Globalization has triggered a structural transformation of the dairy sector worldwide. This includes transnationalization and extreme concentration of firms and farms, fueled by increased levels of competition. Dairying is no longer regulated by state politics but is placed within the context of a

market-led global governance dominated by the strategies of trans-national companies. Moreover, the globalization of the sector has caused the emergence of a new global division of labour, where new exporting countries can emerge. The transformation of the Chilean dairy sector illustrates all these changes. During the 1970s, the shift of economic policy regime within which an

intervening state was replaced by a highly liberalized process paved the way for breaking import dependency. Strategic decisions by the industry resulted in long term improved competitive power and a final shift towards exports. Contrary to previous research, this article shows that globalization is the main force behind the reorientation of the dairy sector in Chile from import dependency to export orientation

Volume 40

Numeros 1-2