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Country Commercial Guides for FY 2000: Chile Report prepared by U.S. Embassy Santiago, released July 1999

CHAPTER IX:   BUSINESS TRAVEL

Business Customs

U.S. business people will find that business practices in Chile and the United States are very similar. The business day usually begins at 9 a.m. and ends between 6 and 7 p.m. Lunch breaks usually begin at 1 p.m. and are an hour long, unless business is being conducted, in which case two to three-hour lunches are common. Although social occasions rarely begin at the indicated time, business meetings nearly always do.

Many Chilean business people are well-educated professionals who travel internationally and speak English. However, not all speak English, and foreign business people will often find the ability to speak Spanish very useful, if not an absolute must. Promotional literature should be in Spanish.

Travel Advisory and Visas

There are neither current travel warnings nor public announcements regarding Chile. Nonetheless, visitors should be aware of the criminal environment in Santiago. Street crime, endemic to many South American cities, is a problem. One should be particularly alert in the downtown area. There are isolated terrorist incidents are extremely rare, and they have not in any way been directed toward Americans.

Business people who visit Chile usually enter on a regular tourist visa, which is issued by immigration officers at the airport upon arrival. American citizens must pay a fee of $45.00 at the international check-in point, and must be prepared to pay the exact amount in dollars; the visa is valid for ten years or the date of expiration of the U.S. traveler's passport, whichever comes first. Business and tourist visitors are granted stays of 90 days which can be extended for additional 90 days by the Ministerio del Interior, Oficina de Extranjeria (Teatinos 950, Santiago, Chile), or the Gobernacion Provincial outside of the capital. Renewing a business or tourist visa has a cost of US$ 100.00 per person.

Individuals who intend to stay in Chile for more than 90 days but less than a year for business purposes should obtain a visa from a Chilean consulate in the U.S. Once in Chile, holders of this visa should register at the Policia Internacional (located at Barros Borgono 1052), where they will be issued a Certificado de Registro. Persons temporarily residing outside Santiago should register at the corresponding Gobernacion.

Business persons may also be granted a Resident Subject to Contract (Residente Sujeto a Contrato) visa. This visa is issued to those who have been contracted to carry out a specific job, requiring certain qualifications. It is valid for up to two years, and such visa holders are allowed to have their spouses and children also reside in the country. A new visa is required if the visa holder changes companies. This visa is also obtained at the Ministerio del Interior, Oficina de Extranjeria (Teatinos 950, Santiago, Chile).

For those business people who intend to make sizeable investments in Chile, a temporary resident visa may be advisable. This visa is valid for one year, and can be extended for a second year. It may be obtained at the Ministerio del Interior, Oficina de Extranjeria (Teatinos 950, Santiago, Chile).

For current information concerning entry and customs requirements for Chile, travelers can contact the Chilean Embassy in Washington, D.C. or the nearest Chilean Consulate to their U.S. residence. (See Appendix C "U.S. and Country Contacts" for Embassy details and a list of Consulates.)

All areas of Santiago are affected by a high index of pollution which appears as a heavy smog in the winter and dust in the summer. Pollution levels rise to unacceptable levels (PM-10 levels of 240 MCG./M3) on an average of five to six times per year. The major health effects include difficulties with breathing, respiratory problems and aggravation of existing respiratory, cardiovascular, allergic and asthmatic diseases. This is particularly true for the elderly and children, and for those with confirmed asthmatic and allergic symptoms. The most severe pollution occurs during the months of May to October.

The following are Chile's legal holidays:

Jan. 1		New Year's Day
Varies		Good Friday
Varies		Easter Sunday
May 1		Labor Day
May 21		Commemoration of the Battle of Iquique
Varies		Corpus Christi
June 29		Saint Peter and Saint Paul
Aug. 15		Assumption Day
Sept.		National Day of Reconciliation (first Monday in Sept.)
Sep. 18		Independence Day
Sep. 19		Day of the Army
Oct. 12		Columbus Day
Nov. 1		All Saints' Day
Dec. 8		Immaculate Conception
Dec. 25		Christmas Day

Business Infrastructure

Business operations develop in a climate of free enterprise and free trade. Simplified bureaucratic procedures are the rule, making the Chilean business environment more transparent and friendly than most in Latin America. The labor force is regarded as competent, productive, and relatively well educated. Current trends include innovation in export products and in a wide range of services for the domestic market. High foreign and domestic investment have added new technologies to industrial processes and increased competition in distribution and marketing.

A number of business groups control large segments of the economy but at the same time, the number of medium-size and small companies is growing. Large-scale business is conducted through local corporations whose shares are quoted on the stock market. Since the 1970's, the Government of Chile has carried out a very successful privatization program that has transferred hundreds of companies and public services to private operators, many with foreign capital participation. As a result of privatization, about 82,000 workers became shareholders in former state-owned enterprises. Sectors affected by privatization include computer services, steel production, energy generation and distribution, telecommunications and mineral extraction and processing.

U.S. companies involved in manufacturing, services and trade have maintained successful operations in Chile for decades. The Chilean-American Chamber of Commerce has a large membership of U.S., Chilean and international firms, and effectively represents the interests of the corporate community in Chile.