Cape Horn is an island situated at the southern-most tip of Chile in South America. The waters surrounding the island have been used for centuries as the main trade route for ships exporting goods throughout the world, including grain, gold and fine merino wools. This fine range of cloth has been woven from fine merino wool imported from the Patagonian region of Argentina. Abundant with fresh water and nutritional vegetation, the valleys of Patagonia are the ideal habitat for merino sheep.