Indian Economy News

Special round of negotiations for the India-Peru Trade Agreement

According to an official announcement, the next round of negotiations for a trade deal between India and Peru will begin on October 10th, 2023. The agreement is intended to promote bilateral commerce and investment between the two countries.

Under the agreement, the two trading partners will significantly lower or eliminate customs duties on the maximum number of items exchanged between them.

The Commerce Ministry said, “A special round of negotiations for the India - Peru trade agreement is scheduled to be held virtually on 10th-11th October”.

During the negotiations, the two parties will explore a variety of issues, including rules of origin, trade in goods, customs procedures and trade facilitation, technological trade barriers, and sanitary and phytosanitary measures.

The negotiations for the agreement began in 2017, and the fifth round was completed in August 2019. The coronavirus outbreak forced a halt to the negotiations.

In 2022-23, bilateral trade between India and Peru was valued at US$ 3.12 billion. India exported US$ 865.91 million to Peru and purchased US$ 2.25 billion in goods in 2022-23.

The Commerce Ministry said, “Discussions on services, movement of natural persons (professionals), trade remedies and investment chapter will be held later in the month based on mutual convenience of the negotiators”. It further added, “It is anticipated that the agreement will significantly boost trade, investment and enhance cooperation in various sectors. The sixth round is slated to be held in December 2023 Lima in Peru”.

Key Indian exports to Peru include motor vehicles/cars, cotton yarn, and pharmaceuticals, while Peru principally exports gold, copper ores, and concentrates.

During the negotiations, the Indian track will be led by Joint Secretary at the Department of Commerce, Chief Negotiator Mr. Vipul Bansal while the Peruvian track will be led by Director for Asia, Oceania, and Africa at the Ministry of Foreign Trade and Tourism, Mr. Gerardo Antonio Meza Grillo.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.