Maize flour and cereals market in Chile

Earlier Report Observations

The market for maize flour and cereals in Chile contracted sharply from 607 thousand tons in 2018 to 278 thousand tons in 2020, before recovering to 412 thousand tons in 2021. This recovery occurred alongside a decrease in the cultivated area of grain maize to its lowest level in the period, a factor that typically constrains domestic supply but was offset by other market forces.

Market volume then declined to 341 thousand tons in 2022 and further to 308 thousand tons in 2023. Adverse weather conditions, including rains and floods, delayed the maize harvest in 2023, reducing local output. Concurrently, low purchase interest from the domestic industry limited demand for national production. These movements were accompanied by a shift in consumer preferences, with a move away from traditional wheat flour towards alternatives like maize or oat flour, influenced in part by a growing migrant population.

The sector continues to face structural headwinds, including a sustained downward trend in the sown area for maize since 2013. International grain prices have remained below the peaks of 2022-2023, while global conflicts and climatic threats in major producing countries contribute to ongoing market uncertainty.

Production maize flour and cereals in Chile

In kind, 2018-2021, K t

Top producers of maize flour and cereals, 2018-2021

World map of production of maize flour and cereals, 2018-2021

After two years of decline, maize flour and cereals production in Chile rebounded in 2021. The country produced 398.1 thousand tons, marking a significant 48.1% increase compared to the previous year. However, looking at the broader period from 2018 to 2021, overall production decreased by 33.9%, which translates to an average annual decline of 12.9%. The lowest production level was recorded in 2020 at 268.9 thousand tons, while the largest year-on-year drop occurred in 2019 with a 38.0% decrease.

Annual dynamics of production in Chile in kind, 2018-2021, K t

In value, 2018-2021, M $ US

Following two years of contraction, the value of maize flour and cereals production in Chile saw a recovery in 2021. Output was valued at 264.0 million US dollars, reflecting a substantial 54.9% rise from the previous year. Over the 2018-2021 period, however, production value fell by 21%, corresponding to a compound annual growth rate (CAGR) of -7.5%. The minimum value was recorded in 2020 at 170.4 million US dollars, with the most significant decline occurring in 2019 at 41.9%.

Annual dynamics of production in Chile in value, 2018-2021, M $ US

Exports maize flour and cereals from Chile

Exports in kind, t

After two years of growth, Chile's maize flour and cereals export volume declined in 2021. Exports totaled 5 524 tons, representing a sharp 21.3% decrease year-on-year. Despite this recent drop, exports increased by 3.1% over the 2018-2021 period, with a CAGR of 1.0%. The peak export volume was recorded in 2020 at 7 019 tons, while the largest year-on-year increase occurred in 2019 at 27.8%.

Annual dynamics of product's exports from Chile in kind, 2018-2021, t

From 2018 to 2021, Colombia, Argentina, and Panama were the primary destinations for Chile's maize flour and cereals exports in volume terms. Colombia accounted for 56.4% of exports, Argentina for 12.7%, and Panama for 10.8%. Together, these three countries represented 80.0% of total export flows.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from Chile in kind, 2018-2021

Exports in value, K $ US

Following two years of increase, the value of Chile's maize flour and cereals exports declined in 2021. Export value was recorded at 3 662 thousand US dollars, down by 17.7% compared to the previous year. Over the 2018-2021 period, however, export value rose by 23.2%, with a CAGR of 7.2%. The highest value was achieved in 2020 at 4 450 thousand US dollars, with the largest year-on-year increase also occurring in 2020 at 25.1%.

Annual dynamics of product's exports from Chile in value, 2018-2021, K $ US

In the 2018-2021 period, Colombia, Argentina, and Panama dominated Chile's maize flour and cereals exports in value terms. Colombia held a 52.0% share, Argentina 14.2%, and Panama 10.9%. Collectively, these three markets accounted for 77.1% of total export value.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from Chile in value, 2018-2021

Imports maize flour and cereals to Chile

Imports in kind, t

Maize flour and cereals imports into Chile increased for the third consecutive year in 2021. Imports reached 19 228 tons, up by 16.3% compared to 2020. Over the 2018-2021 period, imports surged by 92.5%, with a CAGR of 24.4%.

Annual dynamics of product's imports to Chile in kind, 2018-2021, t

Throughout 2018-2021, Colombia, Argentina, and the United States were the key sources for Chile's maize flour and cereals imports in volume terms. Together, these three markets accounted for 87.3% of total import flows.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to Chile in kind, 2018-2021

Imports in value, K $ US

Maize flour and cereals imports into Chile grew for the third year in a row in 2021. Import value reached 17 104 thousand US dollars, corresponding to a notable 28.1% increase compared to 2020. Between 2018 and 2021, import value rose by 85.9%, equating to an annualized growth rate of 23.0%.

Annual dynamics of product's imports to Chile in value, 2018-2021, K $ US

From 2018 to 2021, Colombia, the United States, and Argentina formed the core group of partners for Chile's maize flour and cereals imports in value terms. Colombia accounted for 51.4% of import value, the United States for 15.7%, and Argentina for 10.6%. Jointly, these three countries represented 77.7% of total import flows.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to Chile in value, 2018-2021