Argentina and Chile promote bioceanic corridor to the Pacific

The northwestern provinces of Argentina are strategically positioned to export their products via the Pacific Ocean, leading to estimated cost savings of 30% to 40%. The San Francisco international pass, located 200 kilometers from the city of Fiambalá in Catamarca, connects northwestern Argentina with the Chilean city of Copiapó, in the Atacama region. This route is considered strategic for both countries, explains Roberto Alegría, president of the Third Trans-Andean Regional Council.

“We are committed to strengthening the border complex, offering better conditions and technology, as well as multipurpose port services, generating economic benefits for both sides,” said Alegría. Regarding the works on the Chilean stretch, he added, “We are paving the remaining 70 kilometers to the city of Chañaral. The goal is to start the first 35 kilometers later this year and complete the project in the first months of 2026.”

Additionally, the construction of a new complex at the Maricunga border control, near the San Francisco Pass, is planned, with a structure suitable for the demands of the bi-oceanic corridor, which is currently in the development phase.

Regional and National Support

Pending projects gained momentum after the Argentine Foreign Ministry’s consent in February when Catamarca representatives obtained a federal government commitment to support the province’s export potential. During these discussions, the need to improve the San Francisco Pass and the bi-oceanic corridor project was addressed, explained Herrera.

During a visit to Chile in early August, Argentina’s Foreign Minister Diana Mondino and her counterpart Alberto van Klaveren agreed to redouble efforts to promote integration and border crossing, including using new technologies and ports.

On that occasion, the Argentine government stressed, in meetings with Chilean businesses and officials, the need to push forward joint infrastructure projects to improve connectivity with international markets while emphasizing the importance of bi-oceanic corridors to facilitate trade with Asia and simplify processes for goods flow.

Services and Logistics

Throughout this year, various meetings have been held on both sides of the Andes, with the participation of private companies and authorities from the regional government of Atacama and the provinces of Catamarca, La Rioja, Tucumán, Santiago del Estero, Córdoba, Entre Ríos, and Santa Fé. This bloc forms part of the macro-organization Atacalar, established in 1996 to promote regional cooperation and integration between the two countries.

The first of these meetings, promoted by Atacalar, took place in April in Copiapó, focusing on a working group on ports to explore port service offerings in Argentina’s northwestern provinces. To follow up on the actions, the General Directorate of Export Promotion-ProChile supported a trade mission to Buenos Aires on August 8, highlighting Claudia Pradenas Muñoz, the director of the institution, who emphasized dialogue with the services and logistics sectors.

In Buenos Aires, the Chilean delegation attended the “Connecting Routes and Opportunities” event, organized by Catamarca, which fostered relationships between local logistics and service companies and the Chilean ports of Atacama while discussing the promotion of the San Francisco Pass. They also met with representatives from the Chilean embassy in Argentina, ProChile Buenos Aires, the Association of Importers and Exporters (Aiera), and the Argentine Chamber of Mining Companies (Caem). “We received valuable information on the commercial opportunities with Chilean companies,” noted Ingrid Aguad Manríquez, head of the International Relations Unit of the Atacama government.

Port Offerings

During this round of meetings, the Chilean delegation met with port managers in Atacama. “The region has natural deep-water ports just a few meters from the coast, which is a significant competitive advantage for the development of export-oriented port and logistics infrastructure,” stated Aníbal Ramos, Development Manager at Guacolda I Terminal, which currently handles an average of one million tonnes of bulk cargo annually.

Highlighting the benefits for exporters in the northwest, Giovanni Bonilla Pedemonte, Head of Safety and Environment at the multipurpose port of Las Losas, emphasized that Chile has various types of public and private ports with substantial capacity to meet the needs of the mining and agricultural industries. He also pointed out that accessing Asian markets via the Pacific, instead of the Atlantic, saves up to 15 days of shipping time.

In 2023, Las Losas handled approximately 1.3 million tonnes of cargo and is planning expansions, including adapting facilities to receive IMO cargo (hazardous goods), among other improvements. Guacolda I port is also investing in new infrastructure and technologies to meet the growing demand from regional and international markets.

However, Herrera noted that, for now, the region’s port services do not offer comprehensive infrastructure for general or refrigerated cargo, which is necessary to meet local demand. He estimates that, in the medium term, ports will consider investments to expand their offerings, especially due to increased lithium exports from mining companies and agro-industrial products like citrus fruits, nuts, olive oil, and wines, primarily destined for the Asia-Pacific market.

Trade specifics

For the seventh consecutive year, trade with Chile dominated Argentina’s largest trade surplus. In 2023, the surplus reached $4.2 billion, with exports of $4.95 billion and imports of $733 million. The main export items to Chile that year were fuels and mineral oils, led by natural gas, which totaled $753 million.

In the first half of 2024, the trade surplus was $2.55 billion, resulting from exports worth $2.835 billion and imports of $285 million.

Regarding exports from the country’s northwestern provinces, they totaled $4.293 billion in 2023, ranking third in the country’s total exports, with a 6.4% share. The region stood out in the metal mining and lithium sectors and fruit production, accounting for 23.2% of the national metal exports, 100% of the national lithium output, valued at $846 million, as well as 97.1% of lemon exports, and 31.4% of blueberry exports. The region also played a significant role in the tobacco and sugar industries, with 89.5% and 50.7% of national exports, respectively, according to data from the National Institute of Statistics and Censuses (Indec).

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