Agriculture in Chile

Agriculture in Chileencompasses a wide range of different activities due to its particulargeography,climate,geologyand human factors. Historically agriculture is one of the bases of Chile'seconomy, now agriculture and allied sectors—likeforestry,loggingandfishing—account only for 4.9% of theGDPas of 2007 and employed 13.6% of the country'slabor force. Some major agricultural products of Chile include grapes, apples, onions, wheat, corn, oats, peaches, garlic, asparagus, beans, beef, poultry, wool, fish and timber.Due to its geographical isolation and strictcustomspolicies, Chile is free from diseases such asMad Cow,fruit flyandPhylloxera, this plus being located in the southern hemisphere (having quite different harvesting times compared to the Northern Hemisphere) and its wide range of agriculture conditions are considered Chile's maincomparative advantages. However, the mountainous landscape of Chile limits the extent and intensity of agriculture so thatarable landcorresponds only to 2.62% of the total territory.
Chile's principalgrowing regionand agriculturalheartlandis theCentral Valley, bounded by theChilean Coast Rangeto the west, theAndesto the east,Aconcagua Riverto the north, andBío-Bío Riverto the south. In the northern half of Chile, cultivation is highly dependent onirrigation. South of the Central Valley, cultivation is gradually replaced byaquaculture,silviculture,sheepandcattlefarming.
Chile is one of the 5 largest world producers ofcherryandcranberry, and one of the 10 largest world producers ofgrape,apple,kiwifruit,peach,plumandhazelnut, focusing on exporting high-value fruits.
In 2018, Chile was the 9th largest producer of grape in the world, with 2 million tons produced; the 10th largest producer of apple in the world, with 1.7 million tons produced; and the 6th largest producer of kiwifruit in the world, with 230 thousand tons produced, in addition to producing 1.4 million tons ofwheat, 1.1 million tons ofmaize, 1.1 million tons ofpotato, 951 thousand tons oftomato, 571 thousand tons ofoats, 368 thousand tons ofonion, 319 thousand tons of peach, 280 thousand tons ofpear, 192 thousand tons ofrice, 170 thousand tons ofbarley, 155 thousand tons ofcherry, 151 thousand tons oflemon, 118 thousand tons oftangerine, 113 thousand tons oforange, 110 thousand tons ofolives, 106 thousand tons of cranberry, in addition to smaller productions of other agricultural products.
TheNorte Granderegion covers most ofAtacama Desertand its crop agriculture is contracted around small oases, such asPica(known for itsLimón de Pica) andPozo Almonte. The use of water fromLoa Riverand other streams is limited due to contamination withheavy metalsfrom the mining industry. Some minor subsistence agriculture is practised in Loa River. Recently these waters are being used for growing non-edible plants, such asflowers. In Norte Grande'sPunaplateau, indigenousAymaraspractise traditionalllamaandalpacaherding.[2]
Norte Chicohas asemi-arid climatethat limits agriculture to theTransverse Valleys, namely;Choapa,Copiapó,Elqui,LimaríandAconcagua. Most agriculture here is dependent on irrigation. Norte Chico is known for its production ofgrapesforPiscoandpapayas. Other crops cultivated includeolivesandavocados[3].
Zona Centralis Chile's agricultural and cultural heartland. With itsmediterranean climate, Zona Central hosts the largest part of the country'swine regions. Most of Chile's premium wine regions depend onirrigationto sustain vineyards, the necessary water formed by melting snow caps in the Andes. In the developing wine regions along theCoastal Rangesand in the far south, there is not a lack of needed rainfall but vineyards owners have to deal with other factors, such as theHumboldt Currentfrom the Pacific which can bathe a vineyard with a blanket of cool air. For the rest of Chile's wine regions, the Coastal Ranges serve as a buffer from the current and also act as arain shadow. The vineyards in these regions are planted on thevalleyplains of the Andes foothills along the major rivers such as theMaipo,RapelandMaule Rivers.
Wheat cultivation,cattlefarming,silvicultureandsalmon aquacultureare the main agricultural activities ofZona Sur. In northern Zona SurAraucania Regionwas known until recently as "Chile’s granary". Wheat in Araucanía continues to be the main crop; however, production of oats and lupine has increased significantly.[4]While the area devoted to traditional crops and natural pasture has tended to shrink in Araucanía, there has been an increase in artificial and improved pasturelands. This supports a substantial mass of livestock, including beef cattle, swine, sheep, and horses, and abundant production of milk and by-products.SalmonaquacultureisLos Lagos Regionlargest source of jobs and main export industry.[5]Nearly all of Chile's, and much of the southern hemisphere,blueberryandcranberryproduction is concentrated in Zona Sur.
Cultivation andproduction of hazelnuts in Chileis centred in the south-central regions fromMauletoLos Lagos. Production increased greatly in the 2010s.In 2016 Chile exported about 6,500 tons of hazelnuts.Chilean hazelnuts are described by Reuters as an alternative to Turkish hazelnuts that dominate the international market.
InZona Austral, sheepherding has been a major industry since the 19th century. In theMagallanes Regionalone, there is an estimate of 1.5 and 2 million sheep that is 
distributed among 300 farmers as of 2006.Exotic species, likereindeer, have been introduced in recent years.[6]Agriculture in the north-western parts of Zona Austral (Aisén,ChiloéandPalena) focuses onaquacultureandsilvicultureand is similar to that ofZona Sur.
Evidence ranging from historical records, local agriculturalists, and DNA analyses strongly supports the hypothesis that the most widely cultivated variety of potato worldwide,Solanum tuberosum tuberosum, is indigenous toChiloé Islandand has been cultivated by the local indigenous people since before the coming of the Spanish.
At the time of the arrival of the first Spaniards to Chile the largest indigenous population concentration was in the area spanning fromItata RivertoChiloé Archipelago.In this area indigenous groups practisedgladeagriculture among the forests.The forests providedfirewood, fibre and allowed the production of planks.Agriculture type varied; while some Mapuches and Huilliches practised aslash-and-burntype of agriculture some more labour-intensive agriculture is known to have been developed by Mapuches aroundBudi Lake(raised fields) and theLumacoandPurénvalleys (canalized fields).Pre-Hispanic agriculture extended as far south as theGuaitecas Archipelago(44° S), were indigenousChonoscultivatedChiloé potatoes.Tools are known to have been relatively simple. In addition the Mapuche and Huilliche economy was complemented withchilihuequeraising, fishing, collection of shellfish and algae.
As the Spanish settled in Chile in the 16th century many cities were founded and indean labour partitioned among Spanishconquistadores.Beyond subsistence the 16th century economy of Chile was oriented towards large-scale production. Spanish colonizers used large amounts of indigenous labour following the slave labour system used in thesugar caneplantations of theMediterranean islandsandMacaronesia. This system of labour successively killed the production base leading to the imposition of theencomiendasystem by the Spanish Crown in order to prevent excesses. In Chile Spanish settlers managed to continue to exploit indigenous labour under slave like conditions despite the implementation of the encomienda. Rich Spanish settlers had over time to face opposition to their mode of production byJesuits, Spanish officials and indigenousMapuches.
The initial Spanish settlers ofChiloé Archipelago(conquered in 1567) attempted to base their economy ongold extractionand a "hispanic-mediterranean" agricultural model. This activity ended in a general failure given the unsuitable conditions of the archipelago.Spaniards however reoriented their activities into loggingFitzroya.
Thecollapse of the Spanish citiesin the south following thebattle of Curalaba(1598) meant for the Spaniards the loss of both the main gold districts and the largest indigenous labour sources.After those dramatic years the colony of Chile became concentrated in thecentral valleywhich became increasingly populated, explored and economically exploited. Following a tendency common in the wholeSpanish Americahaciendaswere formed as the economy moved away from mining and into agriculture and husbandry.
In the 17th century economy of theViceroyalty of Peru, Chile's husbandry and agriculture based economy had a peripheral role, contrasting to ore-rich districts likePotosíand the wealthy city ofLima. Husbandry products made up the bulk of Chilean exports to the rest of the viceroyalty. These products includedsuet,charquiandleather. This trade made Chilean historianBenjamín Vicuña Mackennalabel the 17th century thecentury of suet(Spanish: Siglo del sebo).Other products exported included dry fruits, mules, wines and minor amounts of copper.Trade with Peru was controlled by merchants from Lima that enjoyed protection by the Spanish authorities in Lima.In addition to the exports to coastal Peru Chile also exported products inland toUpper Peruthrough the port ofArica.Trade inside Chile was small since cities were tiny andself-sufficient.
In the 1650–1800 period the Chilean lower classes grew considerably in size.To deal with the poor and landless population a policy of founding citiesand granting lands in their surroundings was implemented.From 1730 to 1820  a large number of farmers settled in the outskirts of old cities or formed new cities.Settling as a farmer in the outskirts of old cities (La Serena,Valparaíso,SantiagoandConcepción) was overall more popular than joining a new city since it secured a larger consumer market for agricultural products.Chileanhaciendas(latifundia) engaged little in the supply of Chilean cities but focused on international exports for revenues.
Chile begun exporting cereals toPeruin 1687 when Peru was struck by bothan earthquakeand astem rustepidemic.Chilean soil and climatic conditions were better for cereal production than those of Peru and Chilean wheat was cheaper and of better quality than Peruvian wheat.According to historiansVillaloboset al. the 1687 events were only the detonant factor for exports to start.TheChilean Central Valley, La Serena and Concepción were the districts that came to be involved in cereal export to Peru.Compared with the 19th century the area cultivated with wheat was very small and production modest.
Initially Chileanlatifundiacould not meet the wheat demand due to a labour shortage, so had to incorporatetemporal workersin addition to the permanent staff. Another response by the latifundia to labour shortages was to act as merchants buying wheat produced by independent farmers or from farmers that hired land. In the period 1700 to 1850 this second option was overall more lucrative.
The 1687 Peru earthquake also ended a Peruvian wine-boom as the earthquake destroyedwine cellarsand mud containers used for wine storage.The gradual decline of Peruvian wine even caused Peru to import some wine from Chile as it happened in 1795 when Lima imported 5.000 troves (Spanish:botijas) fromConcepciónin southern Chile.This particular export showed the emergence of Chile relative to Peru as a wine-making region.
The independence wars in Chile (1810–1818) and Peru (1809–1824) had a negative impact on the Chilean economy. Trade was disrupted and armies in Chile pillaged the countryside. The war made commerce a high risk activity and royalist Peru, then the only market for Chilean agricultural products, was closed to commerce with independent Chile. TheGuerra a muertephase was particularly destructive for theBiobío areaand ended only to see a period of outlawbanditry(e.g.Pincheira brothers) occur until the late 1820s.
TheChilean silver rushthat developed from 1830s onward led a significant impact in agriculture as rich miners invested in the agriculture sector.German immigrantsthat arrived from 1850 to 1875 pioneered the use ofwage labourin agriculture.
In the 19th century, access to theCalifornianandAustralianmarkets made wheat export a very lucrative activity.In the mid 19th century, these countries experienced largegold rusheswhich created a large demand for wheat. Chile was at the time the "only wheat producer of some importance in the Pacific".At the same time as the wheat cycle new irrigation canals were built andapicultureand some machines introduced into Chilean agriculture.Apart from that, new markets were explored for Chilean agricultural products.The wheat boom did not last for long; by 1855 California managed to supply itself with wheat and from 1858 onwards it went over to export wheat to Chile.TheAustralian gold rush of 1851had the effect of decreasing the labour used in agriculture forcing the colony to import wheat from Chile sustaining Chilean wheat exports whilst the Californian market vanished.After the gold rushes of California and Australia were over these regions begun exporting wheat competing with Chilean wheatforcing from the mid-1860s onwards wheat exports to be shifted to England.Between 1850 and 1875 the area cultivated with wheat and barley for export in Chile rose from 120 to 450 ha.The "cycle" came to an end in the late 1870s due to the increased technification ofagriculturein the United States and Argentina plus the competition ofRussiaandCanada.The end of the wheat cycle added to the alreadydifficult situationthat Chilean economy was passing through in the 1870s.
Until the mid-19th century more than 80% of Chilean population remained rural working in agriculture or mining and was to a large degree self-sufficient to produce articles of consume.
Starting in 1873,Chile's economy deteriorated.In agriculture this was seen asChilean wheat exportswere outcompeted by production inCanada,Russia, andArgentina.As the victor and possessor of a new coastal territory following theWar of the Pacific, Chile benefited by gaining a lucrative territory with significant mineral income. The national treasury grew by 900 percent between 1879 and 1902, due to taxes coming from the newly acquired lands.British involvement and control of the nitrate industry rose significantly,but from 1901 to 1921 Chilean ownership increased from 15% to 51%.The growth of Chilean economy sustained in its saltpetre monopolymeant, compared to the previous growth cycle (1832–1873), that the economy became less diversified and overly dependent on a single natural resource.
The establishment of theBuenos Aires-Mendoza railroadin 1885 ended the lengthy and costly trade withcartsthat connected these two regions of Argentina and facilitated cattle exports from thepampasto Chile, albeit in the last portion of the route the cattle had to walk over the highmountain passesof theAndes.These imports resulted in a lowering of meat prices in Chile.Sociedad Nacional de la Agricultura(National Agriculture Society), a landowners organization, pushed for a tariff on Argentine cattle and in 1897 the tariff was passed in a bill at the Chilean congress.The unpopular tariff resulted a massive protest in that degenerated into adestructive riot in Santiagoin October 1905.Chilean wine exports to Argentina were hampered by the lack of effective land transport and a series of war scares. This situation changed after thePactos de Mayowere signed in 1902 and the inauguration of theTransandine Railwayin 1909, making war unlikely and trade across the Andes easy. Governments agreed to sign a free trade agreement. Argentine winegrowers association,Centro Vitivinícola Nacional, dominated by European immigrants protested vigorously against the free trade agreement since Chilean wines were considered a threat to the local industry. The complaints of Argentine wine growers in conjunction with that of Chilean cattle farmers represented inSociedad Nacional de la Agriculturaended up tearing down the plans for a free trade agreement.
Tierra del Fuego and much ofMagallanes Regiondid also experienced afast growth of the sheepherding industrysince the 1880s accompanied by colonization of the sparsely populatedPatagonian grasslands.In the South-CentralAraucaníatheChilean invasionof nativeMapucheterritory caused the economy of Araucanía to change from being based on sheep and cattle herding to one based on agriculture andwood extraction.The Mapuches' loss of land following the occupation caused severeerosionsince Mapuches continued to practice large-scale livestock herding in limited areas.
The 1900–1930 period contributed some of the largest growth of agriculture in the 20th century until the 1980s.Despite this, conditions for rural workers remained harsh, withTancredo Pinochetdenouncing the poor conditions of workers in thehaciendaof presidentJuan Luis Sanfuentesduring his presidency (1915–1920).Within adual sector economic modelthe Chilean hacienda has been characterized as a prime example of a primitive and rural component.McBride, a British who visited Chile in the 1930s, is reported to have been "astounded" to see haciendas with "agricultural methods that reminds ofancient Egypt, Greece or Palestine."
Starting in 1953 the growth rate of Chilean economy decreased to an annual average of 0.7% but increased to an annual average of 2.4–3.0% in the 1957–1960 period.The decline in the economic growth from 1953 was attributed by some to a neglect of agriculture.The agrarian production in Chile contracted from 1950 onwards.A government plan set up in 1954 to address this ended with meager results and in 1958 a new plan was presented.That plan allowedCORFOto develop investments indairy plants,refrigeratedslaughterhouses,sugar refineriesand transport infrastructure.