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Perú, opportunities for profitable investments
Foreign trade: Tariffs are levied on imports, at 9%, 17% and 20%; 48.5% of all imports enter the country duty-free, giving an average tariff of 5.8%. Most non-tariff barriers to trade have been eliminated. In 2007 merchandise exports totalled US$29bn and imports US$19.6bn.
Sectors regarded to be well suited for investments:
Sector regarded to be well suited for investments:
- Agriculture
- Agro Expor
Peru has 84 green zones of the total 104 existing worldwide.
8 million hectares of fertile land.
The location in the southern hemisphere enables us to access off-season windows in the most important markets at premium prices.
1st in the world in the production of mango, asparagus an sugar cane and in exportation of asparagus and dried paprika
Call: +51-84-244239
Perú, opportunities for profitable investments |
Foreign trade: Tariffs are levied on imports, at 9%, 17% and 20%; 48.5% of all imports enter the country duty-free, giving an average tariff of 5.8%. Most non-tariff barriers to trade have been eliminated. In 2007 merchandise exports totalled US$29bn and imports US$19.6bn.
Major exports 2007 |
US$ m |
Major imports 2007 |
US$ m |
Copper |
7,241 |
Intermediate goods |
10,416 |
Gold |
4,157 |
Capital goods |
5,885 |
Fishmeal |
1,456 |
Consumer goods |
3,191 |
|
|
|
|
Leading markets 2006 |
% of total |
Leading suppliers 2006 |
% of total |
US |
23.6 |
US |
21.6 |
China |
11.0 |
Brazil |
8.7 |
Canada |
7.7 |
Ecuador |
8.1 |
Chile |
5.5 |
China |
7.5 |
Foreign trade and balance of payments
In 2001 the current account deficit dropped to about 2.2% of GDP (US$1.17 billion)--from 3.1% in 2000--while the trade balance registered a small deficit. Exports dropped slightly to $7.11 billion, while imports fell 2.1% to $7.20 billion. After being hit hard by El Niño in 1998, fisheries exports have recovered, and minerals and metals exports recorded large gains in 2001 and 2002, mostly as a result of the opening of the Antamina copper-zinc mine. By mid-2002, most sectors of the economy were showing gains. After several years of substantial growth, foreign direct investment not related to privatization fell dramatically in 2000 and 2001, as well as in the first half of 2002. Net international reserves at the end of May 2002 stood at $9.16 billion, up from $8.6 billion (2001), $17 billion at the end of 2006 and over $20 billion in 2007. Peru has signed a number of free trade agreements, including the 2007 United States-Peru Trade Promotion Agreement. It is currently negotiating the China–Peru Free Trade Agreement, which is expected to be signed in November 2008.
Foreign investment
The Government of Peru's economic stabilization and liberalization program lowered trade barriers, eliminated restrictions on capital flows, and opened the economy to foreign investment, with the result that Peru now has one of the most open investment regimes in the world. Between 1992 and 2001, Peru attracted almost $17 billion in foreign direct investment in Peru, after negligible investment during the 1980s, mainly from Spain (32.35%), the United States (17.51%), the Switzerland (6.99%), Chile (6.63%), and Mexico (5.53%). The basic legal structure for foreign investment in Peru is formed by the 1993 constitution, the Private Investment Growth Law, and the November 1996 Investment Promotion Law. Although Peru does not have a bilateral investment treaty with the United States, it has signed an agreement (1993) with the Overseas Private Investment Corporation (OPIC) concerning OPIC-financed loans, guarantees, and investments. Peru also has committed itself to arbitration of investment disputes under the auspices of ICSID (the World Bank's International Center for the Settlement of Investment Disputes) or other international or national arbitration tribunals.
The government has signed an agreement with the IMF in which the perspectives of the economic growth are excellent. The GDP will grow at 7% for the next 6 years; private investment will reach 25% of the GDP in 2007, with perspectives of reaching up to 30% of the GDP by 2009; and inflation is under control at 2% per year for the next 5 years. International Debt will reach 20% of the GDP by 2010, down from 35% in 2006, and will be only 12% of the GDP by 2015] The International Monetary Reserves of the National Reserve Bank (Dollars, Euros, Yens, Gold, and other currencies) will reach US$ 27 billion by the end of 2007, reaching US$ 45 billion by 2010, which will be twice the amount of international debt by then.
Exports are growing at a pace of 25% and will reach US$ 28 billion by the end of 2007 and US$ 50 billion by the end of 2010. High technological investment is growing fast in Peru, and will be 10% of the GDP by 2010.
Statistics
GDP: purchasing power parity - $202.8 billion (2007 est.)
GDP - real growth rate: 8.03% (INEI - 2006), preliminary reports expect GDP to grow 8.2% for 2007, and 7% for the next 3 years.
GDP - per capita: purchasing power parity - $7,300 (2007 est.)
GDP - composition by sector:
agriculture: 8%
industry: 25%
services: 67% (2007 est.)
Population below poverty line: 43% (2007 est.)
Household income or consumption by percentage share:
lowest 10%: 0.8%
highest 10%: 37.2% (2000)
Inflation rate (consumer prices): 1.14% (2006 est.)
Labor force: 20 million (2007 est.)
Labor force - by occupation: agriculture 9%, industry 18%, services 73% (2001)
Unemployment rate: 7.2%
Budget:
revenues: $26 billion (2007 est.)
expenditures: $25 billion, including long-term capital expenditures of $3.2 billion (2007 est.)
Industries: mining of metals, petroleum, fishing and seafood industry, textiles, clothing, food processing, vegetables, cement, auto assembly, steel, shipbuilding, metal fabrication and transformation, wood industry, oil refinery.
Industrial production growth rate: 12% (2007 est.)
Electricity - production: 36,500 GWh (2007 est.)
Electricity - production by source:
fossil fuel: 24.53%
hydro: 74.79%
nuclear: 0%
other: 0.68% (1998)
Electricity - consumption: 33,000 GWh (2002)
Electricity - exports: 0 kWh (2004)
Electricity - imports: 0 kWh (2004)
Agriculture - products: coffee, cotton, sugarcane, rice, wheat, potatoes, plantains, coca; poultry, beef, dairy products, wool; fish
Exports: 27.5 billion f.o.b. (2007) of goods and products. 3.5 billion f.o.b. (2007) of services.
Exports: fish and fish products, copper, zinc, gold, molybdenum, iron, crude petroleum and byproducts, lead; coffee, asparagus, artichokes, paprika, sugar, cotton, textiles, chemicals, pharmaceuticals, manufactures, machinery, services.
Exports - partners: United States 30%, Mainland China 11%, Japan 6%, Chile 5% Switzerland, Germany, United Kingdom, Brazil (2006)
Imports: $20 billion f.o.b. (2007)
Imports - commodities: machinery, transport equipment, foodstuffs, petrolium, iron and steel, chemicals, pharmaceuticals, electronics.
Imports - partners: US 19%, Colombia 6%, Venezuela 5%, Chile 4%, Brasil 4% (1997)
Debt - external: $28 billion (2007 est.)
Economic aid - recipient: $491 million (2002)
Currency: 1 nuevo sol (S/.) = 100 centimos
Exchange rates: nuevo sol (S/.) per US$1 - 2.98 (Dec 2007), 3.20 (Dec 2006), 3.303 (Oct 2004), 3.45 (December 31, 2003), 3.51 (December 31, 2002), 3.63 (2001), 3.50 (2000), 3.383 (1999), 2.930 (1998), 2.664 (1997), 2.453 (1996), 2.253 (1995)
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