Features

ITC@50 testimonials: Peru - A trade environment in which Peru can boost regional trade and exports

2 July 2014
ITC News
Thanks to international partners such as ITC, Peru’s exports are now thriving, writes Magali Silva

Over the past decades, Peru has undergone major reforms in its trade policy. In the 1980s, the country was largely isolated from the global economy. Its national economic policies were focused on protecting domestic industry and preventing the entry of foreign competition. It was a time of crisis, exports fell sharply, and farmers were becoming poorer and poorer. Inflation was high, wages were low, and many people were jobless.

Sweeping reforms of economic and trade policy saw Peru opening its doors to foreign investment, and initiating a process of tariff liberalization and trade integration with key partners. These reforms have brought about greater opportunities and more investment, creating jobs and significantly improving the country’s export performance.

Today Peru is considered an emerging economy with steady economic growth. It is rated as a stable country and foreign direct investment is encouraged by analysts. Moreover, Peru has mainstreamed trade into its national development plans. Recent years have seen a diversification of Peru’s industry, and sectors such as agribusiness, services, manufacturing, fisheries, and textiles, among others, are gearing their output towards products with higher added value.

Despite progress, Peru still has a long way to go in its search for inclusive development. In response, huge efforts are undertaken by Peru’s Government to ensure continued sustainable economic growth. In partnership with the private sector, the quality of the country’s infrastructure is being improved, and reforms are being put in place to boost trade in services and trade facilitation, and to promote innovation, science and technology.

Much of this has been achieved in cooperation with our international partners. For example, ITC's intervention in Peru has helped to strengthen institutions that provide trade-promotion services. ITC has also supported the development of a trade environment in which regional trade and exports thrive. That is something we want to continue. For Peru it is important that ITC remains a key partner supporting public institutions and private enterprises alike, allowing the country and its people to take advantage of the benefits that come with bilateral, regional and multilateral agreements.