Chile issued a record number of work visas during the first half of this year, with Bolivians accounting for 70 percent of all permits granted. According to data released by the National Service of Migration, a total of 121,977 work visas were issued between January and June, marking an 11.1 percent increase compared to the same period last year. Of these, 84,717 were given to Bolivians, representing a 20.7 percent rise from the previous year's figure of 70,190. Venezuelans followed with 12,624 visas, while Colombians and Peruvians received 6,635 and 5,109 respectively. The shift in migration trends became evident in the first quarter of 2024, when Bolivians topped the list with 39,114 work permits, nearly nine times more than the 9,322 granted to Venezuelans during the same period. This marked a significant change from 2017, when Venezuelans led in the issuance of such visas. The growth in Bolivian migration has been attributed to a bilateral agreement signed in 2023 between Chile and Bolivia aimed at promoting legal migration. Under this accord, Bolivian workers are exempted from paying a $90 fee for their work permit, which allows them to stay in Chile for up to two years. Frank Sauerbaum, director of the National Service of Migration, explained that Bolivians benefit from the so-called Mercosur visa, which is free and easy to obtain. This visa provides temporary residency rights and facilitates legal entry into the country. Sauerbaum noted that the high volume of applications from Bolivians reflects the ease of access to this visa program. Rodrigo Sandoval, former director of the National Service of Migration, emphasized that the increase in legal migration indicates a shift towards regularization. He stated that the state is now managing a flow of labor that previously might have relied on informal channels. For Sandoval, this trend has economic implications, including reduced informality, improved labor oversight, better tax collection, and diminished influence of intermediaries who exploit migrant workers' vulnerabilities. Most Bolivian migrants working in Chile are engaged in seasonal agricultural jobs. Antonio Walker, president of the National Society of Agriculture, highlighted the importance of foreign labor in enabling Chile’s agricultural exports, estimating that without such support, the country would struggle to maintain its $13.5 billion export target. Meanwhile, the Compania de Cervecerias Unidas (CCU), one of Chile's largest beverage companies, reported losses in the second quarter, despite a slight rise in its stock price. The company recorded a loss of $20.712 million for the period, reflecting an 84.6 percent increase compared to the same period last year. These losses were primarily due to non-operational factors, including higher inflation and disruptions caused by social unrest and road blockages in Bolivia. CCU attributed part of its financial struggles to decreased sales in its wine segment, where revenue fell by 14.1 percent. This decline was driven by a reduction in sales volumes by 13.7 percent and average prices dropping by 0.5 percent. The company noted that lower sales were influenced by both domestic and international market conditions, including a stronger Chilean peso against the U.S. dollar, which negatively impacted export earnings. Despite these challenges, CCU's operational performance showed improvement, with its EBITDA rising by 59.4 percent to $31.591 million. Revenue for the second quarter reached $607.801 million, a 4.8 percent increase from the previous year. In Chile, where the company operates extensively, revenue grew by 2.79 percent to $451.477 million, while Paraguay saw the highest percentage increase in revenue at 22 percent. For the first half of the year, CCU reported a profit of $33.143 million, down 28.8 percent from the same period last year. Despite the financial setbacks, the company's shares rose by 2.69 percent following the release of its quarterly results, ending a seven-day losing streak. However, the stock has still declined by nearly 6 percent over the course of the year.
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