Chilean Businesses Expected to Lose Big

Wednesday, March 03, 2010

Not long after Chile's 8.8 magnitude earthquake hit on Saturday, a tsunami sent much of the country's coast under water.

The Associated Press reports that Talcahuano, Chile was one of the hardest hit port cities. The tsunami destroyed its port and sent 50-ton fishing boats crashing onto land. That will cost the city $40 million in annual anchovy and sardine business.

"The season has been killed," said Nelson Estrada, the president of the fishermen's union.

Chile will likely lose much more business thanks to damaged bridges and roads that refrigerated trucks drive on to carry farm-raised salmon through and out of the country. The AP also reports that vineyards have lost communications with local and foreign investors due to the quake and tsunami.

"You have to get grapes from the vineyards to the winery, and I don't know the condition of the roads around the winery," said Mark Osmun, owner of the Vina Calina winery. The Vina Calina winery is 65 miles from the quake's epicenter. The country's largest vineyard, Concha y Toro, announced a one-week shutdown of operations.

Around 800 have been killed in Chile's earthquake and tsunami.

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