South American Real Estate News
/ Month / June

A snapshot of Argentine farming sectors changes

image of South American crops
Where agribusiness goes in Argentina, so does the country. The latest National Survey of Agricultural Producers (ENPA), was conducted the Agribusiness Centre of the Universidad Austral, in partnership with the Centre for Agribusiness at Purdue University (USA), reflects how the farming activity is changing in the view of many producers.  A new model, more capital intensive per hectare, exists now in order to grow products more integrated into the chain individually or associatively with other producers. They…

New varieties account for 11% of the 2017-18 Chilean table grape exports

With the Chilean table grape export season almost over, resulting in 731,851 tons up to week 25,  this figure is only 811 tons lower than the total exported in the previous season. This is is a good sign, certainly when considering the rains that affected the late varieties harvest in the Chilean central-south zone. Although major changes in the export distribution per market have not been reported, apart from the lower exports to the U.S. and higher exports to Asia, the main news this season is given by the…

The Forestry industry in Argentina: Opportunities and challenges for this neglected sector

From the forests of the Provinces of Corrientes, Entre Rios and Misiones to a new building being constructed in Santa Fe, a bookstore in Tierra del Fuego or furniture in the shops of Buenos Aires, the forestry industry involves a number of dissimilar activities linked by the cycle of wood from the tasks of afforestation in Argentina Mesopotamia, to the manufacture of pulp and paper, the creating of high-end furniture and even renewable energy projects. As a whole, this sector is responsible for 100,000 direct…

Argentina’s worst drought in 50 years has crushed the country’s cash flow

The economic activity in April fell 0.9% annualised and 2.7% in March, but with a production drop of 30% in agriculture and livestock. It is thought the degree of the drop could reflect the beginning of a short-term recession. The worst drought in 50 years struck negatively with economic activity in April, which fell 0.9% year on year and 2.7% from March, seasonally adjusted, reported yesterday by the INDEC . The results of analysed data are conclusive. The agricultural sector showed a decline of 30.8% year…

LatAm Investor – Latin America Loves Trade Deals

What happened? Chile, Mexico and Peru in March became members of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). The agreement reduces tariffs between 11 countries, including Japan and Canada, which amount to 13% of the global economy. Against the backdrop of President Trump’s withdrawal from the deal and doubts over the future of NAFTA, the CPTPP shows that Latin American nations still have an appetite for trade agreements. The strong Latin American showing in the CPTPP…

Update on Uruguay farm leasing values and regions

Increases the value and volume of the land leased  The departments ( small provinces ) in Uruguay with the most leased area are Artigas, Soriano and Rio Negro. Livestock accounts for 45% and 31% was connected with non irrigated agriculture. Leasing contracts totaling more than 280,000 hectares, amounting to USD 42.6 million in value. In 2017 the land leased increased 45% over 2016, according to the Ministry of Livestock, Agriculture and Fisheries (MGAP). The surface area grew 40%, surpassing 908,000 hectares…

Technology and its distruptive impact on the real estate industry

What is the transformative impact of technology for Real Estate Brokers . “Real Estate Agents will not be replaced by technology …. they will be replaced by agents with technology.” – Peter Williams – CEO of Deloitte Digital The principle here is that the real estate industry is not in imminent danger of being replaced by a single technology solution that completely disintermediates the process and makes the role of the agent obsolete, but rather that the transformations in the industry…

The Necessary Legal Steps to Buy Real Estate in Chile

The three major phases of any property purchase in Chile are negotiation and title search, contract signing or closing, and title registration and payment. Each particular property purchase may have many other considerations, the timing of these stages may vary greatly; but, broadly, all properties in Chile will go through these three steps or the property purchase sooner or later, or it is not a legally valid or complete purchase. There is one additional phase, that is generally optional, but common. We could…

Inheritance and Wills in Chile

The basic order of inheritance in Chile after someone dies is that of surviving spouse, children, parents, grandparents, siblings, and then cousins. This also includes rights of spouses and children for their direct ascendant or decedent to inherit. You are allowed to give a certain percentage of your estate in a will to whom ever you like, but for the most part you can not avoid giving these family members with mandatory inheritor rights a portion of your estate by just drafting a will. There are certain exceptions…

Argentina’s Stock Market gives a vote of confidence in the economies future

The upgrade from a Frontier Economy to a Emerging one means funds that track the emerging markets index will now be able to invest in foreign-listed shares of Argentine companies. The Global X MSCI Argentina exchange-traded fund, which is composed of that index, was up 1.7% at $28.96 as of 5:20 p.m. local time (2020 GMT). But local stocks, as well as other Argentine assets, were benefiting from improved sentiment. Argentina’s country risk – a measure of the spread between its bond yields and those…

Argentina Wins Upgrade to Emerging Status after nine long years

Argentina won promotion to emerging-market status for the first time in almost a decade, rewarding President Mauricio Macri for his efforts to scrap capital controls and normalize the economy after taking over in 2015 following years of mismanagement. The decision by MSCI Inc., which dropped Argentina to frontier status in 2009, may set the stage for a 20 percent gain in the benchmark equity index, Morgan Stanley says, after a peso rout created one of the world’s worst-performing stock markets in dollar terms.…

How to Register a New Company in Peru:

Do you want to form a company in Peru but don’t know where to start?  It can be frustrating being unaware of the company incorporation process in another country. In this article, we remove a headache and provide you with all the information you need to successfully register a company in the growing economy of Peru. Let’s get right into it. What Type of Company Should I Form in Peru? There are different types of company structures you can choose from to start your business in Peru. The right one depends…

Argentina sets its aspirations to become once again a global meat heavyweight

Argentina’s minister of agriculture Luis Miguel Etchevehere has set aspirations to be among the largest global meat suppliers in the near future. “Speaking at the Expo Nacion Ganadera Norte and Grand National Exhibition of Brangus in Chaco, Etchevehere revealed his goal was to produce and sell more meat domestically and in the international markets. The Argentine minister said the Government needed the public’s support to continue showing the potential of Argentine livestock and to work together…

Harvard’s Endowment writes down huge losses in Brazilian Farmland

As of Q3 2017, Harvard’s endowment was valued at USD 37.1 billion. This ranked Harvard first out of 1,158 ranked university endowments in the United States. In its fiscal year which ended June 30, 2017, Harvard wrote down its natural resources portfolio 28 percent from USD 4 billion to USD 2.9 billion. This USD 1.1 billion write-down – or financial loss – occurred partly from Harvard’s ambitious investments in the farmland in Brazil. Harvard’s money managers, who were paid USD 242 million from 2010…

Peru expects to export 15% more Hass avocados in 2018

Peru expects to export 10 to 15% more Hass avocados in the 2018 campaign than the 230 thousand tons it dispatched in the 2017 campaign. The president of the Hass Avocado Producers Association of Peru (ProHass), Daniel Bustamante Canny, said the volume dispatched would increase because of the new areas that would enter into production and the plantations that entered the maturity stage and increased their productive returns. He also said that it was still too early to know the exact volume because the trees…