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Value Chain Definition on the Beverage in Chile.

The beverage industry value chain in Chile encompasses a series of interconnected steps, from the sourcing of raw materials to the final consumption of the product. This chain involves various actors and activities that contribute to the production, distribution, and sale of a wide range of beverages, including alcoholic and non-alcoholic drinks. Understanding this value chain is crucial for analyzing the industry's dynamics, identifying key players, and understanding the flow of products and value within the Chilean market.

Value Chain outline

The beverage industry value chain in Chile can be broken down into the following comprehensive steps:

1. Raw Material Supply

This initial step involves the sourcing and provision of all necessary inputs for beverage production.

  • Identification and description of segments for each step of the value chain.

    • Agricultural Inputs: Cultivation and harvesting of agricultural products used as primary ingredients (e.g., fruits for juices, barley for beer, grapes for wine).
    • Other Ingredients: Production and supply of concentrates, sweeteners, flavorings, colorings, CO2, and other additives.
    • Packaging Materials: Manufacturing and supply of bottles (plastic and glass), cans, caps, labels, and other packaging components.
  • List of types of players in each segment

    • Agricultural Input Producers: Farmers, fruit growers, grain producers.
    • Ingredient Suppliers: Specialized chemical companies, ingredient manufacturers, agricultural processors.
    • Packaging Manufacturers: Glass manufacturers, plastic packaging companies, aluminum can producers, label printers.
  • Detailed description of the main activities within each segment.

    • Agricultural Inputs: Farming, cultivation, harvesting, primary processing (e.g., pressing fruits, malting barley).
    • Other Ingredients: Chemical synthesis, extraction, blending, quality control of concentrates, sweeteners, and additives.
    • Packaging Materials: Molding, blowing, filling, printing, and assembly of various packaging formats.
  • List examples of key players with detailed profiles.

    • Iansa Ingredientes S.A.: A supplier of sweeteners, among other ingredients, for the beverage industry in Chile. Part of Empresas Iansa, which focuses on providing ingredients and raw materials to food and beverage companies, emphasizing quality and logistics efficiency.
    • Sucden Chile S.A.: Another key supplier of sweeteners.
    • Linde Gas Chile S.A.: A supplier of carbon dioxide (CO2), essential for carbonated beverages.
    • Envases CMF S.A.: A supplier of plastic bottles and containers.
    • Cristalerías de Chile S.A. and Cristalerías Toro S.P.A.: Suppliers of glass bottles.
    • Sinea S.A.: A supplier of plastic caps.
    • Impregraph Ltda.: A supplier of labels.
    • Plásticos Arpoli S.P.A.: A supplier of shrink wrap materials.
    • Grupo Blumos Chile: Provides specialized solutions and ingredients for the beverage industry, focusing on flavor, sweetness, aroma, and stability for both alcoholic and non-alcoholic drinks.
    • Grupo Mathiesen: Offers a wide range of raw materials and ingredients for the food and beverage industry, providing technical support and ensuring compliance with local regulations and international quality certifications.
    • The Coca-Cola Company: Supplies the concentrate for Coca-Cola bottlers.

2. Production and Bottling

This step involves the manufacturing and packaging of various beverages.

  • Identification and description of segments for each step of the value chain.

    • Carbonated Soft Drinks (CSD) Production: Manufacturing of sugary and diet carbonated beverages.
    • Juice Production: Processing of fruits and vegetables into juices and nectars.
    • Bottled Water Production: Sourcing, purifying, and bottling of various types of water.
    • Alcoholic Beverage Production: Brewing of beer, vinification of wine, distillation of spirits.
    • Other Beverages: Production of energy drinks, isotonic drinks, teas, coffees, and dairy-based beverages.
    • Co-packing/Contract Manufacturing: Companies that provide bottling and packaging services for other brands.
  • List of types of players in each segment

    • Major Bottling Companies: Large-scale producers operating under licenses (e.g., Coca-Cola system bottlers).
    • Breweries: Producers of beer (ranging from large industrial breweries to smaller craft breweries).
    • Wineries: Producers of wine.
    • Distilleries: Producers of spirits.
    • Juice Processors: Companies specializing in fruit and vegetable juice production.
    • Water Bottlers: Companies that purify and bottle water.
    • Co-packers: Companies offering contract manufacturing services.
  • Detailed description of the main activities within each segment.

    • Beverage Production: Water treatment, syrup preparation, blending of ingredients, carbonation (for CSD), pasteurization, filling, sealing, labeling, and quality control.
    • Packaging: Filling of beverages into various containers (bottles, cans), sealing, labeling, and secondary packaging (cases, trays).
    • Quality Control: Testing of raw materials, in-process samples, and finished products to ensure safety and quality standards are met.
  • List examples of key players with detailed profiles.

    • Embotelladora Coca-Cola Andina S.A.: One of the largest Coca-Cola bottlers in Latin America, operating in Chile (among other countries). Involved in the production and distribution of Coca-Cola products.
    • Coca-Cola Embonor S.A.: The second largest Coca-Cola bottler in Chile, also operating in Bolivia. Produces and distributes non-alcoholic beverages under license from The Coca-Cola Company. Operates multiple production plants in Chile and sells approximately 37% of the total Coca-Cola volume in the country. Also distributes alcoholic beverages for Diageo Plc in certain channels in Chile.
    • Embotelladora Dos Banderas: A Chilean company based in the south, dedicated to the production of various packaged beverages, including water and isotonic drinks, and also provides co-packing services. Has an alliance with Cencosud for producing a specific soft drink.
    • Grupo Ur Garbia: A Chilean co-packing company specializing in the development and packaging of beverages in various formats (cans, PET, glass), offering services from idea to commercialization. Positions itself as the 3rd largest bottler.
    • CCU S.A. (Compañía de Cervecerías Unidas S.A.): A major beverage company in Chile with a diverse portfolio including beers, soft drinks, juices, water, and spirits. A key player in the beer market, working on innovation including non-alcoholic options.
    • Krones Chile: Provides machinery and solutions for bottling and packaging processes in the beverage industry.

3. Distribution

This step involves the movement and storage of finished beverage products from production facilities to sales points.

  • Identification and description of segments for each step of the value chain.

    • Primary Distribution: Transport of large volumes from production plants to distribution centers or major wholesalers.
    • Secondary Distribution: Delivery of smaller volumes from distribution centers to various retail outlets (supermarkets, convenience stores, Horeca, etc.).
    • Warehousing and Storage: Managing inventory in storage facilities, including temperature-controlled storage for certain beverages (e.g., wine).
    • Logistics Services: Planning, managing, and optimizing the flow of goods, including transportation, warehousing, and inventory management.
  • List of types of players in each segment

    • In-house Distribution Arms: Large beverage companies often have their own distribution networks.
    • Third-Party Logistics (3PL) Providers: Companies specializing in transportation, warehousing, and logistics for various industries, including beverages.
    • Wholesalers: Businesses that buy in bulk from producers/importers and sell to retailers.
    • Distributors: Companies with exclusive or non-exclusive rights to distribute specific brands or product categories within a geographical area.
  • Detailed description of the main activities within each segment.

    • Transportation: Moving goods using various modes of transport (trucks, potentially rail or sea for longer distances or imports/exports).
    • Warehousing: Receiving, storing, picking, and packing products in warehouses and distribution centers.
    • Inventory Management: Tracking stock levels, managing orders, and optimizing inventory flow to meet demand.
    • Route Optimization: Planning efficient delivery routes to minimize costs and delivery times.
  • List examples of key players with detailed profiles.

    • Coca-Cola Embonor S.A. and Embotelladora Andina S.A.: Have extensive distribution networks across their territories in Chile.
    • Transwell: A transportation, distribution, and logistics company that uses trucks (like the Iveco Tector) for beverage delivery.
    • Jungheinrich Chile: Provides intralogistics solutions, including forklifts and warehouse equipment, which are relevant for beverage warehousing and distribution.
    • TIBA Group: Offers logistics services for beverages, including international transport, customs clearance, and national distribution, with expertise in handling sensitive products like wine requiring temperature control. Has an office in Santiago de Chile.
    • Lerol Trading: Facilitates international trade and logistics, connecting suppliers with importers, distributors, and retailers, handling the commercial and logistical process for various products, including food and beverages.

4. Retail and Sales

This step involves the selling of beverages to the final consumer through various channels.

  • Identification and description of segments for each step of the value chain.

    • Supermarkets and Hypermarkets: Large retail stores offering a wide variety of beverages alongside other groceries and products.
    • Convenience Stores: Smaller stores with extended hours, strategically located for quick purchases of basic items, including beverages.
    • Specialized Stores: Outlets focusing specifically on certain beverage types, such as liquor stores ("botillerías") or gourmet tea/coffee shops.
    • Horeca Channel: Sales to hotels, restaurants, and cafes for on-premise consumption.
    • E-commerce/Online Retail: Sale of beverages through websites and mobile applications for home delivery or pickup.
    • Traditional Retail: Small independent neighborhood stores ("almacenes de barrio").
  • List of types of players in each segment

    • Supermarket Chains: Large companies operating multiple supermarket and hypermarket branches.
    • Convenience Store Chains: Companies operating networks of convenience stores, often linked to gas stations or standalone.
    • Independent Retailers: Owners of small stores, specialized shops, restaurants, cafes, and bars.
    • Online Retail Platforms: E-commerce websites and delivery app companies.
  • Detailed description of the main activities within each segment.

    • Merchandising: Displaying and promoting beverages in stores.
    • Sales and Customer Service: Assisting customers and processing transactions.
    • Inventory Management: Managing stock levels on shelves and in storage areas within the retail location.
    • Marketing and Promotion: Implementing strategies to attract customers and drive sales of beverages.
    • Online Order Fulfillment: Receiving and preparing online orders for delivery or pickup.
  • List examples of key players with detailed profiles.

    • Cencosud S.A.: A major multinational retailer with significant presence in Chile, operating supermarket and hypermarket chains like Jumbo and Santa Isabel. These stores are key points of sale for a wide range of beverages.
    • SMU S.A.: Another prominent supermarket operator in Chile, with banners like Unimarc and Alvi.
    • Walmart Chile: Operates various supermarket formats in the country. (Common knowledge of major retailers in Chile, though not explicitly detailed in provided search results within the 2022-2025 range).
    • OK Market and Big John: Examples of convenience store chains in Chile.
    • upa! (operated by Enex, Shell licensee) and Pronto (operated by Copec): Convenience store chains often located at gas stations, expanding their presence in urban areas. These offer a selection of beverages.
    • Rappi: A food delivery app that also facilitates the sale and delivery of beverages, including alcoholic ones from liquor stores.
    • Various independent "botillerías" (liquor stores), restaurants, bars, and small neighborhood stores: These form a significant part of the retail landscape for beverages in Chile.

5. Consumption

The final step where consumers purchase and consume beverages.

  • Identification and description of segments for each step of the value chain.

    • Individual Consumers: People purchasing beverages for personal or household consumption.
    • Foodservice Consumers: People consuming beverages in restaurants, cafes, bars, hotels, and other institutions.
  • List of types of players in each segment

    • General Public
    • Patrons of Horeca Establishments
  • Detailed description of the main activities within each segment.

    • Purchasing Decisions: Choosing beverages based on factors like price, brand, type, perceived health benefits, and occasion.
    • Consumption Occasions: Enjoying beverages at home, at social gatherings, in restaurants, at work, etc.
  • List examples of key players with detailed profiles.

    • No specific "players" in the traditional business sense at this stage, but rather the end consumers whose preferences and behavior drive the entire value chain. Consumer trends like the increasing interest in healthier options, non-alcoholic beverages, and premium products are key drivers.

Show estimates of volumes and sizes of each step in the value chain.

Providing precise volume and size estimates for each specific step and segment across the entire beverage value chain in Chile with recent (2024-2025) data based only on the provided search results is challenging, as the available data is fragmented by beverage type and sometimes by value chain stage. However, I can provide the available figures:

  • Overall Food and Beverage Processing Industry: Represented 15.2% of Chile's exports (USD 15 billion) in 2022. Contributed 3.9% to national GDP in 2022. 54% of total food production is for the domestic market.
  • Production/Bottling:
    • Beer Production: Estimated national production of 9.66 million hectoliters in 2023.
    • Coca-Cola Embonor Sales Volume (Chile Operation): 190.2 million unit cases (1,080 million liters) in 2024, a slight decrease of 0.3% from 2023.
  • Retail/Sales:
    • Retail market in Chile (including Food, Beverages, and Groceries) grew considerably in 2024 and is projected to grow at a CAGR of 5.90% between 2025 and 2034. The "Food, Beverages, and Groceries" category is a key component of the retail market.
    • Supermarkets represented 48.2% of the food retail market in 2015. More recent specific percentages for supermarkets and other retail channels for beverages specifically are not available in the search results.
    • Online sales of food and beverages in the Gran Santiago area represented an estimated 5% of total online sales with significant annual growth (though the base year for this estimate is not specified, likely pre-2022 based on context).
  • Consumption:
    • Beer Consumption: 57 liters per capita in 2023, a significant increase from 30 liters in 2005. Beer represents 77% of total alcohol sales by volume.
    • Alcohol Consumption (Pure Alcohol): 6.8 liters per capita (15+ years) in 2019, a decrease from previous years.
    • Sugary Drink Consumption: Decreased by 21% following a tax increase in 2014 (data up to 2015).
    • Bottled Water Market Size: USD 1.71 billion in 2024, projected to reach USD 2.68 billion in 2034.
    • Soft Drinks Market Size: Approximately USD 1.73 billion in 2024, projected to reach USD 2.41 billion in 2034.
    • Juice Market Size: Expected to reach USD 595.5 million in 2034 (no specific 2024 value provided, but the report covers 2025-2034 forecast).
    • Non-alcoholic beer represented 1.4% of beer consumption in Chile (compared to 2.5% globally) as of July 2023.
    • The healthy processed food and beverage market was 19% of retail sales in the processed food and beverage industry in Chile in 2012.

Due to the data availability in the search results, providing a complete volume and size estimate for each step of the value chain for all beverage types for 2024-2025 is not possible. The provided data offers snapshots of specific segments and overall market trends.

Value Chain Summary Table

Value Chain Step Key Segments Types of Players Main Activities Examples of Key Players Available Volume/Size Estimates (Most Recent)
Raw Material Supply Agricultural Inputs, Other Ingredients, Packaging Materials Farmers, Ingredient Suppliers, Packaging Manufacturers Cultivation, Harvesting, Processing, Chemical Synthesis, Blending, Molding, Printing Iansa Ingredientes S.A., Sucden Chile S.A., Linde Gas Chile S.A., Envases CMF S.A., Cristalerías de Chile S.A., Grupo Blumos (Fragmented data, no overall market size for this step available in provided sources)
Production & Bottling CSD, Juice, Water, Alcoholic Beverages, Other Beverages, Co-packing Major Bottlers, Breweries, Wineries, Distilleries, Juice Processors, Water Bottlers, Co-packers Water Treatment, Syrup Prep, Blending, Filling, Packaging, Quality Control Embotelladora Coca-Cola Andina S.A., Coca-Cola Embonor S.A., Embotelladora Dos Banderas, Grupo Ur Garbia, CCU S.A. Beer Production: 9.66M HL (2023). Embonor Chile Volume: 1,080M liters (2024). Soft Drinks Market Size: ~$1.73B (2024). Bottled Water Market Size: $1.71B (2024).
Distribution Primary Distribution, Secondary Distribution, Warehousing, Logistics Services In-house Distribution, 3PL Providers, Wholesalers, Distributors Transportation, Warehousing, Inventory Management, Route Optimization, Customs Clearance (for imports/exports) Coca-Cola Embonor S.A., Embotelladora Andina S.A., Transwell, Jungheinrich Chile, TIBA Group, Lerol Trading (Data on volume/size of distribution activities not available in provided sources)
Retail and Sales Supermarkets/Hypermarkets, Convenience Stores, Specialized Stores, Horeca, E-commerce, Traditional Retail Supermarket Chains, Convenience Store Chains, Independent Retailers, Online Platforms Merchandising, Sales, Inventory Management, Marketing, Online Order Fulfillment Cencosud S.A. (Jumbo, Santa Isabel), SMU S.A. (Unimarc, Alvi), OK Market, Pronto, Rappi, various "botillerías" and small stores. Retail Market Growth: considerable in 2024, 5.90% CAGR (2025-2034). Supermarkets: 48.2% of food retail (2015). Online F&B Sales (Gran Santiago): ~5% of online sales.
Consumption Individual Consumers, Foodservice Consumers General Public, Patrons of Horeca Establishments Purchasing Decisions, Consumption (Not applicable as "players") Beer Consumption: 57 liters/capita (2023). Alcohol Consumption: 6.8 liters pure alcohol/capita (2019). Bottled Water Market: $1.71B (2024). Soft Drinks Market: ~$1.73B (2024).

Examples of Main Players

Here are profiles and case studies for a few relevant players across different steps of the value chain:

  • Coca-Cola Embonor S.A. (Production & Bottling): Coca-Cola Embonor is a major player in the Chilean beverage industry, holding the license to produce and distribute Coca-Cola products in significant territories across Chile and Bolivia. As the second largest Coca-Cola bottler in Chile, it operates multiple production plants and is responsible for a substantial portion of the Coca-Cola volume sold nationally (around 37%). Their activities include the full production process from receiving concentrates and other raw materials to bottling, packaging, and managing their distribution network. Embonor's performance is influenced by factors like raw material costs (concentrate, sugar, plastic resins), inflation, and exchange rates. In 2024, their sales volume in Chile was 190.2 million unit cases (1,080 million liters). The company has also diversified by distributing alcoholic beverage brands for Diageo Plc in certain channels in Chile.

  • Iansa Ingredientes S.A. (Raw Material Supply): As part of Empresas Iansa, Iansa Ingredientes is a significant supplier of sweeteners to the Chilean beverage industry, including major bottlers like Embotelladora Andina. Empresas Iansa focuses on providing a range of ingredients and raw materials to food and beverage companies, emphasizing quality, efficient logistics, and a reliable supply network, partly supported by being the only beet sugar producer in Chile and through imports.

  • TIBA Group (Distribution): TIBA Group is a logistics operator with a presence in Chile that specializes in providing transport and logistics solutions for various industries, including food and beverages. They offer services covering international freight forwarding, customs clearance, warehousing (including temperature-controlled storage relevant for wine), and national distribution. Their expertise in handling the specific requirements and fragility of beverages positions them as a key service provider in the distribution step of the value chain.

  • Cencosud S.A. (Retail and Sales): Cencosud is one of the largest retail conglomerates in Chile and Latin America, operating extensive supermarket and hypermarket chains such as Jumbo and Santa Isabel. These retail outlets serve as crucial points of sale for a vast array of beverages, from soft drinks and juices to alcoholic beverages. Cencosud's widespread presence and market share in food retail (17.3% of total retail value in 2022) make them a dominant force in the final step of the beverage value chain, connecting producers and distributors with a large consumer base. Their activities in the beverage sector within their stores include purchasing from distributors, merchandising, pricing, and managing promotions to drive sales.

  • OK Market (Retail and Sales - Convenience Stores): OK Market is an example of a growing convenience store chain in Chile. Convenience stores play an increasingly important role in beverage retail, offering accessibility and extended operating hours, catering to immediate consumption needs. While individual convenience stores have smaller volumes compared to supermarkets, their collective presence and strategic locations contribute significantly to beverage sales, particularly for single-serve options and impulse purchases.

Volumes and Sizes

Estimates of volumes and sizes within the Chilean beverage industry, based on the available recent information (2022-2025):

  • Overall Industry Contribution: The food and beverage processing industry as a whole represented 15.2% of Chile's exports in 2022 (USD 15 billion) and contributed 3.9% to the national GDP in the same year.
  • Beer Market:
    • National production was estimated at 9.66 million hectoliters in 2023.
    • Per capita consumption reached 57 liters in 2023, a significant increase from 30 liters in 2005.
    • Beer accounts for 77% of the total alcoholic beverage sales volume in Chile.
    • The market includes over 300 producers and generates over 100,000 jobs (direct, indirect, induced).
    • Non-alcoholic beer represented 1.4% of beer consumption in Chile as of July 2023.
  • Soft Drinks Market: The market size was approximately USD 1.73 billion in 2024 and is projected to grow to around USD 2.41 billion by 2034, with a CAGR of 3.70% during 2025-2034. Key players include The Coca-Cola Company, PepsiCo, and Red Bull. Embonor's Chile operation sold 1,080 million liters of beverages (primarily non-alcoholic, including soft drinks) in 2024. Coca-Cola Embonor has a market share in carbonated soft drinks of around 64.1% in the territories where it operates in Chile.
  • Bottled Water Market: The market size was USD 1.71 billion in 2024 and is expected to grow to USD 2.68 billion in 2034, with a CAGR of 5.10% between 2025 and 2034. Key players include Nestlé, Danone, The Coca-Cola Company, CCU, Agua Mineral Puyehue, and APSU Origin Water.
  • Juice Market: The market is expected to reach USD 595.5 million in 2034 (forecast period 2025-2034). The offline channel (supermarkets, convenience stores, etc.) holds a significant market share.
  • Alcoholic Beverage Consumption (Overall): Consumption of pure alcohol was 6.8 liters per capita (15+ years) in 2019. This figure has decreased over the past decade.
  • Retail Market (Including Beverages): The overall retail market in Chile, which includes food and beverages, experienced considerable growth in 2024 and is projected to grow at a CAGR of 5.90% from 2025 to 2034. Supermarkets held 48.2% of the food retail market in 2015.

Precise market shares for all individual beverage segments across all retail channels for the most recent years (2024-2025) are not consistently available in the provided data.

References

Value Chain Summary Table

(As presented in the previous section due to formatting constraints and the need to summarize available information.)

Examples of Main Players

(As presented in the previous section, with detailed profiles for selected players representing different steps.)

Volumes and Sizes

(As presented in the previous section, summarizing the available volume, size, and market share data from the provided sources for different beverage categories and value chain stages.)

References