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Peru: The FTA with Australia is expected to be quickly negotiated
The negotiations for a trade agreement with Australia began a short time ago but, given that country's and Peru's level of openness, the process is expected to be fast, to the point where the FTA can be signed by the first quarter of next year, said the president of the Association of Exporters (ADEX), Juan Varilias Velasquez.
He said that there were 145 untapped opportunities with Australia worth just over US $ 1.639 billion, mainly in the agribusiness and chemical sectors, which are worth US $ 424 million and US $ 339 million, respectively.
According to ADEX's Research Center for Global Economy and Business - CIEN, the avocados are one of the products with potential in that market.
"The Trade Agreement with Australia is broad and it will allow us to strengthen commercial ties, not only at the level of goods, but also in services and investments," said Varilias.
According to data from the ADEX Data Trade Commercial Intelligence System, between January and May of this year, exports to that market totaled US $ 82,219,000. 76% of this total are of traditional products, mainly lead and zinc, and the remaining 24% of non-traditional products (calcium phosphate, quinoa, canned mango, fan shells, fresh and canned asparagus and cocoa powder, among others).
Currently the liberalization of up to 97% of the items is being negotiated and the remaining percentage would be taxed in a maximum of 4 years. There are some sensitive products, but hopefully both parties will reach an agreement that they both find satisfactory. The next round of negotiations will be held in late August in Canberra (Australia)
Australia is an ambitious market for trade liberalization. In the last three years it has signed FTAs with China, Japan and South Korea. It also joined the Trans-Pacific Partnership Agreement (TPP) with Brunei Darussalam, Canada, Chile, USA, Japan, Malaysia, Mexico, New Zealand, Singapore, and Vietnam.
FTA Peru - India
Regarding negotiations for a trade agreement with India, ADEX stated that the first round would be held in the second week of August in New Delhi. India is the third largest economy in the world with a 7.5% annual growth rate and it continues to be one of the first 20 exporting countries in the world.
However, it hasn't been very active regarding its business relationships, so in the opinion of the business guild, it is very possible that the negotiation of an FTA with India takes a long time.
Between January and May, dispatches to that destination amounted to US $ 711,798. 99% of the products exported there were primary products and only 1% of value-added products. Exports grew by 116.8%.
Publication date: 8/10/2017
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