Business in Peru, Lima

The objectives of the subject “Foreign Trade and Business in the Republic of Peru” are the following:

1. To analyse the Peruvian Economy and Foreign Trade (Import, Export, FDI)
2. To know the business opportunities in the Republic of Peru
3. To explore the Peruvian trade relations with the country of the student
4. To know the Peruvian Free Trade Agreements
5. To examine the profile of the Peruvian Companies
6. To develop a business plan for the Peruvian Market

Peruvian Market Access and Free Trade Agreements

1. Peru and the Latin American Economic Area
2. Andean Community
   1. The Andean Community has Free Trade Agreements (FTA) with the MERCOSUR, Chile, Mexico, India, China, Russia and Panama
3. Asia-Pacific Economic Cooperation (APEC)
4. Latin American Integration Association (ALADI)
5. Pacific Alliance
6. Union of South American Nations (UNASUR)
7. Latin American and Caribbean Economic System (SELA)
8. Peru has Free Trade Agreements (FTA) with Chile, MERCOSUR, European Union, and the European Free Trade Association (EFTA)
9. Singapore-Peru Free Trade Agreement (FTA)
10. United States-Peru Free Trade Agreement (FTA)
11. Peru-Canada Free Trade Agreement (FTA)
12. Japan-Peru Free Trade Agreement (FTA)
13. Peru-South Korea Free Trade Agreement
14. Mexico-Peru Trade Integration Agreement
15. Panama-Peru Free Trade Agreement (FTA)
16. Peru-Honduras Free Trade Agreement
17. Costa Rica-Peru Free Trade Agreement (FTA)
18. Peru-Australia Free Trade Agreement (FTA)
19. Peru-China Free Trade Agreement (FTA)
20. United Kingdom-Ecuador-Peru Free Trade and Economic Integration Agreement
21. Global System of Trade Preferences among Developing Countries (GSTP)
22. Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP)
23. Protocol Relating to Trade Negotiations Among Developing Countries (PTN)
24. MERCOSUR (associate member)
25. Central American Integration System (SICA) (observer country)

Trade Facilitation Programs

1. World Trade Organisation (WTO)
   1. WTO General Agreement on Trade in Services (GATS)
   2. WTO Agreement on the Application of Sanitary and Phytosanitary Measures (SPS)
   3. WTO Agreement on Technical Barriers to Trade (TBT)
   4. WTO Agreement on Preshipment Inspection (PSI)
   5. WTO Agreement on Safeguards (SG)
   6. WTO Trade Facilitation Agreement (TFA)
2. World Customs Organisation (WCO)
   1. Revised Kyoto Convention (RKC)
3. International Bureau of Containers and Intermodal Transport (BIC)
4. International Civil Aviation Organisation (ICAO, Chicago Convention)
5. International Maritime Organisation (IMO)
   1. Convention Relating to Temporary Admission (Istanbul Convention) - not a member
6. Customs Convention on Containers (CCC, UN) - not a member

American Trade and Economic Organisations

1. Inter-American Development Bank (IDB)
2. Organisation of American States (OAS)
3. Economic Commission for Latin America and the Caribbean (ECLAC)
4. Africa-South America Summit (ASA)
5. Community of Latin American and Caribbean States (CELAC)
   1. European Union-CELAC Summit
6. Forum for East Asia-Latin America Cooperation (FEALAC)
7. Summit South American-Arab Countries (ASPA)

Global Economic Organisations

1. United Nations (UN)
   1. Conference on Trade and Development (UNCTAD)
   2. International Trade Centre (INTRACEN)
   3. Commission on International Trade Law (UNCITRAL)
   4. World Intellectual Property Organisation (WIPO)
2. World Bank (WB)
3. International Monetary Fund (IMF)
4. Pacific Economic Cooperation Council (PEEC)

The Republic of Peru.

1. Peru is located on the western coast of Latin America
2. The Borders of Peru are Brazil, Bolivia, Chile, Colombia, and Ecuador
3. The Peruvian capital, Lima (8 million people) is the largest city in the Andean region
4. The Departments of Peru are Amazonas, Ancash, Apurímac, Arequipa, Ayacucho, Cajamarca, Cusco, Huancavelica, Huanuco, Ica, Junín, La Libertad, Lambayeque, Lima-Provinces, Loreto, Madre de Dios, Moquegua, Pasco, Piura, Puno, San Martín, Tacna, Tumbes, and Ucayali) and Callao
5. Peruvian major languages: Spanish is the official language, while Quechua and Aymara are co-officials
6. Peruvian Population: 31 million people
7. Area of Peru: 1,285,216 square kilometres. Peru is the third largest country in South America, after Brazil and Argentina
8. Independence of Peru from Spain in 1821
9. Abolition of Slavery in Peru: 1854
10. African Diaspora in Peru: 0.5 million people (2% of the Peruvian population)

Religion in Peru: Christianity (31 million). Catholicism (24 million) and Protestantism

Peru belongs to the Latin American Economic Area of the Western Civilisation

Peruvian Economy

1. Peru has strong economic ties with the American and the Asian markets
2. The economic forecast seems favourable to Peru in the next years, based on the foreign direct investment (mining, industry, communications, and energy), international trade and local consumption
3. Lima is the economic, financial, and foreign trade centre of Peru
4. Lima (8.5 million people - Source: INEI), generates 35% of the industrial production and 53% of the Peruvian GDP
5. Lima is the home of the largest Peruvian and multinational companies
6. Arequipa is the “city with the highest economic growth in Latin America” (Source: America Economia)
7. The Peruvian agribusiness sector (Food and agricultural production) has grown significantly due to the dynamism in food products exports in the last four years (annual growth of 20%)
8. The Peruvian telecommunications sector is one of the fastest economic growth in Peru
9. Peru is increasingly oriented toward the Asia-Pacific (APEC and TPP)
10. The Peruvian currency is the Nuevo Sol (PEN)

Peruvian international trade.

1. The Port of Callao is the largest international trade port in the Andean Community
2. The main exports of the Republic of Peru are mining (copper, gold, molybdenum, silver, and zinc: 58% of the Peruvian exports), agriculture, fishing, hydrocarbons products, and manufactures
3. The Peruvian exports augmented 13% and recorded 31,529 million dollars (3.5 times higher than in 2002)

Foreign Direct Investment (FDI) in Peru.

1. Spain, the United Kingdom, and the United States are the main foreign direct investment (FDI) sources in Peru