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Innovation in mining value chains: New evidence from Latin America

Author

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  • Pietrobelli, Carlo
  • Marin, Anabel
  • Olivari, Jocelyn

Abstract

The paper investigates new opportunities for innovation and linkages associated to mining activities in Brazil, Chile and Peru. Three types of opportunities were researched: demand side, supply side and local specificities. The last source of opportunities is key for natural resource related activities. The evidence shows that an increasing demand is introducing important incentives for innovation and local suppliers. Nevertheless, a hierarchical value chain, dominated by few large firms, and poor linkages is blocking the diffusion of innovations and hindering suppliers’ development. The emergence of a group of highly innovative suppliers, which were identified in the three countries, is explained mostly by new technological and knowledge opportunities, which are not exploited by large incumbents and open spaces for new entrants. Local specificities are also key in the explanation of local suppliers. It remains a challenge however, how these, most of which were created to satisfy local needs, will move from local to global.

Suggested Citation

  • Pietrobelli, Carlo & Marin, Anabel & Olivari, Jocelyn, 2018. "Innovation in mining value chains: New evidence from Latin America," Resources Policy, Elsevier, vol. 58(C), pages 1-10.
    • Handle: RePEc:eee:jrpoli:v:58:y:2018:i:c:p:1-10
    DOI: 10.1016/j.resourpol.2018.05.010
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    References listed on IDEAS

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    1. Allan Dahl Andersen, 2012. "Towards a new approach to natural resources and development: the role of learning, innovation and linkage dynamics," International Journal of Technological Learning, Innovation and Development, Inderscience Enterprises Ltd, vol. 5(3), pages 291-324.
    2. Martín Arias & Miguel Atienza & Jan Cademartori, 2014. "Large mining enterprises and regional development in Chile: between the enclave and cluster," Journal of Economic Geography, Oxford University Press, vol. 14(1), pages 73-95, January.
    3. Molina, Oswaldo, 2018. "Innovation in an unfavorable context: Local mining suppliers in Peru," Resources Policy, Elsevier, vol. 58(C), pages 34-48.
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    More about this item

    Keywords

    O13; O32; O43; Global value chains; Natural resources; Mining; Latin America; Innovation and learning; Governance;
    All these keywords.

    JEL classification:

    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D
    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth

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