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Chile2003

Arica, the cosmic beltline of South America

The world’s fiber optic connections. Three run through Arica.
Courtesy of CORFO
Adventure tourism such as mountain biking is just one of the many activities Arica has to offer.
Courtesy of the Development Corporation of Arica and Parinacota

The North of Chile has one of the greatest collections of untouched tourist zones in the country, where the magic of ancient cultures of the coast and the plateau meet their present heirs, through the valleys of ancient archaeological artifacts that portray their histories. Knowing this, Chilean authorities are conducting diverse battles to attract investors.

The zone is focused, mainly, in two points: special interest tourism and high quality technology. Although they may seem to be contradictory, the region of Tarapacá allows that they coexist, as they are the focus point for development in the area. Mr. Patricio Arancibia, the general secretary of the Development Corporation of Arica and Parinacota says, “Arica is full of simultaneous advantages of the country — political stability, solid macroeconomics and transparency — with the local advantages of Arica, its geographic position, harbor infrastructure, technology development, high education and pleasant, livable climate.”

Tourism

The Region of Tarapacá has been always one of the Southern Cone’s more attractive destinations, particularly for Peruvians, Bolivians and Chileans, who come to enjoy their beaches and perfect climate. Nevertheless, while maintaining those markets, today the zone is opening to the rest of the world and aiming for a richness of greater value and increasing numbers from the developed world: the tourism of long distance.

For the Regional Director of the Corporation of Promotion of Production (CORFO), Claudio Ibáñez, the tourism of special interests is an excellent product from the north of Chile. “The zone is composed of natural attractions unexploited from the commercial point of view, which allows investment into this area, such as those made in Cuzco, Machu Pichu (Peru), Tiawanaku (Bolivia) or San Pedro de Atacama (Second Region of Chile). The existence of hieroglyphics (like the Giant of Atacama; the oldest mummies of the world; the footsteps of dinosaurs - amongst the oldest of the world that were discovered recently in Pica, a community in the interior of the First Region; Lake Chungará — the highest in the world; million year old cultures like Aymara, whose traditions are still preserved today; and a variety of the highest quality of flora and wild fauna.”

Nevertheless, Ibáñez knows that there is a lack of both investment and tourists, as many people are unaware of this unique place. For that reason, it is considered fundamental to connect Arica to the existing tourist zones that move millions of tourists a year to such places as Machu Pichu, Tiawanaku and San Pedro de Atacama. According to Mr. Mario Moya, commercial director of the Port of Arica, “Cruise ships that arrive to the Port of Arica have the advantage of being able to see the city of Arica and then go onto other popular destinations within the region. It really is a traveler’s paradise.” There are also many tourist agencies in Arica that arrange tours and adventure trips throughout the region. Mr. Cristian Neira, the manager of the Agency of Promotion and Investments’ Arica office, explains that “Our zone is privileged as far as (the) existence of a cultural and historical patrimony and natural beauty, even (though) it is not really on the tourist map. This places an important task on those who promote the city as a destination as it relates to Cuzco, La Paz, and the North of Chile.”

Carlos Valcarce, Arica’s mayor, states, “We want to be the Miami Beach of South America. ”

Technology

When internationally known businessman and intellectual Fernando Flores won the Senate seat for the Region of Tarapacá in December of 2001, he immediately outlined a strategy to transform the city into a center of technological development of the Southern Cone.

In order for this to take place, a series of strategic alliances was formed with the local government, the Development Corporation of Arica and Parinacota, CORFO, the University of Tarapacá (UTA) and the Municipality of Arica. Because the city’s conditions are unique in Latin America in that three lines of fiber optics run through the zone (with its respective terminals), Arica is at a technology advantage. “Compared to other Latin American cities such as Miami where there are four fiber optic zones, Valparaiso where there are two and in Santiago where there is one, Arica receives more connectivity to the region with respect to the world. It is the best position from the international point of view as we are next to Peru, Bolivia, the North of Argentina, the Andean macro-region and the center of South America,” says Ibáñez.

Ibáñez agrees, emphasizing the important potential of development of technology. “It is proven that the countries with the most qualitative and quantitative growth have been those who have incorporated added value to their technological services and this way attract technological investments.” He adds “Tarapacá is the region with the greatest potential on the matter, which today is the center of investment in the technological area, since its duty free zone allows the installation of companies under several benefits, incentives and franchises like none other in Chile.”

But with this connectivity it was necessary to be prepared for the critical mass of those taking advantage of the area and to meet these challenges. For that reason, the University of Tarapacá made agreements of international certification with the companies Cisco, Oracle and Microsoft. With these agreements, the students of these studies are prepared to develop technology not only in Arica but anywhere of the world.

The Development Corporation and the local municipality worked rapidly to generate digital education and teach the English language at a school level. This has multiplied quickly, giving the city an advantage with respect to other cities of Chile and the Andes region.

Mr. Arancibia explains that there is still a greater task. “The one to connect the different agents who take part in the development: the public and private entities, the civilians and military, academics and those that are normal citizens. To look for the best understanding of the phenomena that surrounds us (such as globalization and local cultures) and to find a middle ground. This is not a single bet on the economic development, but also a fundamental experience of social agreement for the development.”

To further this plan of technological development, CORFO and the regional government have encouraged company investment through the Agency of Promotion of Investments of Tarapacá by offering benefits and several different tools for the technological development of the region.

Ibáñez points out several of these tools to support investments. “There are several incentives (for) hiring labor and (the) training of professionals in specialized areas, costs that are handled by the government instead of the company; government subsidies (for) companies’ installation as well as buying land for construction. In Arica, there are funds to promote important investment, there exists a law that gives 30 percent credit; there are bonuses of 17 percent given for the workers, and so many existing conditions to renegotiate in order to produce for the best interest of both the company and the area.”

As one can see, Arica is an untapped paradise for both tourism and technology. As Mr. Patricio Arancibia of the Development Corporation puts it, “there are appropriate conditions for the development of technology and tourism that just come together in Arica.”


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Time Suites
Corfo Valparaíso
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