The current context of the chilean audiovisual sector

The audiovisual sector, like all creative industries, has been dragging along historic indices of precariousness, as it is not really considered by public policies (independent of governments) as a relevant economic sector. Notwithstanding the above, the creative economies, represented in *2019 2.2% of the GDP (more than the entire fishing sector). In Latin America and the Caribbean they create more than 1.9 million jobs and globally they are the 5th sector of the world economy.

The current context of the Chilean “audiovisual industry” is one of deep crisis, which cannot be attributed solely to the damage being done to it by the pandemic caused by the COVID 19 virus. The audiovisual “industry” has been affected by various phenomena, some of which are its own, such as: i) the crisis of linear broadcasting television (all national channels), ii) the low audiences for national films (Box Office/Cinema), iii) changes in the consumption habits of the new generations, among others. Then, there were other phenomena, rather general, such as the October social crisis, wrongly called Social Explosion. This affected all sectors of our country in a brutal and exclusive way. This phenomenon brought with it, for this audiovisual sector; i) the impossibility of obtaining recording permits, ii) disincentives to the already, little, participation of the private sector (national and international) to invest, iii) social and political instability, iv) loss of jobs, among many others. This has culminated in the global phenomenon of a health crisis caused by the SARS-CoV-2 or COVID19 virus, which is nothing more than a coup de grâce for our suffering and always postponed economic sector. 

To the current complicated situation, we must now add the reduction of the limited public funds available (-80% of Corfo), the suspension of the only incentive to attract foreign investment (Corfo’s IFI), the ghost of a new social revolt and a resurgence of the health crisis, transforming our country into an unattractive place for private investment (national or international), where possible productions, offer more uncertainties of losses than gains. The lack of an organic ecosystem (absence of cultural policies), with zero legislative tools for short or medium-term sector activation, makes the Chilean audiovisual sector one of the riskiest in the world, compared to the vast majority of OECD countries.