On 18 November 1996, Chile and Canada initialled a free trade agreement. When the agreement enters into force (expected on 2 June 1997), products representing 80% of trade will be free from import duties and other barriers. Most of the other products will be free within a period not exceeding 6 years. Some agricultural products (rice, oil, sugar, wheat and flour) will be free within 10, 15, 16 or 18 years.

The agreement will be completed in June 1997 when the countries meet for purposes of negotiating a double taxation treaty.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

For further information contact Anthony Cook, Deloitte & Touche, Santiago, Chile on Tel: +56 2 638 4186, Fax: +56 2 639 1522