UNITED STATES OF AMERICA
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 6-K

                            REPORT OF FOREIGN ISSUER
                        PURSUANT TO RULE 13A-16 OR 15D-16
                   OF THE SECURITIES AND EXCHANGE ACT OF 1934

  Includes the free translation of a material event sent by Sociedad Quimica y
 Minera de Chile S.A. to the Superintendencia de Valores y Seguros de Chile on
                                March 17, 2004.

                     SOCIEDAD QUIMICA Y MINERA DE CHILE S.A.
                     ---------------------------------------
             (Exact name of registrant as specified in its charter)

                    CHEMICAL AND MINING COMPANY OF CHILE INC.
                    -----------------------------------------
                 (Translation of registrant's name into English)

                El Trovador 4285, Santiago, Chile (562) 425-2000
                ------------------------------------------------
           (Address and phone number of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports
under cover of Form 20-F or Form 40-F.

         Form 20-F         x                      Form 40-F
                    ----------------                         ----------------

Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.

         Yes                                      No         x        .
              ----------------                        ----------------

If "Yes" is marked, indicate below the file number assigned to the registrant in
connection with Rule 12g3-2(b): 82___________



                                       SQM
                     SOCIEDAD QUIMICA Y MINERA DE CHILE S.A.

                                                        Santiago, March 17, 2004

Mr.
Alejandro Ferreiro Y.
Superintendent
Securities and Insurance Superintendence
Avda. Libertador Bernardo O'Higgins 1449
Santiago
--------

                                                                 Essential Issue
                                                                 ---------------

Dear Mr. Superintendent.


      We hereby inform you that on March 16, 2004, the Board of Directors of
Sociedad Quimica y Minera de Chile S.A. (SQM) unanimously agreed to recommend a
definitive dividend payment of US$ 0.08811 gross per share in favor of those
shareholders registered in the Company's Book of Shareholders during the fifth
working day prior to the date of such payment.

      The recommendation, once approved at the next Annual Ordinary Shareholders
Meeting that will be held on April 30, 2004, will allow SQM to pay and
distribute, in accordance with what is established in the corresponding Dividend
Policy, an annual dividend equivalent to 50% of the distributable liquid profits
obtained during the 2003 business period.

      The pertinent amount will be paid in its equivalent in Chilean pesos,
based on the "Observed Dollar" rate that should be published by the Official
Gazette on April 30, 2004. The above, in favor of the corresponding
shareholders, personally or through a duly authorized representative, beginning
on Wednesday, May 12, 2004, at 09:00 hrs.

      We inform you the above as a material event in compliance with articles 9
and 10 of Law Number 18.045. Additionally, also in compliance with the
indications set forth in Forms 660 and 1.062 issued on October 22, 1986 and
March 6, 1992, respectively.




We remain at your disposal to clarify any additional aspects that you may deem
relevant in relation to the above.

Yours truly,





                     Sociedad Quimica y Minera de Chile S.A.


                         Conf: /s/ Patricio Contesse G.
                              -------------------------
                              Patricio Contesse G.
                             Chief Executive Officer



Cc:      Santiago Stock Exchange
         Brokers Stock Exchange
         Electronic Stock Exchange
         New York Stock Exchange
         Securities and Exchange Commission
         The Bank of New York


                                   SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.


                     SOCIEDAD QUIMICA Y MINERA DE CHILE S.A.



                        Conf: /s/ Ricardo Ramos R.
                              -------------------------
                                Ricardo Ramos R.
                             Chief Financial Officer




                              Date: March 17, 2004