MercoPress. South Atlantic News Agency

Magallanes exports increase 18%

In spite of suffering a 1% economic contraction in the first quarter of this year, compared to the same period in 2003, Magallanes Region exports jumped 18%, according to the latest release by the Regional Chilean Finance Ministry Representative and the National Statistics Office.

Representative Bernardo Troncoso and Jose Gabriel Parada head of Statistics indicated that regional activity had dropped 1% in the first quarter of 2003, "but if methanol is not included, (currently suffering from Argentina's cut in natural gas supply), the region's GDP expanded 1,3% and the number of people employed grew 3,2%".

Services, retailing, car sales, farming, forestry and public utilities, (energy, gas and water) were the most dynamic sectors during the first quarter of 2003, while mining, fisheries, construction (because of cuts in government capital expenditure), manufacturing, transport and communications showed a contraction.

Exports FOB jumped 18,1% from 148 million US dollars to 175 million US dollars with APEC countries figuring as the main trade partner 32%, followed closely by the European Union with 27%.

Mr. Troncoso also pointed out that contrary to general belief, Magallanes Region following the Asian financial crisis of 1997 actually responded better than the whole of Chile's economy.

Between 1997 and 2000 Magallanes Region GDP expanded annually at an average 4,24% compared to the 3,03% average of the overall Chilean economy.