RESTRICTED  
  
WT/TPR/G/393  
27 August 2019  
(19-5444) Page: 1/20 
Trade Policy Review Body   Original: Spanish  
 
 
TRADE POLICY REVIEW  
REPORT BY  
PERU 
Pursuant to the Agreement Establishing the Trade Policy Review Mechanism (Annex 3 of the 
Marrakesh Agreement Establishing the World Trade Organization), the policy statement by Peru is 
attached.  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Note: This report is subject to restricted circulation and press embargo until the end of the 
first session of the meeting of the Trade Policy Review Body on Peru. WT/TPR/G/393 • Peru  
 
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  Contents  
1   INTRODUCTION  ................................ ................................ ................................ ..........  3 
2   ECONOMIC ENVIRON MENT  ................................ ................................ ..........................  3 
2.1   Macroeconomic aspects  ................................ ................................ ................................  5 
2.2   Microeconomic aspects  ................................ ................................ ................................ . 5 
2.3   Modernization of the public sector ................................ ................................ ..................  5 
3   TRAD E POLICY  ................................ ................................ ................................ ............  6 
3.1   Internationalization of firms and diversification of markets  ................................ ...............  8 
3.2   Initiatives promoting and consolidating Peru's commercial presence abroad  ....................... 12 
3.2.1    Developing a diversified, competitive and sustainable export supply  .............................. 12 
3.2.2    Facilitation of foreign trade and efficiency of the international logistics chain  ................... 13 
3.2.3    Capacity building for the internationali zation and consolidation of the export chain  .......... 14 
4   INVESTMENT POLIC Y ................................ ................................ ................................  15 
5   TRADE AND INVEST MENT PERFORMANCE  ................................ ................................ . 17 
6   CONCLUSIONS AND OUT LOOK  ................................ ................................ ...................  19 
 
 
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  1  INTRODUCTION  
1.1.  During the trade policy review period (2013 -18), the Peruvian economy experienced sustained 
economic growth and registered one of the highest growth rates in the region.  As in previous review 
periods, Peru presented strong macroeconomic fundamentals. This sustained growth has enabled 
the continued improvement of social indicators such as employment and ha s helped to reduce 
poverty and inequality.  
1.2.  It is hoped that this growth path will continue over the coming years, spurred on by internal 
demand and the Government's efforts to introduce economic policy measures aimed at improving 
the potential growth of th e economy by further boosting competitiveness and productivity, as well 
as fiscal sustainability.  
1.3.  Peru's investment policy seeks to guarantee domestic and foreign investors a predictable and 
favourable legal framework that would enable them to help narrow the gap in infrastructure and 
public services, as well as generate productive employment and competitiveness in the country.  
1.4.  In parallel, Peru has developed a trade policy based on the National Strategic Export Plan –
PENX 2025, which has three objectives: enabling local companies to go international; increasing 
diversified exports; and enhancing competitiveness.  These efforts are in line with the policy tools 
implemented over the past decades, such as unilateral tariff liberalization, international trade 
negotiations, and domestic competitiveness and facilitation policies related to foreign trade.  
1.5.  Peru is planning to maintain its policy of openness and liberalization and to continue supporting 
efforts to consolidate a predictable international trading system based on fair competition, clear rules 
and the reduction of barriers to trade. It will also continue to implement trade development and 
facilitation policies in order to consolidate Peru's presence in the global arena by helping Peruvian 
companies t o go international.  
1.6.  Peru's trade and investment policies are important tools to boost the country's economic growth 
with the ultimate objective of contributing to social inclusion and improving people's living standards. 
For this reason, Peru is looking to  expand investment opportunities, including those relating to 
natural resources, agro -industry, textiles and tourism. Peru guarantees a stable and predictable 
legal framework and, during the review period, received positive forecasts from recognized risk 
assessment agencies, which approved the level of investment granted and raised Peru's sovereign 
credit rating.1 Similarly, The World Bank's Doing Business 2019  report ranks Peru 68th out of 
190 countries for ease of doing business, and fifth among Latin Ame rican countries.2 
2  ECONOMIC ENVIRONMENT  
2.1.  Despite the unfavourable international climate, between 2013 and 2018 the Peruvian economy 
maintained strong growth and was one of the highest growing economies in the region. In addition, 
the country's macroeconomic fundamentals remained solid, as demonstrated by a macroeconomic 
environment characterized by price stability, a moderate current account deficit and responsible 
fiscal management.  
2.2.  Between 2013 and 2018, real GDP grew on average by 3.7%, which is similar to  its long -term 
growth rate. This means that the Peruvian economy has maintained uninterrupted growth for 
20 years running. Sustained economic growth has gone hand in hand with higher increases in 
per capita GDP, which, according to the International Moneta ry Fund, rose from USD 6,632 in 2013 
to USD 7,002 in 2018.  
2.3.  The economy's positive performance between 2013 and 2018 was due mainly to higher 
domestic demand, underscoring investment and private consumption recovery in the past years. 
External demand was al so a significant factor in 2016 and 2017.  
                                                
1 Guía de Negocios e Inversión en el Perú 2018/2019 , ProInversión, Ministry of Foreign Affairs, 
EY Building a better working world , page 42.  
2 World Bank, Doing Business 2019 . Viewed at: 
https://www.doingbusiness.org/content/dam/doingBusiness/media/Annual -Reports/English/DB2019 -
report_web -version.pdf . WT/TPR/G/393 • Peru  
 
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  2.4.  Private investment performance varied greatly between 2013 and 2018. In 2013, it grew by 
7.1% before falling by an average of 4.6% between 2014 and 2016. Subsequently, in 2017, a path 
of recovery started and was co nsolidated with the start of new mining projects. Private investment 
rose by 4.4% in 2018, the highest rate since 2013, thanks to the start of new mining projects such 
as Quellaveco, Mina Justa and expansion of Toromocho. It is worth mentioning that betwee n 2013 
and 2018 Peru received around USD 42  billion in foreign direct investment, which  represented close 
to 3.4% of GDP over the period. This was mainly attributable to the development of major projects 
linked to the mining and non -financial services sect ors. 
2.5.  Private consumption grew on average by a real rate of 4% between 2013 and 2018. This 
expansion was driven by the creation of more jobs and better conditions for accessing credit. 
Regarding employment, growth of private investment led to the recruitmen t of workers, having 
recorded an accumulated rise of 7.7% between 2013 and 2018 ; it also enabled the unemployment 
rate to remain at 3.9% on average during the period under review. It should be noted that since 
2011, the unemployment rate has hovered around  4%, which is in line with the trend for 
middle -income countries (4%). As for the financial sector, the growth of consumer loans went hand 
in hand with employment growth, thus driving private consumption upwards. According to the 
Central Reserve Bank of Pe ru (BCRP), consumer loans grew by an average of 11.4% during the 
review period, driven mainly by the granting of loans in national currency, which in turn helped 
reduce the dollarization of this sector from 11.3% in 2013 to 6.2% in 2018.  
2.6.  In addition, betwe en 2013 and 2018, Peru maintained a policy of prudent macroeconomic 
management, reflected in a relatively low inflation rate (averaging 2.9%), a solid fiscal position in 
accordance with macrofiscal rules (the average economic performance of the non -financi al public 
sector was -1.5% of GDP, one of the lowest in the region), low general Government public debt 
(23.7% of GDP in 2018), stronger external accounts and an increase in international reserves 
(in 2018,  international reserves were equivalent to 26.9% o f GDP).  
2.7.  Thanks to its solid macroeconomic fundamentals and sound macroeconomic policies, Peru has 
the second highest credit rating in the region. Moreover, it should be noted that, in a context where 
credit ratings and/or outlooks were revised downwards on  several occasions between 2013 and 
2019, Peru stood out as one of the few emerging economies not to have received a negative credit 
rating or outlook. In fact, both indicators improved. Standard & Poor's and Fitch Ratings raised Peru's 
credit rating from BBB to BBB+ in August and October 2013 respectively. Moody's raised Peru's 
credit rating from Baa2 to A3 in July 2014.  
2.8.  The favourable domestic economic context also enabled a steady reduction in  the levels of 
poverty and inequality. Between 2013 and 2018, total poverty contracted from 23.9% to 20.5% of 
the population and extreme poverty fell from 4.7% to 2.8%. Similarly, according to  the World Bank, 
the degree of income distribution inequality, as measured by the Gini coefficient, fell from 43.9 in 
2013 to 43.3 in 2017.  
2.9.  For 2019, according to the Updated Report on Macroeconomic Projections, economic activity 
will grow by about 4.2%, attributable mainly to higher levels of private investment in major mining  
projects (Quellaveco, Mina Justa  and expansion of Toromocho) and the continuity of public 
investment projects (Reconstruction with Changes, Pan -American Games and Modernization of 
Talara). It is hoped that the boost in investment will generate more formal jobs and enhance wage 
income, th us favouring higher private consumption.  
2.10.   It is also expected that between 2020 and 2022, GDP will increase to above 4%, which means 
that Peru would continue to lead growth in the region. In the coming years, the engines of growth 
will be: (i) private expen diture through dynamic private investment, both in the mining sector - 
through major mining projects - and the non -mining sector - through the execution of infrastructure 
projects; (ii) public expenditure, which will exceed GDP and help narrow the infrastr ucture gaps; 
and (iii) exports, which will record significant growth, mainly under the headings of agriculture, 
aquaculture products and mining, the latter through the start of operations under mining projects 
that will increase copper production in the co ming years.  WT/TPR/G/393 • Peru  
 
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  2.11.   Economic growth forecasts are consistent with the country's economic policy outline, under 
which the main objective is to boost potential GDP. This outline is based on three pillars: 
macroeconomic, microeconomic and public sector modernization .3 
2.1  Macroeconomic aspects  
2.12.   Consolidation of economic growth in the short, medium and long terms. To achieve this, Peru 
will guarantee prudent and responsible fiscal account management so as to reduce poverty and 
improve well -being.  Growth consolidation, toget her with macroeconomic stability, will enable: (i)  the 
creation of a business climate that is conducive to private investment and that attracts foreign 
investment flows; and (ii) the creation of fiscal spaces to increase access and improve quality in 
respe ct of public services, with a view to narrowing public infrastructure gaps and building capacity 
to respond to external shocks.  
2.2  Microeconomic aspects  
2.13.   Boosting productivity and competitiveness. In the past five years, potential GDP growth has 
weakened, drop ping from an average of 4.6% between 2012 and 2016 to 3.5% in 2017, owing to a 
fall in productivity (total factor productivity – TFP) and a smaller share of capital and labour. Peru 
has made it a priority to focus on potential GDP growth by further boostin g productivity and 
competitiveness, thus guaranteeing the country's progress and development.  
2.14.   In this context of adapting best international practices to the national reality, the Government 
decided to devise a comprehensive strategy to improve the country 's competitiveness and 
productivity and boost medium - and long -term economic growth. This strategy is divided into three 
phases. The first phase is the prospective and strategic one in which the Government's vision, 
objectives and outline are defined. Thes e will guide public sector interventions and private sector 
actions in terms of competitiveness and productivity, aspects which have already featured in the 
National Competitiveness and Productivity Policy (PNCP). The second phase is the operational one 
during which the priority objectives previously outlined in the PNCP will be achieved through specific 
actions and measures. These actions and measures are being formulated in a participatory manner, 
under the coordination of the National Competitiveness and  Formalization Council (CNCF), as part 
of efforts to devise the National Competitiveness and Productivity Plan. The third phase will focus on 
guaranteeing implementation of the measures contained in the National Plan, by setting up an 
institutional system to facilitate coordination between public entities with a view to achieving the 
overall goal of the PNCP.4 
2.3  Modernization of the public sector  
2.15.   Provide high -quality goods and services and improve interaction with citizens.  Efforts are 
being made to allocate  and make efficient use of resources with all of the necessary logistics in order 
to meet the various needs of the population. This involves: improving human capital with a focus on 
meritocracy; timely and proper procurement of materials, furnishings and e quipment; and rolling 
out public infrastructure with a view to narrowing gaps. To this end, work on the results -based 
budget approach will continue and state management practices will be updated in order to ensure 
the efficient functioning of administrativ e systems, thus optimizing management capacity at the 
public sector level, and with aligned public -private incentives. In this way, the State's financial 
systems, such as the National Budget, Borrowing and Treasury System, will be modernized and 
integrated , with a view to enhancing the transparency and operability of the public sector.5 
2.16.   Human resource management also needs to be modernized through the intensive use of 
technology to ensure proper monitoring of the economically active population employed in t he public 
sector.  Gradual implementation of the civil service is noteworthy, as this will reinforce the objective 
of improving human capital of service to society, with an emphasis on meritocracy. To supplement 
these efforts, the optimal provision of goods  and services to the population is contingent on 
improving the Government Procurement Law, comprehensive development of the National Supply 
System, and institutional strengthening of the Supervisory Authority for Government Procurement 
                                                
3 Multi-Annual Macroeconomic Framework 2019 -2022.  
4 Updated Report and Macroeconomic Forecasts 2019 -2022.  
5 Multi-Annual Macroeconomic Framework 2019-2022.  WT/TPR/G/393 • Peru  
 
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  (OSCE) and of Perú C ompras (central government procurement agency). This will be accompanied 
by the implementation of national and sectoral policies that will have an impact on society.  
3  TRADE POLICY  
3.1.  For over 25 years now, Peru has been implementing a trade policy of openness and 
liberalization aimed at driving economic growth and helping the country integrate into global markets 
and value chains, with a view to enhancing the well -being of its people and the development of the 
country. In this context, Peru has consistently sup ported a strong multilateral trading system, based 
on fair competition, transparency and predictability, and the reduction of trade barriers.  
3.2.  The institutional framework for the formulation of trade policy has been maintained since the 
previous two trade p olicy reviews. The Ministry of Foreign Trade and Tourism (MINCETUR), 
established in 2002, is in charge of defining, managing, executing, coordinating and overseeing the 
foreign trade and tourism policies. It also sets out and administers the policies of Pe ru's trade offices 
abroad. It is responsible for the promotion of exports and tourism and for international trade 
negotiations, in conjunction with the Ministries of Foreign Affairs and the Economy and Finance and 
other sectors of government within their r espective areas of competence, and is in charge of 
regulating foreign trade. For its part, the Ministry of the Economy and Finance plans, manages and 
oversees aspects relating to customs and tariff policy, the  latter in conjunction with MINCETUR and 
the mi nistry for the sector concerned, where  appropriate.  
3.3.  The Peruvian Commission for the Promotion of Exports and Tourism ( Promperú ), attached to 
MINCETUR, is the competent specialized technical agency responsible for formulating, approving, 
implementing and evaluating strategies and plans to promote exportable goods and services, and 
domestic and inbound tourism, and for promoting and projecting Peru's image in terms of tourism 
and exports.  
3.4.  Peru has incorporated foreign trade in its national development strategies, notably in its 
National Strategic Development Plan (" Plan Bicentenario: El Perú hacia el 2021 ") adopted in 2011, 
and in the National Agreement adopted in 2002, which comprises state policies formulated and 
adopted with a view to set ting the course for Peru's sustainable development and affirming its 
democratic governance. Along the same lines is the National Competitiveness and Productivity Policy 
(PNCP) approved in December 2018, which encourages high and sustained economic growth i n order 
to enhance well -being in the medium term. The PNCP sets out the country's vision for increasing its 
level of competitiveness and productivity in the coming years, with one of its objectives linked to 
facilitating conditions for foreign trade in goo ds and services.  
3.5.  The incorporation of foreign trade reflects Peru's vision of becoming an exporting country 
offering a competitive, diversified and consolidated range of value added goods and services on  
international markets, with foreign trade contributi ng to social inclusion and higher living standards. 
Such integration depends not only on gaining access to new markets but also on how the export 
sector makes use of such access. Aspects such as innovation, factor mobility, knowledge transfer 
and a conduci ve business climate are key to ensuring greater diversification of foreign trade. The 
country's long -term strategy for sustainable and diversified exports has been updated to take into 
account the constant changes that may occur both within and outside Per u. 
NATIONAL STRATEGIC EXPORT PLAN 2025 (PENX 2025)  
 
3.6.  The strategies and actions that fall under the national trade policy are established under the 
National Strategic Export Plan 2025 (PENX  2025), which defines the strategy for boosting domestic 
trade. In the previous review, PENX 2003 -13 was still in force, and represented an unprecedented 
effort in joint planning between the public and private sectors in Peru. Its main objective was to 
actively boost foreign trade based on the joint efforts of the State and the private sector in order to 
increase and diversify Peru's exportable supply and achieve competitive integration into international 
markets.  
3.7.  The formulation of PENX 2025 drew on a numb er of lessons learned during the implementation 
of PENX 2003 -13, including the need for a high level of political and technical compromise, 
collaboration between regional authorities, ongoing multisectoral coordination, consolidation of the WT/TPR/G/393 • Peru  
 
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  foreign trade s ector, and targeted efforts to help Peruvian companies go international. New 
strategies conducive to sustainable exports were devised.  
3.8.  PENX 2025, the ultimate goal of which is to consolidate the presence of Peruvian export 
companies abroad, contains the fo llowing strategic objectives:  
• scale up efforts to help companies go international;  
• increase in a sustainable and diversified manner the export of value -added goods and 
services; and  
• enhance the competitiveness of the export sector.  
3.9.  PENX 2025 has a co mpetitiveness focus in order to generate instruments that support the 
business sector and strengthen institutional capacity with a view to achieving the long -term 
sustainability of the sector by helping Peruvian companies go international. It comprises fou r key 
pillars:  
a. Business internationalization and market diversification: Support the efforts of Peruvian 
companies to participate in the economies of other countries and diversify markets and 
products with a view to making the most of the expanded markets resulting from thetrade 
agreements signed by Peru.  
b. Diversified, competitive and sustainable exportable supply: Consolidate exports with an 
emphasis on non -traditional exports and services.  
c. Foreign trade facilitation and an effective international logistics  chain: Reduce transaction 
costs associated with foreign trade operations, including regulatory, procedural, logistical 
and financial aspects.  
d. Capacity development with a view to going international and building an export culture: 
Strengthen the export cap acity of businesses to gain new and diversified markets, 
products and/or services.  
3.10.   A total of 15 lines of action and 93 programmes have been established to achieve the strategic 
objectives and pillars of PENX 2025. The programmes entail strategic activitie s that will be conducted 
across sectors.  
3.11.   MINCETUR, in its role as foreign trade regulator and promoter, is the main authority with 
responsibility for achieving the objectives of PENX 2025, while the Joint Standing Multisectoral 
PENX  Commission is the body in charge of administering and overseeing the Plan.  
3.12.   PENX is the basis for Regional Export Plans (PERX) for each of the regions in the country. 
These identify each region's gaps in export competitiveness and propose specific actions to narrow 
such gaps. Eac h region adopts its PERX through a Regional Ordinance, such that the PERX is 
implemented through regional management instruments such as the Regional Joint Development 
Plan, the Institutional Operational Plan and the Regional Budget Plan. Market Developmen t Plans 
(PDM), on the other hand, are tools aimed at broadening, diversifying and consolidating the presence 
of Peruvian companies, goods and services, as well as promoting their presence on the major 
international markets in order to make full use of open  trade.  
3.13.   Since the previous review, Peru has been intensifying its efforts to achieve its trade objectives, 
boosted and supercharged by PENX 2025. This has resulted in specific policy tools, such as unilateral 
tariff liberalization, international trade nego tiations, policies aimed at facilitating and promoting 
international value chains, and domestic policies on foreign trade development.  WT/TPR/G/393 • Peru  
 
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  3.1  Internationalization of firms and diversification of markets  
Unilateral tariff reduction  
3.14.   Peru has been reducing tariffs under the trade policy it initiated in 1990. In 2006, the Ministry 
of the Economy and Finance (MEF) established Tariff Policy Guidelines that seek to provide end 
consumers and users of inputs and capital goods with greater access to a wider variety  of 
high-quality goods, thereby encouraging a more efficient allocation of productive resources and an 
increased level of well -being among the population.  
3.15.   Tariff liberalization is measured by reductions in average tariffs and tariff dispersion. During 
the periods 2007 -12 and 2013 -18, the average MFN ad valorem  tariff decreased from 3.2% to 2.2% 
and tariff dispersion from 3.8 to 3.6 percentage points.  
3.16.   Peru currently applies five MFN tariff levels: (a) ad valorem  tariffs of 0%, 6% and 11%, and 
(b) specific ta riffs (on only 48 tariff lines) not exceeding 20% (rice) or 15% (maize, dairy and sugar). 
There is a 0% tariff on 69.9% of tariff lines, which in 2018 accounted for 74% of imports in terms 
of value.  
International trade forums and negotiations  
3.17.   Peru continu es to promote trade openness so as to successfully embed the country in the 
global economy. There is a clear consensus that liberalization, coupled with thorough integration in 
global trade and investment chains, will bring greater economic growth, employm ent and well -being. 
Multilateral, regional, plurilateral and bilateral trade agreements play a key role in achieving this 
goal by improving the conditions of access to external markets for Peru's goods and services, 
providing clear and predictable rules an d disciplines for foreign trade, and offering an attractive 
regulatory framework for private investment.  
3.18.   Peru has been a member of the multilateral trading system for 68 years. It became a 
contracting party to the GATT in 1951 and is a founding Member of t he World Trade Organization.  
3.19.   Peru rejects all types of protectionism and supports a broad, open, predictable and 
transparent multilateral trading system that is based on international rules. The country has 
expressed this position throughout its participat ion in multilateral meetings and forums.  
3.20.   During the 2013 -18 review period, Peru took part in the Ninth, Tenth and Eleventh Ministerial 
Conferences and in WTO councils, committees and working groups responsible for implementing and 
administering the Agreeme nts, so as to ensure the proper application and monitoring of these texts. 
As part of the routine work of the Organization, Peru has presented various communications in the 
Committees on Sanitary and Phytosanitary Measures and Technical Barriers to Trade, among others, 
and has made regular notifications in fulfilment of its transparency obligations.  
3.21.   Significant outcomes were achieved at the last three WTO Ministerial Conferences. These 
include the Trade Facilitation Agreement (TFA), in force since 22 Februa ry 2017, the elimination of 
agricultural export subsidies, and the adoption of a Ministerial Decision to continue negotiations on 
fisheries subsidies with a view to adopting a multilateral agreement at the next Ministerial 
Conference. Peru continues to wor k on issues of national interest that are covered by joint 
statements and declarations made in Buenos Aires, such as domestic regulation of trade in services, 
electronic commerce, the integration of micro, small and medium -sized enterprises (MSMEs) into 
international trade, and trade and women's economic empowerment.  
3.22.   Peru continues to firmly support the multilateral trading system and hopes that at the 
Twelfth  Ministerial Conference, to be held in Nur -Sultan, Kazakhstan, concrete outcomes can be 
achieved wi th respect to the ongoing negotiations. Peru is aware that certain reforms need to be 
carried out at the WTO, and the position of its government is essentially constructive, seeking the 
best possible functioning of the Organization. It is of particular int erest to ensure that the work of 
the Appellate Body does not come to a standstill, especially after December 2019, when the terms 
of two of its three members come to an end.  WT/TPR/G/393 • Peru  
 
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  3.23.   Peru takes an ambitious approach and adopts a constructive position in both its bi lateral and 
multilateral negotiations. Its objective is to foster greater security in the opening of markets, through 
the creation of new access opportunities for its exports and the establishment of transparent, 
predictable trading rules that supplement i n regulatory terms the trade disciplines of its bilateral and 
regional agreements.  
3.24.   Peru recognizes the important role played by the WTO in ensuring the stability, predictability 
and transparency of the multilateral trading system. The complexity of today's  economic 
environment has led to a stronger commitment to fighting all forms of protectionism. Accordingly, 
on numerous occasions, in this and other forums (APEC, OECD, Pacific Alliance Leaders' Summits 
and others), Peru has called on the other countries t o show the utmost restraint in applying trade 
measures that distort international trade. It has also expressed the need to assess the best option 
for levelling the playing field in international trade.  
3.25.   Peru attaches great importance to the Aid for Trade initiative, a tool that promotes inclusive 
and sustainable development by building the trade capacity and infrastructure that developing 
countries need in order to better harness the benefits of international trade and trade agreements. 
Peru therefor e appreciates the work done by the WTO since the initiative began and welcomes the 
fact that the initiative's 2018 -19 work programme prioritizes the issues of economic diversification 
and empowerment, which are in line with the trade priorities under Peru' s national development 
strategy.  
3.26.   These priorities are set out in important policy documents, such as the National Strategic 
Development Plan, the National Strategic Export Plan, the National Competitiveness and Productivity 
Policy, and the National Technic al Cooperation Policy.  
3.27.   Peru has been participating in Aid for Trade -related activities and, since its last trade policy 
review, has taken part in the Global Reviews of Aid for Trade and submitted the partner country 
questionnaire. In 2018, it also particip ated in the regional workshop "Trade - and Development -Led 
Economic Growth in Latin America: the Role of the Multilateral Trading System", which provided an 
opportunity to learn about the latest Aid for Trade trends and developments, including the current 
work programme.  
3.28.   Peru believes it is important to take greater advantage of Aid for Trade and increase its 
diffusion, as the initiative also contributes to achieving the goals of the 2030 Sustainable 
Development Agenda.  
3.29.   The WTO is the cornerstone of Peru's t rade policy and international trade negotiations. Peru's 
bilateral and regional trade negotiations are all based on WTO provisions and principles and are 
consistent with them. Regional and bilateral agreements supplement the multilateral trade 
agreements a nd do not substitute them.  
3.30.   The bilateral and regional trade agreements signed by Peru have significantly contributed to 
the growth and development of Peruvian exports, particularly non -traditional ones, on the global 
market, and to the country's economic g rowth, by making it possible to offer certainty and develop 
a diversified export sector for goods and services. These agreements have helped to consolidate 
access to Peru's principal trading partners and to establish stable and predictable rules for attrac ting 
investment and improving bilateral trade relations.  
3.31.   At the multilateral level, Peru ratified the Trade Facilitation Agreement (TFA) in July 2016 
under Supreme Decree No. 044 -2016-RE. The Agreement entered into force on 22 February 2017, 
after being ra tified by more than two thirds of WTO Members.  
3.32.   Peru has been part of the multilateral negotiations on fisheries subsidies since they began in 
2001, promoting the elimination of subsidies that result in unfair competition and contribute to the 
plunder of re sources. As a fishing nation, Peru has been an active and regular participant in the 
multilateral negotiations, submitting proposals and participating in technical discussions. The 
adoption of the Ministerial Declaration on fisheries subsidies at the WTO's  Eleventh Ministerial 
Conference (MC11) signalled an important step forward in the negotiations to establish disciplines 
on fisheries subsidies.  WT/TPR/G/393 • Peru  
 
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  3.33.   In December 2017, at MC11, Peru and 74 other WTO Members agreed to initiate exploratory 
work for future negotia tions on electronic commerce. In 2019, Peru was among the 48 Members 
that endorsed a Joint Statement on Electronic Commerce to initiate negotiations in that area, and it 
continues to be actively involved in the negotiations.  
3.34.   Peru also participates in the n egotiations on domestic regulation of trade in services. 
In May 2019, Peru was one of the 59 WTO Members that adopted a Joint Statement on Services 
Domestic Regulation with a view to achieving concrete outcomes by the next Ministerial Conference 
in 2020.  
3.35.   All the trade agreements in force since the last review have been duly notified to the 
WTO Committee on Regional Trade Agreements for review under the Transparency Mechanism for 
Regional Trade Agreements and, by July 2019, the reviews of the trade agreement s with Mexico, 
Panama, Japan, the European Union, EFTA and Costa Rica had been successfully completed. As at 
July 2019, the Pacific Alliance Protocol was undergoing the same process.  
3.36.   As a signatory to the 1969 Cartagena Agreement, Peru forms part of the An dean Community 
(CAN), which also consists of Bolivia, Colombia and Ecuador and the bodies and institutions of the 
Andean Integration System. CAN has a free trade area for all the goods produced in the subregion 
and has developed Community rules that govern  trade relations between the member countries.  
3.37.   It should be noted that, since the issuance of Decision No. 792 of September 2013, the 
CAN member countries have been working to re -engineer the Andean Integration System so as to 
strengthen the CAN by steerin g it towards a new, more modern vision with a view to reinvigorating 
it and adapting it to the requirements, issues and challenges of the present regional and international 
context. The measures being taken on the basis of this new vision are guided by the  country 
holding  the Pro Tempore Presidency of the Andean Community, which will be Bolivia until May 2020. 
In the period 2013 -18, Peru held the CAN Pro Tempore Presidency from July 2009 to July 2010, 
September 2013 to September 2014, and May 2018 to May 20 19. 
3.38.   As a member economy since 1998, Peru has been actively participating in the initiatives of 
the Asia -Pacific Economic Cooperation (APEC) forum. Its participation in APEC has enabled it to help 
identify issues and set priorities, participate in initiativ es, actions and activities to promote the 
liberalization and facilitation of trade and investment in the country, and support the multilateral 
trading system and regional economic integration. APEC is also a tool for strengthening 
Peru's  relations with the  Asia-Pacific economies and, in particular, for expanding its network of 
bilateral and regional agreements. Peru hosted APEC's main meetings for a second time in 2016, 
after having done so for the first time eight years earlier in 2008, and is the only mem ber to have 
hosted twice in such a short period of time. At the 2016 APEC summit, the Lima Declaration on  the 
Free Trade Area of the Asia -Pacific ( FTAAP ) was approved, with recommendations on how to work 
towards establishing that free trade area.  
3.39.   It should  be noted that Peru has been included in the assessments of APEC economies' 
progress towards the Bogor Goals of free and open trade and investment. Since the last Review, 
Peru has been part of three assessments: in 2014, 2016 and 2018.6 APEC will conduct t he final 
assessment in 2020.  
3.40.   In recent years, Peru has been working actively towards being invited to become a member 
of the OECD. Peru submitted its membership request in November 2012 and reiterated its desire to 
join the organization at the OECD's Economic Forum on Latin America an d the Caribbean in 2014 . 
In June 2014, the OECD Ministerial Council invited Peru to participate in a Country Programme, 
which was implemented in 2015 and 2016. The Peru Country Programme identified 14 main areas 
of work7 and 60 actions that included access ion to declarations, principles, codes or conventions; 
reviews of public policy, reports and/or sectoral diagnostics; participation in OECD committees and 
forums; and development of databases, indicators, and exchange of quantitative information.  
                                                
6 Assessment of Achievements of the Bogor Goals. Viewed at: https://www.apec.org/About -Us/About -
APEC/Achievements -and-Benefits/Bogor -Goals.aspx . 
7 Cross -sectoral tools; environment; investment; action to combat bribery; financial markets; insurance 
and private pensions; public governance (governance, integrity, territorial development and regulatory policy); 
tax matters; health; employment; educati on and training; trade; agriculture; and statistics.  WT/TPR/G/393 • Peru  
 
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  3.41.   The Count ry Programme was successfully completed in 2017, with Peru exceeding the scope 
of the Programme. In terms of legal frameworks, Peru has now acceded to 39 of the OECD's legal 
instruments, of which there are approximately 245, and around 79 are in the evalua tion phase. Peru 
is also stepping up its participation in the committees, working groups and other forums of the 
organization.  
3.42.   With respect to the OECD's trade -related tools, Peru has been included in the Trade in Value 
Added (TiVA) database, a joint OECD -WTO initiative, and the Trade Facilitation Indicators (TFI) 
database. Peru is currently working with the OECD to be included in the Services Trade 
Restrictiveness Index (STRI).  
3.43.   Since its last review, Peru has signed and brought into effect bilateral and pl urilateral trade 
agreements, with the Additional Protocol to the Pacific Alliance Framework Agreement and the CPTPP 
being the most significant in terms of number of parties and scope of coverage.  
3.44.   The Additional Protocol to the Framework Agreement establish ing the Pacific Alliance (trade 
protocol) was signed in February 2014 and entered into force among the parties in May 2016. 
First and second amending protocols were signed in July 2015 and July 2016, incorporating new 
provisions into the Additional Protoco l and/or amending existing ones. In the period 2013 -18, Peru 
held the Pro Tempore Presidency of the Pacific Alliance from July 2015 to July 2016 and from 
July 2018 to July 2019.  
3.45.   The Protocol updates and enhances the trade agreements in force among the four  Pacific 
Alliance member countries. It also creates spaces to take the integration process further, as well as 
opportunities for economic operators, spurring the creation of value chains in the region and 
propelling the four countries towards other interna tional markets, such as the Asia -Pacific market.  
3.46.   In June 2017, the Pacific Alliance announced the launch of negotiations between its States 
parties and Australia, Canada, New Zealand and Singapore on trade agreements that would give 
those countries the sta tus of Pacific Alliance associate member. Furthermore, in 2019 it was 
announced that the States parties would define the terms of reference that would guide negotiations 
on a trade agreement with Korea and Ecuador so that these two countries could acquire associate 
member status as well.  
3.47.   In 2018, Peru, together with Australia, Brunei Darussalam, Canada, Chile, Japan, Mexico, 
Malaysia, New Zealand, Singapore and Viet Nam, concluded negotiations on the Comprehensive and 
Progressive Agreement for Trans -Pacific  Partnership (CPTPP). That agreement expanded Peru's 
network of bilateral trading partners to include countries such as New Zealand, Brunei Darussalam, 
Viet Nam and Malaysia. Preferences agreed with countries with whom bilateral agreements already 
existed were also taken further. It is the most ambitious plurilateral negotiating process and the 
broadest, both in terms of product coverage and the disciplines included and in terms of the three 
continents spanned by the participating economies.  
3.48.   The CPTPP was s igned on 8 March 2018 and entered into force on 30 December 2018 for 
Australia, Canada, Japan, Mexico, New Zealand, and Singapore. For Viet Nam, the Agreement 
entered into force on 14 January 2019. In Peru, as in Chile, Brunei Darussalam and Malaysia, the 
Agreement will enter into force once ratified by the Government.  
3.49.   The Free Trade Agreement (FTA) with Honduras, signed in May 2015, entered into force in 
January 2017 and will be a tool for boosting trade in goods and services between the two countries.  
3.50.   In addition to the agreements already in force, Peru has signed an FTA with Brazil, the  CPTPP, 
and a trade agreement between the United Kingdom and Colombia, Ecuador and Peru. Peru has also 
ratified an FTA with Australia and is in the process of negotiating a  trade agreement with India and 
trade agreements between the Pacific Alliance and countries that are candidates for associate 
member status. Lastly, it is working on optimizing its FTA with China and deepening its Economic 
Complementarity Agreement with Ar gentina (ECA No. 58).  
3.51.   The Peru -Australia FTA was signed in February 2018 and ratified by Peru in February 2019. 
It will be the first bilateral agreement to include chapters on development, small and medium -sized WT/TPR/G/393 • Peru  
 
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  enterprises, and competitiveness and busines s facilitation, resulting in an agreement of 
comprehensive scope.  
3.52.   The trade agreement between the United Kingdom and Ecuador, Colombia and Peru, signed 
on 15 May 2019, incorporates the agreement with the European Union by reference so as to  maintain 
the provisions and preferences that currently apply to the trading relationship between Ecuador, 
Colombia and Peru and the United Kingdom. Amendments have been made only to allow for the 
proper implementation of the agreement and to ensure the co ntinuity of the preferences established 
under the agreement with the European Union. Those amendments are in areas such as origin, 
intellectual property, government procurement and trade defence.  
3.53.   An agreement to deepen economic and trade ties between Peru and Brazil was signed in 
April 2016. The agreement's substantive provisions deal with investment, trade in services and 
government procurement, and are in addition to the commitments undertaken by the two countries 
under Economic Complementarity Agreement No. 58 between Peru and MERCOSUR, which regulates 
trade in goods.  
3.2  Initiatives promoting and consolidating Peru's commercial presence abroad  
3.54.   With regard to trade and export promotion initiatives and programmes, Promperú provides 
information, advice and trai ning on export procedures, requirements and formalities. It has also 
made digital tools available to help MSME exporters and potential exporters increase productivity, 
improve capacity and have the information needed in order to make better strategic choic es. These 
tools include LATE, the digital export support platform that consolidates data from multiple reliable 
sources and presents it in one place in a user -friendly, easily understood format; the E -Commerce 
Programme to support businesses interested in engaging in cross -border e -commerce; financial 
simulators; and digital tools with up -to-date information on the requirements for accessing different 
markets.  
3.55.   With respect to market diversification, Peru's trade offices abroad (OCEX), which form part of 
Promperú, constitute a key trade policy element for Peru, as they are responsible for promoting the 
opening and consolidation of export, tourism and investment markets. There are currently 35 such 
trade offices in 30 economies, the markets of which account fo r over 90% of non -traditional exports.  
3.56.   Peru's trade offices abroad have a coordinated operational plan that was agreed with 
widespread and active participation from the public and private sectors. It is in keeping with strategic 
institutional plans and pri oritizes funding for innovative, regional activities with an impact in Peru's 
business sector.  
3.57.   The trade offices carry out a variety of activities, including exhibitions at fairs, workshops, 
promotional campaigns and missions, and roadshows. These activiti es have contributed to better 
relations between Peruvian and foreign firms, the positioning of Peruvian fashion in international 
markets, the promotion of Peruvian cuisine, and increased exports by participating firms.  
3.2.1   Developing a diversified, competitive  and sustainable export supply  
3.58.   Improving export supply is vital for the diversification and competitiveness of Peruvian 
products. Work is therefore being done, jointly with the private sector, on compliance with and 
certification under international standa rds that can differentiate Peruvian products on the 
international market. These include certification for organic production, Global GAP, Rainforest 
Alliance and others. More than 500 companies have taken part in programmes on how to implement 
various cert ifications. In addition, since 2016, more than 3,000 producers have been trained and 
over 2,000 certified in good agricultural practices, organic production and fair trade in 13 regions of 
the country.  
3.59.   Sectoral and collective marks have also been developed  with a view to consolidating and 
positioning various Peruvian products in international markets. These include sectoral marks such 
as SuperFoods Perú, Perú Textiles and Alpaca del Perú, which reflect the differentiation of the 
country's export supply. Reg ional marks have also been developed and include Aynok'a 
(white  quinoa from Puno), Zikuyo (white cocoa from Piura), Ecochira (organic bananas from Piura), 
Tibana (pineapples from Pangoa, Satipo) and Morikke (chestnuts from Madre de Dios). These WT/TPR/G/393 • Peru  
 
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  initiatives  contribute in turn to regional development and decentralization. Five new sectoral marks 
are expected to be developed between 2019 and 2021.  
3.60.   Regional Export Plans (PERX) are tools to guide the development of export supply in the 
different regions of the c ountry and are part of ongoing decentralization and capacity -building 
efforts. Since 2016, 24 Regional Export Plans have been updated and formally submitted to the 
relevant authorities. They prioritize the main products to be promoted in each region up unt il 2025 
and set out actions for improving the competitiveness of the regional export basket. The plans allow 
for an action framework to be developed, involving the significant challenge of cross -sectoral, 
multilevel (national, regional and local) and publi c-private coordination. There has been an emphasis 
on establishing regional spaces to manage their implementation (Regional Export Committees 
(CERX)) and on organizing training, technical assistance and trade promotion activities on the basis 
of the priori tization of products and actions under the plans.  
3.61.   In terms of developing the supply of services, the Programme to Identify and Promote Service 
Enterprises in the Regions (PRIPE) has made it possible to identify and strengthen the capacity of 
firms to manag e exports in various regions, such as Cusco and Junín. One of the Government's most 
important measures to facilitate the development of trade in services was the enactment, in 
July 2017, of Law No. 30641, the Services Trade and Tourism Promotion Law, which  extends the 
general sales tax exemption to a larger number of service exports.  
3.2.2   Facilitation of foreign trade and efficiency of the international logistics chain  
3.62.   As a result of its significant impact on competitiveness, trade facilitation has become an 
important factor for trade and economic development in Peru. Foreign trade facilitation is a crucial 
element in Peru's trade policy. It constitutes one of the four pillars (pillar 3) of the National Strategic 
Export Plan (PENX 2025), which seeks to implement effective foreign trade facilitation mechanisms 
that promote infrastructure development and provide for access to, and the provision of, physical 
distribution and financial services of better quality at lower prices.  
3.63.   Efforts to improve trade facilitation i n Peru are aligned with the WTO Agreement on Trade 
Facilitation (TFA).  
3.64.   Between 2016 and 2018, a series of trade facilitation measures and tools were implemented 
to increase the competitiveness of the foreign trade sector. The first package of measures was 
related to the improvement of customs operations, foreign trade logistics, enhanced institutional 
coordination, and administrative streamlining. The second package of measures concerned 
financing, transport regulations and customs.  
3.65.   Regarding f inancing, initiatives were implemented to promote access to funding for exporting 
SMEs, including an export credit insurance scheme (SEPYMEX) and the Programme to Promote 
Internationalization (PAI) ; the latter co -finances activities to build the capacity a nd enhance the 
management skills of such enterprises. Technical assistance was also provided to municipal savings 
and credit unions for the development of credit products to finance exports, which led to the creation 
of PYMEX loans for micro, small and med ium-sized enterprises engaged in export activity.  
3.66.   In December 2017, the Multisectoral Commission for Foreign Trade Facilitation was created 
pursuant to Supreme Decree No. 122 -2017-PCM. Its purpose is to strengthen coordination among 
government bodies relat ed to foreign trade, with a view to the proposal of trade facilitation 
mechanisms, actions and tools that will reduce logistical costs by increasing transparency, ensuring 
predictability in foreign trade operations and implementing a freight logistics poli cy. The Commission 
also contributes to the application and improvement of TFA measures.  
3.67.   The Commission comprises ten entities that will develop a national plan outlining the steps to 
be taken to comply with and fully apply the TFA, with a view to ensuring better implementation. It 
should be noted that Peru has already implemented 31 of the 36 measures included in the TFA. 
Currently, the Commission's working groups are prioritizing projects and setting out a roadmap for 
the next few years.  
3.68.   In February 2018, Peru submitted to the WTO Committee on Trade Facilitation a 
supplementary notification indicating that all the provisions contained in Section I of the TFA had WT/TPR/G/393 • Peru  
 
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  been included in category A, with the exception of the following measures: category B measures 
related to advance rulings, the single window, and border agency cooperation, for which the 
deadlines for compliance are 22 February 2020, 2021 and 2022, respectively; and category C 
measures related to notifications for enhanced controls or inspections and  test procedures, for which 
the deadline for compliance is 22 February 2023.  
3.69.   It should also be noted that in November 2018 and March 2019, Peru notified its transparency 
measures, including information on the publication of a regulatory framework governing  foreign 
trade operations and details concerning the single window for foreign  trade (VUCE), customs 
brokers, and contact points for customs cooperation and technical assistance.  
3.70.   Furthermore, with the support of Swiss Cooperation (SECO), an initiative is b eing carried out 
to increase the efficiency of sanitary management within the framework of TFA implementation in 
Peru. The initiative was adopted with the aim of implementing several of the category B and C 
measures notified to the WTO, particularly those related to test procedures, border agency 
cooperation and notifications for enhanced controls or inspections. Furthermore, priority was given 
to improving two measures notified in category A, which are related to risk management and 
authorized operators. T he initiative will be supported by the World Bank and the Inter -American 
Institute for Cooperation on Agriculture (IICA), as project partners.  
3.71.   The specific measures on risk management, authorized economic operators, test procedures, 
border agency cooperati on and notifications for enhanced controls or inspections, include a 
comprehensive health component primarily in relation to food, which is directly linked to the 
three  Peruvian health authorities: the National Agrarian Health Service (SENASA), the 
Directo rate-General of Environmental Health and Food Safety (DIGESA) and the National Fisheries 
Health Service (SANIPES). The implementation of these measures is related to increasing the 
efficiency of sanitary management, and would facilitate food trade activiti es. It is hoped that, by 
implementing the five trade facilitation measures, Peru will improve the efficiency of sanitary 
management, reduce the administrative costs involved in carrying out foreign trade operations, and 
benefit from the opportunities creat ed by trade liberalization, in order to increase the country's 
competitiveness and strengthen the sanitary management of the competent national bodies.  
3.72.   The VUCE is an important tool for the facilitation of export management. To date, it has 
incorporated 27 0 administrative procedures of 19 public entities and 21 certification bodies, and has 
saved over PEN 580 million for more than 51,000 users since operations began in 2010.  
3.73.   The redesign of the VUCE (through the VUCE 2.0 project) began in 2018 and involves the 
restructuring of the processes carried out by public entities in the foreign trade system, a new 
electronic platform for the VUCE, the management of electronic processes through the Port 
Community System, tools for the electronic management of foreign trade operations for micro and 
small enterprises (MSEs), a logistics observatory, business intelligence, national and international 
interoperability, a component for special economic zones, and the application of risk management 
in control entities.  
3.2.3   Capaci ty building for the internationalization and consolidation of the export chain  
3.74.   One of the main instruments for the promotion of exports is the Ruta Exportadora,  a 
programme developed by Promperú to increase the competitiveness of enterprises as part of the ir 
internationalization process. Ruta Exportadora  has four phases: guidance and information; training; 
business assistance; and promotion. Whereas, initially, the programme was more general in nature, 
its focus is now shifting towards specialization by pro duct and specialization by market -product, in 
order to take into account the evolution of international market requirements.  
3.75.   The initiative, Ruta Productiva Exportadora , which is headed by the MINCETUR and the 
Ministry of Production and financed through th e SECO programme, SeCompetitivo , seeks to increase 
the competitiveness and expedite the internationalization of MSMEs engaged in export activity 
and/or with export potential, through the provision of more efficient business services.  The initiative, 
which is to be implemented between 2019 and 2022, will enable various public agencies to provide 
a comprehensive portfolio of services for MSMEs, which will be made available to enterprises through 
an electronic platform. Furthermore, a procedure will be develop ed to validate these services in WT/TPR/G/393 • Peru  
 
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  MSMEs from the agro -industrial sector in the regions of Piura and Junín, which will directly benefit 
enterprises in these regions.  
3.76.   A network of decentralized offices has been developed, which provide guidance, training and 
technical training to MSMEs in order to help them achieve internationalization. To date, three regional 
export trading offices (OCER) have been established, in addition to six decentralized Promperú 
offices and an exporter service centre in the capital, wh ich deal with hundreds of enterprises from 
different regions of the country.  
3.77.   On-site and online capacity -building mechanisms have been developed for the public and 
private sectors. On -site training has been provided for officials from all regional governme nts in the 
country, and a virtual classroom has been set up for the provision of training on foreign trade, which 
will serve to build the capacities of many stakeholders.  
3.78.   As part of the WTO's Aid for Trade initiative, Peru has implemented several cooperati on 
projects and programmes related to productivity enhancement, the diversification of production and 
exports, the economic empowerment of young people, women and MSMEs, and trade facilitation. 
The main donors for these projects and programmes include Swit zerland, the United States, Canada, 
Korea, Australia, and the European Union, as well as international organizations such as the Inter -
American Development Bank (IDB), the World Bank, the United Nations Development Programme 
(UNDP) and the Food and Agricul ture Organization of the United Nations (FAO). South -South 
cooperation projects have also been developed, including a project with Brazil to strengthen the 
Peruvian cotton sector by increasing the competitiveness of family farming production systems, as 
well as forestry projects with Chile and Mexico, and projects within the framework of the Pacific 
Alliance. Between 2016 and 2018, Promperú carried out 35 international cooperation projects to 
promote economic empowerment. The activities conducted include th e provision of support for 
enterprises participating in international fairs, the implementation of capacity -building programmes 
with a view to internationalization, and the fostering of the use of electronic trade platforms.  
4  INVESTMENT POLICY  
4.1.  The specific legal framework for the promotion and protection of investment, 
and the institutional framework for the formulation of investment policy have been not been 
modified since Peru's last trade policy review, with the exception of arrangements for the 
incorporation of private investment into the development of infrastructure and public services 
projects.  
4.2.  The 1993 Political Constitution of Peru contains rules enshrining essential principles to 
guarantee a legal framework conducive to the development of private investment and, particularly, 
foreign investment. Domestic and foreign investment are both subject to the same conditions, as 
the legal framework governing investment is based on the national treatment principle. 
Foreign  investment is permitted without restriction in almost all branches of economic activity 
and does not require prior authorization for being foreign.  
4.3.  Pursuant to the Law on the Promotion of Foreign Investment of 1991 (Legislative Decree 
No. 662), the State promotes and guarantees f oreign investment made and to be made in the 
country, in all sectors of economic activity and in any entrepreneurial or contractual form permitted 
by national legislation. The Law provides that foreign investors and enterprises in which they 
participate ha ve the same rights and obligations as domestic investors and enterprises, the only 
exceptions being those laid down in the Political Constitution of Peru8 and in the aforementioned 
Legislative Decree. It furthermore establishes that in no case will nationa l legislation discriminate 
between investors or between enterprises on the basis of national or foreign participation in 
investment.  
4.4.  Pursuant to Legislative Decree No. 757, the Framework Law for the Growth of Private 
Investment was adopted in 1991, with th e aim of guaranteeing freedom of private initiative and 
existing or future private investment in all sectors of economic activity and in any entrepreneurial 
                                                
8 It should be noted that at the constitutional level there are two restrictions on foreign investment: 
(i) foreigners may not acquire or possess certain property within 50 kilometres of the border; and (ii) by law, 
for reasons of national security only, temporary restrictions may be established for the acquisition of the 
property specified in Articles 71 and 72 of the Constitution.  WT/TPR/G/393 • Peru  
 
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  or contractual form permitted by the Constitution and legislation, and establishing rights, guarant ees 
and obligations that apply to national or foreign natural or legal persons owning investments in Peru, 
on the basis that private, national and foreign investment in production activities carried out or to 
be carried out in the border areas of the count ry is of national necessity.  
4.5.  At the institutional level, the Ministry of the Economy and Finance is in charge of establishing 
the policy for the promotion of private investment. One of the functions of the Private Investment 
Promotion Agency (PROINVERSION)  is to implement the national policy for the promotion of private 
investment, in accordance with Legislative Decree No. 1362 and its implementing regulations, which 
were published in 2018. PROINVERSION is a specialized technical body attached to the Minist ry of 
the Economy and Finance, which has legal status, and which enjoys technical, functional, 
administrative, economic, and financial autonomy.  
4.6.  One of the most important advances made in investment law during the review period was the 
enactment, in July 2 018, of Legislative Decree No. 1362, which regulates the promotion of private 
investment through public -private partnerships and asset projects. The Decree establishes that the 
promotion of private investment through public -private partnerships and asset p rojects is of national 
interest, insofar as it contributes to the growth of the national economy, closes the gaps in 
infrastructure and public services, generates productive employment, and enhances the 
competitiveness of the country. In October 2018, the Regulations implementing Legislative Decree 
No. 1362 were published pursuant to Supreme Decree No. 240 -2018-EF. 
4.7.  The National Policy for the Promotion of Private Investment in Public -Private Partnerships and 
Asset Projects was adopted pursuant to Supreme De cree No. 077 -2016-EF. It aims to promote 
private sector participation in the arrangements regarding public -private partnerships and asset 
projects with a view to the development of projects that effectively contribute to closing gaps in 
public infrastructu re in the country, improve the scope and quality of public services, stimulate the 
national economy, generate productive employment, and enhance the country's competitiveness.  
4.8.  The same policy seeks to promote synergy between the various public -private part nership and 
asset projects, through the use of a project portfolio, and to ensure that promotion processes are 
implemented under competitive conditions, with no discrimination of any kind against bidders, and 
in strict compliance with the various agreement s signed by the Peruvian State.  
4.9.  The institutional framework for public -private partnerships and asset projects includes the 
National System for the Promotion of Private Investment (SNPIP), which comprises principles, rules, 
procedures, guidelines and regul atory technical directives aimed at promoting and facilitating private 
investment. The Ministry of the Economy and Finance is the body responsible for the SNPIP.  
4.10.   At the end of March 2016, the OECD recognized Peru as a country adhering to the Council 
Recomm endation on Principles for Public Governance of Public -Private Partnerships. According to 
the OECD, the strengthening and improvement of public policies on public -private partnerships 
ensure that such partnerships generate value for money for the public se ctor. 
4.11.   Peru has been very active in negotiating bilateral, regional and multilateral instruments to 
establish guarantees concerning treatment, protection and access to dispute settlement mechanisms 
applicable to investment. Peru has signed agreements on the reciprocal promotion and protection of 
investment with 27 countries.9 Within the Andean  Community framework, there is a Common 
Regime under which subregional investment is  guaranteed the same treatment as that applicable to 
national inves tment. Moreover, Peru has included chapters on investment in the trade agreements 
that have entered into force with the following partners: the European Free Trade Association (EFTA) 
(Switzerland, Norway, Liechtenstein and Iceland) (2011), Canada (2009), C hile (2009), China 
(2010), Costa Rica (2013), Honduras (2017), Japan (2012), Korea (2011), Mexico (2012), 
                                                
9 Germany (1997), Argentina (1996), Australia (1997), Belgium (2008), Lux embourg (2008), 
Canada  (2006), People's Republic of China (1995), Colombia (2010), Cuba (2001), Czech Republic (1995), 
Denmark (1995), El Salvador (1996), Spain (1996), Finland (1996), France (1996), Italy (1995), 
Malaysia  (1995), Netherlands (1996), Norwa y (1995), Paraguay (1994), Portugal (1995), Romania (1995), 
Sweden (1994), Switzerland (1993), Thailand (1993), United Kingdom (1994), Bolivarian Republic of 
Venezuela (1997).  WT/TPR/G/393 • Peru  
 
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  the Pacific  Alliance  (Chile -Colombia -Mexico -Peru) (2016), Panama (2012), Singapore (2009) and 
the United  States (2009).10  
4.12.   It should be noted that Peru  is a member of the International Centre for Settlement of 
Investment Disputes (ICSID) and the Multilateral Investment Guarantee Agency (MIGA).  
4.13.   As a signatory to the OECD Declaration concerning guidelines for multinational enterprises, 
and with the aim of contributing to the preservation of a favourable investment climate, Peru has 
disseminated and promoted guidelines for multinational enterprises through PROINVERSION, in 
coordination with various agencies from the public and private sectors and civil socie ty. Peru also 
participates in the OECD Investment Committee as an observer, in order to pursue efforts aimed at 
improving the climate for investment.  
4.14.   Peru has signed agreements with Brazil, Canada, Chile, Mexico, Portugal, Switzerland and the 
Republic of K orea to prevent double taxation and tax evasion, and has also signed Decision No. 578 
of the Andean Community (Bolivia, Colombia and Ecuador).  
4.15.   Peru has implemented the international standards on taxation promoted by the OECD. 
Regarding the exchange of info rmation for tax purposes (on -request and automatic), Peru has been 
a member of the Global Forum since October 2014. By March 2019, the second phase of the peer 
review (on -site visit) had already been initiated, in accordance with the new terms of reference  
adopted by the Global Forum in 2016. It includes access to and availability of information on the 
final beneficiary. Peru has committed to automatically exchanging financial account information as 
from 2020.  
4.16.   The Multilateral Convention on Mutual Administr ative Assistance in Tax Matters entered into 
force on 1 September 2018, with the aim of expanding the network of information exchange 
agreements.  
4.17.   Regarding the recommendations and minimum standards of the Action Plan on Base Erosion 
and Profit Shifting (BE PS Action Plan), Peru has been an associate member of the Inclusive 
Framework on BEPS since January 2017, and has therefore committed to implementing the minimum 
standards of Actions 5, 6, 13 and 14 of the BEPS Action Plan. These standards are currently be ing 
implemented.  
5  TRADE AND INVESTMENT  PERFORMANCE  
5.1.  In Peru, the ratio between foreign trade (exports and imports of goods11 and services) and 
GDP was on average 47% for the review period 2013 -18, which demonstrates the country's good 
level of trade openness at the regional level. This outcome is mainly due to the fact the Peru has 
continued to apply its trade liberalization policies.  
5.2.  The development of foreign trade and the promotion of investment are reflected in the 
favourable trade balance results for the period 2013 -18. Exports of goods recorded cumulative 
growth of 14.5%, rising from USD 42,861 million in 2013 to USD 49,066 million in 2018, which was 
the consequence of an increase in mining shipments (+21.5%), fisheries shipments (+13.6% in the 
traditiona l fisheries sector and +29% in the non -traditional fisheries sector) and agricultural 
shipments (+71.7%),  influenced by higher mineral prices and more favourable market access 
conditions resulting from the conclusion of trade agreements.  
5.3.  It is important to  highlight the trend in non -traditional exports, which grew at a cumulative 
rate of 19.6% in the period under review, mainly as a result of the growth of the agricultural export 
sector (+71.7%), whose share of non -traditional exports increased by 13.5 perc entage points during 
the review period. The main exports from the sector include blueberries (with average annual growth 
of 99.4% during the review period), fresh avocados (+31.5% annual growth), fresh grapes (+12.9% 
                                                
10 Peru has completed negotiations and concluded a trade agreement with Australia, and has signed the 
Comprehensive and Progressive Agreement for Trans -Pacific Partnership (CPTPP). Both of these agreements 
also include chapters on investment, but have not ye t entered into force as they are undergoing an internal 
improvement process.  
11 In this section, the statistics on trade in goods are presented in accordance with the coverage 
of economic territory, on the basis of information compiled by the Central Reserv e Bank of Peru.  WT/TPR/G/393 • Peru  
 
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  annual growth) and mangos (+14.3% annua l growth). Imports declined by 1.1%, falling from 
USD 42,356 million in 2013 to USD 41,870 million in 2018, due to lower demand for  inputs and 
capital goods in the country. Since 2016, Peru has enjoyed a trade surplus. In 2018, it reached 
USD 7,197 million , which was the highest level since 2011.  
5.4.  In the past ten years, foreign trade in agricultural products has doubled, and the trade balance 
has become positive as a result of a 161% growth in agricultural exports. During this period, the 
increase in foreign  trade in agricultural products has been accompanied by growing trends in 
production and employment in the sector. Agricultural GDP grew by 38%, over 300,000 new jobs 
were created in the agricultural sector, and production in the agro -export subsector rose  by 100%.  
5.5.  Exports of services grew by 26.6%, increasing from USD 5,815 million in 2013 to 
USD 7,365  million in 2018, the trend in travel receipts being particularly noteworthy (with a 53% 
average share in services exports over the period 2013 -18 and 31.2% growth), owing to the 
increased number of visitors and higher average expenditure. Imports of services grew by 24.1%, 
rising from USD 7,973  million in 2013 to USD 9,897 million in 2018, owing to higher out -payments 
for freight, business services and travel . Throughout the review period, Peru recorded a deficit 
in foreign trade in services, which closed at USD 2,532  million in 2018.  
5.6.  The annual flow of foreign direct investment (FDI) into Peru averaged around USD 7,121 million 
during the period 2013 -18 (relat ively lower than the average of USD 7,738  million for 2007 -12). On 
the basis of information on foreign investment as a contribution to capital, the FDI balance amounted 
to USD 25,931 million at the end of 2018, which mainly comprised investment in the foll owing 
sectors: mining (22.0%), communications (20.5%), finance (18.1%), energy (13.3%) and industry 
(12.4%).  
5.7.  Peru offers a broad and diversified range of goods and services, although supply is still mainly 
composed of traditional exports of goods, which du ring the period 2013 -18 represented a 71% 
average share of total exports (lower than the average of 77% recorded in the period 2007 -12). 
Although exports of non -traditional goods have grown at a significant rate, their share of total 
exports remains low. I ncreasing this share is one of the challenges that will continue to be addressed 
in the years to come.  
5.8.  The development and utilization of capacities for diversifying the exportable supply during the 
review period 2013 -18 is reflected, for example, in the n on-traditional exports of the agro -industrial, 
fisheries, metalworking and chemical sectors. The optimization of logistical management, the 
introduction of more technology into the agriculture sector, cold chain control and the expansion of 
air transport n etworks have made it possible to increase agro -exports, which, on average, 
represented a 41.8% share of non -traditional exports and recorded cumulative growth of 71.7% in 
the last five years. Furthermore, the flexibility of enterprises in the non -tradition al fisheries sector 
enabled them to adjust to the different requirements of the international market. As a result, exports 
from the sector recorded cumulative growth of 29% and represented a 9.2% average share of non -
traditional exports. The strength of th e mining sector was also reflected by the rise in exports from 
the metalworking sector, which recorded cumulative growth of 8.5% and represented a 
4.6%  average share of non -traditional exports. Lastly, during the same period, exports from the 
chemical sect or recorded cumulative growth of 3.5% and represented an average share of 12.4% 
of non -traditional exports.  
5.9.  In 2018, service exports recorded cumulative growth of 26.6% compared with 2013. In the 
last five years, one of the sectors with the highest growth was the insurance and reinsurance sector 
(+70.4% cumulative growth), with an average share of 10.9% of service exports. Travel sector 
exports (tourist expenditure) increased by 31.6%, with an average share of 52.3%. Exports of 
transport services increased by 5.7% with an average share of 21.5%. The Peruvian Commission 
for the Promotion of Exports and Tourism (Promperú) has introduced initiatives aimed at increasing 
exports of services such as technological solution services, and business, graphics and edito rial 
services. Policies have also been implemented to encourage and promote exports of services, and 
thus strengthen their position in the region. It is hoped that, through these measures, the objective 
of USD 13 billion for service exports will be achieve d by 2021.  WT/TPR/G/393 • Peru  
 
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  6  CONCLUSIONS AND OUTL OOK 
6.1.  Peru reiterates the important role of trade policy in achieving a dynamic, diversified, 
high-technology and regionally -balanced economy with full employment and high labour 
productivity. To this end, Peru is implementing an open trade policy, ensuring diversification into 
new markets, and applying structural reform and competitiveness policies to sustain inclusive 
economic growth and promote development.  
6.2.  During the period 2013 -18, Peru made significant progres s, which enabled it to improve the 
business and investment climate, and enhance the country's competitiveness through investment in 
human capital, infrastructure and innovation. Furthermore, cross -cutting reforms were carried out 
to create sustained econom ic growth and ensure greater social inclusion, productivity and 
competitiveness. These reforms are based on sound strategic planning, the identification of 
priorities, and commitment to implementing the transformations necessary for the country's 
developme nt. In this regard, the National Competitiveness and Productivity Policy (PNCP) and the 
National Competitiveness and Productivity Plan 2019 -2030 have been adopted.  
6.3.  Peru has also made great strides in the area of foreign trade. The 2025 National Strategic 
Export Plan (PENX 2025) establishes a strategy to promote trade at the national level, with the 
ultimate objective of consolidating the presence of exporting enterprises abroad. In the context of 
the internationalization of Peruvian enterprises, active work  is being carried out with micro, small 
and medium -sized enterprises to encourage them to open up to the international market, incorporate 
new technology and international standards into their procedures, stimulate innovation throughout 
the enterprise, and  develop socially  responsible, sustainable and environmentally -friendly business 
practices. It is hoped that, through these initiatives, such enterprises will be incorporated into global 
value chains.  
6.4.  In this context, trade policy is an important instrumen t for social inclusion and development, 
with the ultimate aim of reducing poverty and improving the welfare of the population through 
quality employment.  
6.5.  Peru will continue to address outstanding challenges concerning trade facilitation and logistics, 
infrastructure, institutional and structural reform, sustainable development and social inclusion. 
Coordination among institutions and with the various stakeholders involved at national level will 
continue to be fostered, as will collective work with internati onal partners, with a view to finding 
effective solutions that allow for the economic, social and trade performance demonstrated in recent 
years to be maintained and improved.  
6.6.  Peru's economic growth and trade openness has enabled the country to improve the  welfare of 
its population and reduce poverty at the national level. Through the implementation of policies to 
increase productivity and competitiveness, and the improvements made with regard to governance 
and the fight against corruption, Peru hopes to ac hieve the vision set out in the Bicentenary Plan, 
which is that of a modern, decentralized, efficient, transparent, participatory and ethical State that 
is at the service of its citizens.  
  WT/TPR/G/393 • Peru  
 
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  REFERENCES  
 2025 National Strategic Export Plan (PENX  2025). Viewed at: https://www.mincetur.gob.pe/wp -
content/uploads/documentos/comercio_exterior/plan_exportador/Penx_ 2025/PENX_FINAL_10
1215.pdf . 
 Multi-Year Strategic Sector Plan 2016 -2021 (PESEM 2016 -2021) of the Ministry of Foreign Trade 
and Tourism (MINCETUR). Viewed at:  https://w ww.ceplan.gob.pe/wp -
content/uploads/2017/12/PESEM -MINCETUR -1.pdf. 
 Website on trade agreements signed by Peru. Viewed at: 
http://www.acuerdoscomerciales.gob.pe/index.php . 
 Bicentenary Plan: El P erú hacia 2021 . Viewed at: https://www.ceplan.gob.pe/wp -
content/uploads/files/Documentos/plan_bicentenario_ceplan.pdf . 
 Multi-Year Macroeconomic Framework 2019 -2022. Viewed at: 
https://www.mef.gob.pe/es/marco -macroeconomico/marco -macroeconomico -multianualmmm . 
 Peruvian Commissio n for the Promotion of Exports and Tourism (Promperú). Viewed at:  
https://www.promperu.gob.pe . 
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