 S/I 1980 168 261 1985 356 533 1990 747 1,040 1995 1,162 1,310 1996 1,346 1,439 1997 1,292 1,321 1998 1,363 1,469 1999 1,359 1,549 2000 1,391 1,400 2001 1,398 1,600 2002 1,550 1,752 2003 1,650 1,899 2004 1,750 2,107 2005 1,800 2,143 2006 2,000 2,182 2007 2,350 2,430 2008 2,200 2,346 THE INDUSTRY HAS MORE THAN 7.800 GROWERS OF FRESH FRUIT (OVER 5 HECTARES.) 518 EXPORTING COMPANIES OVER 1.300 FRUIT IMPORTERS 65% OF CHILES FRESH FRUIT PRODUCTION IS EXPORTED MORE THAN 100 COUNTRIES IN THE WORLD RECIEVE 75 DIFFERENT SPECIES OF CHILEAN FRUIT DIRECTLY Source: Agriculture and Livestock Governmental Service (SAG) / Asoex Data prepared by the Chilean Export Association (Asoex) from the inspection records developed by the export companies for submission to the SAG CHILEAN FRESH FRUIT PRODUCTION AREA SPECIES HECTARES % TABLE GRAPES 53.050 19% APPLES 32.030 12% AVOCADOES 30.000 11% PEACHES 14.937 7% PLUMS 14.000 7% BLUEBERRIES 13.000 7% KIWIS 13.490 5% NUTS 9.360 5% CHERRIES 9.177 5% ORANGES 7.472 3% LEMONS 6.983 3% PEARS 5.910 2% NECTARINES 4.734 1% OTHERS 47.471 15% TOTAL 261.614 100% TOTAL AREA PLANTED OF FRESH FRUIT 261.614 HECTARES TABLE GRAPES, AVOCADOS AND APPLES ARE THE MAIN SPECIES PLANTED AND REPRESENT 31% OF TOTAL AREA PLANTED MAJOR GROWTH AREAS INCLUDE, BLUEBERRIES, CHERRIES AND AVOCADOES Fuente: http://www.censoagropecuario.cl/noticias/08/6/10062008.html Source:VII Census of Agricultural and Forestry * Source: Bluberries Committee

EVOLUTION OF FRESH FRUIT EXPORTS TONES 3.000.000-3,6% 2.500.000 2.000.000 1.600.109 1.752.714 1.899.244 2.107.430 2.143.785 2.182.952 2.430.264 2.346.255 1.500.000 1.000.000 500.000 0 2000-2001 2001-2002 2002-2003 2003-2004 2004-2005 2005-2006 2006-2007 2007-2008 SEASON Fuente: Servicio Gubernamental de Agricultura y Ganadería (SAG) / Asoex Datos preparados por la Asociación Chilena de Exportación (Asoex) basados en informes de inspección desarrollados por las empresas exportadoras para su presentación al SAG

MAIN MARKETS - 2007 / 2008 (TONES) MIDDLE EAST ASIA 5% 9% EUROPE 35% LATIN AMERICA 16% USA 35% Fuente: Servicio Gubernamental de Agricultura y Ganadería (SAG) / Asoex Datos preparados por la Asociación Chilena de Exportación (Asoex) basados en informes de inspección desarrollados por las empresas exportadoras para su presentación al SAG EXPORTED PRODUCTS SEASON % SPECIES 2006-2007 2007-2008 VAR TABLE GRAPES 801.024 816.642 1,9% RED APPLES 640.514 606.022-5,7% KIWIS 159.656 157.170-1,6% GREEN APPLES 133.850 133128-0,5% PEARS 112.441 125.014 10,1% AVOCADOES 167.820 108.490-54,7% PLUMS 105.181 88.403-19,0% NECTARINES 55.921 60.389 7,4% PEACHES 49.606 47.299-4,9% CHERRIES 24.150 44.446 45,7% LEMONS 44.853 43.297-3,6% BLUEBERRIES 21.162 30.203 29,9% OTHERS 114.086 85.752-33,0% TOTAL 2.430.264 2.346.255-3,6% Fuente: Servicio Gubernamental de Agricultura y Ganadería (SAG) / Asoex Datos preparados por la Asociación Chilena de Exportación (Asoex) basados en informes de inspección desarrollados por las empresas exportadoras para su presentación al SAG

EVOLUTION OF FRESH FRUIT EXPORTS TO ASIA (TONES) 250.000 200.000 158.566 171.793 203.029 207.700 2,5% 212.882 150.000 100.000 50.000 0 2003-2004 2004-2005 2005-2006 2006-2007 2007-2008 TEMPORADAS SOURCE: Servicio Gubernamental de Agricultura y Ganadería (SAG) / Asoex Datos preparados por la Asociación Chilena de Exportación (Asoex) basados en informes de inspección desarrollados por las empresas exportadoras para su presentación al SAG EXPORTS OF FRESH FRUIT TO ASIAN MARKETS (TONES) MARKET SEASON % % PART. 2006-07 2007-08 VAR. TAIWAN 50.982 53.892 6% 25% HONG KONG 42.521 42.901 1% 20% S.KOREA 33.796 33.928 0% 16% JAPAN 36.939 27.907-24% 13% INDIA 15.443 19.174 24% 9% CHINA 11.467 15.190 32% 7% MALAYSIA 3.706 4.871 31% 2% INDONESIA 1.929 3.454 79% 2% PHILLIPINES 3.323 3.215-3% 2% NEW ZELAND 3.362 2.924-13% 1% THAILAND 704 1.743 148% 1% SINGAPORE 1.295 1.660 28% 1% VIETNAM 1.182 992-19,3% 0,5% SRI LANKA 756 382-49% 0% OTHERS 295 649 120% 0% TOTAL 207.700 212.882 2,5% 100% SOURCE: Servicio Gubernamental de Agricultura y Ganadería (SAG) / Asoex Datos preparados por la Asociación Chilena de Exportación (Asoex) basados en informes de inspección desarrollados por las empresas exportadoras para su presentación al SAG

MAIN SPECIES EXPORTED TO VIETNAM (TONES) MAIN OPPORTUNITIES IN VIETNAM (SOURCE PROCHILE OFFICE IN VIETNAM) APPLE IMPORTS USD$22 MILLION IMPORTED IN 2007, MAIN SUPPLIERS: CHINA 69% USA 31,5% NZ 4,1 % CHILE 2,2 % SEASON % % SPECIES 2006-2007 2007-2008 VAR PAR TABLE GRAPES 521 749 30,4% 75,5% RED APPLES 522 219-138,4% 22,1% KIWIS 0 24 100,0% 2,4% PLUMS 20 0 NA 0,0% GREEN APPLES 20 0 NA 0,0% NUTS 100 0 NA 0,0% TOTAL 1.183 992-19,3% 100,0% TABLE GRAPES IMPORTS OF TABLE GRAPES REACHED USD $19 MILLON IN 2007 USA 38 % CHINA 28 %, AUSTRALIA 22% SOUTH AFRICA 6,5 %, CHILE 3,1% PERU 1,9% SOURCE: Servicio Gubernamental de Agricultura y Ganadería (SAG) / Asoex Datos preparados por la Asociación Chilena de Exportación (Asoex) basados en informes de inspección desarrollados por las empresas exportadoras para su presentación al SAG CHILES FRESH FRUIT INDUSTRY IN A GLOBAL CONTEXT

CHILE LEADING SOUTHERN HEMISPHERE SUPPLIER CURRENTLY, CHILE REPRESENTS 49% OF THE SOUTHERN HEMISPHERE FRESH FRUIT EXPORTS CONSIDERING: GRAPES, APPLES, KIWIS, AVOCADOS, PLUMS, PEACHES, AND PEARS. THEREFORE, POSITIONING IT AS THE LEADER IN SOUTHERN HEMISPHERE EXPORTS. 1964 1970 1980 1990 1998 2001 2003 CHILE 35.225 45.427 266.832 1.016.787 1.616.953 1.781.413 2.070.468 TOTAL S.HEM 601.566 704.459 1.062.586 2.263.724 3.465.542 3.569.109 4.222.968 % CHILE 5,9% 6,4% 25,1% 44,9% 46,7% 49,0% 49,9% Source: FAO Stats Book 2003 RANKING OF SPECIES (EXPORTS) SPECIES S. HEMISPHERE WORLD TABLE GRAPES N 1 N 1 APPLES N 1 N 5 PEACHES / NECTARINES N 1 N 4 RASPBERRIES N 1 N 3 AVOCADOS Nº 1 Nº 2 BLUE BERRIES N 1 Nº 5 PLUMS Nº 1 Nº 1 KIWIS N 2 N 3 PEARS N 3 N 9 Source: FAO Stats Book 2005

FINAL COMMENTS FINAL COMMENTS CHILE IS RECOGNIZED AS LEADER IN THE EXPORTS OF FRESH FRUIT FROM THE SOUTHERN HEMISPHERE BUT WE STILL HAVE A LONG WAY TO GO VIETNAM REPRESENTS AN INTERESTING OPPORTUNITIY FOR THE FRESH FRUIT EXPORTING SECTOR IN REGARDS TO SPECIFIC PRODUCTS SUCH AS APPLES AND TABLE GRAPES. THE CHILEAN FRESH FRUIT INDUSTRY HAS LOW BARRIERS TO ENTRY AND EXIT WHICH GENERATE OPEN AND FREE COMPETITION. THE UNIQUE NATURAL GEOGRAPHICAL FEATURES OF CHILE ALLOW FOR A LONGER SUPPLY SEASON, AS WELL AS A STABLE AND RELIABLE EXPORT PROGRAM OF FRUITS BETWEEN A MAJOR PART OF THE YEAR (DECEMBER THROUGH TO SEPTEMBER),WHICH WE BELIEVE COULD PROVE IDEAL FOR VIETNAMESE IMPORTERS AND DISTRIBUTORS ALIKE.

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