Market access

UK secures access to Chilean market for pig sector

UK pork exporters will benefit from a 6% most-favoured-nation tariff

March 18, 2022

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2 minute read

Britain’s pig industry will be able to export produce to Chile for the first time under a new deal worth an estimated £20m in the first five years, according to A press release of the Agriculture and Horticulture Development Board (AHDB).

Authorities in the South American country gave the green light to 27 pork processing sites from the four decentralized countries to begin commercial exports yesterday.

The UK has an Association Agreement with Chile, which largely maintains preferential trade agreements and rules of origin. This means that UK pork exporters can benefit from the import tariff under the 6% Most Favored Nation Tariff, under certain conditions.

The announcement comes in a year of export success, with Mexico opening its doors to British pork last September, in a deal estimated to be worth £50million in the first five years of trade and mutton to the United States, worth about £37. million.

“This announcement is the latest in a series of market access successes for the red meat sector and is another example of the high regard and reputation our products deserve overseas,” said said Phil Hadley, director of international market development for AHDB.

“Opening up the market for UK pork in Chile, after gaining access to Mexico, will provide our pig farmers and processors with another valuable market to sell their products in, giving a much-needed boost to the sector,” a- he added.

“The pig industry is facing a series of challenges and we must use all the levers at our disposal,” added Agriculture Minister Victoria Prentis. “That includes new export markets, and it’s great to see the Chilean market opening its doors to our pork producers.”

“It will be worth £20m over the next five years and builds on other measures we have introduced to strengthen the industry,” she concluded.

Pork production in Chile remained stagnant last year, with imports increasing year on year over the past decade due to rising demand. As the second most consumed meat in Chile, consumption is expected to increase steadily, reaching around 26.8 kg per capita by 2029.