WT/REG295/1/Rev.1  
11 October 2013  
(13-5595)  Page: 1/50  
Committee on Regional Trade Agreements   
 
 FACTUAL PRESENTATION 
FREE TRADE AGREEMENT BETWEEN PERU AND THE EFTA STATES 
(GOODS) 
Report by the Secretariat 
Revision 
This report, prepared for the considerat ion of the Free Trade Agreement between 
Peru and the EFTA States has been draw n up by the WTO Secretariat on its own 
responsibility and in full consultation with the Parties. The report has been drawn up in accordance with the rules and procedures contained in the Decision for a 
Transparency Mechanism for Regional Trade Agreements (WT/L/671). 
Any technical questions arising from this report may be addressed to Rohini Acharya 
(tel: +41 22 739 5874). Any statistical questions arising from this report may be 
addressed to Ms. Rowena Cabos (tel: +41 22 739 5185). 
                                               
 In English only. WT/REG295/1/Rev.1 
 
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TABLE OF CONTENTS 
Page 
1   TRADE ENVIRONMENT ................................................................................................. 4  
2   CHARACTERISTIC ELEMEN TS OF THE AG REEMENT ...................................................... 6  
2.1   Background  Information ............................................................................................. 6  
3   PROVISIONS ON TRADE IN GOODS ............................................................................. 8  
3.1   Import duties and charges, and quantitative restrictions ................................................. 8  
3.1.1   General provisions .................................................................................................. 8  
3.1.2   Liberalization of  trade and ta riff lines ......................................................................... 9  
3.1.3   Liberali zation schedule............................................................................................ 12 
3.1.3.1   EFTA ................................................................................................................ . 12 
3.1.3.2   Peru .................................................................................................................. 15 
3.1.4   Tariff rate quotas ................................................................................................... 18 
3.1.5   Import restrictions ................................................................................................. 18 
3.2   Rules of origin .......................................................................................................... 19 
3.3   Export duties and charges,  and quantitative  restrictions ................................................. 20 
3.4   Regulatory Provisions of the Agreement ....................................................................... 21 
3.4.1   Standards ............................................................................................................. 21 
3.4.1.1   Sanitary and phytosanitary measures .................................................................... 21 
3.4.1.2   Technical barriers to trade .................................................................................... 21 
3.4.2   Safeguard mechanisms ........................................................................................... 22 
3.4.2.1   Global safeguards ............................................................................................... 22 
3.4.2.2   Bilateral safeguards ............................................................................................. 22 
3.4.3   Anti-dumping and countervailing measures ............................................................... 23 
3.4.4   Subsidie s and State-aid .......................................................................................... 23 
3.4.5   Customs-re lated procedures .................................................................................... 24 
3.4.6   Other regulations ................................................................................................... 25 
3.4.6.1   Services ............................................................................................................  25 
3.4.6.2   In vestment ........................................................................................................ 25 
3.5   Sector-Specific Prov isions of the Agreement ................................................................. 26 
4   GENERAL PROVISIONS  OF THE AGREEMENT ............................................................. 26  
4.1   Tran sparency ........................................................................................................... 26 
4.2   Current payments and capital movements .................................................................... 27 
4.3   Exceptions ............................................................................................................... 27 
4.4   Accession and Withdrawal .......................................................................................... 27 
4.5   Institutio nal framework ............................................................................................. 28 
4.6   Disput e settlement ................................................................................................... 28 
4.7   Relationship with other agr eements concluded by the Parties .......................................... 30 
4.8   Government  procurement .......................................................................................... 32 WT/REG295/1/Rev.1 
 
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  4.9   Intellectual Property Rights ........................................................................................ 33 
4.10   Other .................................................................................................................. .. 35 
4.10.1   Competition policy ............................................................................................... 35 
4.10.2   Co-o peration ....................................................................................................... 36 
4.10.3   Electronic Commerce ............................................................................................ 36 
ANNEX 1 ....................................................................................................................... . 37 
ANNEX 2 ....................................................................................................................... . 48 
ANNEX 3 ....................................................................................................................... . 49 
 WT/REG295/1/Rev.1 
 
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Key Facts 
 
Parties to the Agreement:  
Peru, and the EFTA Member States (Iceland, Liechtenstein, 
Norway and Switzerland). 
 
Date of Signature:  24 June 2010 (EFTA) and 14 July 2010 
  (Peru) 
 
Date of Entry into Force: 1 July 2011 (Peru, Liechtenstein 
and Switzerland); 1 October 2011 (Peru and Iceland); and 1 July 
2012 (Peru and Norway). 
 
Date of Notification: 30 June 2011 (Peru, Liechtenstein and 
Switzerland); 21 September 2011 (Peru and Iceland); and 
18 June 2012 (Peru and Norway). 
 
Full implementation: 1 January 2027 (latest date for all 
Parties) 
 
 
 1  TRADE ENVIRONMENT
1 
1.1.  The Parties to the Free Trade Agreement betw een Peru and EFTA (hereinafter referred to as 
the Agreement) are Iceland, Liechtenstein, Norw ay and Switzerland (which comprise EFTA) and 
Peru. The Agreement is EFTA's 19th as notified to the WTO and Peru's 9th. With a combined GDP of 
US$1,159 billion, in 2011 EFTA's total merchandise trade was valued at $703,332 million (exports 
at $399,419 million and imports at $303,913 million ); Peru's total trade in the same year was 
$84,279 million (exports at $46,268 million an d imports $38,011 million). Bilateral trade in 
comparison is relatively small. In 2011 EFTA exported merchandise worth $143,532 million to Peru 
and imported $330,190 million worth. In 2011, Peru exported $5,919 million and imported 
$163 million worth of merchandise from EFTA. In terms of the structure of trade, manufactures 
account for the largest imports for all the Parties while fuels and mining products are important 
exports for Peru and for Iceland.  
1.2.  Charts 1.1 and 1.2 show recent trends in trade both globally and between the Parties, while 
Chart 1.3 shows the structure of the Parties' trade by HS Section. Charts 1.1 and 1.2 show that 
there has been a steady increase in global trade, with a dip in 2009. Both Parties have maintained 
in recent years a global trade surplus, which in th e case of the EFTA parties has even widened. In 
their bilateral trade, however, EFTA maintains a small but growing trade deficit with Peru.2  
1.3.  The commodity structure of trade among the Parties, as well as of their imports and exports 
to the world in the period 2008-2010, is shown in Chart 1.3 on the basis of Harmonized System 
(HS) sections. Over this period, among EFTA's four  main export categories (minerals, chemicals, 
machinery and optical products which accounted for 74.1% of its global exports), three, 
machinery, chemicals and optical products accounted for 85.8% of Peru's imports from EFTA. Over 
the same period, Peru's main export product cate gories globally were minerals, precious stones, 
base metals and prepared foods which accounted for 79.7% of total exports, of which only 
prepared foods formed part of EFTA's main impo rts from Peru (43.7% of its imports from Peru); 
other key import categories were fats and oils and vegetable products, which respectively accounted for 31.8% and 17.2% of its imports from Peru.  
 
 
                                               
1 Figures in this section unless indicated otherwise are from the WTO Trade Profiles 2012, as of 
April 2013 (2011 data) and the UNSD/Comtrade database. Exports are calculated f.o.b. and imports c.i.f. 
Rankings in world trade exclude intra-EU trade. 
2 In 2011, Switzerland clarifies that it imported gold and silver (5.3 billion CHF) from Peru at MFN zero 
rates of duty. These products are however excl uded from the Swiss fore ign trade statistics. WT/REG295/1/Rev.1 
 
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  Chart 1.1 EFTA: Merchandise trade with world and Peru, 2000-2011 
0246810
0100200300400500
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011US$ billion US$ billionImports from  Peru
Exports to PeruTotal imports
Total exportsLeft hand scale: Right hand scale:
 
 
Source: UNSD Comtrade database. 
 
 
 
Chart 1.2 Peru: Merchandise trade with world and EFTA, 2000-2011 
0246810
01020304050
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011US$ billion US$ billionImports from  EFTA
Exports to EFTATotal imports
Total exportsLeft hand scale: Right hand scale:
 
 
Source: UNSD Comtrade database. WT/REG295/1/Rev.1 
 
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  Chart 1.3  
EFTA and Peru: product composition of merc handise trade, annual average (2008-2010) 
29.3 
21.3 14.5 9.0 6.4 3.9 3.0 2.5 10.2 
40.4 
33.4 12.0 3.4 3.4 3.2 4.3 36.5 
22.8 12.5 7.9 5.9 5.5 2.1 6.8 
20.4 
15.9 
11.2 
8.5 7.7 5.6 4.3 4.1 4.1 3.5 3.4 2.7 2.2 6.4 
24.5 
16.3 
10.0 9.9 9.5 6.8 4.8 3.8 3.4 2.7 8.3 43.7 
31.8 17.2 2.8 4.6 )
EFTA's imports from Peru
Peru's imports from EFTAPer cent
Total:  US$ 283
Total:  US$ 131 millionTotal:  US $255 billion
Total: US $ 27 billionTotal:  US$ 31 billion
Total:  US$ 334 billionPeru's global exports
EFTA's global exportsEFTA's global imports
Peru's global imports
VegetablesPrepared 
foods
Minerals
ChemicalsPlastics, 
rubber
TextilesPrecious stones
MachineryVehiclesOther
MiscellaneousOpticalAnimal 
products
Fats and oilsWood pulp Base 
metals
 
 
Source: UNSD Comtrade Database. 
 
2  CHARACTERISTIC ELEMENTS OF THE AGREEMENT 
2.1  Background Information 
2.1.  The Free Trade Agreement between Peru and the EFTA Member States was signed on 
24 June 2010 by EFTA and on 14 July 2010 by Peru. It was notified to the WTO under 
Article XXIV:7(a) of the GATT 1994 prior to the entry into force for the Parties, on 30 June 2011 by 
Peru, Liechtenstein and Switzerland; 21 Septembe r 2011 by Peru and Iceland; and 18 June 2012 
by Peru and Norway.3 The text of the Agreement is availabl e, together with its Annexes, on the 
Parties' official websites: 
Peru:   http://www.acuerdoscomerciales.gob.pe  
 
EFTA: http://www.efta.int/free-trade/fr ee-trade-agreements/peru.aspx  
 
2.2.  The Agreement is composed of 13 Chapters and 12 Annexes as follows: 
Box 2.1: Structure of the Agreement 
Chapter 1 General provisions 
Chapter 2 Trade in goods 
Chapter 3 Processed agricultural products 
Chapter 4 Trade in services 
Chapter 5 Investment 
                                               
3 WTO documents WT/REG295/1; WT/REG295/2; and WT/REG295/3. WT/REG295/1/Rev.1 
 
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  Box 2.1: Structure of the Agreement 
Chapter 6 Protection of intellectual property 
Chapter 7 Government procurement 
Chapter 8 Competition policy 
Chapter 9 Transparency 
Chapter 10 Co-operation 
Chapter 11 Administration of the Agreement 
Chapter 12 Dispute settlement 
Chapter 13 Final provisions 
  
Annexes   
Annex I Electronic commerce 
Annex II Excluded products 
Annex III Processed agricultural products 
Annex IV Fish and other marine products 
Annex V Rules of origin and administrative co-operation 
Annex VI Mutual administrative assistance in customs matters 
Annex VII Customs procedures and trade facilitation 
Annex VIII Industrial goods 
Annex IX Used goods 
Annex X Recognition of qualifications of services suppliers 
Annex XI Reservations 
Annex XII Contact points for scientific collaboration 
Annex XIII Covered entities 
Annex XIV General notes 
  
Agriculture Agreements  
Source: The Agreement and related annexes. 
 
2.3.  In addition to the Agreement, the Parties also negotiated bilateral Agreements on Agriculture 
(AAs) (between Iceland and Peru, Norway and Peru and Switzerland/Liechtenstein and Peru) which form an integral part of the Agreement. The territo ry of Svalbard is excluded from the provisions 
of the Agreement except for those on trade in goods (Article 1.3). 
2.4.  Through the Agreement and the bilateral AAs , the EFTA Members States and Peru establish a 
free trade area between them. The objectives are to liberalize trade in goods and services in 
conformity with Article XXIV of the GATT and Article V of the GATS; substantially increase 
investment opportunities in the free trade area to contribute to the Parties' sustainable development; further liberalize their governme nt procurement markets on a mutual basis; 
promote competition, especially related to their economic relations; ensure adequate and effective 
protection of intellectual property rights; contribute by the removal of barriers to trade and 
investment to the harmonious development and expansion of world trade; and ensure 
co-operation related to trade capacity building  to expand and improve the benefits of the 
Agreement, reduce poverty, and foster competitiveness and economic development (Article 1.2). WT/REG295/1/Rev.1 
 
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  2.5.  The Agreement covers trade and economic re lations between Peru and each individual EFTA 
State but not to trade and economic relations betw een the EFTA States unless otherwise stated in 
the Agreement. Furthermore, in matters co vered by the Customs Union between them, 
Switzerland shall represent the Principality of Liec htenstein (Article 1.5). The Parties are to ensure 
that their respective central, regional and local governments and authorities and non-
governmental bodies in the exercise of governmental powers delegated to them by these levels of government will meet all obligations and commitments under the Agreement (Article 1.6). 
2.6.  Although no explicit implementation period is stated in the Agreement, tariff liberalization 
commitments are to be implemented immediately for EFTA and by 2020 for Peru. Full implementation for EFTA is expected on 1 Ja nuary 2020 for Iceland, 1 January 2021 for Norway 
and 1 January 2027 for Switzerland and Liechtenstein. 
3  PROVISIONS ON TRADE IN GOODS  
3.1  Import duties and charges,  and quantitative restrictions 
3.1.1  General provisions 
3.1.  Under Chapter 2 on trade in goods, the Parties agree to provide each other national 
treatment (except for provisions on used goods) in accordance with Article III of the GATT 1994, 
including its interpretative notes which are incorporated into the Agreement, mutatis mutandis 
(Article 2.11). National treatment (and Article 2.9 on import and export restrictions) will not apply 
to measures taken by Peru on used clothing and footwear (Law No. 28514 of 12 May 2005 and its amendments); used vehicles, automotive engines, parts and replacements (Legislative Decree No. 843 of 29 August 1996 and Urgent Decree No. 079 of 19 September 2000 and its 
amendments); used tyres (Supreme Decree No. 003-97-SA of 6 June 1997 and its amendments); 
and used goods, machinery and equipment, which utilize radioactive sources (Law No. 27757 of 29 May 2002 and its amendments) (Annex IX). Rema nufactured goods are not however subject to 
this reservation for used goods.
4 
3.2.  The Parties agree to liberalize products cove red by HS Chapters 25-97 except as provided for 
in Annex II (excluded products) as well as processed agricultural products in Annex III and 
following the arrangements in Chapter 3 and fish and other marine products in Annex IV 
(Article 2.1). They also agree not to place any new duties or charges on imports on mutual trade nor raise existing duties or charges except as  provided under the Agreement. In case of a 
unilateral reduction in tariffs, they may raise customs duties to the level established in their tariff 
dismantling schedules for the respective year or increase duties pursuant to Article 12.17 
(non-implementation and suspension of benefits).  
3.3.  The three AAs apply to measures adopted or maintained by the Parties under 
HS Chapters 1-24 but not including processed agri cultural products (Annex III of the Agreement) 
or fish and other marine products (Annex IV of the Agreement) and excluded products in Annex II 
of the Agreement. Tariffs on products included in the AAs are either to be removed immediately or 
phased out annually over five or ten years, or in some cases reduced but not removed. Norway 
also provides preferential access for imports from Peru through tariff rate quotas for some products (Section 4 below).  
3.4.  Taking into account the provisions laid down in Article 3.2, the EFTA States will ensure 
treatment for these products that is no less favourable than that accorded to the European Union. 
Under Article 3.6, the EFTA States are required to notify Peru of all measures taken under Article 3.2 at an early stage, and at latest 30 days after the entry into force of the Agreement. They shall 
also inform Peru of all changes in treatment accorded to the EU.
5 Accelerating the elimination of 
                                               
4 Remanufactured goods according to Annex IX fa ll under HS headings 84.06, 84.17, 84.26, 84.27, 
84.29, 84.30, 84.31, 87.10, 88.02, and 88.03 that have been assembled in a Party and that are entirely or partly comprised of parts that have been obtained from the disassembly of used good; and meet the same 
technical standards and have similar life expectancy an d warranty to that of new goods. The Joint Committee 
under the Agreement will review the possibility of increa sing the coverage of these goods five years after the 
entry into force of the Agreement (paragraph 3 of Annex IX). 
5 Such notifications are made by EFTA through the EFTA website: http://www.efta.int/free-trade/free-
trade-agreements/peru/notifications.aspx . WT/REG295/1/Rev.1 
 
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  tariffs and consultations for further tariff liberalization is envisaged respectively under Article 2.6 of 
the Agreement and Article 7 of the AAs. Under paragraph 3 of Article 2.6 of the Agreement 
consultations are to be held at the request of a Party to consider accelerating the elimination of customs duties as set out in the Agreement. Any agreement to do so, will supersede the existing 
liberalization schedule. Under Article 7 of the AAs, further tariff liberalization is envisaged, taking 
account of the pattern of trade in agricultural products between the Parties, the particular sensitivities of such products and the development of  agricultural policy by either partner. At the 
request of either Party, the Parties shall consult to  further liberalize agricultural trade, including 
through improvements in market access by reduction or elimination of customs duties on agricultural products and by expanding the sco pe of product coverage under the Agreement. 
3.5.  The EFTA States may levy price compensation measures in the form of a duty on imports 
under Article 3.2, to take account of differences in the cost of the agricultural raw materials 
incorporated into processed agricultural products  covered by the Agreement (listed in Appendix I 
to Annex III). The duty levied shall be base d on but not exceed the difference between the 
domestic price in the EFTA States and the world market price of the raw materials.  
3.6.  Under Article 3.5 Peru may maintain its Price Band System for agricultural products as set 
out in Appendix 3 to Annex III on processed agricultural products.
6 For most of these products the 
MFN applied rates were already zero when the Agreement entered into force for Peru, however 
they remain subject to the price band (see Section 3.1.2 below and Annex 2). 
3.1.2  Liberalization of trade and tariff lines  3.7.  Tables 3.1A to 3.1F show liberalization of tariff lines and trade under the Agreement by the 
Parties (Tables 3.1A-C for EFTA for imports from Peru and Tables 3.1D-F for Peru's imports from 
EFTA).  
3.8.  In 2011 when the Agreement entered in to force between Iceland and Peru, 70.2% of 
Iceland's tariff (5,747 lines) was already duty free on an MFN basis, corresponding to 85% of its 
imports from Peru during 2008-2010.
7 As a result of the Agreement, an additional 1,891 lines 
became duty free for imports from Peru in 2011, corresponding to 14.9% of imports from Peru in 
2008-2010; 553 tariff lines are to remain dutiable for which there were no imports from Peru 
during 2008-2010. In 2012 when the Agreement en tered into force between Norway and Peru, 
83.5% of Norway's tariff was already duty free on an MFN basis, which covered around 79% of Norway's average imports during 2009-2011.
8 Upon the entry into force of the Agreement Norway 
liberalized a further 487 lines (6.8% of its tariff) which covered around 19.2% of its imports from 
Peru. At the end of implementation tariffs will remain on 699 tariff lines (9.7% of the tariff), corresponding to around 1.8% of Norway's imports from Peru in 2009-2011. Switzerland's tariff in 
2011 was duty free for around 18% of lines on an MFN basis, which corresponded to 31.3% of its 
average annual imports from Peru during 2008-2010.
9 In 2011 Switzerland liberalized a further 
5,416 lines (67% of the tariff) for imports from Peru which accounted for 45.9% of its imports 
from Peru. At the end of implementation, 15% of Sw itzerland's tariff will remain subject to duties 
for imports from Peru, corresponding to 22.8% of its imports from Peru. 
                                               
6 Articles 3.5 and 3.6 of the Agreement and Appendix 3 to Annex III; and Article 9 of the Agreements on 
Agriculture. Details of the mechanism are available in Supreme decree N° 115-2011-EF. 
7 In 2011 Iceland's MFN applied tariff contained 8,191 line s at the HS 8-digit level. Of these, 7,779 lines 
(94.97%) had ad valorem  rates of duty. Of the non ad valorem  rates, 357 lines have compound rates of duty, 
and 56 have specific rates of duty. 
8 In 2012 Norway's MFN applied tariff contained 7,207 lines at the HS 8-digit level. Of these, 6,389 lines 
(88.65%) were subject to ad valorem rates of duty, while 817 lines carried specific rates of duty and 1 line is 
subject to other duties. 
9 In 2011 Switzerland's MFN applied tariff contained 8,083 lines at the HS 8-digit level. Of these, 
1,458 lines (18.04%) are subject to ad valorem rates of  duty; 6,625 lines (81.96%) carry specific rates of 
duty. WT/REG295/1/Rev.1 
 
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  Table 3.1A: Iceland  
Tariff elimination commitments under the Ag reement and corresponding average trade 
Duty phase-out period Number of 
lines % of total lines in 
Iceland's tariff 
schedule Value of Iceland's 
imports from Peru 
(2008-2010) in 
million US$ % of Iceland's 
total imports 
from  
Peru 
2008-2010 
MFN duty free (2011) 5,747 70.2 1.7 85.0 
2011 1,891 23.1 0.3 14.9 
Remain dutiable 553 6.8 0.0 0.0 
Total 8,191 100.0 2.0 100.0 
 
Note: Based on the HS 2007 nomenclature.  Source: WTO Secretariat estimates based on da ta provided by Iceland and the WTO-IDB. 
 
Table 3.1B: Norway  
Tariff elimination commitments under the Ag reement and corresponding average trade 
Duty phase-out period Number of 
lines % of total lines in 
Norway's tariff 
schedule Value of Norway's 
imports from Peru 
(2009-2011) 
in million US$ % of Norway's 
total imports 
from  
Peru 
2009-2011 
MFN duty free (2012) 6,021 83.5 198.2 79.0 
2012 487 6.8 48.2 19.2 
Remain dutiable 699 9.7 4.5 1.8 
Total 7,207 100.0 250.9 100.0 
 
Note: Based on the HS 2007 nomenclature.  Source:  WTO estimates based on data provided by Norway. 
Table 3.1C: Switzerland  
Tariff elimination commitments under the Ag reement and corresponding average trade 
Duty phase-out period Number of 
lines % of total lines in 
Switzerland's 
tariff schedule Value of Switzerland's 
imports from Peru 
 (2008-2010) 
in million US$ % of 
Switzerland's 
total imports 
from  
Peru 
2008-2010 
MFN duty free (2011) 1,458 18.0 13.5 31.3 
2011 5,416 67.0 19.9 45.9 
Remain dutiable 1,209 15.0 9.9 22.8 
Total 8,083 100.0 43.3 100.0 
 
Note: Tariff lines subject to in-quota rate s are excluded in the tariff line count. 
 Based on the HS 2007 nomenclature.  Source:  WTO estimates based on data provided by Switzerland. 
 
3.9.  In 2011 when the Agreement entered into force for Peru with Iceland and Switzerland and 
Liechtenstein, and in 2012 when the Agreement ente red into force for Peru with Norway, around 
55.6% of its tariff (4,086 lines) was already duty free on an MFN basis although 47 of these lines 
are subject to a specific duty under Peru's price band system.10 The MFN duty free lines 
corresponded to 98.4% of its imports during 2008 -2010 from Iceland, 82.1% from Norway, and 
68.9% from Switzerland/Liechtenstein. At the entry into force of the Agreement, Peru liberalized a 
further 29.2% of its tariff for imports from Icelan d, 28.6% for imports from Norway and 29.1% for 
imports from Switzerland/Liechtenstein. Further li beralization is to take place in 2015 and by the 
end of implementation in 2020. In 2020 when th e Agreement is fully implemented, Peru would 
have liberalized 98.6% of its tariffs for imports from Iceland, 97.8% for imports from Norway and 
98.4% of its imports from Switzerland/Liechtenstein.  Of the products subject to Peru's price band 
                                               
10 In 2011 and 2012 Peru's MFN tariff had 7,351 lines at the HS 10-digit level, all of which were subject 
to ad valorem rates of duty. Of these lines, 47 are subject to a specific duty component under Peru's price band system. WT/REG295/1/Rev.1 
 
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  system, the ad valorem duties are eliminated for all but three lines11; however, they will all remain 
subject to the specific duty component under the price band system. Their inclusion in the lines remaining dutiable raises the total to 146 lines for imports from Iceland, 162 for Switzerland and 
205 for Norway. The share of imports affected is negligible. 
Table 3.1D: Peru-Iceland  
Tariff elimination commitments under the Ag reement and corresponding average trade 
Duty phase-out period Number of 
lines % of total lines in 
Peru's tariff 
schedule Value of Peru's 
imports from Iceland 
(2008-2010) 
in million US$ % of Peru's 
total imports 
from  
Iceland 
2008-2010 
MFN duty free (2011) 4,086 55.6 0.1 98.4 
2011 2,150 29.2 0.0 1.3 
2015 548 7.5 0.0 0.3 
2020 465 6.3 0.0 0.00 
Remain dutiablea 102 1.4 0.0 0.00 
Total 7,351 100.0 0.1 100.0 
 
a 146 lines including those subject to the price band system remain dutiable. 
Note: Based on the HS 2007 nomenclature. 
 Source:  WTO estimates based on data provided by Peru. 
 
Table 3.1E: Peru-Norway  
Tariff elimination commitments under the Ag reement and corresponding average trade 
Duty phase-out period Number of 
lines % of total lines in 
Peru's tariff 
schedule Value of Peru's 
imports from Norway 
(2009-2011) 
in million US$ % of Peru's 
total imports 
from  
Norway 
2009-2011 
MFN duty free (2012) 4,086 55.6 10.7 82.1 
2012 2,101 28.6 0.4 3.5 
2016 542 7.4 1.4 11.0 
2021 461 6.3 0.4 3.4 
Remain dutiablea 161 2.2 0.0 0.0 
Total 7,351 100.0 13.0 100.0 
 
a 205 lines including those subject to the price band system remain dutiable. 
Note: Based on the HS 2007 nomenclature.  Source:  WTO estimates based on data provided by Peru. 
Table 3.1F: Peru-Switzerland 
Tariff elimination commitments under the Ag reement and corresponding average trade 
Duty phase-out period Number of 
lines % of total lines in 
Peru's tariff 
schedule Value of Peru's 
imports from 
Switzerland 
(2008-2010) 
in million US$ % of Peru's 
total imports 
from  
Switzerland 
2008-2010 
MFN duty free (2011) 4,086 55.6 80.8 68.9 
2011 2,142 29.1 20.0 17.0 
2015 545 7.4 6.9 5.9 
2020 460 6.3 9.3 8.0 
Remain dutiablea 118 1.6 0.3 0.2 
Total 7,351 100.0 117.3 100.0 
 
a 162 lines including those subject to the price band system remain dutiable. 
Note: Tariff lines subject to in-quota ra tes are excluded in the computation. 
 Based on the HS 2007 nomenclature.  Source:  WTO estimates based on data provided by Peru. 
                                               
11 The lines are HS 1108120000, 1108130000 and 350510 0000, which in 2011 and 2012 were subject 
to a 6% rate of MFN duty. WT/REG295/1/Rev.1 
 
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  3.1.3  Liberalization schedule 
3.1.3.1  EFTA 3.1.3.1.1  Iceland 3.10.  Table 3.2 and Chart 3.1 below show Icel and's tariff elimination by HS Section and 
HS Chapter respectively. Table 3.2 shows that all the products that remain dutiable once the 
Agreement is fully implemented are found in HS Sections I-IV, and especially in HS Sections I and IV. Chart 3.1 below furthermore shows that the high est average tariffs of up to 55% on products 
remaining dutiable are found in HS Chapters 10, 12 and 17. Most of the remaining average tariffs 
(with the exception of HS 20) are equivalent to their corresponding MFN average rates.  
Table 3.2  
Iceland: Tariff elimination under the Agreement, by HS Section 
HS Section and 
description MFN 
average% Total No of 
lines MFN 
2011 Number 
of duty-
free lines  Remain 
dutiable Avg. Final Tariff 
(Dutiable) 
2011 
I 8.2 664 482 4 178 29.8 
II 13.4 414 249 107 58 41.7 
III 0.0 101 97  4 - 
IV 9.5 1,042 553 176 313 22.2 
V 0.0 178 176 2   
VI 1.2 970 816 154   
VII 2.4 368 239 129   
VIII 5.4 123 25 98   
IX 1.9 216 156 60   
X 2.1 189 138 51   
XI 5.1 905 552 353   
XII 12.5 73 7 66   
XIII 3.5 192 110 82   
XIV 3.0 61 43 18   
XV 1.2 688 586 102   
XVI 2.1 1,098 829 269   
XVII 0.7 466 431 35   
XVIII 0.1 233 230 3   
XIX 6.1 26 6 20   
XX 8.8 177 16 161   
XXI 1.4 7 6 1   
Total 4.4 8,191 5,747 1,891 553 27.1 
 
-  contain specific duties. Note: For the calculation of averages, specific rates are excluded and the ad valorem  part of alternate 
rates are included. 
 Based on the HS 2007 nomenclature. 
 
Source: WTO Secretariat estimates based on da ta provided by Iceland and the WTO-IDB. WT/REG295/1/Rev.1 
 
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  Chart 3.1 Iceland: Average of du tiable rates, by HS Chapter 
0 5 10 15 20 25 30 35 40 45 50 55 6002040607101112*1516171819202122
Preferential MFNHS Chapter  
Average rate of duty (%)
 
 
* HS chapter 15 contains specific duties only. 
 Source: WTO Secretariat estimates, based on  data provided by Iceland and WTO-IDB. 
 
3.1.3.1.2  Norway 
3.11.  Table 3.3 and Chart 3.2 below gives further details of Norway's tariff elimination 
commitments by HS Section and by HS Chapter respectively. In 2012 Norway liberalized all its 
tariffs in Section XI and eliminated tariffs in Sections I-IV. Products that remain subject to duties 
once the Agreement is implemented are all found in Sections I-IV and VI. Tariffs are particularly 
high in HS Sections I, VI and II, corresponding to HS Chapters 1, 35, 4 and 12 with average final duties in HS Chapter 1 over 500%.  
Table 3.3  
Norway: Tariff elimination under the Agreement, by HS Section 
HS Section and 
description MFN average 
% Total No of 
lines MFN 
2012 Number of 
duty-free 
lines Remain 
dutiable Avg. Final 
Tariff a
 
(Dutiable) 
2012 
I 9.5 534 333 7 194 469.8 
II 19.7 590 248 106 236 103.0 
III 5.7 126 50 16 60 8.5 
IV 2.6 462 179 93 190 75.2 
V 0.0 191 191    
VI 1.1 948 929  19 337.1 
VII 0.0 303 303    
VIII 0.0 90 90    
IX 0.0 173 173    
X 0.0 172 172    WT/REG295/1/Rev.1 
 
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  HS Section and 
description MFN average 
% Total No of 
lines MFN 
2012 Number of 
duty-free 
lines Remain 
dutiable Avg. Final 
Tariff a
 
(Dutiable) 
2012 
XI 2.8 932 667 265   
XII 0.0 62 62    
XIII 0.0 180 180    
XIV 0.0 54 54    
XV 0.0 662 662    
XVI 0.0 1,029 1029    
XVII 0.0 214 214    
XVIII 0.0 265 265    
XIX 0.0 24 24    
XX 0.0 189 189    
XXI 0.0 7 7    
Total 2.1 7,207 6,021 487 699 116.3 
 
a Tariff lines subject to in-quota rate s are excluded in the computation. 
 Note: Based on the HS 2012 nomenclature.  Source: WTO estimates based on data provided by Norway.  
Chart 3.2 Norway: Average of du tiable rates, by HS Chapter 
0 50 100 150 200 250 300 350 400 450 500 55001*0204*050607*08*10*1112131516*17*18*19*2021*222335*38
Preferential MFNHS Chapter  
Average rate of duty (%)
 
* HS chapters 2; 5; 8; 10-11; 17-20; 22 and 38 contain specific duties only. 
 Source: WTO Secretariat estimates, ba sed on data provided by Norway. 
 
3.1.3.1.3  Switzerland 
3.12.  Switzerland's tariff elimination under the Agreement covers all HS Sections. Once the 
Agreement is implemented Switzerland will continue to maintain tariffs in HS Sections I-IV and VI. 
As Switzerland's tariff is mainly subject to specific rates of duty and ad valorem equivalent rates of 
duty were not available to the Secretariat, it is not possible to calculate the average final tariff on dutiable products. WT/REG295/1/Rev.1 
 
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  Table 3.4  
Switzerland: Tariff elimination und er the Agreement, by HS Section 
HS 
Section MFN average 
% Total No of 
lines MFN 
2011 Number of 
duty-free 
lines Remain 
dutiable Avg. Final 
Tariff  
(Dutiable) 
2011 
I …  337 123 67 147 …  
II … 948 176 206 566 … 
III …  189 41 9 139 …  
IV … 595 103 143 349 … 
V …  182 119 63  …  
VI … 1,016 412 596 8 … 
VII …  241 30 211  …  
VIII … 74 15 59  … 
IX …  130 14 116  …  
X … 181 24 157  … 
XI …  1,094 34 1060  …  
XII … 61  61  … 
XIII …  160 2 158  …  
XIV … 61 7 54  … 
XV …  913 39 874  …  
XVI … 1,234 204 1030  … 
XVII …  196 18 178  …  
XVIII … 257 55 202  … 
XIX …  28  28  …  
XX … 176 34 142  … 
XXI …  10 8 2  …  
Total … 8,083 1,458 5,416 1,209 … 
 
… Not available: the majority of Switzerland's tariff is subject to specific duties for which ad valorem  
equivalents are not available. 
Note: Calculation excludes specific and in-quota rates.  Based on the HS 2007 nomenclature.  
Source: WTO estimates based on da ta provided by Switzerland. 
 
3.1.3.2  Peru 
3.13.  Tables 3.5 and 3.6 show Peru's liberalization schedule for trade with EFTA by broad 
HS Sections. In its trade with Iceland and Switzerland, the most significant liberalization of tariffs 
on 2,150 lines for Iceland and 2,142 for Switzerland, took place in 2011, across all HS Sections. At 
the end of implementation, the remaining tariffs will be found mainly in Sections I, II and IV with average tariffs on the lines remaining subject to duty ranging from 6% in Sections II, III and VI to 11% in Section XI; (one line – HS 6309000000 related to used clothing) will remain subject to 
duty of 11%. Charts 3.3 and 3.4 below on Peru's average remaining preferential tariffs in its trade 
with Iceland and Switzerland, respectively by HS  Chapter shows that average preferential and MFN 
tariffs are equivalent. The highest average remaining average tariffs (11%) are found in 
HS Chapter 63. As mentioned above, for products which are subject to Peru's price band system, 
while the ad valorem tariff is eliminated for all but three lines, all these products will remain subject to the specific duty component. 
Table 3.5  
Peru: Tariff elimination under the Agreement,  by HS Section (Peru-Iceland and Peru-
Switzerland) 
HS 
Section MFN 
av.% No. 
of 
lines MFN 
2011 Iceland Switzerland 
Number of  
duty-free lines 
Remain 
dutiable 
Avg. Final 
Tariff 
(Dutiable) Number of  
duty-free lines 
Remain 
dutiable 
Avg. Final 
Tariff 
(Dutiable) 2011 2015 2020 2011 2015 2020 
I 2.1 305 207 39 7 16 36 7.8 39  11 48 7.4 
II 4.3 384 130 236 1  17 6.0 236 1 0 17 6.0 
III 2.6 64 36 9 8 6 5 6.0 9 8 6 5 6.0 
IV 3.6 297 126 124 5  42 6.5 116 9  46 6.4 
V 1.9 202 139 32 31    32 31    WT/REG295/1/Rev.1 
 
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  HS 
Section MFN 
av.% No. 
of 
lines MFN 
2011 Iceland Switzerland 
Number of  
duty-free lines 
Remain 
dutiable 
Avg. Final 
Tariff 
(Dutiable) Number of  
duty-free lines 
Remain 
dutiable 
Avg. Final 
Tariff 
(Dutiable) 2011 2015 2020 2011 2015 2020 
VI 2.0 1,465 970 223 150 121 1 6.0 223 150 121 1 6.0 
VII 2.2 312 196 18 45 53   18 45 53   
VIII 5.3 79 9 34 19 17   34 19 17   
IX 4.4 107 28 1 36 42   1 36 42   
X 3.7 246 93 64 67 22   64 67 22   
XI 9.2 966 63 902   1 11.0 902   1 11.0 
XII 8.8 56  19 12 25   19 12 25   
XIII 2.3 174 106 10 31 27   10 31 27   
XIV 3.5 57 24 21 12    21 12    
XV 1.0 700 581 26 41 52   26 41 52   
XVI 1.1 1,195 991 123 50 31   123 50 31   
XVII 1.2 226 181 5 17 23   5 17 23   
XVIII 2.4 290 175 103 12    103 12    
XIX 6.0 69  69     69     
XX 4.8 150 31 85 4 30   85 4 30   
XXI 6.0 7  7     7     
Total 3.2 7,351 4,086 2,150 548 465 102 6.9 2,142 545 460 118 6.8 
 
Note: Tariff lines subject to in-quota ra tes are excluded in the computation.  
 Based on the HS 2007 nomenclature. 
 Source: WTO estimates based on  data provided by Peru. 
 
Chart 3.3 Peru: Average of dutiable rates, by HS Chapter (Peru-Iceland) 
05 1 0 1 502040711151617181920213563
Preferential MFNHS Chapter  
Average rate of duty (%)
 
 
Source: WTO Secretariat estimates based on data provided by Peru.  WT/REG295/1/Rev.1 
 
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  Chart 3.4 Peru: Average of dutiable rates, by HS Chapter (Peru-Switzerland)  
05 1 0 1 502040711151617181920213563
Preferential MFNHS Chapter  
Average rate of duty (%)
 
 
Source: WTO Secretariat estimates based on data provided by Peru.  
 
3.14.  In its trade with Norway, Peru eliminated tariffs on 2,101 lines immediately upon the entry 
into force of the Agreement followed by 542 and 461 scheduled to be eliminated by 2016 and 
2021 respectively. At the end of implementation in 2021 the 161 lines remaining dutiable will be mostly in Sections I, II and IV, with tariffs ranging from 6% for Sections II and III to 11% in Section XI (one line-for used clothing). Char t 3.5, which shows average preferential and MFN 
tariffs remaining after liberalization, indicates that the two averages are equivalent. Average 
preferential tariffs remaining after liberalization range from 6% to 11% (in HS 63). For products 
subject to the price band, while ad valorem  duties for all but three lines are eliminated under the 
Agreement, all still remain subject to the specif ic duty component under the price band system. 
Table 3.6 Peru: Tariff elimination under the Agreement, by HS Section (Peru-Norway) 
HS 
Section MFN 
average% Total 
No  
of lines MFN 
2012 Number of  
duty-free lines Remain 
dutiable Avg. Final Tariff 
(Dutiable) 
2012  2016 2021 
I 2.1 305 207 37 2 12 47 7.4 
II 4.3 384 130 193   61 6.0 
III 2.6 64 36 9 8 6 5 6.0 
IV 3.6 297 126 120 5  46 6.4 
V 1.9 202 139 32 31    
VI 2.0 1,465 970 223 150 121 1 6.0 
VII 2.2 312 196 18 45 53   
VIII 5.3 79 9 34 19 17   
IX 4.4 107 28 1 36 42   
X 3.7 246 93 64 67 22   
XI 9.2 966 63 902   1 11.0 
XII 8.8 56  19 12 25   
XIII 2.3 174 106 10 31 27   
XIV 3.5 57 24 21 12    
XV 1.0 700 581 26 41 52   
XVI 1.1 1,195 991 123 50 31   WT/REG295/1/Rev.1 
 
- 18 - 
 
  HS 
Section MFN 
average% Total 
No  
of lines MFN 
2012 Number of  
duty-free lines Remain 
dutiable Avg. Final Tariff 
(Dutiable) 
2012  2016 2021 
XVII 1.2 226 181 5 17 23   
XVIII 2.4 290 175 103 12    
XIX 6.0 69  69     
XX 4.8 150 31 85 4 30   
XXI 6.0 7  7     
Total 3.2 7,351 4,086 2,101  542 461 161 6.6 
 
Note: Based on the HS 2007 nomenclature.  Source: WTO estimates based on  data provided by Peru. 
 
Chart 3.5 Average of dutiable rate s, by HS Chapter (Peru-Norway) 
02468 1 0 1 20204070811151617181920213563
Preferential MFNHS Chapter  
Average rate of duty (%)
 
Source: WTO Secretariat estimates based on data provided by Peru. 
 
3.1.4  Tariff rate quotas 
3.15.  Norway provides preferential market access to imports of certain products from Peru under 
tariff rate quotas (TRQs). The products concerned include goat and sheep meat, poultry offal, 
prepared meat, butter, eggs, honey, and certain vegetables. The TRQs provide a margin of preference for imports of the products concerned fr om Peru over that provided by the WTO or the 
GSP TRQ. Annex 3 below provides details of the preferences and the rates of TRQs for these 
products. In some cases, mainly for vegetables, a seasonal reduction and/or seasonal TRQ is also applied.  
3.1.5  Import restrictions 
3.16.  Article 2.9 of the Agreement requires th e Parties to eliminate prohibitions of other 
restrictions (other than duties, taxes or other charges) in their mutual trade in accordance with Article XI of the GATT 1994 which is incorporated into and made part of the Agreement. This WT/REG295/1/Rev.1 
 
- 19 - 
 
  includes import price requirements except as permitted though countervailing and anti-dumping 
duties and undertakings or import licensing conditioned on the fulfilment of a performance requirement. Measures that are inconsistent with the WTO Agreement on Import Licensing 
Procedures may also not be maintained or adopted. Any new import licensing procedure and 
modifications to existing procedures or list of pr oducts shall be published, whenever practicable 
21 days before, or at the latest on the date when the requirement becomes effective. These requirements do not apply to used goods (Annex IX).  
3.2  Rules of origin 
3.17.  Rules of origin are covered in Article 2.3 and Annex V while provisions on mutual assistance 
in customs matters are covered in Article 2.3 and Annex VI.  
3.18.  Annex V defines originating products as wholly obtained in a Party (within the meaning of 
Article 4); products obtained in a Party incorporating materials which have not been wholly 
obtained there, provided that such materials ha ve undergone sufficient working or processing in 
the Party concerned (within the meaning of Article 5 of the Annex); or products obtained in a Party 
exclusively from materials that qualify as originating as defined in the Annex. Products are 
considered to be sufficiently worked or processed if  they fulfill the product specific rules of origin 
as specified in Appendix 2 to Annex V. For products under HS Chapters 1-24 mostly the change of 
tariff classification (CTC) method is used althou gh in a few cases the CTC or value added method 
may be used and for other products CTC is not required. However, it should be noted that in a number of cases where the requirement is "manufactu re in which all materials used are classified 
within a Chapter other than that of the product" actually require that the materials used have to 
be wholly obtained in a Party. For products in HS Chapters 25-97 except those relating to textiles 
and clothing and footwear (HS Chapters 50-64) either the CTC or value addition of up to between 40% and 60% of the ex-works price of the product may be used for most products. For certain 
products the product specific rules allow the use of materials from the same subheading, heading 
or chapter up to 20% of the ex-works price of the product. For textiles, the CTC method is required, for apparel the CTC method is required besides a production process requirement (cut 
(or knit to shape) and sewn or otherwise assembled in the Parties) and for footwear the 
CTC method and the value added method is required. 
3.19.  If a product that has acquired originating status, regardless of whether it has been 
manufactured in the same factory or another factory in a Party, by fulfilling the conditions set out 
in Appendix 2 to Annex V, is used as input mate rial in the manufacture of another product, the 
conditions applicable to such other product do not apply to the input material and therefore no account shall be taken of any non-originating material incorporated into such a product used as 
input material in the manufacture of another product (Article 5 paragraph 1 of Annex V). 
Nevertheless, non-originating materials which would not qualify as originating under the requirements of Appendix 2 to Annex V, can be used provided that their total value does not 
exceed 10% of the ex-works price of the product (the total weight of the fibres or yarns does not 
exceed 10% of the total weight of the product fo r HS Chapters 50-63); and any of the percentages 
given in Appendix 2 to Annex V for the maximum value of non-originating materials are not exceeded. Notwithstanding this de minimis  provision, certain minimal operations as outlined in 
Article 6 of the Annex do not confer originating stat us even if the requirements above are satisfied. 
3.20.  For accumulation, originating products shall be considered as originating in the Party where 
beyond minimal operations have been carried out and there is no requirement for sufficient 
working or processing. Products originating in another Party, when exported from one Party to 
another, shall retain their origin when exported in the same state or without having undergone working or processing beyond minimal operations in the exporting Party. In such cases, where 
materials originating in two or more of the Parties are used and those materials have undergone 
minimal working in the exporting Party, the origin is determined by the material with the highest customs value, or if this is not known and cannot be determined, with the first highest ascertainable price paid for that material in the Party. These conditions do not apply to processed 
agricultural products under Chapter 3 of the Agreement which are exported from one EFTA State 
to another (Article 3 of Annex V). The Parties will  also review Article 3 no later than four years 
after the date of entry into force of the Agreement, taking into account new concepts, in particular, 
cross-accumulation or pan-free-trade-agreement-accumulation. WT/REG295/1/Rev.1 
 
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  3.21.  Except as provided in Article 3, the conditions for acquiring originating status must be 
fulfilled without interruption in Peru or an EFTA State. Furthermore, originating products exported from Peru or an EFTA State to a non-party re-entering the Party must be considered non-originating unless it can be demonstrated to the satisfaction of the competent authority that the 
returning products are the same as those exported; and they have not undergone any operation 
beyond that necessary to preserve them in good condition in the third party or while being exported (Article 13). Articles 8-12 of the Annex contain details on the status of packaging 
materials and containers accessories; spare parts and tools; sets; indirect materials and fungible 
materials in conferring origin on a particular product. Article 14 requires products to be transported directly between the Parties except for pipelines across third parties. If they are 
transported through a non-party they must not undergo operations other than unloading, 
reloading, splitting up of consignments or any operation designed to preserve them in good 
condition and must be under customs control in the third party.  
3.22.  Title IV (Articles 15 to 27) deals with the requirements for proof of origin, including 
procedures for issuing movement certificates, certificates issued retrospectively and conditions for 
completing origin declarations. The competent authority of the exporting Party may authorize "approved exporters" who make frequent shipments of originating products under the Agreement 
to complete origin declarations irrespective of the value of the products concerned (Article 21).  
3.23.  Arrangements for administrative co-operation (Title V of Annex V) permit the verification of 
proofs of origin. The verification shall be carried out by the competent authority of the exporting Party when requested by the competent authority of the importing Party. The competent authority 
of the importing Party may decide to suspend pref erential treatment to products covered by the 
proof of origin concerned while awaiting the results of the verification. In such case, the release of the products shall be offered to the importer  subject to any precautionary measures judged 
necessary. The results of the verification will be provided as soon as possible to the authorities 
requesting the verification. If there is no respon se within 12 months of the date of request for 
verification or if there is insufficient information provided to be able to determine the authenticity 
of the document in question or the originating status of the products, the requesting competent 
authority shall be entitled, save in exceptional circumstances to refuse to grant preferential tariff treatment. Article 31 of the Annex provides for penalties that may be imposed by each Party on any person who draws up or causes to be drawn up, a document which contains incorrect 
information for the purpose of obtaining preferential tariff treatment. 
3.24.  Article 33 of Annex V sets up a Sub-Committee on Trade in Goods, Rules of Origin and 
Customs Matters to exchange information, re view developments, prepare and co-ordinate 
positions, prepare technical amendments to the ru les of origin and assist the Joint Committee in 
rules of origin and administrative co-operation, and any other matters referred to it by the Joint Committee. 
3.3  Export duties and charges,  and quantitative restrictions 
3.25.  Duties, taxes or other charges on exports (including price requirements except as permitted 
under countervailing and anti-dumping duties and undertakings and import licensing based on performance requirements) between the Parties are forbidden by the Agreement unless also 
adopted or maintained for goods destined for domestic consumption (Article 2.8). Article 2.9 
requires the Parties to eliminate any prohibitions or restrictions on mutual exports whether made effective through quotas, export licences or other measures, in accordance with Article XI of the 
GATT 1994, which is made part of the Agreemen t mutatis mutandis. Peru does not apply the 
measures set out in Annex IX (used goods) on expo rts. The Parties also agree not to maintain or 
adopt any measures that are inconsistent with the WTO Agreement on Import Licensing 
Procedures.  WT/REG295/1/Rev.1 
 
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  3.4  Regulatory Provisions of the Agreement 
3.4.1  Standards 3.4.1.1  Sanitary and phytosanitary measures 3.26.  Under Article 2.13 the Parties confirm their rights and obligations under the WTO Agreement 
on the Application of Sanitary and Phytosanitary Measures (SPS Agreement) and the decisions on 
the application of the SPS Agreement adopted by  the Committee on SPS Measures. They agree to 
work together to effectively implement the SPS Agreement and the SPS provisions in the 
Agreement to facilitate bilateral trade, without prejudice to their rights to adopt measures 
necessary to protect human, animal and plant he alth and to achieve the appropriate level of 
SPS protection (Article 2.13).  
3.27.  The Parties agree not to use their SPS measures related to control, inspection, approval or 
certification to restrict market access without scientific justification, without prejudice to 
Paragraph 7 of Article 5 of the SPS Agreement. Th ey agree furthermore to strengthen co-operation 
to increase their mutual understanding of, and improve, their respective SPS systems and Peru 
and the EFTA States can at any time develop bilateral agreements including between their 
respective regulatory authorities, to facilitate a ccess to their respective markets. They also agree 
to designate and notify each other upon entry into force of the Agreement about contact points for 
notification and information exchange on SPS i ssues. The Parties are currently reviewing their 
contact point lists which will be submitted shortly. 
3.28.  Finally the Agreement sets up a forum for SPS experts whose functions include to overview 
and ensure the implementation of the Article; consider measures that are likely to affect or have 
affected access to markets of another Party with the aim of finding appropriate and timely 
solutions in conformity with the SPS Agreement; assess progress on market access interests of the Parties; discuss further progress of the SPS Agreement; consider the Parties' obligations relating 
to SPS matters in other international agreements; and establish technical expert groups as 
needed. The forum shall meet upon on the request of  any of the Parties. The Parties indicate that 
to date, no meetings have taken place. 
3.4.1.2  Technical barriers to trade 
3.29.  Article 2.14 on Technical Regulations confirms the Parties's rights and obligations under the 
WTO Agreement on Technical Barriers to Trade (TBT) which is incorporated into the Agreement mutatis mutandis. They agree to strengthen their mutual co-operation in the field of technical 
regulations, standards and conformity assessment to  increase their mutual understanding of each 
others' systems and facilitating access to their mark ets. In particular, they agree to cooperate in 
reinforcing the role of international standards, including conformity assessment procedures as a 
basis for technical regulations; promoting the accreditation of conformity assessment bodies based 
on relevant ISO and IEC Standards and Guides; promoting mutual acceptance of conformity 
assessment results of the Parties' conformity assessment bodies which have been recognized 
under relevant multilateral agreements between the respective accreditation systems and bodies; 
and reinforcing transparency in the development of their technical regulations and conformity 
assessment procedures to ensure that all adopted technical regulations are published on official websites which have free and public access. Where a Party detains any products at the border 
because of a perceived failure to comply with a technical regulation, it must immediately notify the 
importer of the reasons for doing so. 
3.30.  To facilitate technical consultations and exchange of information on matters relating to 
application of specific technical regulations, standards and conformity assessment procedures, the 
Parties also agree to exchange details of their de signated contact points for technical barriers to 
trade related matters. EFTA and Peru are currently re viewing its contact points list and will submit 
the revised list shortly. Any information requested by a Party under these provisions must be 
provided by the other Party electronically or in print and efforts should be made to provide the 
information within 60 days of the request. The Article also provides for the possibility of technical consultations through the designated contact points with a view to finding an appropriate solution 
in conformity with the TBT Agreement. Such technical consultations can be held in the WT/REG295/1/Rev.1 
 
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  Joint Committee formed under the Agreement (under  Article 12.5 of the Agreement) or outside, 
within 40 days from the date of receipt of the request.  
3.4.2  Safeguard mechanisms 3.4.2.1  Global safeguards 
3.31.  The rights and obligations of the Parties under Article XIX of the GATT and the WTO 
Agreement on Safeguards is confirmed by Arti cle 2.17 of the Agreement. In taking global 
safeguard measures, the Parties agree to exclude imports of an originating product from one or 
several other Parties if the imports do not in and of themselves cause or threaten to cause serious 
injury. Such an exclusion shall be made in accordance with WTO jurisprudence as established through WTO dispute settlement. Finally, global sa feguards cannot be applied for the same product 
at the same time as a bilateral safeguard. 
3.4.2.2  Bilateral safeguards 
3.32.  Bilateral safeguards are permitted during th e transition period (ten years after entry into 
force of the Agreement or in the case of goods for which Annex VIII (Industrial Goods) provides 
for tariff elimination of more than ten years, the tariff elimination period) where as a result of the 
reduction or elimination of customs duties under the Agreement, a product originating in one of the other Parties is imported in such increased quantities, in absolute terms or relative to domestic 
production, and under such conditions as to constitute a "substantial cause"
12 of serious injury or 
threat thereof to the domestic industry of like or directly competitive products in the importing Party (Article 2.18). Bilateral safeguards may not be taken at the same time on a product as a measure under Article XIX of the GATT and the WTO Agreement on Safeguards (Article 2.17:3(b)). 
3.33.  Bilateral safeguards are to be taken to th e minimum extent necessary to remedy or prevent 
the injury, subject to the provisions of the Article.  They are to be taken only upon clear evidence 
that increased imports have caused or are threatening to cause serious injury pursuant to an 
investigation in accordance with the procedures and definitions in Articles 3 and 4 of the WTO 
Agreement on Safeguards. A Party intending to take or extend such a measure should notify the other Parties immediately and in any case no later than 30 days before taking the measure. The 
notification should include evidence of serious inju ry, or threat thereof, precise description of the 
product involved, the proposed measure and the date of completion of the investigation and expected duration and timetable for the progress ive removal of the measure. The Party applying 
the safeguard should in consultation with the other Party provide mutually agreed trade 
liberalization compensation in the form of conce ssions having substantially equivalent trade effects 
or equivalent to the value of the additional du ties expected from the measure. The Party shall 
provide an opportunity for such consultations within 15 days of applying the measure. 
3.34.  If the conditions of paragraphs 1 and 3 are met, the Party may to the extent necessary to 
prevent or remedy serious injury or threat ther eof suspend the further reduction of any rate of 
duty under the Agreement for the product or increase the rate of customs duty for the product to a 
level not to exceed the lesser of the MFN applied rate of duty in effect at the time of the measure 
or in effect on the day immediately preceding the date of entry into force of the Agreement.  
3.35.  Paragraph 7 of Article 2.18 requires the measure to be maintained for the period of time 
necessary to prevent or remedy serious injury and to facilitate adjustment; for up to two years, 
extendable by up to one year if the competent authority determines, in conformity with the 
procedures above, that the measure continues to be necessary to prevent or remedy serious injury and to facilitate adjustment and there is evidence that the domestic industry is adjusting; or up to 
the period of transition. Bilateral safeguards cannot be applied to products which have previously 
been subject to bilateral safeguards. Within 30 days of notifying its intention to take or extend a safeguard, the Party shall hold consultations with the Party whose product is subject to the 
investigation to facilitate a mutually acceptable solution and shall notify the Parties the results of 
the consultations. If there is no agreement, the Party may take a safeguard.  
                                               
12 Substantial cause is defined by Paragraph 2(b) of Article 2.18 as "a cause which is more important 
than any other cause". WT/REG295/1/Rev.1 
 
- 23 - 
 
  3.36.  If the Parties cannot agree mutually on compensation, the Party against whose product the 
measure is taken may take compensatory action. Both the measure and the compensatory action must be notified to the other Parties. In taking the measure and the compensatory action, priority must be given to the action which least disturbs the functioning of the Agreement. The 
compensatory action shall normally consist of suspension of concessions having substantially 
equivalent trade effects or substantially equivalent to the value of the additional duties expected to result from the safeguard. Compensatory action  shall be applied only for the minimum period 
necessary to achieve the substantially equivalent  trade effects and in any event only while the 
safeguard is being applied. 
3.37.  In cases where the safeguard is expected to be in place for one year or longer, to facilitate 
adjustment, the Party taking the measure shall progressively liberalize it at regular intervals 
during the period of application. Once the measur e is terminated, the customs duty should be the 
same as that envisaged under the Agreement. In critical circumstances where delaying a measure would cause damage which would be difficult to repair, provisional safeguards may be taken 
pursuant to a preliminary determination that there is clear evidence that increased imports 
constitute a substantial cause of serious injury or  threat thereof to the domestic industry. A Party 
intending to take a provisional measure must inform the others immediately and must comply with 
the requirements and procedures of the provisions  on safeguards in the Agreement. Provisional 
measures must be terminated within 180 days at the latest with the period for which the provisional measure is taken counting towards the period of any definitive bilateral safeguards and any extension thereof taken under the Agreement. Pr ovisional safeguards can only be taken in the 
form of a tariff increase as described above. If the investigation results in no safeguard measure 
being taken any additional duty revenue collected  must be refunded and any guarantee liberated. 
Finally any mutually agreed compensation or co mpensatory action shall be based on the total 
period of application of the provisional and definitive safeguard. 
3.4.3  Anti-dumping and countervailing measures 3.38.  Under Article 2.16, the Parties confirm their rights and obligations under Article VI of the 
GATT 1994 and the WTO Agreement on the Implem entation of Article VI (Agreement on 
Anti-Dumping). This commitment is subject to the provisions of Paragraph 2 of the Article which requires the Parties to notify each other in writing upon receipt of properly documented application and before initiating an investigation under the Agreement on Anti-Dumping and allow a 20 day 
period for consultations with a view to finding a mutually acceptable solution. If a solution cannot 
be reached the Parties retain their rights under  Article VI of the GATT and the Agreement on 
Anti-dumping. Except for this paragraph, Article 2.16 is not subject to the dispute settlement 
provisions of the Agreement.  
3.39.  Article 2.16 is to be reviewed by the Joint Committee to see if it is still necessary to achieve 
the political objectives of the Parties. No Joint Committee has taken place to date. 
3.40.  The Parties' rights and obligations on subsidies and countervailing measures are governed 
by Articles VI and XVI of the GATT 1994 and th e WTO Agreement on Subsidies and Countervailing 
Measures. This commitment is subject to Paragr aph 2 of Article 2.15 which requires a Party to 
notify in advance and in writing the Party whose goods are concerned, of an investigation to 
determine the existence, degree and effect of any alleged subsidy in Peru or in an EFTA State as 
provided for under Article 11 of the WTO Agreement on Subsidies and Countervailing Measures. The Party considering the investigation must allow for a period of 30 days for consultations with a 
view to finding a mutually acceptable solution. The consultations must take place within 15 days 
following the date of receipt of the notification among the competent authorities of the Parties, if 
any Party should so request. With the exception of paragraph 2 the provisions are not subject to 
the dispute settlement provisions of the Agreement. 
3.4.4  Subsidies and State-aid 3.41.  Although subsidies in general are not referred to by the Agreement under Article 3.4 and 
Article 9 of their respective AAs, the Parties agr ee that notwithstanding their obligations under the 
WTO Agreement on Agriculture, they will not adop t, maintain, introduce or re-introduce export 
subsidies, as defined in the WTO Agreement on Agriculture, in their trade in products covered by tariff concessions under the Agreement. Should a Party do so, however, the other Party may WT/REG295/1/Rev.1 
 
- 24 - 
 
  increase the rate of duty on such imports up to  the applied MFN customs duty in effect on that 
date. If it should do so, it shall notify the other Party within 30 days of the date the duty was increased. 
3.42.  The Parties' rights and obligations on state trading enterprises are governed by Article XVII 
of the GATT 1994 and the Understanding on the Inte rpretation of Article XVII of the GATT 1994, 
which are incorporated into and made part of the Agreement mutatis mutandis (Article 2.12).  
3.4.5  Customs-related procedures 
3.43.  Annexes VI and VII as referred to in Article 2.3 and 2.4 respectively, deal with mutual 
administrative assistance in customs matters and customs procedures and trade facilitation respectively. Annex VI provides for assistance to be provided between the Parties within their competence to ensure that customs legislation is correctly applied, in particular by prevention, 
detection and investigation of breaches to the legislation. Assistance can be provided by any 
competent, administrative authority and shall no t prejudice the rules on mutual assistance in 
criminal matters nor cover information obtained under powers delegated by the judicial 
authorities, except where these authorities ha ve pre-authorized the communication of such 
information. It may be provided on request, or spontaneously by the Parties and may be refused if it is likely to prejudice sovereignty, public policy, security or other essential interests, involve 
currency or tax regulations other than customs legislation or violate an industrial, commercial or 
professional secret. Any information provided shall be confidential or restricted and be covered by the obligation of professional secrecy and enjoy the protection extended to similar information under the relevant laws of the Party receiving the information. 
3.44.  Annex VII on customs procedures and trade facilitation requires the Parties to base their 
respective laws, regulations, including procedures and documentation requirements, and administrative rules of general application concerning trade in goods and related services on 
international conventions, recommendations and standards accepted by each Party (Article 1). To 
ensure transparency the Parties also agree to publish promptly and as far as practicable on the Internet, all laws and regulations of general application relevant for trade in goods and related 
services between the Parties to the extent possible to publish in advance, including on the 
Internet, any regulations of general application relating to customs matters that they intend to adopt and provide interested persons an opportunity to comment prior to adoption. Enquiry points shall be established for customs matters which may be contacted via the Internet (Art. 2).
13 Other 
measures to facilitate trade include the simplification of trade procedures and documentation 
requirements through simplified customs procedures for the efficient release of goods, enabling electronic submissions of customs declarations
14, early release of goods prior to meeting all the 
import requirements if the importer provides suff icient guarantees and by endeavouring to take 
into account certification by international business alliances in the exporting Party throughout its supply chain which follow international standards and promote safer trade in co-operation with 
governments and international organizations (Art. 3). The Parties shall use risk management in the 
application of control by customs and other border agencies including the application of selectivity criteria and risk profiling to determine which pe rsons, goods or means of transport should be 
examined and the extent of such examination (Art. 4). 
3.45.  Advance rulings shall be issued in accord ance with national legislation, at the written 
request of an importer, exporter or producer with regard to a product's tariff classification. Such 
rulings are considered valid until the facts or circumstances supporting the original ruling have 
changed and the Party notifies the applicant in wr iting of any revocation or modification of the 
ruling. The Party may in any case limit the validity of advance rulings to a period determined by its national legislation. The Parties will also endeavour to develop procedures to provide an advance 
ruling upon written request by an importer, expo rter or producer prior to import and on other 
matters as the Parties may agree. 
3.46.  The sub-committee on rules of origin, cust oms procedures and trade facilitation established 
under Article 2.5 shall also be charged to exch ange information, review developments, prepare 
                                               
13 Article 2 of Annex VII will become applicable within two years following the entry into force of the 
Agreement (Article 11 of Annex VII). 
14 The electronic submission of customs declarations will become available within three years following 
the entry into force of the Agreement (Article 11 of Annex VII). WT/REG295/1/Rev.1 
 
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  and coordinate positions, prepare technical am endments to the Annex and assist the Joint 
Committee on issues including on customs practices, including international and national standards to facilitate trade in goods between the Parties; interpretation, application and administration of the Annex; tariff classification and customs valuation matters; other subjects which may have an 
impact on the expeditious clearance of goods; and other matters considered appropriate by the 
Joint Committee.  
3.4.6  Other regulations 
3.4.6.1  Services 
3.47.  Although under Article 1.1 of the Agreement the Parties establish a free trade area which is 
to be consistent with the GATS and furthermor e in Article 1.2 one of the objectives of the 
Agreement is to achieve the liberalization of trade in services in conformity with Article V of the 
GATS, there is no separate chapter on trade in services in the Agreement. Under Chapter 4 
(Articles 4.1-4.2), the Parties reaffirm their rights and obligations under the GATS and, recognizing the increasing importance of trade in services in their economies, they agree to work together with 
the aim of creating the most favourable conditions for achieving further liberalization and 
additional mutual opening of markets for trade in services. In this regard they may jointly review any issues related to measures affecting trade in services in the Joint Committee. They also agree 
to negotiate a Chapter on trade in services, including international maritime transport services, on 
a mutually advantageous basis, securing an overa ll balance of rights and obligations, and having 
due regard to Article V of the GATS. Such negotiat ions are to take place no later than one year 
after the entry into force of the Agreement.  
3.48.  Chapter 4 also has provisions for each Party to give due consideration to any requests by 
another Party to recognize education or experience obtained, requirements met, or licences or certification granted in that Party for the fulfilment, in whole or in part, of the Party's standards or 
criteria for the authorization or licensing or certification of services suppliers.
15 Such recognition 
may be based upon an agreement with that other Party or be granted autonomously. Where such recognition by agreement or arrangement is gr anted of education or experience obtained, 
requirements met or licences or certifications gran ted, in the territory of a non-party, that Party 
shall afford another Party adequate opportunity to negotiate its accession to such an agreement or arrangement, whether existing or in the future or to negotiate a comparable arrangement with it. Where a Party grants recognition autonomously, it shall afford adequate opportunity to another 
Party to demonstrate that the education or experience obtained, requirements met, or licences or 
certifications granted in the territory of that other Party should also be recognized. Finally a Party shall not accord recognition in a manner which would constitute a means of discrimination between 
countries in the application of its standards or criteria for the authorization, licensing or 
certification of services suppliers or a disguised restriction on trade in services. Further rights and obligations on recognition including procedures to be followed for the recognition of services 
suppliers and for the qualifications of the other Parties, are listed in Annex X of the Agreement. 
3.4.6.2  Investment 3.49.  Chapter 5 covers provisions on investment and applies to commercial presence in all sectors 
except services sectors. Article 5.3 requires the Parties to provide national treatment to juridical 
and natural persons of another Party and to their commercial presence, subject to the reservations 
(both existing and future) in Annex XI of the Ag reement, any amendments to these reservations 
to the extent that the amendment does not increa se the non-conformity of the reservation with 
the national treatment requirement and any new reservation adopted by the Parties and 
incorporated into Annex XI, provided that the re servation does not affect the overall level of 
commitments of that Party under the Agreement. Any new reservation adopted by a Party must be 
promptly notified to the other Parties and any other Party may request consultations upon receipt 
of the notification regarding the reservation and related issues, which shall be entered into without delay.  
3.50.  The reservations for Peru relate to the direct  or indirect acquisition of land or water located 
within 50 kilometres of the border unless an except ion is authorized; preferential treatment for the 
employment of nationals with exceptions; any measures adopted or to be adopted according rights 
                                               
15 Service supplier means any person that supplies or seeks to supply a service. WT/REG295/1/Rev.1 
 
- 26 - 
 
  or preferences to socially or economically disa dvantaged minorities and ethnic groups; artisanal 
fishing; handicrafts; and the audio-visual, publis hing and music sectors. Among the EFTA States 
Iceland has taken reservations with regard to investment limits for foreigners, including some residency requirements for the setting-up of companies; certain citizenship requirements for the 
acquisition of real estate; fisheries; air transport; and a general reservation for energy production 
and distribution. Liechtenstein has made investment by foreigners subject to national economy considerations, prior residence, prior authorization for the acquisition of real estate, and has 
certain reservations in the air transport sector and a general carve-out for the power and energy 
sector. Norway places residency requirements on key personnel in joint stock companies, concession requirements for purchase or leasing of secondary homes, and reservations in fishing and in the power and energy sector as well as in the repair of transport equipment sector, and it 
also has limitations regarding copyrights and neighbouring rights laws. Switzerland has residency 
requirements for companies and legal persons and authorization requirements for real estate purchases as well as reservations in the energy sector. The status of reservations under Annex XI 
is to be reviewed at least every three years with a view to their reduction or removal. Reservations 
may also in whole or in part be removed by a Party, either upon the request of another Party or unilaterally. 
3.51.  Article 5.5 commits the Parties, subject to their laws and regulations, to granting natural 
persons and key personnel employed by natural or juridical persons of another Party, temporary entry and stay in its territory to engage in activities connected with commercial presence, including for the provision of advice or technical services. The Parties will also, subject to their 
laws and regulations, permit natural or juridica l persons of another Party, and their commercial 
presence, to employ, in connection with the commer cial presence, any key pe rsonnel provided that 
they are permitted to enter, stay and work in th e territory and that the employment conforms to 
the terms, conditions and time limits of the perm ission granted. Subject to the Parties' laws and 
regulations, the spouses and minor children of such key personnel shall be granted temporary 
entry and stay for the same period of time. 
3.52.  The Parties maintain their rights to regula te commercial presence subject to the provisions 
of the Chapter and Annex XI. The Chapter's provisions shall be applied without prejudice to the rights and obligations of the Parties under other international investment agreements to which they are party. Furthermore, any dispute settlement mechanism in investment protection 
agreements to which they are party is not applicable to alleged breaches of this Chapter. 
Article 5.8 incorporates Article XIV (d) of the GATS into the Chapter, mutatis mutandis , permitting 
an exception to national treatment provided that the difference in treatment is aimed at ensuring 
the equitable or effective imposition or collection of direct taxes in respect of the commercial 
presence of an investor of another Party. 
3.53.  The Chapter on investment will be subject to periodic reviews in the framework of the Joint 
Committee to examine the possibility of further de veloping the Parties' commitments. Pursuant to 
article 5.9, the Parties will aim at consistency, as  far as appropriate, with the results of future 
negotiations in trade in services, in particular for commitments on payments and transfers.  
3.5  Sector-Specific Prov isions of the Agreement 
3.54.  No sector-specific provision per se  exists in the Agreement. However, as indicated above, 
three AAs have been concluded jointly with the Agreement. 
4  GENERAL PROVISIONS OF THE AGREEMENT 
4.1  Transparency 
4.1.  Chapter 9 which deals with transparency re quires the Parties to ensure that their laws, 
regulations, administrative rulings of general application and their respective international 
agreements, which may affect the operation of the Agreement are published or otherwise made 
available in a manner accessible to persons interested in them (Article 9.1). They will also endeavour to publish or make available otherwise judicial decisions that may affect the operation of the Agreement. They will respond to any qu estions raised or information requested while 
maintaining confidentiality of the information if this impedes law enforcement or is contrary to 
public interest or prejudices the legitimate commercial interests of any economic operator, as well WT/REG295/1/Rev.1 
 
- 27 - 
 
  as if requested by the other Party. Chapter 9 does  not prevail over any transparency provisions in 
other parts of the Agreement. 
4.2.  Article 9.2 specifies that notifications or any other written communication that sets in motion, 
or needs to be made within, a period of time as stated in the Agreement shall be deemed to have 
been received unless otherwise stated, when delivered against receipt, registered post, courier or 
any other means of communication providing a reco rd thereof. Without prejudice to Article 11.2 
which establishes Agreement Coordinators and Contact Points, each Party shall designate a 
responsible authority for receiving such notifications or communications to be communicated to 
the other Party within 90 days of entry into force of the Agreement. 
4.2  Current payments and capital movements 4.3.  There are no provision on current paymen ts and capital movements in the Agreement.  
4.3  Exceptions 
4.4.  Under the chapter on trade in goods, the Parties maintain their rights and obligations in 
respect of general exceptions under Article XX of the GATT 1994 which is incorporated into and 
made part of the Agreement mutatis mutandis (A rticle 2.19). Security exceptions, which are 
covered by Article 2.20, are governed by Article XXI of the GATT 1994 which is incorporated into 
and made part of the Agreement mutatis mutandis. 
4.5.  Exceptions related to taxation measures are included under Article 1.7 which states that the 
Agreement does not restrict a Party's fiscal sovereignty to adopt taxation measures except as under Article 2.11 on national treatment and su ch other provisions of the Agreement that are 
necessary to give effect to Article 2.11 to the same extent as Article III of the GATT 1994 and 
Article 5.3 on national treatment subject to Article 5.8 which provides for exceptions. 
Notwithstanding this, the Agreement shall not affect the rights and obligations of a Party under any tax convention. In the event of any in consistency between the Agreement and such 
convention, the latter shall prevail to the extent of the inconsistency. 
4.6.  Under the Chapter on Government procurement (Chapter 7), the Parties are not prevented 
from taking any action or not disclosing information considered necessary for their essential 
security interests relating to the procurement of arms, ammunition, or war materials, or to 
procurement indispensable for national security or defence. As long as measures are not applied in manner that would constitute a means of arbitrary or or a disguised restriction on trade between the Parties,  unjustifiable discrimination between the Parties, they may adopt measures necessary 
to protect public morals, order or safety or human, animal or plant health, or to protect intellectual 
property or relating to goods or services of persons with disabilities, philanthropic institutions or prison labour (Article 7.2). 
4.4  Accession and Withdrawal 
4.7.  Article 13.4 permits any State that becomes a member of the EFTA to accede to the 
Agreement provided that the Joint Committee approves the accession on such terms and 
conditions as may be agreed between the Parties and the State. For the acceding State the 
Agreement shall enter into force on the first day of the third month following the last deposit of the instruments of approval of both the Parties and acceding State. 
4.8.  Under Article 13.5 any Party may withdraw  from the Agreement upon providing written 
notification to the other Parties. The withdrawal will be effective six months from the date of 
receipt by the Depository of the notification, exce p t  i f  o t h e r w i s e  a g re e d  b y  t h e  P a r t i e s .  I f  P e ru 
withdraws the Agreement shall expire when the wi thdrawal becomes effective while if any EFTA 
State withdraws from the Convention establishing the EFTA Agreement, it shall at the same time 
withdraw from the Agreement. If Peru or any of the individual EFTA States withdraw from the AAs, it is understood that it is also withdrawing from the Agreement (Article 13.6).  WT/REG295/1/Rev.1 
 
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  4.5  Institutional framework 
4.9.  The Agreement, in Chapter 11 establishes a Joint Committee, comprising representatives 
from each Party. The Parties are to be represented by Cabinet level officials or other senior officials 
as delegated for this purpose. Its functions includ e supervision of and evaluation of the results of 
the application of the Agreement; oversee furthe r developments in the Agreement, including the 
possibility of removing remaining trade barriers and other restrictive measures of commerce betweenPeru and the EFTA States; supervise th e work of sub-committees and working groups 
established under the Agreement and recommend a ppropriate actions to them; upon request by 
any Party, provide an opinion on, and seek to reso lve any disputes that arise on, the interpretation 
or application of the Agreement; and consider an y other matter that may affect the operation of 
the Agreement or that is entrusted to it by the Parties (Article 11.1). For instance a sub-committee 
on trade in goods, rules of origin and customs matters is established under Article 2.5, which will 
meet as often as required, and will report to the Joint Committee on all matters under its jurisdiction. 
4.10.  The Joint Committee may establish sub-committees and working groups if it considers these 
necessary to assist it in its tasks, and delega te responsibility to them; decide to amend the 
annexes and appendices of the Agreement and may,  subject to certain conditions, set a date of 
entry into force for the amendments; and convene the Parties for future negotiations to examine 
deepening liberalization agreed under the Agreement. The Joint Committee is to meet when necessary but normally every two years in regular session and in special session if requested in writing by a Party (to take place within 30 days of receipt of the written request). It is to take its 
decisions and make recommendations by consensus. The Parties indicate that no sub-committees 
or working groups under paragraph 3 of Article 11.1 have been established thus far. 
4.11.  The Agreement also establishes that each Party shall designate an Agreement Coordinator 
and requires the Parties to communicate the designation to each other within 30 days of the 
Agreement entering into force. The functions of  the Coordinators include the development of 
agendas and other preparatory activities for Joint Committee meetings and follow-ups thereafter, 
as well as acting as a contact point to facilitate communication between the Parties or any other 
matter delegated by the Joint Committee (Article 11.2).
16  
4.6  Dispute settlement 4.12.  The scope of the Dispute Settlement Chapte r extends to the interpretation and application 
of the Agreement, in particular when a Party considers that a measure of another Party is 
inconsistent with the obligations of the Agreement (Article 12.2). The Parties are encouraged to try 
to agree on the interpretation and application of the Agreement and to make every effort to 
resolve their differences in a mutually satisfactory manner through co-operation, consultations or 
other means. Disputes arising on the same matter under the Agreement and the WTO Agreement, may be settled in either forum at the discretion of the complaining Party. Once the forum is 
selected, it shall be used to the exclusion of the other in respect of the matter under dispute. Any 
decision to initiate a dispute with another Party under the WTO Agreement is to be notified to the other Parties (Article 12.3). 
4.13.  Consultations may be requested in writing on any matter covered by Article 12.2 on scope 
with the Party requesting consultations informing the other Parties in writing.
17 Consultations shall 
take place within the Joint Committee within 45 days of the receipt of the request (30 days for urgent matters)
18 or any other period as agreed by the consulting Parties. The consulting Parties 
must provide enough information to enable a full examination of how the measure might affect the 
operation and application of the Agreement and treat any confidential or proprietary information exchanged in the same way as treated by the Pa rty providing the information. The consultations 
must be confidential and without prejudice to the rights of the consulting Parties in any further 
                                               
16 The coordinators are the Ministry of Foreign Trad e and Tourism for Peru and the EFTA Secretariat for 
EFTA. 
17 The request shall give the reasons for the complaint, including the measure concerned and an 
indication of the legal basis of the complaint (paragraph 3 of Article 12.5). 
18 Urgent matters include goods (agricultural, fish and industrial) and services that lose their quality or 
current condition in a short period of time. Urgent matter s include perishable goods or services which lose their 
trade value when a certain date is passed. WT/REG295/1/Rev.1 
 
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  proceedings. The consulting Parties shall inform the other Parties of any mutually agreed 
resolution (Article 12.5). 
4.14.  A Panel may be requested if there is no response to the request for consultations within 
15 days of receipt of the request; if consultations are not held within the periods in Article 12.5 
(see above) or as agreed by the consulting Parties; or if the dispute is not resolved through 
consultations within 60 days (45 days for urgent matters) or as agreed by the consulting Parties. The request for a Panel should contain the reason fo r the request, the identification of the specific 
measures, and a brief summary of the legal basis of the complaint sufficient to the present 
problem clearly. A copy of the request should also be made available to the other Parties, so they may determine if they wish to participate in the dispute (Article 12.6). If they do so, they are entitled under Article 12.7 to make written submissions to the panel, receive written submissions 
including annexes from the disputing Parties, attend hearings and make oral statements. 
4.15.  The Panel will comprise three members, on e each appointed by the disputing Parties, and a 
Chair out of a list of up to four cand idates proposed by each of the Parties.
19 The date on which the 
panel is established is that when the Chair is appointed. If any of the three Panel members have 
not been appointed within 30 days of the receipt of  the request for establishment of the Panel, the 
designations shall be made at the request of an y disputing Party by the Director General of the 
WTO or failing that any Deputy Director General of  the WTO (Article 12.8). The role of the Panel is 
to make an objective assessment of the matter in li ght of the relevant provisions of the Agreement 
interpreted in accordance with the rules of interpre tation of public international law and in light of 
the submissions and arguments of the disputing Parties and other information received, and to 
formulate the necessary findings for resolving the dispute in accordance with the request for 
establishing the Panel and its terms of reference.20 Unless otherwise agreed by the disputing 
Parties, the Panel will present its initial report within 90 days (50 days for urgent matters) 
following the date of its establishment; a disputing Party may submit written comments to this 
report within 14 days of its release and a final re port will be issued by the Panel within 30 days 
from the presentation of the initial report. The reports will contain the findings of fact and law and 
the reasons therefor, including whether a disputing Party has not conformed with its obligations 
under the Agreement or any other determination requested in the terms of reference; recommendations for the resolution of the dispute and implementation of the final report; if requested, findings about the level of adverse trade effects caused to the complaining Party by the 
failure of the Party complained against to conform with its obligations under the Agreement; and if 
requested, a reasonable period to comply with the final report (Article 12.13). 
4.16.  The ruling by the panel on matters referred to in Article 12.3 paragraphs 3 a) and d) is final 
and binding for the disputing Parties. The Party complained against shall notify the other Party 
when and how it will comply with the ruling within 30 days of issuance of the final report. It shall comply immediately, or if impractical, within a reasonable period of time, unless the Panel report 
sets a period of time for the implementation of the ruling or the disputing Parties agree otherwise. 
The Party complained against shall take into account any recommendation of the Panel for the resolution of the dispute and implementation of its ruling. It may also inform the other Party within 30 days that it considers it impractical to comply with the Panel ruling and offer compensation. The 
other Party, if it considers the compensation unacceptable or insufficiently detailed to assess 
properly, may request consultations with the aim of reaching an agreement. Failing an agreement within 30 days of the receipt of the request, the Party complained against must comply with the 
ruling. 
4.17.  Failure to comply with the ru ling of the final report within the time period indicated, or with 
an agreement on compensation within the agreed  time period, may lead to the suspension of 
benefits by the complaining Party, equivalent to those affected by the measure found to violate the 
Agreement, taking into account the findings abou t the level of adverse trade effects pursuant to 
                                               
19 The Panelists are required to have expertise or ex perience in law, international trade, other matters 
covered by the Agreement or in the resolution of disputes arising under international trade agreements; be chosen strictly on the basis of objectivity, impartiali ty, reliability and sound judgement; be independent of and 
not affiliated with or take instructio ns from any Party; and comply with th e standards of conduct established by 
the Model Rules of Procedure (Article 12.9). 
20 Unless otherwise agreed by the Parties, the terms of reference of the Panel will be: "to examine in 
light of the relevant provisions of this Agreement, the matter referred to it in the panel request and to make 
findings, determinations and recommen dations on the matters referred to it in paragraph 3 of Article 12.13 
(Report of the Panel)" (Article 12.10). WT/REG295/1/Rev.1 
 
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  paragraph 3 (c) of Article 12.13 (Article 12.17). The Party should first seek to suspend the benefits 
in the same sector or sectors affected by the measure that the Panel found to be inconsistent with the Agreement. If it finds that this is not practica ble or effective, it may suspend benefits in other 
sectors.  
4.18.  The suspension of benefits shall be temporary and only applied by the complaining Party 
until the measure found to violate the Agreement ha s been brought into conformity with the Panel 
ruling or until the dispute is settled otherwise. The benefits which the complaining Party intends to 
suspend, the grounds for the suspension an d the date of its commencement, shall be 
communicated to the other Party no later than 30 days before the date when suspension is due to commence. Within 15 days of this notification, the Party complained against may request the original Panel to rule on any disagreement on th e notified suspension, including whether they are 
justified or excessive. Either Party may also ask the Panel to rule if there is disagreement on 
whether the Party complained against has complied with the Panel's report within the periods in paragraph 2 of Article 12.16 (Implementation of th e Final Report and Compensation). The Panel's 
ruling shall be within 45 days of the request and shall be final and binding. The benefits shall not 
be suspended until the ruling has been issued. The Panel may also be asked to determine the conformity with the rulings of the Panel in th e Chapter of any implementing measures adopted 
after the suspension of benefits and whether the su spension of benefits should be terminated or 
modified. The panel shall rule within 30 days of the request (Article 12.17). 
4.7  Relationship with other agreements concluded by the Parties 4.19.  Article 1.4 commits the Parties to apply the Agreement without prejudice to their rights and 
obligations under the WTO Agreement and other agreements negotiated thereunder and any other 
international agreements to which they are party. Table 4.1 below shows their participation in RTAs, both notified and non-notified, other than the Agreement. 
Table 4.1 EFTA States and Peru: Participation in other RTAs (notified and non-notified in 
force), as of 19 June 2013 
Partner / Agreement Date of entry 
into force Type of 
agreement GATT/WTO Notification 
Year WTO Provision 
EFTA STATES – COLLECTIVELY 
Hong Kong, China 01.10.12 Goods & Services 2012 GATT Art. XXIV & GATS Art. V 
Montenegro 01.09.12 Goods 2012 GATT Art. XXIV 
Ukraine 01.06.12 Goods & Services 2012 GATT Art. XXIV & GATS Art. V 
Colombia 01.07.11 Goods & Services 2011 GATT Art. XXIV & GATS Art. V 
Albania 01.11.10 Goods 2011 GATT Art. XXIV 
Serbia 01.10.10 Goods 2010 GATT Art. XXIV 
Canada 01.07.09 Goods 2009 GATT Art. XXIV 
SACU 01.05.08 Goods 2008 GATT Art. XXIV 
Egypt 01.08.07 Goods 2007 GATT Art. XXIV 
Lebanon 01.01.07 Goods 2006 GATT Art. XXIV 
Republic of Korea 01.09.06 Goods & Services 2006 GATT Art. XXIV & GATS Art. V 
Tunisia 01.06.05 Goods 2005 GATT Art. XXIV 
Chile 01.12.04 Goods & Services 2004 GATT Art. XXIV & GATS Art. V 
Singapore 01.01.03 Goods & Services 2003 GATT Art. XXIV & GATS Art. V 
Jordan 01.09.02 Goods 2002 GATT Art. XXIV 
FYROM 01.05.02 Goods 2000 GATT Art. XXIV 
Croatia 01.04.02 Goods 2002 GATT Art. XXIV 
Mexico 01.07.01 Goods & Services 2001 GATT Art. XXIV & GATS Art. V 
Morocco 01.12.99 Goods 2000 GATT Art. XXIV 
Palestinian Authority 01.07.99 Goods 1999 GATT Art. XXIV WT/REG295/1/Rev.1 
 
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  Partner / Agreement Date of entry 
into force Type of 
agreement GATT/WTO Notification 
Year WTO Provision 
Israel 01.01.93 Goods 1992 GATT Art. XXIV 
Turkey 01.04.92 Goods 1992 GATT Art. XXIV 
Iceland  
(EFTA Accession) 01.03.70 Goods 1970 GATT Art. XXIV 
EFTA 03.05.60 
01.06.02 Goods 
Services 1959 
2002 GATT Art. XXIV 
GATS Art. V 
INDIVIDUAL  EFTA  STATES 
Japan - Switzerland 01.09.09 Goods & Services 2009 GATT Art. XXIV & GATS Art. V 
Iceland – Faroe Islands 01.11.06 Goods & Services 2008 GATT Art. XXIV & GATS Art. V 
Faroe Islands – Switzerland 01.03.95 Goods 1996 GATT Art. XXIV 
EEA 01.01.94 Services 1996 GATS Art. V 
Faroe Islands – Norway 01.07.93 Goods 1996 GATT Art. XXIV 
EU-Norway 01.07.73 Goods 1973 GATT Art. XXIV 
EU-Iceland 01.04.73 Goods 1972 GATT Art. XXIV 
EU-Switzerland/ 
Liechtenstein 01.01.73 Goods 1972 GATT Art. XXIV 
Peru 
Costa Rica 01.06.13 Goods & Services 2013 GATT Art. XXIV & GATS Art. V 
European Union 01.03.13 Goods & Services 2013 GATT Art. XXIV & GATS Art. V 
Panama 01.05.12 Goods & Services 2012 GATT Art. XXIV & GATS Art. V 
Japan 01.03.12 Goods & Services 2012 GATT Art. XXIV & GATS Art. V 
Mexico 01.02.12 Goods & Services 2012 GATT Art. XXIV & GATS Art. V 
Republic of Korea 01.08.11 Goods & Services 2011 GATT Art. XXIV & GATS Art. V 
China 01.03.10 Goods & Services 2010 GATT Art. XXIV & GATS Art. V 
Singapore 01.08.09 Goods & Services 2009 GATT Art. XXIV & GATS Art. V 
Canada 01.08.09 Goods & Services 2009 GATT Art. XXIV & GATS Art. V 
Chile 01.03.09 Goods & Services 2011 GATT Art. XXIV & GATS Art. V 
United States 01.02.09 Goods & Services 2009 GATT Art. XXIV & GATS Art. V 
GSTP 19.04.89 Goods 1989 Enabling Clause 
Andean Community 25.05.88 Goods 1990 Enabling Clause 
LAIA 18.03.81 Goods 1982 Enabling Clause 
PTN 11.02.73 Goods 1971 Enabling Clause 
Thailand 31.12.11 Goods Not notified 
Andean Community 14.12.06 Services Not notified 
MERCOSUR  
(AAP.CE N°58) 02.01.06** Goods Not notified 
Cuba (AAP.CE N°50) 09.03.01 Goods Not notified 
LAIA - Accession of 
Panama 03.05.12 Goods Not notified 
LAIA - Seeds  
(AAP.AG N°2) 21.08.95 Goods Not notified 
 
Source: WTO Secretariat. WT/REG295/1/Rev.1 
 
- 32 - 
 
  SACU: Southern African Customs Union 
FYROM: Former Yugoslav Republic of Macedonia 
EEA: European Economic Area GSTP: Global System of Trade Pref erences among developing countries 
LAIA: Latin American In tegration Association 
PTN: Protocol on Trade Negotiations AAP.CE: Economic Complementarity Agreements. AAP.AG: Agreements under Article 12 of the Mo ntevideo Treaty on Agricultural Goods. 
 
* For those agreements negotiated under the LAIA framework, the LAIA reference is included in 
brackets. Details of these agreements can be found at: HTTP://WWW.ALADI.ORG   
 "Partial scope" agreements are those RTAs not providing for the establishment of a free-trade area 
and/or providing for a limited coverage. 
** For Peru – Brazil/Argentina/Uruguay: 02.01.06; For Peru-Paraguay: 06.02.06. 
 
4.8  Government procurement 
4.20.  Government procurement provisions are found in Chapter 7. They cover procurement for 
governmental purposes: of goods, services or  any combination thereof procured by covered 
entities (in Annex XIII) and not procured with a view to commercial sale or resale or for use in the production or supply of goods for commercial sale or resale; by any contractual means including 
purchase, lease, rental or hire purchase, with or without an option to buy; for which the value as 
estimated in accordance with paragraphs 3 and 4 of the Agreement (see below), as appropriate, equals or exceeds the relevant threshold specif ied in Appendices 1-3 of Annex XIII; that is 
conducted by a procuring entity; and subjec t to the conditions in Annex XIII and XIV 
(General Notes). The Chapter does not cover non-contractual agreements or any form of assistance provided by a Party including a government enterprise (including cooperative agreements, grants, loans, subsidies, equity infusions, guarantees and fiscal incentives), 
procurement or acquisition of fiscal agency or depository services, liquidation and management 
services for regulated financial institutions, or services related to the sale, redemption, or distribution of public debt, including loans and government bonds, notes and other securities; 
procurement funded by international grants, loans or other assistance where the applicable 
procedure or condition would be inconsistent with the Chapter; contracts awarded pursuant to an international agreement and intended for joint implementation or exploitation by the contracting 
parties to that agreement or international agreements related to the stationing of troops; public 
employment contracts and related employment measures; or the acquisition or rental of land, existing buildings or other immovable property or the rights thereon (Article 7.2). 
4.21.  The Parties agree to provide goods and services and their suppliers from another Party 
national treatment immediately and unconditionally . For covered procurement they also agree not 
to discriminate against local suppliers on the basis of degree of foreign affiliation or ownership or if the goods and services supplied by them are from the other Party. These provisions do not apply 
to customs duties and charges in connection with import, the method of levying such duties or 
charges, other import regulations or formalities and measures affecting trade in services (Art. 7.4) other than measures governing covered procurement. The use of offsets is prohibited by 
Article 7.8.
21 
4.22.  Procurement is to take place in a transparent and impartial manner that is compatible with 
the Chapter using open, selected and limited tend ering, avoids conflict and prevents corrupt 
practices. Transparency requirements include that  each Party promptly publish any measures and 
modifications of measures of general applic ation regarding covered procurement in the 
publications in Appendix 2 of Annex XIV or electronic media as well as provide any explanation upon request from another Party (Art. 7.19); pub lication of notices inviting tenders (except for 
limited tenders) in the electronic or paper media in Appendix 2 of Annex XIV, including details of 
the procurement, method, any conditions that suppliers must fulfil, as well as relevant dates (Article 7.10).  
4.23.  Articles 7.12 and 7.13 permit the Parties to maintain supplier registration procedures and 
"multi-use" lists of suppliers that fulfil conditions for participation and that the procurer intends to use more than once. Articles 7.14-7.24 describe tendering procedures, including through selective 
                                               
21 Where offsets are defined by the Chapter as "any  condition or undertaking that encourages local 
development or improves a Party's ba lance of payments accounts, such as the use of domestic content, the 
licensing of technology, investment, counter trade, and similar actions or requirements. WT/REG295/1/Rev.1 
 
- 33 - 
 
  and limited tendering and the award of contracts. To maintain transparency procurement entities 
must promptly (and on request in writing) inform suppliers that have submitted tenders of contract award decisions and reasons for not being selected to unsuccessful suppliers. Information on the awarding of contracts is to be made pu blic within 72 days of the award (Article 7.25). 
Transparency is also to be ensured through the disclosure of any information by a Party at the 
request of another Party, to determine whether a procurement was conducted fairly, impartially and in accordance with the Chapter. The Parties will provide a timely, effective, transparent and 
non-discriminatory administrative or judicial revi ew procedures based on due process for suppliers 
to challenge alleged breaches of the Chapter. They will designate at least one impartial administrative or judicial authority that is independent of their procuring entities to review challenges by suppliers. 
4.24.  Modifications and rectifications of a purely formal nature to coverage under the Chapter or 
minor amendments to the Parties' Schedules in Annex XIII (covered entities) may be made provided that the other Parties are informed in writing and no other Party objects in writing within 
30 days of notification. Other changes need to be notified to the other Parties in writing and 
compensatory adjustments to maintain a comparable  level of coverage as before be provided to 
the other Parties. Compensatory adjustments need not be provided when the Parties agree that 
the proposed modifications cover a procuring entity over which a Party has effectively eliminated 
its control or influence (Art. 7.28). Article 7.29 provides for efforts to facilitate SME access to government procurement, while in the case of addi tional future advantages provided by a Party to 
a third party in terms of market access provided under the Chapter, it shall agree, upon request by 
another Party, to enter into negotiations to ex tend coverage under the Chapter on a reciprocal 
basis (Art. 7.31). 
4.25.  All the EFTA Member States are party to the plurilateral WTO Agreement on Government 
Procurement (GPA); Peru is neither a party nor an observer. The thresholds for procurement under 
the Agreement which for the EFTA States are the same as under the GPA are: SDR 130,000 each for goods and services for entities at Central Government level and SDR 5 million for construction 
services. As Peru is not a party to the GPA, these are new commitments (Appendix I to 
Annex XIII). For the EFTA States there is also no change in the Central entities listed under the Agreement compared to the GPA. Peru lists 61 entities at the Central Government level. 
4.9  Intellectual Property Rights  
4.26.  Chapter 6 deals with commitments in intellectual property rights (IPRs). The Parties agree 
to grant and ensure adequate, effective and non-discriminatory protection and enforcement of IPRs, in accordance with the provisions of the Ch apter and international agreements referred to by 
the Chapter. They agree that they may, but are not obliged to, implement in their national 
legislation more extensive protection than is required by this Chapter, provided that such protection does not contravene the provisions of the Chapter. 
4.27.  National treatment will be provided to the nationals of the other Parties subject to the 
exceptions provided in Articles 3 and 5 of the WTO Agreement on Trade-Related Aspects of 
Intellectual Property Rights (TRIPS Agreement).
22 The Parties also agree to grant any advantage, 
favour, privilege or immunity granted by a Party to the nationals of any other country, 
immediately and unconditionally to the nationals of the other Parties, subject to the exceptions in 
Articles 4 and 5 of the TRIPS Agreement. They may also take appropriate measures, as in paragraph 2 of Article 8 of the TRIPS Agreemen t, provided they are consistent with the 
Agreement, to prevent abuse of IPRs by righ t holders or the resort to practices which 
unreasonably restrain trade or adversely affect the international transfer of technology. The 
importance of the protection and enforcement of IPRs to contribute to the promotion of 
technological innovation and the transfer and dissemination of technology to the mutual advantage 
of producer and users of technological knowledge which is conducive to social and economic welfare and to a balance of rights and obligations is also recognized as a basic principle by Article 6.2. The Parties also reaffirm their rights under paragraph 1 of Article 8 of the TRIPS 
Agreement and recognize the principles estab lished in the WTO Declaration on the TRIPS 
Agreement and Public Health as well as the De cision by the WTO's General Council on the 
                                               
22 These relate to exceptions already provided in other international agreements on intellectual property 
rights (such as the Paris, Berne an d Rome Conventions) (Article 3 of TRIPS); and procedures provided in 
multilateral agreements under the auspic es of WIPO (Article 5 of TRIPS). WT/REG295/1/Rev.1 
 
- 34 - 
 
  Implementation of Paragraph 6 of the Doha Declaration and the Amendment of the TRIPS 
Agreement adopted by the General Council (Article 6.2). 
4.28.  The Parties reaffirm their existing rights and obligations under international conventions and 
agreements, including to apply exceptions and use flexibilities, under the TRIPS Agreement and 
any other multilateral IPR agreements and those unde r the auspices of the WIPO to which they are 
party.23 The Agreement calls for the Parties who are not a party to one or more of other listed 
WIPO Conventions to ratify or accede to them upon entry into force of the Agreement,24 and to 
ratify or accede to others within one year of entry into force of the Agreement.25 According to the 
Parties there have been no developments in this regard to date.  In addition, the Parties will submit 
as soon as possible to their competent authorities their adherence to the Geneva Act of the Hague Agreement concerning the International Registration  of Industrial Designs and to the Protocol of 
27 June 1989 of the Madrid Agreement on the In ternational Registration of Marks for their 
consideration. In this regard Peru became a Party to the  International Convention for the 
Protection of New Varieties of Plants 1991 (199 1 UPOV Convention) on 8 August 2011. Expert 
views may also be exchanged between the Parties on  activities relating to existing or future 
international IPR conventions and any other matter on IPRs they may agree upon. 
4.29.  The IPRs covered by the Agreement are: tr ademarks (Article 6.6), geographical indications 
(GIs) (including appellations of origin and indications of source) (Article 6.7), copyright and related 
rights (Article 6.8), patents (Article 6.9), designs (Article 6.10) and undisclosed information (Article 6.11). In addition, Article 6.5 recognizes the Parties' sovereign rights over their natural resources and their rights and obligations under the Convention on Biological Diversity. The Parties 
recognize the importance and value of their biological diversity and associated traditional 
knowledge, innovations and practices of indigenous local communities and will determine their own access conditions to their genetic resources in accordance with principles and provisions contained 
in applicable national and international law. They will also require that patent applications contain 
a declaration of the origin or source of a genetic resource to which the inventor has had access. 
4.30.  In addition to trademarks the Parties re cognize the importance of and agree to follow the 
Joint Recommendations concerning the Provisions on the Protection of Well Known Marks (1999) 
and other Industrial Property Rights in Sign s on the Internet (2001). Peru and Switzerland 
furthermore, agree to negotiate a bilateral agreement to protect GIs to which the other Parties may accede or join negotiations, which they aim to complete within three years of the Agreement's 
entry into force. 
4.31.  The level of protection for an IPR once it is granted or registered and enforcement should be 
the same as in the TRIPS Agreement (Articles 6.12 and 6.13). The Parties agree to provide the 
means for rights holders who have valid grounds for believing that imports of certain products 
infringe their copyrights or trademarks to request in writing the competent judicial or administrative authorities to ask that the customs authorities suspend free circulation of the goods 
in the Parties' territories. The Parties will also consider extending this possibility to other IPRs 
(Article 6.15). Following suspension, the rights holders will be given the possibility of inspecting the suspended goods including through samples prov ided by the customs authority (Article 6.16). 
A security or equivalent assurance may be required by the authorities from the applicant to protect 
the defendant and the competent authorities and to prevent abuse or, if provided in the domestic 
legislation, a declaration accepting liability for damages resulting from the suspension (Article 6.17). 
4.32.  Finally, under Article 6.18 the Parties agree to cooperate to promote research, technological 
development and innovation as well as dissemination of technological information and to build and strengthen their technological capabilities. Peru  and Switzerland may base co-operation on the 
                                               
23 In particular, Article 6.4 lists the Paris Convention for the Protection of Industrial Property (Stockholm 
Act), the Berne Convention for the Protection of Literary and Artistic Works (Paris Act), and the International Convention for the Protection of Performers, Producer s of Phonograms and Broadcasting Organizations (Rome 
Convention). 
24 The Conventions are: Budapest Treaty on th e International Recognition of the Deposit of 
Microorganisms for the Purposes of Patent Procedure, th e International Convention for the Protection of New 
Varieties of Plants (1978 UPOV Conven tion) or the 1991 UPOV Convention, and the Patent Co-operation Treaty 
(Washington Act). 
25 These are the WIPO Performances and Phonograms  Treaty (WPPT) and the WIPO Copyright Treaty 
(WCT). WT/REG295/1/Rev.1 
 
- 35 - 
 
  letters of intent between their relevant authorities in 2006.26 Peru, and the other EFTA Members 
will seek opportunities for co-operation pursuant to Article 6.18. 
4.10  Other 4.10.1  Competition policy
27 
4.33.  Under Chapter 8 the Parties recognize that anti-competitive practices have the potential to 
undermine the benefits of liberalization from th e Agreement and are incompatible with the proper 
functioning of the Agreement insofar as they may affect trade between Peru and the EFTA 
States.28 They commit to apply their respective competition laws with a view to proscribing such 
practices and to cooperate in matters covered by Chapter 8, including notifications, exchange of information, technical assistance and consultations. They also agree to enforce their policies in a transparent, non-discriminatory and procedurally fair manner. When applicable, Peru may 
implement these obligations through the Andean Community's competition law and competent 
authority (Article 8.2).  
4.34.  Article 8.3 details efforts to improve co-ope ration subject to the Parties' national laws and 
through their competent authorities on issues conc erning enforcement. Each Party shall notify the 
other in detail of competition enforcement activities that may affect important interests of that Party. Each Party should, in accordance with its laws, take into consideration the important 
interests of the other Parties in enforcing laws related to anti-competitive practices. If a Party 
considers that an anti-competitive practice may adversely affect its important interests, it informs the other Party through its competent authorities. The other Party, without prejudice to any action 
under its competition laws and to its freedom of decision, should give appropriate consideration to 
the information. If a Party considers that an anti-competitive practice in another Party has 
substantial adverse affect in its territory or on trade relations between the Parties, it may request the other Party to initiate appropriate enforcement activities. The requested Party shall consider 
whether to take enforcement action and shall advise the requesting Party of its decision and the 
outcome of the action. The Agreement also enco urages the Parties to exchange information 
including non-publicly available information provided it does not affect any ongoing investigation, 
and is subject to the rules and standards of confid entiality of the Parties. The Parties are also not 
required to provide information that is contrary to their laws on disclosure of information and will maintain the confidentiality of any information provided if the submitting Party so requests. The Parties may sign further co-operation agreements. 
4.35.  Nothing in the Chapter will prevent the Parties from establishing or maintaining state 
trading enterprises or designated monopolies. Ne vertheless, the Parties will ensure that these 
enterprises do not adopt or maintain anti-com petitive practices affecting trade between the 
Parties, insofar as this does not affect the performance, in law or in fact, of the public tasks 
assigned to them. This Article does not apply to government procurement (Article 8.5). 
4.36.  Consultations to foster understanding between the Parties and to resolve any issue that 
arises under this Chapter, and without prejudic e to the autonomy of the Parties to develop, 
maintain and enforce their competition policy and legislation, may be requested under the Joint Committee. Consultations shall be held promptly with a view to reaching a conclusion consistent with the objectives of the Chapter (Art. 8.4). Th e Chapter is however carved out from the Dispute 
settlement Chapter of the Agreement (Art. 8.6). 
                                               
26 Letters of intent were exchanged between the State Secretariat for Education and Research of the 
Federal Department of Home Affairs of Switzerland and the Consejo Nacional de Ciencia, Technología, e Innovacíon Technológica (CONCYTEC) on 28 December 2006. 
27 The rights and obligations of the Parties under Chapter 8 only apply between Peru and the EFTA 
States (not between the EFTA States) (Article 8.2). 
28 Anti-competitive practices are defined in the Agreement as horizontal or vertical agreements and 
concerted practices between enterprises, or decisions by associations of enterprises which have as their object 
or effect the prevention, restriction or distortion of competition; and the abuse of  a dominant position in a 
market (Article 8.2). WT/REG295/1/Rev.1 
 
- 36 - 
 
  4.10.2  Co-operation 
4.37.  The Parties will foster trade capacity buildi ng to further expand and improve the benefits of 
the Agreement on mutually agreed terms in a ccordance with national strategies and policy 
objectives (Chapter 10). The objectives of co-operation will be to strengthen and develop the 
existing relationship between the Parties through trade capacity building; enhance and create new 
trade and investment opportunities fostering co mpetitiveness and innovation; and implement the 
Agreement and optimize its results to further econ omic growth and development and contribute to 
the reduction of poverty. They will cooperate wi th each and other and coordinate with relevant 
international organizations, and develop, where applicable, synergies between the Parties, exchange information and experience, jointly identify, develop and implement projects and 
innovative co-operation activities, including seminars and workshops, and technical and 
administrative co-operation. Trade capacity buildin g projects and activities are to be provided 
through EFTA activities, and with the participation of national and/or international experts and institutions. 
4.38.  The Agreement sets up contact points for the implementation of Chapter 10, responsible for 
the channeling of project proposals, and for managing and developing joint EFTA co-operation projects and link to the Joint Committee.
29 They will establish rules and procedures to facilitate 
their work. The EFTA States providing bilateral co -operation are to designate the relevant contact 
point.30 The Joint Committee under the Agreement is to  periodically review the implementation of 
the Chapter and act as coordinating body as appropriate.  
4.10.3  Electronic Commerce 
4.39.  Under Article 1.8 and Annex I to the Agreement the Parties recognize the growing role of 
electronic commerce in their mutual trade and agree to intensify co-operation in this area for their mutual benefit. Annex I provides a framework for such co-operation which includes exchange of 
information on legislative processes, recent developments, and the Parties' respective activities in 
international fora and possible ways of co-operation. Responsibility for co-ordination of the information exchange is given to the Ministry of Foreign Trade and Tourism in Peru, the Ministry of 
Foreign Affairs and External Trade for Iceland, the Office of Foreign Affairs for Liechtenstein, the 
Ministry of Trade and Industry for Norway and the State Secretariat for Economic Affairs for Switzerland. 
                                               
29 The contact points are the EFTA Secretariat for EF TA and the Ministry of Foreign Trade and Tourism 
for Peru. 
30 The contact points are the State Secretariat for Ec onomic Affairs for Switzerl and and from the Ministry 
of Foreign Trade and Tourism for Peru. WT/REG295/1/Rev.1 
 
- 37 - 
 
  ANNEX 1 
1. Tables A1.1-A1.3 show tariff liberalization by the EFTA States by total, agricultural and 
non-agricultural products. In 2011 70.2% of Iceland's tariff was duty free on an MFN basis; 74.5% of non-agricultural products were duty free while 55. 1% of agricultural products were duty free. As 
a result of the Agreement, 93.2% of Iceland's tariff became duty free for imports from Peru, of 
which 99% for non-agricultural products and 72.7% for agriculture. This gave Peruvian exporters to Iceland and relative margin of preference of 61.4% overall, 35.1% in agriculture and 95.8% in 
non-agriculture. In 2012 83.5% of Norway's tari ff was duty free on an MFN basis; 95.2% of 
non-agricultural products and 36.6% of agricultural  p rod uc ts  we re  d uty fre e . As  a re s ult of  the  
entry into force of the Agreement, 90.3% of the ta riff became duty free for Peruvian exporters, of 
which 100% for non-agricultural products but only 51.6% of agriculture was liberalized. As a result 
of the Agreement, Peruvian exporters benefited fr om a relative margin of preference of 38.1% 
(38.9% and 100% for agricultural and non-agricultural products respectively). For Switzerland, in 2011 18% of the Swiss tariff was already duty free on an MFN basis in 2011 (18.8% for 
agricultural products and 17.8% for non-agricultur e). As a result of the Agreement, 85% of its 
tariff became duty free for imports from Peru, of which 99.9% for non-agriculture and only 39.6% for agricultural products. As Switzerland's tariff uses specific rates of duty it is not possible to 
calculate the benefit for Peruvian exporters in terms of relative margins of preference for their 
exports. 
Table A1.1  
Iceland: Indicators of MFN tariff rates and preferential rates for imports from Peru 
Origin 
of 
goods Year ALL PRODUCTS Agricultural products a Non-agricultural products 
Average applied 
tariff Share 
of 
duty-
free 
tariff 
lines 
(%) Average applied 
tariff Share 
of 
duty-
free 
tariff 
lines 
(%) Average applied 
tariff Share 
of 
duty-
free 
tariff 
lines 
(%) Overall 
(%) On 
dutiable 
(%) Overall 
(%) On 
dutiable 
(%) Overall 
(%) On 
dutiable 
(%) 
MFN 2011 4.4 14.9 70.2 11.4 26.4 55.1 2.4 9.5 74.5 
Peru 2011 1.7 27.1 93.2 7.4 29.6 72.7 0.1 10.0 99.0 
 
a WTO Definition. Note: For the calculation of averages, specific rates are excluded and the ad valorem  part of alternate 
rates are included. 
 Based on the HS 2007 nomenclature.  
Source: WTO Secretariat estimates based on da ta provided by Iceland and the WTO-IDB. 
 
Table A1.2  
Norway: Indicators of MFN tariff rates and preferential rates for imports from Peru 
Origin of 
goods Year ALL PRODUCTS Agricultural products a Non-agricultural products  
Average applied 
tariff Share 
of duty-
free 
tariff 
lines 
(%) Average applied 
tariff Share of 
duty-
free 
tariff 
lines 
(%) Average applied 
tariff Share 
of duty-
free 
tariff 
lines 
(%) Overall 
(%) On 
dutiable 
(%) Overall 
(%) On 
dutiable 
(%) Overall 
(%) On 
dutiable 
(%) 
MFN 2012 2.1 37.2 83.5 17.5 106.3 36.6 0.5 9.9 95.2 
Peru 2012 1.3 116.3 90.3 10.7 116.3 51.6 0.0 0.0 100.0 
 
a WTO Definition. Note: Tariff lines subject to in-quota ra tes are excluded in the computation. 
 Based on the HS 2012 nomenclature.  Source: WTO Secretariat estimates ba sed on data provided by Norway. WT/REG295/1/Rev.1 
 
- 38 - 
 
  Table A1.3  
Switzerland: Indicators of MFN tariff rates and preferential rates for imports from Peru  
Origin of 
goods Year ALL PRODUCTS Agricultural products a Non-agricultural 
products 
Average applied 
tariff Share of 
duty-
free 
tariff 
lines 
(%) Average applied 
tariff Share of 
duty-
free 
tariff 
lines 
(%) Average applied 
tariff Share 
of 
duty-
free 
tariff 
lines 
(%) Overall 
(%) On 
dutiable 
(%) Overall 
(%) On 
dutiable 
(%) Overall 
(%) On 
dutiable 
(%) 
MFN 2011 ... … 18.0 … … 18.8 … … 17.8 
Peru 2011 … … 85.0 … … 39.6 … … 99.9 
 
a WTO Definition. …  Not available: the majority of Switzerland's tariff is subject to specific duties for which ad valorem  
equivalents are not available. 
Note: Calculation excludes specific and in-quota rates.  Based on the HS 2007 nomenclature.  Source: WTO Secretariat estimates based on data provided by Switzerland.  
2. Tariff liberalization is shown by all products, agricultural and non-agricultural products. In 
2011 and 2012 when the Agreement entered into forc e between respectively Peru and Iceland and 
Switzerland/Liechtenstein, and between Peru and Norway, 55.6% of the tariff was duty free on an 
MFN basis; 39.7% were duty free for agricultural products in these two years and 58% for non-agricultural products. In 2011 84.8% of Peru's tariff became duty free for imports from Iceland and 84.7% for imports from Switzerland/Li echtenstein. The corresponding liberalization for 
agricultural and non-agricultural products was 86.2% and 84.6% for imports from Iceland and 
85.4% and 84.6% for imports from Switzerland/Liec htenstein. As a result exporters from Iceland 
and Switzerland/Liechtenstein enjoyed a relative ma rgin of preference of 68.8% overall (76.9% for 
agriculture and 67.7% for non-agricultural products). In 2012 when the Agreement entered into 
force for Peru and Norway, 84.2% of all tariffs were liberalized of which 81.1% for agricultural products and 84.6% for non-agriculture; thus exporters from Norway had a relative margin of 
preference of 68.75% (69.2% in agricultural prod ucts and 67.74% in non-agriculture). By the end 
of implementation 98.6% of Peru's tariff will be  duty free for imports from Iceland of which 100% 
for non-agriculture and 89.5% for agricultural products; 97.8% for imports from Norway, of which 83.4% for agricultural products and 100% for non-agriculture; and 98.4% for imports from 
Switzerland/Liechtenstein, of which 100% for non-ag ricultural products and 87.9% for agriculture. 
Table A1.4  
Peru: Indicators of MFN tariff rates and preferential rates for imports from EFTA 
Origin of 
goods Year ALL PRODUCTS Agricultural products a Non-agricultural 
products 
Average applied 
tariff Share of 
duty-
free 
tariff 
lines 
(%) Average applied 
tariff Share of 
duty-
free 
tariff 
lines 
(%) Average applied 
tariff Share 
of 
duty-
free 
tariff 
lines 
(%) Overall 
(%) On 
dutiable 
(%) Overall 
(%) On 
dutiable 
(%) Overall 
(%) On 
dutiable 
(%) 
MFN 2011 3.2 7.2 55.6 3.9 6.4 39.7 3.1 7.4 58.0 
 2012 3.2 7.2 55.6 3.9 6.4 39.7 3.1 7.4 58.0 
Iceland 2011 1.0 6.3 84.8 0.9 6.6 86.2 1.0 6.2 84.6 
 2012 1.0 6.3 84.8 0.9 6.6 86.2 1.0 6.2 84.6 
 2013 0.9 5.7 84.8 0.9 6.5 86.2 0.9 5.6 84.6 
 2014 0.7 4.5 84.8 0.9 6.2 86.2 0.7 4.3 84.6 
 2015 0.5 6.4 92.3 0.8 6.8 88.9 0.5 6.3 92.8 
 2016 0.4 5.4 92.3 0.8 6.8 88.9 0.4 5.1 92.8 
 2017 0.3 4.4 92.3 0.8 6.8 88.9 0.3 3.8 92.8 
 2018 0.3 3.3 92.3 0.7 6.7 88.9 0.2 2.6 92.8 
 2019 0.2 2.3 92.3 0.7 6.6 88.9 0.1 1.3 92.8 
 2020 0.1 6.9 98.6 0.7 6.8 89.5 0.0 11.0 100.0 WT/REG295/1/Rev.1 
 
- 39 - 
 
  Origin of 
goods Year ALL PRODUCTS Agricultural products a Non-agricultural 
products 
Average applied 
tariff Share of 
duty-
free 
tariff 
lines 
(%) Average applied 
tariff Share of 
duty-
free 
tariff 
lines 
(%) Average applied 
tariff Share 
of 
duty-
free 
tariff 
lines 
(%) Overall 
(%) On 
dutiable 
(%) Overall 
(%) On 
dutiable 
(%) Overall 
(%) On 
dutiable 
(%) 
Norway 2012 1.0 6.3 84.2 1.2 6.5 81.1 1.0 6.2 84.6 
 2013 1.0 6.3 84.2 1.2 6.5 81.1 1.0 6.2 84.6 
 2014 0.9 5.7 84.2 1.2 6.4 81.1 0.9 5.6 84.6 
 2015 0.7 4.6 84.2 1.2 6.2 81.1 0.7 4.3 84.6 
 2016 0.5 6.4 91.5 1.1 6.5 83.2 0.5 6.3 92.8 
 2017 0.5 5.5 91.5 1.1 6.5 83.2 0.4 5.1 92.8 
 2018 0.4 4.5 91.5 1.1 6.5 83.2 0.3 3.8 92.8 
 2019 0.3 3.6 91.5 1.1 6.5 83.2 0.2 2.6 92.8 
 2020 0.2 2.6 91.5 1.1 6.5 83.2 0.1 1.3 92.8 
 2021 0.1 6.6 97.8 1.1 6.5 83.4 0.0 11.0 100.0 
Switzerland 2011 1.0 6.3 84.7 1.0 6.6 85.4 1.0 6.2 84.6 
 2012 1.0 6.3 84.7 1.0 6.6 85.4 1.0 6.2 84.6 
 2013 0.9 5.7 84.7 1.0 6.5 85.4 0.9 5.6 84.6 
 2014 0.7 4.5 84.7 0.9 6.2 85.4 0.7 4.3 84.6 
 2015 0.5 6.4 92.1 0.8 6.7 87.7 0.5 6.3 92.8 
 2016 0.4 5.4 92.1 0.8 6.7 87.7 0.4 5.1 92.8 
 2017 0.3 4.4 92.1 0.8 6.7 87.7 0.3 3.8 92.8 
 2018 0.3 3.4 92.1 0.8 6.7 87.7 0.2 2.6 92.8 
 2019 0.2 2.4 92.1 0.8 6.7 87.7 0.1 1.3 92.8 
 2020 0.1 6.8 98.4 0.8 6.7 87.9 0.0 11.0 100.0 
 2021 0.1 6.8 98.4 0.8 6.7 87.9 0.0 11.0 100.0 
 2022 0.1 6.8 98.4 0.8 6.7 87.9 0.0 11.0 100.0 
 2023 0.1 6.8 98.4 0.8 6.7 87.9 0.0 11.0 100.0 
 2024 0.1 6.8 98.4 0.8 6.7 87.9 0.0 11.0 100.0 
 2025 0.1 6.8 98.4 0.8 6.7 87.9 0.0 11.0 100.0 
 2026 0.1 6.8 98.4 0.8 6.7 87.9 0.0 11.0 100.0 
 2027 0.1 6.8 98.4 0.8 6.7 87.9 0.0 11.0 100.0 
 
a WTO Definition. Note: In the case of Peru-Switzerland, tariff line s subject to in-quota rates are excluded in the 
computation. 
 Based on the HS 2007 nomenclature.  Source: WTO Secretariat estimates based on data provided by Peru.  
3. Market access opportunities for Iceland's top 25 exports during 2008-2010 in Peru is 
shown in Table A1.5. These exports which accounted for 85.6% of its global exports in 2008-2010, 
covered 80 tariff lines. Of the 80 lines 58 were  already duty free on an MFN basis when the 
Agreement entered into force. Of the remaining 12 lines, 5 were liberalized in 2011 when the 
Agreement came into force and 3 and 4 lines will be liberalized in 2015 and 2020 respectively. At 
the end of implementation none of Iceland's to p 25 exports will be subject to duties in the 
Peruvian market. 
Table A1.5  
Peru: Market access opportunities under the agreement for Iceland's top 25 exports to 
the world 
Iceland's top export products in 2008-2010 Access Conditions to Peru's import 
markets 
MFN (2011)  Duty-free 
in 
HS number and description of the product Share in 
global 
exports 
(%) Average 
MFN 
applied 
rate (%)  No. of tariff lines 
2011 
2015 
2020 Duty-
free Dutiable 
760110 - aluminium, not alloyed 37.8 0.0 1     
030429 Fish fillets and other fish meat (excl. of 
0304.21-0304.92, whether or not 
minced), frozen fillets 7.6 0.0 8     WT/REG295/1/Rev.1 
 
- 40 - 
 
  Iceland's top export products in 2008-2010 Access Conditions to Peru's import 
markets 
MFN (2011)  Duty-free 
in 
HS number and description of the product Share in 
global 
exports 
(%) Average 
MFN 
applied 
rate (%)  No. of tariff lines 
2011 
2015 
2020 Duty-
free Dutiable 
030419 Fish fillets and other fish meat (excl. of 
0304.11-0304.12, whether or not minced), fresh/chilled 5.0 0.0 1     
880240 - aeroplanes and other aircraft, of an 
unladen weight exceeding 15,000 kg 4.0 0.0 1     
030562 -- cod (gadus morhua, gadus ogac, 
gadus macrocephalus) 3.0 0.0 1     
030530 - fish fillets, dried, salted or in brine, but 
not smoked 2.9 0.0 2     
230120 - flours, meals and pellets, of fish or of 
crustaceans, molluscs or other aquatic invertebrates 2.9 0.0 3     
720221 -- containing by weight more than 55% 
of silicon 2.7 0.0 1     
030379 Fish (excl. of 0303.71 - 0303.78), n.e.s., 
frozen (excl. fillets or  other fish meat of 
03.04/livers & roes) 2.5 0.0 1     
030499 Fish fillets and other fish meat (excl. of 
0304.11-0304.29, whether or not 
minced), n.e.s. 2.1 0.0 1     
300490 Medicaments (excluding goods of 
heading 30.02/30.05/30.06/3004.10-3004.50) consisting of mixed/unmixed products for therap eutic/prophylactic 
uses, put up in measured doses (including those in the form of transdermal administration systems)/in forms/packings for retail sale 2.0 6.0  7 2 3 2 
030613 -- shrimps and prawns 2.0 0.0 7     
150420 - fats and oils and their fractions, of fish, 
other than liver oils 1.5 6.0  2   2 
271019 Petroleum oils and oils obtained from 
bituminous minerals (other than crude) 
& preparations not elsewhere 
specified/including, containing by weight 
70 %/more of petroleum oils/of oils 
obtained from bituminous minerals, 
these oils being the basic constituents of 
the preparations, other than waste oils 
and light oils and preparations 1.2 0.0 20     
030331 -- halibut (reinhardtius hippoglossoides, 
hippoglossus hippoglos sus, hippoglossus 
stenolepis)  
 
1.2  
 
0.0  
 
1     
030269 Fish, n.e.s., in 03.02, fresh or chilled 
(excluding fillets or other fish meat of 
03.04/livers & roes) 1.1 0.0 1     
030551 -- cod (gadus morhua, gadus ogac, 
gadus macrocephalus) 1.0 0.0 1     
030380 - livers and roes 1.0 0.0 1     
030262 -- haddock (melanogrammus aeglefinus)  0.8 0.0 1     
030374 -- mackerel (scomber scombrus, 
scomber australasicus, scomber 
japonicus) 0.7 0.0 1     
030559 Dried fish other than cod (Gadus 
morhua/ogac/macrocephalus), whether/not salted but not smoked 0.6 0.0 3     
902139 Artificial parts of the body other than 
teeth, dental fitt ings and joints 0.6 6.0  2 2   
902131 -- artificial joints 0.5 6.0  1 1   
030250 - cod (gadus morhua, gadus ogac, gadus 
macrocephalus), excluding livers and 
roes 0.5 0.0 1     WT/REG295/1/Rev.1 
 
- 41 - 
 
  Iceland's top export products in 2008-2010 Access Conditions to Peru's import 
markets 
MFN (2011)  Duty-free 
in 
HS number and description of the product Share in 
global 
exports 
(%) Average 
MFN 
applied 
rate (%)  No. of tariff lines 
2011 
2015 
2020 Duty-
free Dutiable 
030520 - livers and roes of fish, dried, smoked, 
salted or in brine 0.5 0.0 1     
Total of above 85.6  58 12 5 3 4 
 
Source: WTO estimates based on data prov ided by Peru and UNSD, Comtrade data. 
 
4. Market access opportunities for Norway's top 25 exports in the Peruvian market is shown 
in Table A1.6. These exports which accounted for 76.8% of its global exports in 2009-2011, 
covered 94 tariff lines of which 90 were already duty free on an MFN basis when the Agreement 
entered into force. The remaining 2 lines subject to  duty are to be liberalized in 2016. At the end 
of implementation none of Norway's top 25 export s will be subject to duties in the Peruvian 
market. 
Table A1.6  
Peru: Market access opportunities under the agreement for Norway's top 25 exports to the world 
Norway's top export products in 2009-2011 Access Conditions to Peru's 
import markets 
MFN (2012)  Duty-free 
for 
Norway in 
2016 
 HS number and description of the product Share in 
global 
exports 
(%) Average 
MFN 
applied 
rate 
(%) No. of tariff 
lines Duty-free 
Dutiable 
270900 Petroleum oils and oils obtained from bituminous 
minerals, crude. 36.2 0.0 1   
271121 -- natural gas 20.5 0.0 1   
271011 -- light oils and preparations 2.6 0.0 14   
030212 -- pacific salmon (oncorhynchus nerka, 
oncorhynchus gorbuscha,  oncorhynchus keta, 
oncorhynchus tschawytscha, oncorhynchus 
kisutch, oncorhynchus masou and oncorhynchus 
rhodurus), atlantic salmon (salmo salar) and 
danube salmon (hucho hucho) 2.6 0.0 1   
760120 - aluminium alloys 2.4 0.0 1   
271019 Petroleum oils and oils obtained from bituminous 
minerals (other than crude) & preparations not 
elsewhere specified/including, containing by 
weight 70 %/more of petroleum oils/of oils 
obtained from bituminous minerals, these oils 
being the basic constituents of the preparations, 
other than waste oils and light oils and 
preparations 2.1 0.0 20   
750210 - nickel, not alloyed 1.3 0.0 1   
271112 -- propane 1.2 0.0 1   
271113 -- butanes 0.9 0.0 1   
381800 Chemical elements doped fo r use in electronics, in 
the form of discs, wafers or similar forms; 
chemical compounds doped for use in electronics. 0.7 0.0 1   
271111 -- natural gas 0.7 0.0 1   
890190 - other vessels for the transport of goods and 
other vessels for the transport of both persons 
and goods 0.6 0.0 3   
843143 -- parts for boring or sinking machinery of 
subheading 8430.41 or 8430.49 0.6 0.0 2   WT/REG295/1/Rev.1 
 
- 42 - 
 
  Norway's top export products in 2009-2011 Access Conditions to Peru's 
import markets 
MFN (2012)  Duty-free 
for 
Norway in 
2016 
 HS number and description of the product Share in 
global 
exports 
(%) Average 
MFN 
applied 
rate 
(%) No. of tariff 
lines Duty-free 
Dutiable 
030429 Fish fillets and other fish meat (excl. of 0304.21-
0304.92, whether or not minced), frozen fillets 0.5 0.0 8   
271600 Electrical energy. (optional heading) 0.5 0.0 1   
030419 Fish fillets and other fish meat (excl. of 0304.11-
0304.12, whether or not minced), fresh/chilled 0.5 0.0 1   
292429 Cyclic amides (including. cyclic carbamates) and 
their derivatives (excluding of 2924.21-2924.24); salts thereof 0.4 0.0 10   
030374 -- mackerel (scomber scombrus, scomber 
australasicus, scomber japonicus) 0.3 0.0 1   
851762 -- machines for the reception, conversion and 
transmission or regeneration of voice, images or 
other data, including switching and routing apparatus 0.3 0.0 3   
841370 - other centrifugal pumps 0.3 0.0 4   
030551 -- cod (gadus morhua, gadus ogac, gadus 
macrocephalus) 0.3 0.0 1   
280469 Silicon, containing by weight <99.99% of silicon 0.3 0.0 1   
480261 -- in rolls 0.3 2.0 4 2 2 
847989 Other machines and mechan ical appliances, other 
than Machines and mech anical appliances for 
treating metal, including electric wire coil-
winders/ Mixing/ kneading/ 
crushing/grinding/screening/sifting/homogenising/ 
emulsifying/sti rring machines 0.3 0.0 7   
730890 Structures (excluding prefabricated buildings of 
heading 94.06) and parts of structures (e.g. Bridges and bridge-section s, lock-gates, towers, 
lattice masts, roofs, r oofing frame-works, doors 
and windows and their frames and thresholds for doors, shutters, balustrades, pillars and columns) of iron/steel (excluding of 7308.10-7308.40); plates, rods, angles, shapes, sections, tubes and 
the like, prepared for use in structures, of iron or 
steel 0.3 0.0 3   
Total of above 76.8  92 2 2 
 
Source: WTO estimates based on data prov ided by Peru and UNSD, Comtrade data. WT/REG295/1/Rev.1 
 
- 43 - 
 
  5. Market access opportunities for Switzerland/Liechtenstein's top 25 exports in the Peruvian 
market is shown in Table A1.7. These exports which accounted for 45.3% of its global exports in 2008-2010, covered 68 tariff lines. Of the 68 lines 33 were already duty free on an MFN basis when the Agreement entered into force. Of th e remaining 35 lines, 21 were liberalized in 2011 
when the Agreement came into force and a furthe r 8 and 46 lines will be liberalized in 2015 and 
2020 respectively. At the end of implementation  none of Switzerland/Liechtenstein's top 
25 exports will be subject to duties in the Peruvian market. 
Table A1.7  
Peru: Market access opportunities under the agreement for Switzerland's top 25 exports to the world 
Switzerland's top export products in 2008-2010  Access Conditions to Peru's import 
markets  
MFN (2011)  Duty-free in  
HS number and description of the product  Share in 
global 
exports 
(%) Average 
MFN 
applied 
rate 
(%) No. of tariff 
lines  
2011 2015 2020  Duty-
free 
Dutiable 
300490 Medicaments (excluding goods of heading 
30.02/30.05/30.06/3004.10-3004.50) consisting of mixed/unmixed products for therapeutic/prophylactic uses, put up in measured doses (including those in the form of transdermal administration systems)/in forms/packings for retail sale 11.7 6.0  7 2 3 2 
300210 - antisera and other blood fractions and 
modified immunological products, whether 
or not obtained by means of 
biotechnological processes 7.8 6.0  8 8   
910221 -- with automatic winding 2.9 6.0  1 1   
271600 Electrical energy. (optional heading) 2.5 0.0 1     
711319 -- of other precious metal, whether or not 
plated or clad with precious metal 2.3 6.0  1  1  
293399 Heterocyclic comps. wi th nitrogen hetero-
atom(s) only (excluding of 2933.11-
2933.91) 1.8 1.5 3 1 1   
910211 -- with mechanical display only 1.5 6.0  1 1   
910121 -- with automatic winding 1.5 6.0  1 1   
711011 -- unwrought or in powder form 1.4 0.0 1     
292429 Cyclic amides (including. cyclic 
carbamates) and their derivatives 
(excluding of 2924.21-2924.24); salts 
thereof 1.1 0.0 10     
300420 - containing other antibiotics 1.0 6.0  3  1 2 
841199 Parts of the other gas turbines of 8411.81 
and 8411.82 1.0 0.0 1     
294190 Antibiotics and their derivatives (excluding 
of 2941.10-2941.50); salts thereof 0.8 0.0 8     
293719 -- other 0.8 0.0 2     
710239 Diamonds, non-industrial other than 
unworked/simply sawn/cleaved/bruted 0.8 6.0  1 1   
902110 - orthopaedic or fracture appliances 0.8 6.0  2 2   
300439 Medicaments containing hormones/other 
products of 29.37 but not containing antibiotics, put up in measured 
doses/forms/packings for RS 0.8 6.0  3  1 2 
293499 Nucleic acids & their salts, whether/not 
chemically defined, n.e.s.; other 
heterocyclic compounds, n.e.s. 0.7 0.0 5     
220290 Non-alcoholic beverages other than waters 
of 2202.10 (not including fruit or vegetable juices of 20.09) 0.7 6.0  1 1   WT/REG295/1/Rev.1 
 
- 44 - 
 
  Switzerland's top export products in 2008-2010  Access Conditions to Peru's import 
markets  
MFN (2011)  Duty-free in  
HS number and description of the product  Share in 
global 
exports 
(%) Average 
MFN 
applied 
rate 
(%) No. of tariff 
lines  
2011 2015 2020  Duty-
free 
Dutiable 
910129 Wrist-watches other than electrically 
operated, whether/not incorporating a 
stop-watch facility (excl. with auto. 
winding), with case of precious metal or 
metal clad with precious metal 0.6 6.0  1 1   
902150 - pacemakers for stimulating heart 
muscles, excluding parts and accessories 0.6 6.0  1 1   
901890 - other instruments and appliances 0.6 0.0 2     
330290 Mixtures of odoriferous substance & 
mixtures, incl. alcoholic solutions, with a basis of one/more of these substance, of a 
kind used as raw materials in industry 
other than food/drink industries 0.5 6.0  1  1  
902190 Appliances which are 
worn/carried/implanted in the body, to 
compensate for a defect/disability (excl. of 
9021.10-9021.50) 0.5 6.0  1 1   
711419 -- of other precious metal, whether or not 
plated or clad with precious metal 0.5 6.0  1  1  
Total of above 45.3  33 35 21 8 6 
 
Source:  WTO estimates based on data provided  by Peru and UNSD, Comtrade data. 
 
6. Market access for Peru's top 25 global exports to EFTA as a result of the Agreement is 
shown in Tables A1.8-A1.10 below. Peru's top exports in 2008-10 accounted for 80.4% of total 
exports and were covered by 56 tariff lines in Icel and's tariff. Of these lines 50 were already duty 
free when the Agreement entered into force in 2011 and a further five will be liberalized for imports from Peru. One tariff line (HS 200599) – other prepared vegetables (accounting for 0.5% 
of Peru's global exports), will remain dutiable  when the Agreement is fully implemented. For 
Norway, Peru's top 25 exports were covered by 65 tariff lines of which 59 were already duty free 
on an MFN basis. When the Agreement entered into force between Peru and Norway in 2012, 
another five lines were liberalized for imports from Peru. One line – HS 200599 will remain subject 
to duties. For Switzerland Peru's top 25 global exports were covered by 55 tariff lines of which 29 were already duty free on an MFN basis in 2011. As a result of the Agreement a further 11 lines were liberalized in 2011 while 15 lines relating to vegetable products (accounting for around 3.1% 
of Peru's global exports) will remain subject to  duties after the Agreement is fully implemented. 
Table A1.8  
Iceland: Market access opportunities under the agreement for Peru's top 25 exports to 
the world 
Peru's top export products in 2008-2010 Access Conditions to Iceland's import 
markets 
MFN (2011)  Duty-
free in 
2011 
Remain 
Dutiable HS number and description of the product  Share 
in 
global 
exports 
(%) Average 
MFN 
applied 
rate 
(%) No. of tariff lines  
Duty-
free Dutiable 
710812 -- other unwrought forms 21.5 0.0 1    
260300 Copper ores and concentrates. 16.1 0.0 1    
740311 -- cathodes and sections of cathodes 7.6 0.0 1    
230120 - flours, meals and pellets, of fish or of 
crustaceans, molluscs or other aquatic 
invertebrates 4.8 0.0 13    
260800 Zinc ores and concentrates. 4.2 0.0 1    
271019 -- other 3.4 0.6 8 1 1  WT/REG295/1/Rev.1 
 
- 45 - 
 
  Peru's top export products in 2008-2010 Access Conditions to Iceland's import 
markets 
MFN (2011)  Duty-
free in 
2011 
Remain 
Dutiable HS number and description of the product  Share 
in 
global 
exports 
(%) Average 
MFN 
applied 
rate 
(%) No. of tariff lines  
Duty-
free Dutiable 
271011 -- light oils and preparations 3.2 0.0 6    
260700 Lead ores and concentrates. 3.2 0.0 1    
090111 -- not decaffeinated 2.3 0.0 1    
261390 - other 2.0 0.0 1    
270900 Petroleum oils and oils obtained from 
bituminous minerals, crude. 1.6 0.0 1    
610910 - of cotton 1.4 15.0  1 1  
710691 -- unwrought 1.1 0.0 1    
800110 - tin, not alloyed 1.0 0.0 1    
260111 -- non-agglomerated 1.0 0.0 1    
150420 - fats and oils and their fractions, of 
fish, other than liver oils 1.0 0.0 6    
070920 - asparagus 0.8 30.0  1 1  
740811 -- of which the maximum cross-
sectional dimension exceeds 6 mm 0.8 0.0 1    
610510 - of cotton 0.7 15.0  1 1  
261610 - silver ores and concentrates 0.6 0.0 1    
790111 -- containing by weight 99.99% or 
more of zinc 0.5 0.0 1    
200599 -- other 0.5 0.0 1 1  1 
080610 - fresh 0.4 0.0 1    
200560 - asparagus 0.4 0.0 1    
610610 - of cotton 0.4 15.0  1 1  
Total of above 80.4  50 6 5 1 
 
Source: WTO estimates based on data provided by Iceland, WTO-IDB and UNSD, Comtrade data. 
Table A1.9  
Norway: Market access opportunities under the agreement for Peru's top 25 exports to the world 
Peru's top export products in 2009-2011 Access Conditions to Norway's import 
markets 
MFN (2012)  
Duty-free 
in 2012 
Remain 
Dutiable HS number and description of the product  Share 
in 
global 
exports 
(%) Average 
MFN 
applied 
rate 
(%) No. of tariff lines  
Duty-
free Dutiable 
710812 -- other unwrought forms 22.7 0.0 1    
260300 Copper ores and concentrates. 16.6 0.0 1    
740311 -- cathodes and sections of cathodes 6.6 0.0 1    
230120 - flours, meals and pellets, of fish or of 
crustaceans, molluscs or other aquatic 
invertebrates 4.5 0.0 2    
260700 Lead ores and concentrates. 3.7 0.0 1    
260800 Zinc ores and concentrates. 3.5 0.0 1    
271020 - petroleum oils and oils obtained from 
bituminous minerals (other than 
crude) and preparations not elsewhere specified or included, containing by weight 70 % or more of petroleum oils or of oils obtained from bituminous minerals, these oils being the basic constituents of the preparations, containing biodiesel, other than waste oils 3.2 0.0 1    
090111 -- not decaffeinated 2.8 0.0 1    
271012 -- light oils and preparations 1.6 0.0 11    
260111 -- non-agglomerated 1.6 0.0 1    
271019 -- other 1.5 0.0 20    
271111 -- natural gas 1.5 0.0 1    WT/REG295/1/Rev.1 
 
- 46 - 
 
  Peru's top export products in 2009-2011 Access Conditions to Norway's import 
markets 
MFN (2012)  
Duty-free 
in 2012 
Remain 
Dutiable HS number and description of the product  Share 
in 
global 
exports 
(%) Average 
MFN 
applied 
rate 
(%) No. of tariff lines  
Duty-
free Dutiable 
270900 Petroleum oils and oils obtained from 
bituminous minerals, crude. 1.3 0.0 2    
261390 - other 1.2 0.0 1    
610910 - of cotton 1.2 10.7  1 1  
261610 - silver ores and concentrates 1.0 0.0 1    
150420 - fats and oils and their fractions, of 
fish, other than liver oils 0.8 0.0 4 1 1  
070920 - asparagus 0.8 0.0 1 1 1  
740811 -- of which the maximum cross-
sectional dimension exceeds 6 mm 0.7 0.0 1    
800110 - tin, not alloyed 0.6 0.0 1    
610510 - of cotton 0.6 10.7  1 1  
790111 -- containing by weight 99.99 % or 
more of zinc 0.6 0.0 1    
710691 -- unwrought 0.6 0.0 1    
080610 - fresh 0.6 0.0 4    
200599 -- other 0.5 0.0  2 1 1 
Total of above 80.4  59 6 5 1 
 
Source:  WTO estimates based on data prov ided by Norway and UNSD, Comtrade data. 
Table A1.10 
Switzerland: Market access opportunities under the agreement for Peru's top 25 exports to the world 
Peru's top export products in 2008-2010 Access Conditions to Switzerland's import 
markets 
MFN (2011)  Duty-
free in  
2011 
Remain Dutiable HS number and description of the product  Share in 
global 
exports 
(%) Average MFN 
applied rate 
(%) No. of 
tariff lines  Duty-free 
Dutiable 
710812 -- other unwrought forms 21.5 0.0 1    
260300 Copper ores and concentrates. 16.1 0.0 1    
740311 -- cathodes and sections of cathodes 7.6 0.14 Fr. per 100 kg 
gross  1 1  
230120 - flours, meals and pellets, of fish or of 
crustaceans, molluscs or other aquatic 
invertebrates 4.8 0.0 2    
260800 Zinc ores and concentrates. 4.2 0.0 1    
271019 -- other 3.4 0.0 9    
271011 -- light oils and preparations 3.2 0.0 6    
260700 Lead ores and concentrates. 3.2 0.0 1    
090111 -- not decaffeinated 2.3 0.0 1    
261390 - other 2.0 0.0 1    
270900 Petroleum oils and oils obtained from 
bituminous minerals, crude. 1.6 0.0 2    
610910 - of cotton 1.4 152 Fr. per 100 kg 
gross  1 1  
710691 -- unwrought 1.1 7 Fr. per 100 kg 
gross  1 1  
800110 - tin, not alloyed 1.0 0.21 Fr. per 100 kg 
gross  1 1  
260111 -- non-agglomerated 1.0 0.0 1    
150420 - fats and oils and their fractions, of 
fish, other than liver oils 1.0 -- 1 2 1 1 
070920 - asparagus 0.8 -- 1 2  2 WT/REG295/1/Rev.1 
 
- 47 - 
 
  Peru's top export products in 2008-2010 Access Conditions to Switzerland's import 
markets 
MFN (2011)  Duty-
free in  
2011 
Remain Dutiable HS number and description of the product  Share in 
global 
exports 
(%) Average MFN 
applied rate 
(%) No. of 
tariff lines  Duty-free 
Dutiable 
740811 -- of which the maximum cross-
sectional dimension exceeds 6 mm 0.8 6.4 Fr. per 100 kg 
gross  3 3  
610510 - of cotton 0.7 130 Fr. per 100 kg 
gross  1 1  
261610 - silver ores and concentrates 0.6 0.0 1    
790111 -- containing by weight 99.99% or 
more of zinc 0.5 0.07 Fr. per 100 kg 
gross  1 1  
200599 -- other 0.5 130.7 Fr. per 100 kg 
gross  7  7 
080610 - fresh 0.4 99.0 Fr. per 100 kg  3  3 
200560 - asparagus 0.4 21.5 Fr. per 100 kg 
gross  2  2 
610610 - of cotton 0.4 165 Fr. per 100 kg 
gross  1 1  
Total of above 80.4  29 26 11 15 
 
-- Combination of specific and duty-free lines.  Source: WTO estimates based on data provided  by Switzerland and UNSD, Comtrade data. WT/REG295/1/Rev.1 
 
- 48 - 
 
  ANNEX 2 
PRODUCTS UNDER PERU'S PRICE BAND SYSTEM 
Table A2.1 Products subject to Peru's price band system  
HS Code Description MFN applied 
rate, 2011 
and 2012 
(%) 
0401100000, 0401200000,  Milk and cream products 0 
0402101000, 0402109000, 
0402211100, 0402211900, 
0402219100, 0402219900, 
0402291100, 0402291900, 
0402299100, 0402299900, Powdered milk 
0402991000 Condensed milk 
0404109000 Other whey 
0405100000 Butter 
0405902000 Butter oil 
0405909000 Other milk fat 
0406300000 Processed cheese except powdered 
0406904000, 0406905000, 
0406906000, 0406909000 Cheese 
1005901100 Yellow maize 
1005901200 White maize 
1005909000 Other maize 
1006109000 Other rice 
1006200000 Husked brown rice 
1006300000 Semi-milled or wholly milled rice 
1006400000 Broken rice 
1007009000 Other grains 
1103130000 Groats and corn meal 
1108120000 Maize (corn) starch 6 
1108130000 Potato starch 6 
1701119000 Other cane sugar 0 
1701120000 Beet sugar 
1701999000 Other cane and beet sugars 
1702302000 Glucose syrup 
1702600000 Other fructose and fructose syrup 
1702902000 Caramel with a dry fructose content of 50% by weight  
0 1702903000 Sugars containing added flavouring or colouring matter 
1702904000 Other syrups with a dry fructos e content of 50% by weight 
1901902000 Milk caramel or milk sweet (Manjar blanco o dulce de leche) 
1901909000 Other food preparations 
2106907900 Other food preparations 
2106909000 Other food prepar ations n.e.s.  
2309909000 Other food preparations of flour, groats, meal, starch or malt 
extract  
3505100000 Dextrins and other modified starches 6 
 
Source: Annex III, Appendix 3 of the Agreement;  and Annex III of the Agricultural Agreements. WT/REG295/1/Rev.1 
 
- 49 - 
 
  ANNEX 3 
Table A3.1  
Norway's TRQs for Peru  
HS Code Description WTO quota 
(tonnes 
per year) Applied 
duty 
(NOK 
per k.g.)  TRQ concessions for Peru 
02.02.1000 
02.02.2001 Meat of bovine animals, 
frozen 1,084 32.28 30% reduction in in-quota duties of 
the annual WTO quota quantity 
02.02.2002 
02.02.2003 
02.02.2004 
02.02.2008   66.40  
02.02.3001 02.02.3009   119.01  
02.03.211 Meat of swine, frozen 1,381 24.64 30% reduction in in-quota duties of 
the annual WTO quota quantity. 
02.04.1000 
 Meat of sheep and goats, 
fresh, chilled or frozen 206 32.49 30% reduction in in-quota duties of 
the annual WTO quota quantity. 
02.04.2100 
   24.15  
02.04.2200    85.27  
02.04.3000 
   32.49  
02.04.4100 
   24.15  
02.04.4200 
   85.27  
02.04.4300 
   76.96  
02.04.5000   37.21  
02.07.1200 Meat of fowls of the 
species gallus domesticus 221 25.71 50% reduction in in-quota duties of 
the annual WTO quota quantity. 
02.07.2500 Meat of turkeys 221 27.45 50% reduction in in-quota duties of 
the annual WTO quota quantity. 
02.07.3300 Meat of poultry ducks, 
geese and guinea fowl 221 48.40 30% reduction in in-quota duties of 
the annual WTO quota quantity. 
04.05.1000 Butter 575 25.19 30% reduction in the in-quota 
duties of the annual WTO quota 
quantity 
04.07.0019 Hens eggs 1,295 12.59 30% reduction in the in-quota 
duties of the annual WTO quota 
quantity 
04.09.0000 Natural honey 192  
(GSP quota) 24.47 Removal of duties within the annual 
GSP quota 
07.04. 2020 
 White cabbage 134 1.71 30% reduction in the in-quota 
duties of the annual WTO quota quantity 
   3.58  
07.04.9040 Red cabbage 134 1.86 30% reduction in the in-quota 
duties of the annual WTO quota quantity 
08.08.1011 Apples 8,000 of which 
7,000 tonnes 
from 1.05-
31.07 and 750 
tonnes from 
1.08-30.11. 
and 250 
tonnes from 
01.11.-30.11 4.83 Removal of duties within the 
seasonal WTO bound quota. WT/REG295/1/Rev.1 
 
- 50 - 
 
  HS Code Description WTO quota 
(tonnes 
per year) Applied 
duty 
(NOK 
per k.g.)  TRQ concessions for Peru 
08.08.2021 Pears 250 4.41 Removal of duties within the annual 
WTO quota quantity. 
16.02.4100 
 
 
 
16.02.5009 Hams and cuts thereof 
 
 
 
Other hams and cuts 
thereof 100 tonnes of 
hermetic ham 
 
200 tonnes for 
corned beef 
and 50 tonnes 
of hermetic 
tongue  120.83 
 
 
 
129.30 Removal of duties within the annual 
GSP quota quantity 
 
 
Removal of duties within the annual 
GSP quota quantity. 
20.05.4009 Other vegetables 
(hermetic peas) 200  11.77 Removal of duties within the annual 
GSP quota quantity. 
20.05.5901 Green beans, asparagus 
beans, wax beans and 
string beans 50 tonnes for 
green beans 
and 100 
tonnes for 
string beans  15.64 Removal of duties within the annual 
GSP quota of green beans and 
string beans 
20.05.9909 Other, including mixtures 
of vegetables 100  34.92 Removal of duties within the annual 
GSP quota. 
 
Source: Annex II of the Agreement on Agriculture between Norway and Peru. 
 
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