Related party disclosures

12 Months Ended

Dec. 31, 2019

Disclosure Of Related Party Explanatory [Abstract]

Disclosure of related party [text block]

Note 12

Related party disclosures

12.1

Related party disclosures

Balances pending at period-end are not guaranteed, accrue no interest and are settled in cash. No guarantees have been delivered or received for trade and other receivables due from related parties or trade and other payables due to related parties.

12.2

Relationships between the parent and the entity

Pursuant to Article 99 of Law of the Securities Market Law, the CMF may determine that a company does not have a controlling entity in accordance with the distribution and dispersion of its ownership, On November 30, 2018, the CMF issued the ordinary letter No. 32,131 whereby it determined that Pampa Group, do not exert decisive power over the management of the Company since it does not have a predominance in the ownership that allows it to make management decisions. Therefore, the CMF has determined not to consider Grupo Pampa as the controlling entity of the Company and that the Company does not have a controlling entity given its current ownership structure.

12.3

Detailed identification of related parties and subsidiaries

As of December 31, 2019 and 2018, the detail of entities that are identified as subsidiaries or related parties of the Company is as follows:

Tax ID No.	Name	Country of origin	Functional currency	Nature
Foreign	Nitratos Naturais Do Chile Ltda.	Brazil	US$	Subsidiary
Foreign	Nitrate Corporation Of Chile Ltd.	United Kingdom	US$	Subsidiary
Foreign	SQM North America Corp.	United States of America	US$	Subsidiary
Foreign	SQM Europe N.V.	Belgium	US$	Subsidiary
Foreign	Soquimich S.R.L. Argentina	Argentina	US$	Subsidiary
Foreign	Soquimich European Holding B.V.	Holland	US$	Subsidiary
Foreign	SQM Corporation N.V.	Curacao	US$	Subsidiary
Foreign	SQI Corporation N.V.	Curacao	US$	Subsidiary
Foreign	SQM Comercial De México S.A. de C.V.	México	US$	Subsidiary
Foreign	North American Trading Company	United States of America	US$	Subsidiary
Foreign	Administración y Servicios Santiago S.A. de C.V.	México	US$	Subsidiary
Foreign	SQM Perú S.A.	Perú	US$	Subsidiary
Foreign	SQM Ecuador S.A.	Ecuador	US$	Subsidiary
Foreign	SQM Nitratos México S.A. de C.V.	México	US$	Subsidiary
Foreign	SQMC Holding Corporation L.L.P.	United States of America	US$	Subsidiary
Foreign	SQM Investment Corporation N.V.	Curacao	US$	Subsidiary
Foreign	SQM Brasil Limitada	Brazil	US$	Subsidiary
Foreign	SQM France S.A.	France	US$	Subsidiary
Foreign	SQM Japan Co. Ltd.	Japan	US$	Subsidiary
Foreign	Royal Seed Trading Corporation A.V.V.	Aruba	US$	Subsidiary
Foreign	SQM Oceania Pty Limited	Australia	US$	Subsidiary
Foreign	Rs Agro-Chemical Trading Corporation A.V.V.	Aruba	US$	Subsidiary
Foreign	SQM Indonesia S.A.	Indonesia	US$	Subsidiary
Foreign	SQM Virginia L.L.C.	United States of America	US$	Subsidiary
Foreign	SQM Italia SRL	Italy	US$	Subsidiary
Foreign	Comercial Caimán Internacional S.A.	Panama	US$	Subsidiary
Foreign	SQM África Pty. Ltd.	South Africa	US$	Subsidiary
Foreign	SQM Colombia SAS	Colombia	US$	Subsidiary
Foreign	SQM Internacional N.V.	Belgium	US$	Subsidiary
Foreign	SQM (Shanghai) Chemicals Co. Ltd.	China	US$	Subsidiary
Foreign	SQM Lithium Specialties LLC	United States of America	US$	Subsidiary
Foreign	SQM Iberian S.A.	Spain	US$	Subsidiary
Foreign	SQM Beijing Commercial Co. Ltd.	China	US$	Subsidiary
Foreign	SQM Thailand Limited	Thailand	US$	Subsidiary
Foreign	SQM Australia PTY	Australia	US$	Subsidiary
Foreign	SACAL S.A. (1)	Argentina	Ars	Subsidiary
96.801.610-5	Comercial Hydro S.A.	Chile	US$	Subsidiary
96.651.060-9	SQM Potasio S.A.	Chile	US$	Subsidiary
96.592.190-7	SQM Nitratos S.A.	Chile	US$	Subsidiary
96.592.180-K	Ajay SQM Chile S.A.	Chile	US$	Subsidiary
86.630.200-6	SQMC Internacional Ltda. (2)	Chile	US$	Subsidiary
79.947.100-0	SQM Industrial S.A.	Chile	US$	Subsidiary
79.906.120-1	Isapre Norte Grande Ltda.	Chile	Ch$	Subsidiary
79.876.080-7	Almacenes y Depósitos Ltda.	Chile	Ch$	Subsidiary
79.770.780-5	Servicios Integrales de Tránsitos y Transferencias S.A.	Chile	US$	Subsidiary
79.768.170-9	Soquimich Comercial S.A.	Chile	US$	Subsidiary
79.626.800-K	SQM Salar S.A.	Chile	US$	Subsidiary
78.053.910-0	Proinsa Ltda. (3)	Chile	Ch$	Subsidiary

Tax ID No.

Name

Country of origin

Functional currency

Nature

76.534.490-5

Sociedad Prestadora de Servicios de Salud Cruz del Norte S.A.

Chile

Ch$

Subsidiary

76.425.380-9

Exploraciones Mineras S.A.

Chile

US$

Subsidiary

76.064.419-6

Comercial Agrorama Ltda.

Chile

Peso

Subsidiary

76.145.229-0

Agrorama S.A.

Chile

Peso

Subsidiary

76.359.919-1

Orcoma Estudios SPA

Chile

US$

Subsidiary

76.360.575-2

Orcoma SPA

Chile

US$

Subsidiary

76.686.311-9

SQM MaG SpA

Chile

US$

Subsidiary

Foreign

Abu Dhabi Fertilizer Industries WWL

United Arab Emirates

United Arab Emirates dirham

Associate

Foreign

Doktor Tarsa Tarim Sanayi AS

Turkey

US$

Associate

Foreign

Ajay North America

United States of America

US$

Associate

Foreign

Ajay Europe SARL

France

Euro

Associate

Foreign

SQM Eastmed Turkey

Turkey

Euro

Associate

Foreign

Kore Potash PLC

United Kingdom

US$

Associate

Foreign

Sichuan SQM Migao Chemical Fertilizers Co Ltda.

China

US$

Joint venture

Foreign

Coromandel SQM India

India

Indian rupee

Joint venture

Foreign

SQM Vitas Fzco.

United Arab Emirates dirham

Joint venture

Foreign

SQM Star Qingdao Corp Nutrition Co., Ltd.

China

US$

Joint venture

Foreign

SQM Vitas Holland B.V.

Holland

Euro

Joint venture

Foreign

Covalent Lithium Pty Ltd.

Australia

Australian dollar

Joint venture

Foreign

Pavoni & C. SPA

Italy

Euro

Joint venture

96.511.530-7

Sociedad de Inversiones Pampa Calichera

Chile

US$

Other related parties

96.529.340-K

Norte Grande S.A.

Chile

Peso

Other related parties

79.049.778-9

Callegari Agrícola S.A.

Chile

Peso

Other related parties

Foreign

SQM Vitas Brasil Agroindustria (4)

Brazil

Brazilian Real

Other related parties

Foreign

SQM Vitas Perú S.A.C. (4)

Peru

US$

Other related parties

Foreign

Terra Tarsa B.V. (5)

Holland

Euro

Other related parties

Foreign

Plantacote N.V. (5)

Belgium

Euro

Other related parties

Foreign

Doktolab Tarim Arastima San. Tic As (5)

Turkey

Turkish Lira

Other related parties

Foreign

Doctochem Tarim Sanayai Ticaret LTD (5)

Turkey

Turkish Lira

Other related parties

Foreign

Terra Tarsa Ukraine LLC (5)

Ukraine

Ukrainian Grivna

Other related parties

Foreign

Terra Tarsa Don LLC (5)

Russian Federation

Russian Ruble

Other related parties

Foreign

Abu Dhabi Fertilizer Industries WWL (6)

Oman

Arab Emirates dirham

Other related parties

Foreign

International Technical and Trading Agencies CO WLL (6)

Jordan

Arab Emirates dirham

Other related parties

Foreign

Arpa Speciali S.R.L (7)

Italy

Euro

Other related parties

(1)

On 06/26/2019, SACAL S.A. was liquidated.

(2)

On March 1, 2019, Soquimich Comercial S.A. has obtained ownership of 100% of corporate rights in SQMC International Ltda.

(3)

On 04/01/2019 the company Proinsa Ltda was liquidated.

(4)

These entities are subsidiaries of the joint venture SQM Vitas Fzco.

(5)

These entities are subsidiaries of the associate Doktor Tarsa Tarim Sanayi AS.

(6)

These entities are subsidiaries of the joint venture Abu Dhabi Fertilizer Industries WWL

(7)

These Companies are subsidiaries of the joint venture Pavoni & C. SPA.

The following other related parties correspond to mining contractual corporations.

Tax ID No.	Name	Country of origin	Functional currency	Relationship
N/A	Ara Dos Primera del Salar de Pampa Blanca, Sierra Gorda	Chile	Ch$	Other related parties
N/A	Ara Tres Primera del Salar de Pampa Blanca, Sierra Gorda	Chile	Ch$	Other related parties
N/A	Ara Cuatro Primera del Salar de Pampa Blanca, Sierra Gorda	Chile	Ch$	Other related parties
N/A	Ara Cinco Primera del Salar de Pampa Blanca, Sierra Gorda	Chile	Ch$	Other related parties
N/A	Curicó Dos Primera del Salar de Pampa Alta, Sierra Gorda	Chile	Ch$	Other related parties
N/A	Curicó Tres Primera del Sector de Pampa Alta, Sierra Gorda	Chile	Ch$	Other related parties
N/A	Evelyn Veinticuatro Primera de Sierra Gorda	Chile	Ch$	Other related parties
N/A	Filomena Tres Primera de Oficina Filomena, Sierra Gorda	Chile	Ch$	Other related parties
N/A	Filomena Cuatro Primera de Oficina Filomena, Sierra Gorda	Chile	Ch$	Other related parties
N/A	Francis Cuatro Primera de Pampa Blanca, Sierra Gorda	Chile	Ch$	Other related parties
N/A	Francis Cuatro Segunda del Salar de Pampa Blanca, Sierra Gorda	Chile	Ch$	Other related parties
N/A	Francis Cuatro Tercera de Pampa Blanca, Sierra Gorda	Chile	Ch$	Other related parties
N/A	Francis Cuatro Cuarta de Pampa Blanca, Sierra Gorda	Chile	Ch$	Other related parties
N/A	Francis Cuatro Quinta de Pampa Blanca, Sierra Gorda	Chile	Ch$	Other related parties
N/A	Francis Primera del Salar de Pampa Blanca de Sierra Gorda	Chile	Ch$	Other related parties
N/A	Francis Segunda del Salar de Pampa Blanca de Sierra Gorda	Chile	Ch$	Other related parties
N/A	Francis Tercera del Salar de Pampa Blanca de Sierra Gorda	Chile	Ch$	Other related parties
N/A	Ivon Primera de Sierra Gorda	Chile	Ch$	Other related parties
N/A	Ivon Décima Segunda de Sierra Gorda	Chile	Ch$	Other related parties
N/A	Ivon Sexta de Sierra Gorda	Chile	Ch$	Other related parties
N/A	Julia Primera de Sierra Gorda	Chile	Ch$	Other related parties
N/A	Lorena Trigésimo Quinta de Sierra Gorda	Chile	Ch$	Other related parties
N/A	Perseverancia Primera de Sierra Gorda	Chile	Ch$	Other related parties
N/A	Tamara 40 Primera del Sector S.E. OF. Concepción, Sierra Gorda	Chile	Ch$	Other related parties
N/A	Tamara Tercera de Oficina Concepción, Sierra Gorda	Chile	Ch$	Other related parties
N/A	Tamara 40 Segunda del Sector S.E. OF Concepción, Sierra Gorda	Chile	Ch$	Other related parties

12.4

Detail of related parties and related party transactions

Transactions between the Parent and its subsidiaries, associated businesses, joint ventures and other related parties are part of the Company's common transactions. Their conditions are those customary for this type of transactions in respect of terms and market prices. Maturity terms for each case vary by virtue of the transaction giving rise to them.

For the years ended December 31, 2019, 2018 and 2017, the detail of significant transactions with related parties is as follows

Tax ID No.

Company

Nature

Country of origin

Transaction

For the year
ended December
31, 2019

For the year
ended December
31, 2018

For the year
ended December
31, 2017

ThUS$

Foreign

Doktor Tarsa Tarim Sanayi AS

Associate

Turkey

Sale of products

14,767

16,726

17,538

Foreign

Ajay Europe S.A.R.L.

Associate

France

Sale of products

21,348

19,470

15,706

Foreign

Ajay Europe S.A.R.L.

Associate

France

Dividends

1,055

811

969

Foreign

Ajay North America LL.C.

Associate

United States of America

Sale of products

16,932

16,810

13,206

Foreign

Ajay North America LL.C.

Associate

United States of America

Dividends

2,796

2,807

1,123

Foreign

Abu Dhabi Fertilizer Industries WWL

Associate

Arab Emirates

Sale of products

3,749

5,811

4,351

Foreign

Abu Dhabi Fertilizer Industries WWL

Associate

Arab Emirates

Dividends

6,632

Foreign

Charlee SQM Thailand Co Ltd. (1)

Associate

Thailand

Sale of products

4,960

5,102

Foreign

Charlee SQM Thailand Co Ltd. (1)

Associate

Thailand

Dividends

362

Foreign

SQM Vitas Brasil Agroindustria

Other related parties

Brazil

Sale of products

46,876

44,827

31,137

Foreign

SQM Vitas Perú S.A.C.

Other related parties

Perú

Sale of products

24,138

17,204

23,058

Foreign

SQM Vitas Fzco

Joint venture

Arab Emirates

Dividends

10,598

Foreign

Coromandel SQM India

Joint venture

India

Sale of products

3,955

7,696

8,011

Foreign

SQM Star Qingdao Corp Nutrition Co. Ltd.

Joint venture

China

Sale of products

1,929

200

Foreign

Minera Exar S.A. (2)

Joint venture

Argentina

Loans

11,000

Foreign

Terra Tarsa Ukraine LLC

Other related parties

Ukraine

Sale of products

1,280

1,674

1,218

Foreign

Terra Tarsa Don LLC

Other related parties

Russian Federation

Sale of products

187

423

Foreign

Plantacote NV

Other related parties

Belgium

Sale of products

4,096

4,554

2,108

Foreign

Pavoni & C. SpA

Joint venture

Italy

Sale of products

3,152

201

Foreign

SQM Eastmed Turkey

Associate

Turkey

Sale of products

Foreign

Arpa Speciali S.R.L.

Other related parties

Italy

Sale of products

2,359

207

Foreign

Kowa Compay Ltd.

Other related parties

Japan

Sale of products

132,495

Foreign

Fertilizers Co Ltd.

Joint venture

China

Sale of services

252

79.049.778-9

Callegari Agricola S.A.

Other related parties

Chile

Sale of products

210

77.557.430-5

Sales de Magnesio Ltda.

Associate

Chile

Sale of products

Total

159,117

150,969

268,237

(1)

During November 2018, shares held in Charlee SQM Thailand were sold.

(2)

During December 2018, shares held in Minera Exar S.A. were sold.

(3)	From December 31, 2018 then on, Kowa Company Ltd. is not considered a related party.

12.5

Trade receivables due from related parties, current:

Tax ID No	Company	Nature	Country of origin	As of December 31, 2019	As of December 31, 2018
				ThUS$	ThUS$
Foreign	Doktor Tarsa Tarim Sanayi AS	Associate	Turkey	110	6,497
Foreign	Ajay Europe S.A.R.L.	Associate	France	3,712	3,756
Foreign	Ajay North America LL.C.	Associate	United States of America	2,290	2,080
Foreign	Abu Dhabi Fertilizer Industries WWL	Associate	United Arab Emirates	803	857
96.511.530-7	Soc. de Inversiones Pampa Calichera	Other related parties	Chile	6	6
Foreign	SQM Vitas Brasil Agroindustria	Other related parties	Brazil	27,275	15,818
Foreign	SQM Vitas Perú S.A.C.	Other related parties	Peru	23,475	12,767
Foreign	Coromandel SQM India	Joint venture	India	1,792	2,025
Foreign	SQM Vitas Fzco	Joint venture	United Arab Emirates	234	105
Foreign	SQM Star Qingdao Corp Nutrition Co. Ltd.	Joint venture	China	-	248
Foreign	Terra Tarsa Ukraine LLC	Other related parties	Ukraine	7	-
Foreign	Terra Tarsa Don LLC	Other related parties	Russian Federation	13	41
Foreign	Plantacote NV	Other related parties	Belgium	657	312
Foreign	SQM Eastmed Turkey	Associate	Turkey	47	30
Foreign	Pavoni & C. SpA	Joint venture	Italy	1,028	12
Foreign	Arpa Speciali S.R.L.	Other related parties	Italy	134	-
	Allowance			(356)	(1,764)
Total				61,227	42,790

The receivables for Sichuan SQM Migao Chemical Fertilizers Co Ltda. are presented net of allowances ThUS$ 10,965 and ThUS$ 10,965 as of December 31, 2019 and 2018, respectively).

12.6

Trade payables due to related parties, current:

Tax ID No

Company

Nature

Country of origin

Currency

As of December
31, 2019

As of December
31, 2018

ThUS

Foreign

SQM Star Qingdao Corp Nutrition Co., Ltd.

Joint venture

China

USD

243

Foreign

Covalent Lithium Pty Ltd

Joint venture

Australia

Australian dollar

232

Total

475