MercoPress. South Atlantic News Agency

Record low tariffs in Chile.

The average tariff for Chilean imports reached 3,2% last September, the lowest ever, according to a report from the local Chamber of Commerce, CCS.

The reduction was extensive to goods particularly from Latinamerica, Nafta and the European Union and compensated with tariff increases for Asian products mainly from China and Japan.

The Chamber of Commerce estimates that once the reductions contemplated in the free trade agreement with the EU are effectively operational, the average tariff level could drop further to 2,8%.

The agreement with the EU has seen bilateral tariffs drop from an average 6% to 1,1% and probably 0,5% in the coming months.

"The new reductions included in the timetable agreed with the EU, together with the coming into effect of the agreements with the US and South Korea, will lower the average tariff to 2% in 2004 and 1,9% in 2005", indicates the CCS report.

During September 52% of Chilean imports came from countries with which Chile has bilateral agreements. However that percentage will increase as the trade agreements with the US and South Korea becomes effective.

With the Chilean economy growing at an annual rate of 3,2%, the country's exports during the third quarter increased 13,5% compared to the same period a year ago. Imports on the other hand experienced a 4% growth.