Peru WT/TPR/S/189 
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III. TRADE POLICY BY MEASURE 
(1) OVERVIEW  
1. Peru's solid economic growth since its last Tr ade Policy Review has been accompanied by a 
continuous process of liberalization and modernizati on of its trade regime.  Peru has substantially 
reduced applied MFN tariffs, from 13.6 per cent in 1999 to 8.2 per cent in April 2007.  This mainly 
reflects reductions in the rates applied to capital goods  and inputs not produced in Peru.  As a result, 
there has been a rise in the low level of tariff dispersion previously observed.  All tariffs are 
ad valorem ;  those applied to 46 tariff lines correspondi ng to agricultural products are subject to 
reductions or surcharges in the form of specific duties linked to international prices. 
2. Peru has bound its entire tariff schedule, mostly at  30 per cent.  The greater predictability of 
the conditions of access to its market resulting from this measure has been somewhat reduced by the 
marked difference between average a pplied and bound rates.  In this connection, the authorities have 
pointed out that Peru has not increased its tariffs since 1991. 
3. In the context of its participation in the Andean Community, since 2006 Peru has granted 
duty-free treatment to all imports originating in Boli via, Colombia, Ecuador and Venezuela.  It also 
grants preferential treatment to imports from Chile, Cuba, MERCOSUR and Mexico. 
4. Peru has introduced measures to facilitate trad e.  Customs clearance times for goods subject 
to physical or documentary inspection have been reduced by about 30 per cent since 2002.  Around 35 per cent of imports are subject to such inspections at the main customs facilities.  Peru eliminated 
its preshipment inspection programme in May 2 004.  Since 2004, Peru has applied a customs 
clearance charge, levied on a specific basis, to imports valued at more than S/. 10,350 (about 
US$3,252). 
5. In general, imports receive national treatment in relation to the application of internal taxes.  
Imported used vehicles are subject to selective consum ption tax (ISC) at a rate of 0 per cent if they 
have been overhauled or repaired in a Processi ng, Industry, Marketing and Services Centre 
(CETICOS) or in the Tacna Free Zone (ZOFRATACNA) .  ISC is levied on the beverage Pisco at a 
rate of S/. 1.50 per litre (about US$0.47 per litre), while the minimum rate applied to other alcoholic 
beverages is 20 per cent.  Certain services provided for national flag vessels are exempt from general 
sales tax (IGV). 
6. Peru prohibits the importation of beverages ma nufactured abroad under the name "Pisco", as 
well as of used clothing and footwear "for commerc ial purposes", and used engines and parts for road 
vehicles.  Imports of several products are subject to   authorization on health or environmental grounds 
or to protect the national identity. 
7. During the review period there was an increase in the number of anti-dumping investigations, 
which focused on a handful of products and exporters .  At the end of 2006, there were 34 definitive 
anti-dumping measures in force.  Peru maintains countervailing duties in just one case and applied 
two provisional safeguard measures to WTO Members during the review period. 
8. Peru has maintained an active programme of  notification of sanitary and phytosanitary 
measures, all of which are based on international sta ndards.  There appears to be a limited number of 
technical regulations in force and, as a general rule, compliance is not verified at the border.  Peru has 
established a system to ensure that regulations in general are not more trade-restrictive than necessary. WT/TPR/S/189 Trade Policy Review 
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9. Peru does not apply charges or taxes on exports .  A few export prohibitions, mainly on wood 
and certain plants and plant prod ucts, are in place, for the purpose of promoting local processing and 
investment, controlling access to genetic resources or protecting the environment. 
10. Peru maintains a "simplified" duty drawback  scheme, under which exporters receive 5 per 
cent of the f.o.b. value of their exports or half of their production cost, whichever is the smaller.  This 
simplified regime does not provide any mechanism for ensuring that the amount refunded does not 
exceed the value of the duties paid.  In mid-2005,  Peru abolished the export requirements that 
companies had to fulfil in order to obtain the benefits available under the CETICOS and 
ZOFRATACNA programmes.  The income from C ETICOS and ZOFRATACNA sales continues to 
be exempt from income tax. 
11. There are valuable potential synergies in Pe ru between competition policy, intellectual 
property protection and trade remedies, insofar as they are all the responsibility of a single authority.  It is therefore important to build up the institu tional capacity of that authority.  The ambitious 
privatization programme generate d about US$1 billion in State reve nue between 2001 and 2006.  At 
the end of 2006, there were about 50 firms with State participation, mainly in the services sector. 
12. Peru continues to maintain a number of in centive programmes to promote business activity 
and investment.  The incentives, many in the fo rm of tax exemptions, seem to have imposed a 
significant burden on the public finances.  It would th erefore be useful to identify those that result in 
net benefits for the economy and to consider rationa lizing the others.  Peru took an important step in 
this direction at the beginning of 2007 with the establishment of a general framework that regulates 
the granting and renewal of tax incentives. 
13. A 50 per cent reduction in income tax is availa ble to some agricultural producers provided 
they use a certain number of domestic inputs.  In the fisheries sector, in some cases the granting of 
certain tax benefits and reductions in the price of  fishing permits are contingent upon the catch being 
landed in Peru.  The authorities have pointed out that the legal limits on the use of imported dairy inputs for the production of liquid milk and de rived products are not applied in practice. 
14. Peru is not a member of the WTO Plurilate ral Agreement on Govern ment Procurement.  
Since 2000, the regulatory framework on government  procurement has under gone some important 
changes.  The Peruvian legislation grants a 20 per ce nt preference margin to bidders that use Peruvian 
goods, and in some cases only domestic food produ cts may be purchased.  Although these measures 
might promote national production, they also result in higher costs for taxpayers. 
15. Peru has notified the WTO of its legislation fo r the protection of intellectual property, which 
was reviewed by the TRIPS Council in 2001.  It has also provided answers on enforcement in the 
TRIPS context.  The protection of traditional knowle dge and biodiversity has been a priority for Peru. 
(2) M
EASURES AFFECTING IMPORTS  
(i) Customs procedures 
16. The Ministry of Economy and Finance is the en tity responsible for "planning, directing and 
monitoring customs policy".1  The National Tax Administration Supervisory Authority (SUNAT) is 
entrusted with the application of that policy.2  The entity which performed that function up to 2002 
                                                      
1 Article 5 of Legislative Decree No. 183 of 15 June 1981. 
2 Article 15 of the Regulation on the Organization and Functions of SUNAT, approved by Supreme 
Decree No. 115-2002-PCM of 28 October 2002. Peru WT/TPR/S/189 
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was the National Customs Supervisory Authority.  In July 2002, for the purpose of improving customs 
and tax management, the Government ordered that  the National Supervisory Authority be merged 
with SUNAT.3  Peru is a member of the World Customs Organization. 
17. Importers can complete import formalities without the need to employ a customs broker.  For 
this, they must be authorized by SUNAT, which de pends on their complying with the requirements of 
the Regulation to the General Customs Law.4  SUNAT's authorization is not required for imports with 
a value of not more than US$2,000.  In practice, most importers do employ a customs broker to complete import formalities. 
18. The data on the cargo manifest for air and land  transport must be transmitted to SUNAT no 
later than the moment at which the means of tr ansport come under the control of the competent 
authorities.
5  For maritime cargo the deadline is 48 hours be fore the cargo arrives in port, or before the 
vessel sails for Peru if the journey is going to take  less than 48 hours.  The cargo manifest must be 
presented to the customs authority upon arrival of the means of transport. 
19. In general, it is not possible to present the customs declaration (referred to as the Single 
Customs Declaration or DUA) before the goods arrive in Peru.6  In addition to the declaration, it is 
necessary to produce the transport document, the invoice or an equivalent document and, if issued, the 
transport insurance document.7  For the importation of some goods additional documents are required, 
such as certificates of origin or authorizations (secti ons (iii) and (vi) below).  For imports with a value 
of US$2,000 or less a simplified declaration is used. 
20. SUNAT has a system that allows the customs declaration to be submitted via the Internet.8  
The Peruvian authorities have indicated that in 2006  about 36 per cent of declarations were submitted 
in this way. 
21. SUNAT subjects imports to a random control system  that takes risk analysis variables into 
account.  The controls may be documentary (referred to as "orange channel") or physical (referred to 
as "red channel").  Under the General Customs Law,  physical controls may not be applied to more 
than 15 per cent of imports, excluding goods subject to mandatory physical controls.9  The goods that 
require physical controls are listed in  Procedure INTA-PE.00.06 and its annexes.10 
22. The Peruvian authorities have noted that the ti me required to carry out physical controls 
depends on such factors as the type of goods, th eir volume, and whether their importation requires 
licences or permits;  they have also pointed out th at SUNAT applies time standards for controls that 
vary with such factors as the type of customs offi ce (maritime, air, land or postal), its geographical 
                                                      
3 Supreme Decree No. 061-2002-PCM of 11 July 2002.  See also SUNAT (undated). 
4 Chapter III of Title VII of the Regulation to the General Customs Law, approved by Supreme Decree 
No. 011-2005-EF of 26 January 2005. 
5 Article 19 of the Regulation to the General Customs Law, approved by Supreme Decree 
No. 011-2005-EF of 26 January 2005. 
6 Article 45 of the Single Harmonized Text of the General Customs Law, approved by Supreme Decree 
No. 129-2004-EF of 12 September 2004. 
7 Article 72 of the Regulation to the General Customs Law, approved by Supreme Decree 
No. 011 2005-EF of 26 January 2005. 
8 Teledespacho Web (http://www.aduanet.gob.pe/ol-ad- pd).  See Specific Procedure:  tele-clearance, 
INTA-PE.00.02 of 3 December 2003. 
9 Article 49 of the Single Harmonized Text of the General Customs Law, approved by Supreme Decree 
No. 129-2004-EF of 12 September 2004.  See Specific Procedure:  physical identification and extraction and 
analysis of samples, INTA-PE.00.03 of 1 February 2001. 
10 Specific Procedure:  control of restricted goods, INTA-PE.00.06 of 9 July 2004. WT/TPR/S/189 Trade Policy Review 
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location, and the availability of personnel.  Acco rding to SUNAT data on the maritime and airport 
customs offices at Callao, in 2006 13 per cent of imports were subjected to physical controls and a further 24 per cent to documentary controls.  The rest were not subjected to any control during customs clearance. 
23. Customs duties are payable as soon as SUNAT has accepted and assigned a number to the 
customs declaration.  It is possible to pay electr onically.  Importers may obtain the release of their 
goods even if they disagree with the amount of duty determined by SUNAT, subject to the provision of security equivalent to the difference between the duties resulting from the declaration and those 
determined by SUNAT.
11 
24. The clearance times for goods subject to control have fallen by about 30 per cent since 2002.  
According to SUNAT, clearance takes between 2. 3 and 5.9 working hours for goods subject to 
documentary control and between 13.4 and 19 working ho urs for goods subject to physical control.  It 
takes around two hours to clear goods not subject to control. 
25. SUNAT has an advance customs clearance system.  To take advantage of this system it is 
necessary to have submitted at least ten customs de clarations during the year preceding that of the 
first importation under the system, and to comply wi th the other requirements laid down in National 
Customs Supervisory Authority Resolution No. 07 9-2006/SUNAT/A of 25 February 2006.  The 
advance system enables importers to submit their customs declaration up to 30 working days before 
the arrival of the goods in Peru.  It also allows th e goods to be transferred directly to the importers' 
warehouses (instead of customs warehouses) for any physical controls, subject to payment of the 
customs duties.  It is not possible to make u se of the advance customs clearance system once the 
means of transport has arrived at the point of entr y into Peru.  Imports under the advance system must 
satisfy all the documentary requirements imposed on other imports. 
26. Objections to administrative decisions must be lodged with the customs department which 
issued the decision in question.  Appeal s must be lodged with the Fiscal Tribunal.12  With some 
exceptions, complaints must be dealt w ith within six months of being filed.13  In 2006, the Fiscal 
Tribunal ruled on 33 appeals concerning tariff classification. 
27. Starting in 2010, SUNAT will have to issue "advance rulings" in response to inquiries from 
users concerning classification or the criteria for determining the value of goods to be imported.14  It 
will also have to issue advance rulings on the impor tation of goods previously exported for repair or 
alteration in countries that have signed a preferential trade agreement with Peru. 
28. To combat smuggling, SUNAT has developed va rious specific procedures to supplement Law 
No. 28008 of 19 June 2003 and the Regulation thereto.15  Moreover, in August 2003, Peruvian and 
                                                      
11 Article 190 of the Regulation to the Genera l Customs Law, approved  by Supreme Decree 
No. 011-2005-EF of 26 January 2005. 
12 Article 111 of the Single Harmonized Text of the General Customs Law, approved by Supreme 
Decree No. 129-2004-EF of 12 September 2004. 
13 Number 7 of General Procedure:  tax complaints, IFGRA-PG.04 of 4 January 2004. 
14 Article 8 of Law No. 28977 of 9 February 2007. 
15 See procedures for the prevention of smuggling and border control at:  http://www.sunat.gob.pe/ 
legislation/procedim/pcontrab/index.html. Peru WT/TPR/S/189 
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Bolivian Customs signed  an agreement enabling join t anti-smuggling operations to be conducted on 
the border between the two countries.16 
29. Peru ended preshipment inspection in May 2004.17  The programme had been in operation 
since 1992. 
(ii) Customs valuation 
30. When preshipment inspection ended, SUNAT t ook various measures designed to improve its 
ability to verify import prices in order to prevent undervaluation.  For example, it introduced staff 
training programmes and measures to strengthen its st atistical analysis capacity and extend the use of 
IT tools.  Moreover, SUNAT is seeking to op timize the customs clearance process in order to 
concentrate more resources on the verification of value. 
31. Peru applied the Customs Valuation Agreement to half the tariff universe until March 2000.  
It then notified the WTO that it would apply th at Agreement to the entire tariff universe as from 
April 2000.18  Peru has notified its customs valuation legislation to the WTO, but has not replied to 
the checklist of issues.19  It incorporated the decisions of the WTO Committee on Customs Valuation 
in its legislation by adopting Supreme Decree No. 186-99-EF of 29 December 1999. 
32. With regard to the special and differential treatment provisions of the Customs Valuation 
Agreement, Peru maintains reservations with respect to  the reversal, at the request of the importer, of 
the order of application of the deductive and co mputed value methods and the application of 
Article 5.2, whether or not the importer so requests.20  
33. SUNAT determines the customs value on the basis of  the c.i.f. value of the product, which in 
turn must be based on the transacti on value, except in specified cases.21  The other valuation methods 
must be applied in the order prescribed in the Customs Valuation Agreement.22  The Peruvian 
authorities have pointed out that in recent years th e customs value of 85 per cent of declarations has 
been determined on the basis of the transaction value. 
34. Within the context of documentary and phys ical controls, SUNAT compares the declared 
value with a price indicator based on the transac tion value of "identical or similar" goods.23  The price 
indicators come from previous transaction values analyzed by SUNAT to show that they are 
consistent with market prices.  If the declared value is lower, SUNAT notifies the importer of its 
"reasonable doubt", and the latter may opt to pay the duties on the basis of the SUNAT price indicator, thereby terminating the reasonable doubt procedure.  Alternatively, the importer has 
five working days, which can be extended by a further five, to justify its declaration.  Once this period 
                                                     
 
16 SUNAT, "Customs of Peru and Bolivia sign ag reement on a joint anti-smuggling campaign", Press 
Release No. 099-2003 of 26 August 2003.  Consul tated at:  http://www.sunat.gob.pe/noticieroSunat/ 
prensa/2003/np260803.htm. 
17 Law No. 27973 of 27 May 2003. 
18 WTO document G/C/5-G/VAL/21 of 25 February 2000. 
19 Peru’s notifications are contained in WTO documents G/VAL/N/1/PER/1 of 25 October 2001, 
G/VAL/N/1/PER/2 of 16 February 2004 and G/VAL/N/1/PER/3 of 23 May 2005. 
20 WTO document G/VAL/W/156 of 27 September 2006. 
21 Articles 3 and 8 of the Regulations for the Va luation of Goods in accordance with the WTO 
Agreement on Customs Valuation, approved by Su preme Decree No. 186-99-EF of 29 December 1999. 
22 Article 2 of the Regulations for the Valuation of Goods in accordance wi th the WTO Agreement on 
Customs Valuation, approved by Supreme D ecree No. 186-99-EF of 29 December 1999. 
23 Specific Procedure:  valuation of goods in accordance with the WTO Valuation Agreement, 
INTA-PE.01.10a of 19 December 2003. WT/TPR/S/189 Trade Policy Review 
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has expired, SUNAT must accept the declared value or determine the value of the goods within five 
working days.24  This period may be up to 30 working days from the notification of reasonable doubt 
if SUNAT establishes a provisional value.  The importer may remove its goods upon receiving the reasonable doubt notification, subject to the provision of security equivalent to the difference between 
the duties resulting from the declared value and those calculated from the price indicator. 
35. The values declared by "frequent" importers  are accepted automatically, without being 
compared with SUNAT's price indicators.
25  To be considered a frequent importer, it is necessary to 
have imported goods worth US$8 million or more in the previous calendar year (or US$3 million if 
US$1 million or more has been exported) and to co mply with the other requirements of Supreme 
Decree No. 193-2005-EF of 31 December 2005.  SUNAT is authorized to verify the value declared by 
frequent importers within the c ontext of post-clearance controls.26  Between May and December 2006, 
frequent importers accounted for approximately 53 per cent of the f.o.b. value of imports. 
36. With respect to the customs valuation of com puter media, SUNAT takes into consideration 
the value of the medium and not that of the data it contains, provided that the commercial invoice differentiates between the prices of the medium and the data.
27 
37. Customs duties are assessed in US dollars a nd payment is made at the exchange rate 
announced on the date of payment by the Banking and Insurance Supervisory Authority. 
(iii) Rules of origin 
38. Peru has notified the WTO that it applies preferen tial rules of origin in the framework of the 
LAIA, the Andean Community and the Global Sy stem of Trade Preferences among Developing 
Countries.28  It has also notified that it applies non-preferential rules of origin to imports subjected to 
anti-dumping or countervailing duties.29 
39. Within the context of Peru's preferential ag reements, the basic criterion for determining the 
origin of products that incorporate third-country inputs  is change of tariff heading or, alternatively, the 
c.i.f. value of the third-country inputs, which may not exceed a certain limit (in general, 50 per cent of 
the f.o.b. value of the finished product) (Table III.1).  The agreements signed by Peru also establish 
specific origin requirements, which take  precedence over the general criteria. 
                                                      
24 Article 11 of the Regulations for the Valuation of Goods in accordance wi th the WTO Agreement on 
Customs Valuation, approved by Supreme D ecree No. 186-99-EF of 29 December 1999. 
25 Article 3 of Supreme Decree No. 193-2005-EF of 31 December 2005. 
26 Article 7 of Supreme Decree No. 193-2005-EF of 31 December 2005. 
27 Article 2 of Supreme Decree No. 128-99-EF of 31  July 1999.  See also  Specific Procedure:  
valuation of computer media imported with software, INTA-P E.01.14 of 10 December 2003. 
28 WTO documents G/RO/N/12 of 1 October 1996, G/ RO/N/9 of 19 April 1 996 and G/RO/N/1/Add.1 
of 22 June 1995. 
29 WTO document G/RO/N/5 of 1 November 1995. Peru WT/TPR/S/189 
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Table III.1 
Principal origin criteria under the preferential agreements signed by Peru 
Agreement Change of  
classification Value added criteriona Main products subject  to specific 
requirements 
Cartagena Agreement (Decisions No. 416 and No. 417 
of the Commission of  the 
Andean Community) HS heading 
(4-digit) 50% of f.o.b. value of final 
goods (60% of f.o.b. value for 
products of Bolivia and 
Ecuador) Mineral and chemical products, metals, 
machinery, clocks and watches, plastics, 
textiles and made-up tex tile articles, products 
of the automotive sector, oil-seeds 
Mexico (Partial Scope-
Economic Complementarity 
Agreement, AAP.CE 8) HS heading 
(4-digit) 50% of f.o.b. value of final 
goods Textiles and made-up textile articles, 
machinery and the products contained in 
LAIA Resolution No. 252b 
Chile (Partial Scope-Economic Complementarity Agreement, 
AAP.CE 38) HS heading 
(4-digit) 50% of f.o.b. value of final 
goods Textiles and made-up textile articles, 
products derived from  zinc and copper, 
pharmaceuticals, agri-chemicals, fruit juices 
and nectars 
Cuba (Partial Scope-Economic Complementarity Agreement, 
AAP.CE 50) HS heading 
(4-digit) 50% of f.o.b. value of final 
goods Products contained in LAIA Resolution 
No. 252
b 
MERCOSUR (Partial Scope-
Economic Complementarity 
Agreement, AAP.CE 58) HS heading 
(4-digit) 50% of f.o.b. value of final 
goods (40% from seventh year 
after entry into  force of the 
Agreement) Milk, food preparations , textiles and made-up 
textile articles, foot wear, manufactures of 
iron or steel, and machinery 
a Expressed as a maximum percentage of the c. i.f. value of the inputs from third countries. 
b The products contained in Resolution 252 in clude dairy and milling industry products;  oils;  fish preparations;  sugar and 
confectionery products;  preparations of fruit and vegetables;  wine;  chemical products;  manufactured articles of leather and  
wood;  products or iron or steel;  manufactur ed articles of copper, bismuth, cadmium or  antimony or cast iron;  and machinery 
and taps, cocks and valves. 
Source : WTO Secretariat. 
40. The non-preferential rules of origin are applied to prevent importers evading payment of anti-
dumping or countervailing duties by dispatching the goods from a country different from that affected 
by those duties.  Products subject to an anti-dumping or countervailing measure must be accompanied 
by a certificate of origin, unless they originate in th e country affected by the measure.  For products 
with non-preferential origin criteria established by  MINCETUR, the certificate of origin must be 
issued in conformity with those criteria.  As  at mid-2007, MINCETUR had issued non-preferential 
origin criteria for the following products subject to  anti-dumping measures:  iron hinges, fabrics, zip 
fasteners and their parts, ceramic tableware and footwear.30  The Peruvian authorities have indicated 
that in mid-2007 criteria for the other products subject to anti-dumping and countervailing measures 
were in the process of being developed. 
(iv) Tariffs 
41. Peru applies a national tariff, although it is a member of the Andean Community which has 
had a common external tariff since 1995.  The entity responsible for formulating Peru's tariff policy is 
the Ministry of Economy and Finance (MEF).31  The MEF has to exercise this power in coordination 
with the Ministry of Foreign Trade and Tourism and the ministries for the sectors involved.  Peru considers it appropriate "to reduce tariffs gradua lly, since that reduces the operating costs of the 
economy and raises the level of well-being of the population … ".
32 
                                                      
30 Ministerial Resolutions Nos. 075-2006-MINCETUR/DM and 076-2006-MINCETUR/DM, both of 
3 March 2006, 338-2005-MINCETUR/DM of 5 November 2005 and 074-2007-MINCETUR/DM of 
1 April 2007. 
31 Article 5 of Legislative Decree No. 183 of 15 June 1981. 
32 Ministerial Resolution No. 005-2006-EF/15 of 15 January 2006. WT/TPR/S/189 Trade Policy Review 
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42. Peru applies at least MFN tariff treatment to  both Members and non-Members of the WTO. 
(a) Structure 
43. The present review is based on the Customs Ta riff that entered into force in April 2007.33  
This Tariff is based on the Common Tariff Nomencla ture of the Member Countries of the Andean 
Community (NANDINA) approved by Decision No. 653 of the Commission of the Andean 
Community.  NANDINA, in turn, is based on the Harmonized Commodity Description and Coding 
System (HS);  Decision No. 653 incorporates into the NANDINA the cha nges resulting from the 
Fourth Recommendation on the Amendment of the HS approved in June 2004. 
44. The tariff is composed of 7,351 ten-digit tari ff lines (Table III.2).  Although all import duties 
are ad valorem , the duties applied to 46 of the ten-dig it tariff lines are subject to reductions or 
surcharges in the form of specific duties linked to va riations in international prices (Chapter IV(2)).  
No seasonal tariffs are applied.  Peru maintains tari ff rate quotas within the context of its preferential 
agreements with MERCOSUR and Mexico. 
Table III.2 
MFN tariff structure, April 2007 
(Per cent) 
  
Total number of lines 7,351 
Tariffs other than ad valorem  (as a percentage of all tariff lines) 0.0 
Tariffs other than ad valorem  without any AVE (as a percentage of all tariff lines) 0.0 
Tariff quotas (as a percentage of all tariff lines) 0.0 
Duty-free tariff lines (as a percen tage of all  tariff lines) 43.6 
Average of lines exceeding zero (%) 14.6 
National tariff peaks (as a percentage of all tariff lines)a 4.7 
International tariff peaks (as a percentage of all tariff lines)b 15.7 
Tariff lines bound (as a percentage of all tariff lines) 100.0 
a National tariff peaks are duties that are higher than three times the simple  average of all the rates applied. 
b International tariff peaks are duties that exceed 15 per cent. 
Source : WTO Secretariat estimates, based on data provided by the Peruvian authorities. 
45. The simple average of the MFN tariffs applied fell from 13.6 per cent in 1999 to 8.2 per cent 
in April 2007 (Table III.3).34  On the other hand, the coefficien t of variation increased from 0.3 in 
1999 to 1.0 in 2007.  The highest rate of 25 per cent is applied to 343 tariff lines corresponding to 
meat, dairy products, fruit and vegeta bles, cereals and food preparations. 
46. The simple average of the MFN tariffs applied to agricultural products (WTO definition) is 
14.9 per cent, as compared with 17.8 per cent in 1999.  The simple average of the tariffs applied to 
non-agricultural products is 7.2 per cent, as compar ed with 13 per cent in 1999.  The decreases 
between 1999 and 2007 mainly reflect reductions in the tariffs applied to capital goods and inputs not 
produced in Peru.  The most recent reduction w as approved in December 2006 and affected some 
                                                      
33 Supreme Decree No. 017-2007-EF of 18 February 2007. 
34 The Secretariat’s estimates for 2007 take tariff surtax es (see below) into account.  However, they do 
not take into account the reductions or surcharges in the form of variable specific duties applied to 46 ten-digit 
tariff lines, only the ad valorem  tariffs applied to those lines.  Therefor e, the estimates of this report are not 
strictly comparable with those which appear in the Secr etariat’s previous report fo r Peru’s Trade Policy Review, 
which did take the variable speci fic tariff rates into account. Peru WT/TPR/S/189 
 Page 31 
 
 
2,900 ten-digit tariff lines, for approximately 97 per cent of which the tariff rate was reduced from 
4 per cent to zero.35 
Table III.3 
Summary of MFN tariff, April 2007a 
 MFN 
Description Number of 
lines Average 
(%) Range 
(%) Coefficient of 
variation (CV) Average 
bound tariffa 
(%) 
Total 7,351 8.2 0 - 25 1.0 30.2 
HS 01-24 1,050 15.1 0 - 25 0.5 31.1 
HS 25-97 6,301 7.1 0 - 20 1.0 30.0 
By WTO category      
Agricultural products 963 14.9 0 - 25 0.6 31.2 
 - Animals and animal products 111 18.8 0 - 25 0.5 30.0 
 - Dairy products 37 25.0 25 - 25 0.0 41.3 
 - Coffee and tea, cocoa, sugar, etc. 179 15.5 0 - 25 0.4 31.6 
 - Cut flowers and plants 55 8.3 0 - 12 0.7 30.0 
 - Fruit, vegetables and garden produce 222 21.4 0 - 25 0.3 30.0 
 - Cereals 36 11.3 0 - 25 0.8 43.1 
 - Oilseeds, fats and oils and their products 103 6.6 0 - 12 0.9 30.0 
 - Alcoholic beverages and liquids 58 19.0 0 - 25 0.3 30.0 
 - Tobacco 12 12.0 12 - 12 0.0 30.0 
 - Other agricultural products n.e.s. 150 7.0 0 - 17 0.9 30.0 
Non-agricultural products (including petroleum) 6,388 7.2 0 - 20 1.0 30.0 
 - Non-agricultural products (excludi ng petroleum) 6,351 7.3 0 - 20 1.0 30.0 
 - Fish and fish products 172 11.9 0 - 12 0.1 30.0 
 - Minerals, precious stones and metals 391 5.9 0 - 12 1.0 30.0 
 - Metals 714 6.5 0 - 12 0.9 30.0 
 - Chemicals and photographic products 1,555 4.4 0 - 12 1.3 30.0 
 - Leather, rubber, footwear, and travel articles 214 8.5 0 - 20 0.8 30.0 
 - Wood, wood pulp, paper and furniture 373 9.0 0 - 12 0.6 30.0 
 - Textiles and clothi ng 979 17.0 0 - 20 0.3 30.0 
 - Transport equipment 214 3.2 0 - 12 1.7 30.0 
 - Non-electrical machinery 769 2.2 0 - 20 2.4 30.0 
 - Electrical machinery 401 4.9 0 - 12 1.2 30.0 
 - Non-agricultural products n.e.s. 569 7.5 0 - 12 0.8 30.0 
 - Petroleum 37 1.3 0 - 12 2.9 30.0 
By ISIC sectorb      
Agriculture and fishing 411 12.0 0 - 25 0.7 30.8 
Mining 111 6.8 0 - 12 0.9 30.0 
Manufacturing 6,828 8.0 0 - 25 1.0 30.1 
By HS Section      
  01  Live animals and animal products 305 15.2 0 - 25 0.5 31.5 
  02  Plant products 384 14.7 0 - 25 0.6 31.3 
  03  Fats and oils 64 7.3 0 - 12 0.8 30.0 
  04  Food preparations, etc. 297 17.2 0 - 25 0.4 30.7 
  05  Mineral products 202 5.7 0 - 12 1.1 30.0 
Table III.3 (cont'd)
                                                      
35 Supreme Decree No. 211-2006 -EF of 28 December 2006. WT/TPR/S/189 Trade Policy Review 
Page 32 
 
 
 MFN 
Description Number of 
lines Average 
(%) Range 
(%) Coefficient of 
variation (CV) Average 
bound tariffa 
(%) 
  06  Products of the chemical and re lated industries 1,465 4.1 0 - 17 1.4 30.0 
  07  Plastics and rubber 312 5.7 0 - 12 1.1 30.0 
  08  Hides and skins 79 10.8 0 - 12 0.3 30.0 
  09  Wood and articles of wood 107 11.0 0 - 12 0.3 30.0 
  10  Wood pulp, paper, etc. 246 8.2 0 - 12 0.7 30.0 
  11  Textiles and textile articles 966 17.0 0 - 20 0.3 30.0 
  12  Footwear, hats and othe r headgear 56 16.4 12 - 20 0.2 30.0 
  13  Articles of stone 174 5.9 0 - 12 1.0 30.0 
  14  Precious stones, etc. 57 9.1 0 - 12 0.6 30.0 
  15  Base metals and articles of  base metal 700 6.4 0 - 12 0.9 30.0 
  16  Machinery and mechanical appliances 1,195 3.1 0 - 20 1.8 30.0 
  17  Transport equipment 226 3.2 0 - 12 1.6 30.0 
  18  Precision instruments 290 4.8 0 - 12 1.2 30.0 
  19  Arms and ammunition 69 12.0 12 - 12 0.0 30.0 
  20  Miscellaneous manufactured articles 150 10.8 0 - 12 0.3 30.0 
  21  Works of art, etc. 7 12.0 12 - 12 0.0 30.0 
By stage of processing      
First stage of processing 846 10.3 0 - 25 0.8 30.5 
Semi-processed products 2,504 7.2 0 - 25 1.1 30.1 
Fully processed products 4,001 8.5 0 - 25 1.0 30.1 
a The calculations take tariff surtaxes into account but not the reductions and surcharges in the form of specific duties appli ed 
under the price band system to 46 ten-digit tariff lines. 
b ISIC (Rev.2), excluding electricity (1 line). 
Source : WTO Secretariat estimates, based on data provided by the authorities. 
47. The Customs Tariff has three duty rates:  0, 12 and 20 per cent.  Moreover, Peru applies 
additional duties of 5 per cent to imports of certa in products (see below).  Accordingly, in actual 
practice, the Tariff has five duty rates (0, 12, 17, 20 and 25 per cent).  The commonest rate is 0 per 
cent, which is applied to 44 per cent of tariff lines, followed by 12 per cent (41 per cent of tariff lines), 
20 per cent (10 per cent of tariff lines), 25 per cent (5  per cent of tariff lines) and 17 per cent (1 per 
cent of tariff lines). 
48. There is tariff escalation, but it does not follo w the usual pattern. Thus, although the average 
tariff rate applied to finished products is higher th an that applied to semi-finished ones, the average 
rate applied to raw materials is higher than that  applied to semi-finished and finished products 
(Table III.3). 
(b) Tariff surcharges 
49. Peru applies a tariff surcharge (called the "a dditional tariff surtax" and subsequently the 
"additional tariff duty") of 5 per cent to 392 ten-digit tariff lines.  The products subject to this measure 
are classified in Chapters 1-24 of the HS, except for dextrins and other modified starches, classified in Peru WT/TPR/S/189 
 Page 33 
 
 
HS Chapter 35.  The surtaxes have  been in force since 1997, although the amount and the coverage 
have often changed.36 
50. Surtaxes are applied to the c.i.f. value of imports.  Goods imported under the preferential 
agreements signed by Peru are also subject to surtaxes.  Under these agreements, the preferential 
margins are applied to the sum of the basi c rates and the additional surtax rates. 
(c) Tariff concessions 
51. Peru maintains a duty drawback system (sec tion (3)(iv)).  Moreover, under the temporary 
admission procedure, it is possible to obtain relief from the payment of import duties and taxes on goods intended for export after processing in Peru.
37  Temporary importation, which offers the same 
advantages as temporary admission, applies to certain goods intended to be exported in the same state, 
except for "normal wear and tear".38  The period during which the goods may remain in Peru before 
being exported may not exceed 18 months in the case of imports covered by temporary importation or 
24 months in the case of those covered by temporary admission.  In 2006, in value terms, imports 
under the temporary admission procedure amounted to about US$394 million and those under the temporary importation procedure to US$1.151 billion. 
52. The importation of certain MEF-approved go ods during the phase of exploration of 
hydrocarbon deposits is exempt from the payment of taxes, including customs duties.
39  Up to 2004, 
the State took responsibility for the payment of th e customs duties (and general sales tax) on imports 
of certain agricultural inputs.40  Legislative Decree No. 956 of 5 February 2004 abolished this 
concession. 
(d) Bindings 
53. The bindings of Peru's concessions are set out in Schedule XXXV annexed to the General 
Agreement on Tariffs and Trade 1994.  The WTO Secr etariat has transposed Peru's commitments to 
HS 96.  In mid-2007 the Committee on Market Access was examining ways of giving legal effect to 
these changes. 
54. Peru bound its entire tariff at a maximum rate  of 30 per cent, except for 29 tariff lines which 
were bound at a final rate of 68 per cent.  These lin es correspond to milk, dehydrated butter, wheat, 
maize, rice, sorghum, wheat flour, boiled grains and wheat groats, sugar and pasta.  The average of 
the bound rates is 30.2 per cent. 
55. The WTO Secretariat has not identified any tariff line with an applied rate higher than its 
respective bound rate.41 
                                                      
36 Supreme Decree No. 035-97-EF of 11 April 1997, as amended by Supreme Decrees No. 111-97-EF, 
No. 141-99-EF, No. 125-2000-EF, No. 016-2001-EF, No. 113-2001-EF, No. 114-2001-EF and No. 150-2005-EF. 
37 Chapter VI of Title V of the Single Harmonized Text of the General Customs Law, approved by 
Supreme Decree No. 129-2004-E F of 12 September 2004. 
38 Article 63 of the Single Harmonized Text of the General Customs Law, approved by Supreme 
Decree No. 129-2004-EF of 12 September 2004. 
39 Article 56 of the Single Harmonized Text of the General Law on Hydrocarbons. 
40 Law No. 27400 of 18 January 2001. 
41 In carrying out this analysis the Secretariat took in to account only the tariff lines contained in the file 
of the Consolidated Tariff Schedule corresponding to Peru which are stri ctly comparable with the HS 2007. WT/TPR/S/189 Trade Policy Review 
Page 34 
 
 
(e) Preferential tariffs 
56. Since January 2006, in the context of its participation in the Andean Community, Peru has 
granted duty-free treatment to all imports from Bolivia, Colombia, Ecuador and Venezuela that 
comply with the origin requirements.  This is th e result of a gradual tariff reduction process that began 
in 1997.42 
57. Peru also grants preferential treatment to imports from countries with which it has signed 
LAIA agreements (Table AIII.1 and Chapter II (5)). 
(v) Other charges 
58. Since 2004, Peru has applied a customs cleara nce charge on imports that exceed three tax 
units (UIT) (or, in 2007, S/. 10,350 , around US$3,252).  The charge is paid "for processing the Single 
Customs Declaration" under the outright importation and customs warehouse regimes 
(section (2)(i)).43  It amounts to 2.35 per cent of the UIT (equivalent to S/. 81.10, or around 
US$25.50). 
59. The selective consumption tax (ISC) is levied on th e sale in Peru at producer level and on the 
importation of fuels derived from petroleum, Pisco, beer, and cigarettes made from dark and bright 
tobacco (Table AIII.2).44  It is also levied on the sale in Peru by the producer or importer of vehicles, 
water and other non-alcoholic beverages, wine, ve rmouth, cider and other fermented beverages, 
undenatured ethyl alcohol, spirituous beverages, and cigars and cigarritos.  These goods represent 
about 1.4 per cent of the tariff universe.  Gambling and betting are also subject to ISC. 
60. The tax base for beer and cigarettes made from dark and bright tobacco is the retail selling 
price suggested by the importer or the producer multiplied by 0.84.45  The retail selling price includes 
all the taxes on importation, production and sale.  For other goods subject to ISC at ad valorem  rates, 
the tax base is the customs value plus import duti es (imported products) or the selling price, not 
including IGV (domestic products).46 
61. Pisco is subject to ISC at a specific rate of S. / 1.50 per litre, while other alcoholic beverages 
such as wine from grapes, fermented beverages, brandy , whisky, rum and gin, are subject to ISC at an 
ad valorem  rate of 20 per cent (Table AIII.2).  Due to th is difference in rates, the ISC on Pisco is less 
than the ISC on other alcoholic beverages if th e price of the latter exceeds S./ 7.50 per litre 
(approximately US$2.36 per litre).  According to the Pe ruvian authorities, the rates of ISC applied to 
Pisco and other alcoholic beverages are equivalent a nd the use of a specific rate for Pisco reflects the 
efforts being made by Peru to prevent the adu lteration of that beverage and encourage greater 
integration of production into the formal sector. 
62. Imported used vehicles are subject to ISC at 30 per cent, unless they have been overhauled or 
repaired in CETICOS or ZOFRATACNA and subse quently imported into the remainder of the 
                                                      
42 Decision No. 414 of the Commission of the Andean Community of 30 July 1997. 
43 Article 1 of Law No. 28321 of 10 August 2004 and Article 1 of Supreme Decree No. 072-2004-EF 
of 1 June 2004. 
44 Article 50 of the Single Harmonized Text of the Law on the General Sales Tax and Selective 
Consumption Tax, approved by Supreme Decree No. 055-99-EF of 15 April 1999. 
45 Article 56 of the Single Harmonized Text of the Law on the General Sales Tax and Selective 
Consumption Tax, approved by Supreme Decree No. 055-99-EF of 15 April 1999. 
46 Article 14 of the Single Harmonized Text of the Law on the General Sales Tax and Selective 
Consumption Tax, approved by Supreme Decree No. 055-99-EF of 15 April 1999. Peru WT/TPR/S/189 
 Page 35 
 
 
national territory, in which case they are taxed at zero per cent.47  The importation of used vehicles 
into CETICOS or ZOFRATACNA is also taxed at zero per cent.  This system gives a tax advantage to 
the overhaul and repair of used vehicles in C ETICOS and in ZOFRATACNA, since vehicles modified 
there are not subject at any time to the payment of IS C for release into circulation in the remainder of 
the national territory, whereas other imported used ve hicles are subject to ISC at 30 per cent (see also 
section (4)(iv)). 
63. IGV is levied on the importation and sale of most goods and the provision of services in each 
stage of marketing.48  The IGV rate is 17 per cent.49  To this should be adde d two percentage points 
for the municipal promotion tax.50  The tax base for imported goods is the customs value plus the 
duties and taxes affecting imports.51  For domestic goods, the tax base is the selling price, including 
ISC.52 
64. Imports and domestic sales corre sponding to approximately 6 pe r cent of the tariff universe 
are exempt from IGV and municipal promotion tax;  the exempt products  include certain live animals;  
fish, except those for meal and oil processing;  whole raw milk;  garden produce, vegetables and 
various other food products, fresh or chilled;  certain fresh or dried fruit;  raw or green coffee and tea;  
unhulled rice;  various seeds for sowing;  seabird guano;  urea and potassium sulphate for agricultural 
use;  wool and cotton, unprocessed ;  and certain motor vehicles. 
65. Various services are exempt from IGV and municipal promotion tax.  Ship certification, 
repair, maintenance, inspection and accident prev ention and control services are exempt from IGV 
and municipal promotion tax, but only if provided to national flag vessels.53 
66. Various activities are also exempt from ISC and IGV (section (4)(iv) and Chapter IV). 
67. Imports and the first sale of pounded rice are s ubject to the Tax on the Sale of Pounded Rice 
(IPAV).54  IPAV is levied at the rate of 4 per cent of th e price of the first sale made in Peru (domestic 
rice) or the customs value plus the duties and tax es affecting imports (imported rice).  The importation 
and sale of pounded rice is not subject to IGV or municipal promotion tax.55  In 2001, Peru abolished 
the special sales tax  levied on imports and sales of all varieties of rice.56 
(vi) Quantitative restrictions, controls and licences 
68. Peru prohibits the importation of some products (Table III.4). 
                                                      
47 Apppendix IV of the Single Harmonized Text of the Law on the General Sales Tax and Selective 
Consumption Tax, approved by Supreme Decree No. 055-99-EF of 15 April 1999. 
48 Article 1 of the Single Harmonized Text of the Law on the General Sales Tax and Selective 
Consumption Tax, approved by Supreme Decree No. 055-99-EF of 15 April 1999. 
49 Article 6 of Law No. 2 8929 of 12 December 2006. 
50 Article 76 of Legislative Decr ee No. 776 of 31 December 1993. 
51 Article 13 of the Single Harmonized Text of the Law on the General Sales Tax and Selective 
Consumption Tax, approved by Supreme Decree No. 055-99-EF of 15 April 1999. 
52 Article 14 of the Single Harmonized Text of the Law on the General Sales Tax and Selective 
Consumption Tax, approved by Supreme Decree No. 055-99-EF of 15 April 1999. 
53 Article 14.3 of Law No. 28583 of 22 July 2005. 
54 HS subheadings 10.06.20.00.00, 10.06.30.00.00, 10.06.40.00.00 and 23.02.20.00.00.  Law No. 28211 
of 22 April 2004. 
55 Article 6 of Law No. 28309 of 29 July 2004. 
56 Article 1 of Legislative Decree No. 918 of 26 April 2001. WT/TPR/S/189 Trade Policy Review 
Page 36 
 
 
Table III.4 
Prohibited imports, March 2007 
Product (number of  ten-digit tariff 
subheadings affected) Reasona Legislationb 
"Yoyo loco" (1) Health protection Supreme Decree No. 003-2004-SA of 19 February 2004 
Used tyres (2) Public health, safety and 
environmental protection Supreme Decree No. 003-2001-SA of 8 February 2001 
Foreign alcoholic beverages whose 
description includes the word "Pisco" (1) Protected appellation of 
origin Law No. 26426 of 1 January 1995 
Used clothing and footwear "with a 
commercial purpose" (312) Public health Law No. 28514 of 25 May 2005 
Used engines, components and spare parts 
for road vehicles (..) Safety Supreme Decree No. 017-2005-MTC of 15 July 2005 
.. Not available. 
a According to the legislation or the Peruvian authorities. 
b Amending legisla tion not included. 
Source : WTO Secretariat. 
69. The importation of used engines, components and spare parts for road vehicles is also 
prohibited.  These goods may be imported if used fo r off-road machinery or vehicles, provided they 
have been remanufactured and are supplied with a factory guarantee "similar to that for new goods".57 
70. The importation of certain other products is subject to authorization or registration 
requirements, generally in the interests of nati onal security, consumer health or environmental 
protection (Table AIII.3).  In its notifica tion concerning the Agreement on Import Licensing 
Procedures, Peru indicated that "no administrativ e procedure relating to import licensing exists in 
Peru".58 
71. In general, authorizations and registrations ar e not used to limit the quantity of imports.  The 
Peruvian authorities have stated that there are no circumstances, apart from non-compliance with the 
criteria established in the legislation, in which an application for authorization or registration can be 
rejected.  The criteria for obtaining authorization and registration are contained in the "single texts" of 
the administrative procedures of the responsible entity.   The single texts also identify the bodies with 
which it is possible to lodge an administrative appeal  against a refusal to grant an authorization or 
registration. 
72. Applications for authorizations must be ma de to each of the entities responsible.  Law 
No. 28977 of 9 February 2007 provides for the establishment of a single window under MINCETUR for processing authorizations.
59  The legislation specifies a period of five days for the completion of 
these formalities.  These provisions will enter in to force as soon as the corresponding regulation is 
published.  It is intended that the singl e window should be in operation from 2010. 
73. Supreme Decree No. 058-2005-EF of 10 May 2005 provides that the MEF is the sole entity 
authorized to "adopt measures intended to restrict or hinder the free flow of goods through the 
imposition of formalities, requirements or measur es of any kind that affect imports ... ".60  T h e  
Peruvian authorities have pointed out that since the Decree entered into force, every year the MEF has 
revised some 30 regulations that aff ect domestic or foreign marketing. 
74. Only used vehicles not more than five years old (two years for some categories) may be 
imported.  These vehicles must not have a mileage gr eater than that stipulated in the legislation and 
                                                      
57 Article 2 of Supreme Decree No. 017-2005-MTC of 15 July 2005. 
58 WTO document G/LIC/N/3/PER/4 of 3 October 2006. 
59 Article 9. 
60 Article 2. Peru WT/TPR/S/189 
 Page 37 
 
 
must not have "overturned or been involved in a head-on, lateral or rear-end collision".61  Moreover, 
they must have had left-hand drive from the time  of manufacture and the emissions may not exceed 
the maxima specified in the legislation.  U sed vehicles imported into CETICOS and ZOFRATACNA 
do not need to comply with the requirements rela ting to overturning or collision and emissions, and 
may have been manufactured with right-hand drive.62  The importation into CETICOS and 
ZOFRATACNA of passenger vehicles with more than nine seats and freight vehicles of more than 3,000 kg. is prohibited.
63 
(vii) Anti-dumping, countervailing and safeguard measures 
(a) General provisions 
75. As part of the Final Act of the Uruguay Round, the Agreement on Implementation of 
Article VI of the General Agreement on Tariffs  and Trade 1994, the Agreement on Subsidies and 
Countervailing Measures and the Agreement on Safeguard s were incorporated in the domestic law of 
Peru on 1 January 1995. 
76. Within the framework of the Andean Community (CAN), the measures relating to trade 
protection are Decision No. 283 of 1991 on dumping practices and subsidies originating in third 
countries;  Decision No. 456 of 1999 on dumping prac tices originating in a member country of the 
Andean Community;  Decision No. 457 of 1999 on intra-Community subsidies;  Decision No. 563 of 2003 on intra-Community safeguards;  and Decisi on No. 452 of 1999 on third-country safeguards.  
The General Secretariat of the Andean Comm unity is responsible for carrying out these 
investigations, which can be requested by dom estic producers or governments of the Andean 
Community countries. 
(b) Anti-dumping and countervailing measures 
77. The main piece of national anti-dumping and countervailing duty legi slation is Supreme 
Decree No. 006-2003-PCM, Regulations on Dumpi ng and Subsidies.  These regulations were 
approved in 2003 and repealed the previous legislation (Supreme Decrees No. 043-97-EF, 
No. 144-2000-EF, and No. 225-2001-EF).  The new regula tions serve to consolidate the legislation in 
this field and, according to the Peruvian authorities,  are intended to reduce the scope for the exercise 
of discretionary authority in dumping and subsid y investigations with a view to making the 
investigation process more predictable and tran sparent.  Supreme Decrees No. 133-91-EF and 
No. 052-92-EF continue in force and are applied to countries that are not WTO Members. 
78. Peru notified Supreme Decree No. 006-2003-PCM in March 2003.
64  This notification gave 
rise to a number of questions to which Peru provided replies.65  The questions related to issues such as 
the refund of duties paid, public notices, liability of parties that fail to provide information or obstruct 
an investigation, fines and penalties, cumulativ e assessment of imports, interim and expiration 
                                                      
61 Article 1 of Supreme Decree No. 042-2006-MTC of 22 December 2006. 
62 Article 3 of Legislative Decree No. 843 of 30 August 1996. 
63 Emergency Decree No. 079-2000 of 20 September 2000. 
64 WTO documents G/ADP/N/1/PER/2 and G/SCM/N/1/PER/2 of 3 March 2003. 
65 The replies of the Government of Peru to the questions raised can be found in WTO documents 
G/ADP/Q1/PER/29 and G/SCM/Q1/PER/29 of 9 July 2004, G/ADP/Q1/PER/27 and G/SCM/Q1/PER/27 of 20 April 2004, G/ADP/Q1/PER/25 and G/SCM/Q1/PER/25 of 2 December 2003, G/ADP/Q1/PER/24 and 
G/SCM/Q1/PER/24 of 27 November 2003,  G/ADP/Q1/PER/22 and G/SCM/Q1/PER/22 of 4 November 2003, 
G/ADP/Q1/PER/21 and G/SCM/Q1/PER/21 of 20 October 2003, and G/ADP/Q1/PER/21/Suppl.1 and G/SCM/Q1/PER/21/Suppl.1 of 5 November 2003. WT/TPR/S/189 Trade Policy Review 
Page 38 
 
 
reviews, verifications, support for the domestic i ndustry, opportunities for the submission of evidence 
or arguments, appeals, access to information and documents, confidentiality of information, and 
subsidies contingent upon exports and loans. 
79. The Peruvian authority competent to investigat e cases of dumping and subsidization is the 
Dumping and Subsidies Commission (CFDS) of the National Institute for the Defence of Competition 
and the Protection of Intellectual Property (INDECOPI).66  In addition, the CFDS has a Technical 
Secretariat.  It is also the administrative authorit y of first instance with powers to initiate and resolve 
proceedings concerning dumped or subsidized impo rts.  Responsibility for interpreting and applying 
decisions at second and last administrative inst ance lies with the INDECOPI Tribunal, whose 
decisions can be appealed directly to Peru's Supreme Court. 
80. The number of anti-dumping investigations initia ted increased considerably during the period 
under review (Table III.5).  The Secretariat Report for Peru's previous TPR indicated that between 
October 1994 and December 1999 the CFDS initiated 22 anti-dumping investigations.  By contrast, 
during the period January 2000 to December 2006, 50 anti-dumping investigations were initiated 
(Table III.5). 
Table III.5 
Anti-dumping and countervailing measures, 2000-2006 
 2000 2001 2002 2003 2004 2005 2006 
Anti-dumping  
  Initiations 1 10 13 5 7 11 3 
  P r o v i s i o n a l  m e a s u r e s  i m p o s e d  185240 1  
  Definitive anti-dumping measures  1 1 08367 0  
  Revocations 0 0 0 0 0 0 2 
Countervailing  
  Initiations 101000 0  
  P r o v i s i o n a l  m e a s u r e s  i m p o s e d  011000 0  
  Definitive countervailing measures 010100 0  
  R e v o c a t i o n s   000000 0  
Source : WTO Secretariat and information provided by the authorities. 
81. It appears that the increase in the number of investigations in recent years has mainly been 
due to the wider dissemination of the WTO Ag reements, including trade defence measures.67  The 
increase is also thought to be a consequence of the greater number of investigation applications for the 
imposition of anti-dumping measures focused on products of steel and its derivatives. 
82. At the end of 2006 there were 34 definitive anti- dumping duties in force, of which 11 related 
to products imported from China and five to produc ts from Chile.  The products to which these duties 
are being applied are diverse in nature and incl ude steel, footwear, bodyboards, woven cotton fabric, 
tableware, and soft drinks (Table AIII.4). 
                                                      
66 INDECOPI online information.  See: http ://www.indecopi.gob.pe/destacado-competencia-
comisiones-dys-pres.jsp. 
67 Publication in the Official Journal, El Peruano , of a Special Offprint entitled "Strengthening of Trade 
Liberalization:  Measures against Dumping and Subsidies", 14 May 2000, which included the pre-publication of 
Supreme Decree No. 006-2003-PCM for comments by the general public and a study on anti-dumping and countervailing measures. Peru WT/TPR/S/189 
 Page 39 
 
 
83. At the end of 2006, virtually all the fina l anti-dumping measures adopted before 2000 had 
been revoked.  Only the measures imposed in 1995  against imports of various woven fabrics from  
China were being maintained, after a review of the anti-dumping duties in 2001.  Anti-dumping measures imposed since 1999 on countries that are not WTO Members are also being maintained. 
84. Within the framework of the Andean Commun ity, Peruvian producers have requested five 
dumping investigations since 1995:  three appli cations were rejected, one was found to be 
inadmissible, while the fifth, against imports of aluminium profiles from Ecuador, was determined to 
be well-founded and under Decision 456 of the Andean Community anti-dumping duties were imposed (Resolution No. 609 of 2001). 
85. Between January 2000 and December 2006, Peru  carried out two investigations into 
subsidization practices (Table AIII.5).  At the beginning of 2007, only the countervailing duties 
corresponding to imports of olive oil from the European Union were in effect. 
(c) Safeguards 
86. Where WTO safeguards are concerned, the domes tic legislation consists of Supreme Decree 
No. 020-98-ITINCI approving the regulatory provisi ons of the WTO Agreements on Safeguards and 
on Textiles and Clothing, as amended by Suprem e Decree No. 017-2004-MINCETUR.  In 2003, 
Supreme Decree No. 023-2003-MINCETUR, Transiti onal Safeguard Regula tions, was approved, 
under WTO rules and commitments.
68 
87. The Peruvian authority responsible for appl ying safeguard measures is a multi-sectoral 
commission comprising the Minister of Economy and Finance, the Minister of Foreign Trade and 
Tourism and the Minister for the sector to which the domestic industry affected belongs.  
Investigations are conducted by the INDECOPI Dumping and Subsidies Commission.  Decisions 
taken by the multi-sectoral commission are made of ficial by a Supreme Decree of the Ministry of 
Foreign Trade and Tourism, endorsed by the ministers on the multi-sectoral commission. 
88. During the review period, Peru applied provi sional safeguard measures on two occasions.  in 
December 2003 provisional safeguards were applied to  made-up textile article s originating in China 
within the context of the transitional product-speci fic safeguard mechanism c ontained in the Protocol 
of Accession of the People's Republic of China to th e WTO.  The measure was applied for a period of 
200 days, after which Peru decided not to apply definitive safeguard measures.69 
89. On 22 August 2004, the Government of Peru in itiated an ex officio investigation on the 
application of safeguards to made-up textile imports .  The argument for initiating an investigation was 
that the domestic industry largely consisted of micro and small enterprises and was highly 
fragmented.  The investigation led to the applica tion of provisional safeguards for 200 days.  On 
4 May 2005, Peru terminated the application of  provisional safeguard measures without imposing 
definitive safeguard measures.70 
                                                      
68 The notifications of the regulations can be  found in WTO documents G/SG/N/1/PER/1 of 
29 March 1995, G/SG/N/1/PER/2 of 22 January 1999, G/SG/N/1/PER/2/Suppl.1 of 3 November 2003 and 
G/SG/N/1/PER/2/Suppl.2 of 31 August 2004. 
69 The Peruvian Government notifications can be found in WTO documents G/SG/67 of 
14 January 2004, G/SG/67/Suppl.1 of 21 July 2004 and G/SG/67/Suppl.1/Rev.1 of 28 July 2004. 
70 The notification appears in WTO document G/SG /N/6/PER/1 of 30 August 2004, G/SG/N/7/PER/1 
of 19 October 2004, G/SG/N/7/PER/1/Suppl.1 of  19 October 2004, G/SG/N/7/PER/1/Suppl.2 of 
15 December 2004 and G/SG/N /9/PER/1 of 30 May 2005. WT/TPR/S/189 Trade Policy Review 
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90. With regard to safeguard measures against WTO non-Member countries in September 1999 
Peru initiated an investigation against Russia and Uk raine concerning cold- and hot-rolled steel plate;  
the final decision was not to impose a measure.  The Dumping and Subsidies Commission, in Technical Report No. 006-2000/CDS-INDECOPI of 21 March 2000, determined that the application 
was inadmissible. 
91. Within the context of the Andean Community , since 1995 Peru has initiated five safeguard 
investigations, of which two were rejected and two f ound to be inadmissible.  In the fifth, in 2004, 
under Article 97 of the Cartagena Agreement, the Ge neral Secretariat of the Andean Community gave 
a partial confirmation ruling on oil-seed imports. 
92. Under LAIA, Peru has included bilateral safegua rd provisions in its trade agreements with 
Chile (ECA 38), MERCOSUR (ECA 58), Mexico (E CA 8) and Cuba (ECA 50).  However, in 
mid-2007 Peru had not initiated any proceeding under these regimes. 
(viii) Technical regulations and standards 
(a) General provisions 
93. The policy on technical regulations and standa rds is defined in Legislative Resolution 
No. 26407 of December 1994 and in Legislative De crees No. 668 of September 1991 and No. 682 of 
October 1991, as well as in Decree-Laws No. 25629 of July 1992 and No. 25909 of November 1992.  Moreover, Decisions of the Commission of th e Andean Community Nos. 419, 562, 506 and 
615 apply. 
94. INDECOPI is responsible for developing "technical standards" (equivalent to WTO 
standards), while various central government minist ries, within their spheres of competence, are 
responsible for developing technical regulations .  Moreover, in accordance with Supreme Decrees 
No. 058-2005-EF of May 2005 and No . 149-2005-EF of Nove mber 2005, these technical regulations 
must be authenticated by the MEF.  In practice, if  some Ministry, within its sphere of competence, 
approves a technical regulation that uses or refers  to a standard, for reasons of transparency, 
INDECOPI publishes that standard on its web page under the heading "Mandatory Technical 
Standards", with details of the techni cal regulation which makes it mandatory. 
95. Peru notified the WTO of the entry into force,  on 1 January 1995, of Legislative Resolution 
No. 26407 of 18 December 1994, which incorporated  the Agreement on Technical Barriers to Trade 
and other multilateral agreements in the Peruvian legislation.
71  It also notified the INDECOPI 
Commission on Technical and Trade Regulations (CRT ) as the National Enquiry Point, and the then 
Vice-Ministry of Tourism, Integration and Intern ational Trade Negotiations of the Ministry of 
Industry, Tourism, Integration and Internationa l Trade Negotiations as the entity responsible for 
notifications. Since the reorganization of the executiv e branch, the entity responsible for notifications 
is the Vice-Ministry of Foreign Trade of the Ministry of Foreign Trade and Tourism (MINCETUR).  Peru has also notified that the CRT accepted the Co de of Good Practice for the Preparation, Adoption 
and Application of Standards in June 1995.
72 
96. In the Committee on Technical Barriers to Trad e, questions were raised concerning the 
technical regulations adopted by Peru in relation,  for example, to infant food and the information 
                                                      
71 WTO document G/TBT/2/Add.29 of 23 December 1996. 
72 WTO document G/TBT/CS/N/7/Rev.1 of 23 January 1997. Peru WT/TPR/S/189 
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contained in footwear labelling.73  Peru has commented on the Euro pean Union labelling standard for 
tinned sardines. 
97. The CRT has three main functions:  (i) to a pprove recommendable technical standards for all 
sectors, together with regulations on legal metrology ;  (ii) to evaluate and grade public and private 
entities through administrative accreditation procedures in order that they may provide conformity 
assessment services;  and (iii) to oversee the protec tion of the standards that govern the freedom of 
foreign trade in accordance with Legislative Decree No. 668 and Decree-Law No. 25629, which 
guarantee the freedom of foreign trade. 
98. The CRT reviews (including in investigations in itiated ex officio) whether any non-tariff 
barriers to trade adopted by some public body are ju stified.  These powers were temporarily weakened 
by Legislative Decree No. 807 of 18 April 1996, under which the CRT could not suspend non-tariff measures but only send a special report, with reco mmendations, to the Presidency of the Council of 
Ministers.  However, the powers of the CRT to suspend such measures were restored by Law 28996 
of 4 April 2007, albeit only for reviews initiated by a complaint from one of the parties. 
99. As the national standardization organizati on, the CRT is responsible for approving 
metrological standards and regulations and making them available to all interested parties.  These 
texts are the result of a dialogue between the public  and private sectors, generally based on sectoral 
diagnostic studies, and are prepared by technical  committees composed of producers, importers, 
marketers, consumers, ministries and other technical  entities, which develop a draft technical standard 
that is subsequently submitted to the CRT for appr oval.  There are 81 technical committees, of which 
66 are active. 
100. The legal basis for the preparation of standards and technical regulations  consists of Annex 3 
to the WTO Agreement on Technical Barriers to Trade;   the ISO Guide:  Code of Good Practice for 
Standardization;  Decision No. 419 (establishing the Andean system of standardization, accreditation, 
testing, certification, technical regulations and me trology);  Decision No. 562 (on guidelines for the 
drafting, adoption and application of technical regulations);  and Reso lution 313 of the General 
Secretariat of the Andean Community.  Peru participates in several bodies concerned with 
standardization at the international level, such as ISO, IEC, and Codex Alimentarius, as well as in 
trade agreements;  at regional level in the Pa n-American Standards Commission (COPANT), the 
Pacific Area Standards Congress (PASC), the Asia -Pacific Legal Metrology Forum and the Inter-
American Metrology System (SIM);  and at subr egional level, in the Andean Standardization 
Committee. 
101. Supreme Decree No. 149-2005-EF of Novemb er 2005 (as amended by Supreme Decree 
No. 001-2006-EF of January 2006) approved provisi ons regulating technical barriers to trade for 
goods and services.  This Decree includes transparen cy provisions which stipulate that the period 
between the publication of a technical regulation and its entry into force may not be less than 
six months.  In addition, imported goods subject to compliance with technical regulations will have to 
be accompanied by a technical regulation compliance certificate with a period of validity of one year, granted by the ministry for the corresponding sector under transparent, clear and predictable procedures and on the basis of non-discriminatory criteria.  Finally, for the purpose of ensuring transparency, the sector that prepares technical regul ations must publish them in the Official Journal, 
                                                     
 
73 The questions can be found in WTO documents G/TBT/M/37 of 22 December 2005, G/TBT/M/35 of 
24 May 2005, and G/TBT/M/34 of 5 January 2004. WT/TPR/S/189 Trade Policy Review 
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El Peruano , or on the sector's web page for a period of at least 90 calendar days, for the receipt of 
comments, without prejudice to the notifications required by the WTO and the Andean Community.74 
(b) Application 102. The Peruvian authorities have noted that there are 4,206 approved standards, of which 
4,163 were in force in December 2006.  Of these, 2,499 were approved by the Institute for 
Technological and Industrial Research and Technical  Standards (ITINTEC) and 1,664 by INDECOPI.  
The standards approved by ITINTEC are in process of  being updated.  Of the standards administered 
by INDECOPI, 448 are identical to international standards and 69 are based on such standards.  
During the period 2000-2006, 1,209 standards were approved. 
103. With respect to technical regulations, the authorities have indicated that they are making an 
inventory of the technical regulations in force, which should be completed in the second half of 2007 
and will be made available to th e general public via a web page. 
104. In general, Peruvian technical regulations are ba sed on international standards.  Where this is 
not the case (due to differences in development cond itions, technological progress, etc.), regional or 
third-country practices are used. 
105. Andean Community Decisions No. 562 and No. 615 establish transparency procedures for the 
process of issuing technical regulations which sp ecify time-frames for publication in the Official 
Journal, the receipt of comments, publication and en try into force.  These Decisions also provide for 
the issuing of emergency technical regulations, with a shorter time-frame. 
106. In the preparation of a technical regulati on, the period for public consultation for WTO 
purposes is 90 calendar days from publication of the no tification in the WTO.  Moreover, the period 
between the publication of the technical regulation and its entry into for ce may not be less than 
six months.  A third country may request an extens ion of the public consultation period, before the 
above-mentioned 90 days have expire d.  Comments received as a result of the public consultation are 
evaluated by the competent ministry, which may adopt or reject them. 
107. Standards may be made mandatory if the parti es so agree, or through a technical regulation 
issued by a regulatory entity.  At the beginning of 2007, there were 81 standards that had been made 
mandatory, insofar as they had been referred to or incorporated in a technical regulation. 
108. The CRT is the independent authority respons ible for the national administration of the 
accreditation system in accordance with internatio nal criteria and standards.  The CRT accredits 
testing and calibration laboratories, inspecti on bodies, product certification bodies and quality 
management system certification bodies. 
109. According to information provided by the Pe ruvian authorities, 29 testing laboratories, 
two calibration laboratories, 13 product certifica tion bodies and two quality management system 
certification bodies have been accredited. 
110. Peru participates in several fora concerned with  conformity assessment. At regional level in 
Inter-American Accreditation Cooperation (IAAC) and at subregional level in the Andean 
Accreditation Committee.  The CRT  participates in the IAAC's Multilateral Recognition Agreement 
for the Accreditation of Quality Management System Certification Bodies. 
                                                     
 
74 Supreme Decree No. 068-2007-EF of 8 June 2007. Peru WT/TPR/S/189 
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111. In the voluntary context, conformity is o fficially assessed by the accredited conformity 
assessment bodies.  In the mandatory context, if  there is no accredited conformity assessment body, 
the ministries may authorize one. 
112. The authorities have stated that there is no generally applied procedure for verifying 
compliance with technical regulations, although under Law No. 27444 – Law on General 
Administrative Procedure – priority should be given to post facto controls.  They have also noted that 
once the products have entered the domestic mark et, the ministries, within their spheres of 
competence, implement various permanent or te mporary market surveillance measures, either 
ex officio or at the request of a party, in order to oversee compliance with their respective technical 
regulations. 
(ix) Sanitary and phytosanitary measures 
113. The following are the competent Peruvian au thorities for sanitary and phytosanitary (SPS) 
matters:  for animal and plant health, the National Ag rarian Health Service (SENASA) of the Ministry 
of Agriculture;  for the safety of processed food pr oducts, the Directorate-General of Environmental 
Health (DIGESA), at the Ministry of Health;  a nd for hydrobiological product health, the Fisheries 
Technology Institute (ITP) attached to the Ministry of Production, which is the competent authority of 
the National Fisheries Health Service (SANIPES). 
114. SENASA serves as Peru's SPS enquiry point.75 
115. Peru has participated in meetings of the WT O's SPS Committee, raising a number of specific 
trade concerns.76  It has also notified other WTO Members of its progress in dealing with sanitary and 
phytosanitary issues, including its experiences with national programmes aimed at eradicating fruit fly 
and foot-and-mouth disease. 
116. Between 2000 and 2006, Peru submitted  126 SPS notifications to the WTO.77  According to 
the authorities, all of these related to measures b ased on an international guideline, and 31.7 per cent 
(40 notifications) were for emergency measures.  
117. Peru is a member of the Codex Alimentari us Commission and the World Organization for 
Animal Health (OIE);  and it is also a contracting party to the International Plant Protection 
Convention (IPPC).  It has signed SPS agreements  with 13 of its trading partners since 2000.78 
118. Peru's work on sanitary and phytosanitary issu es is set within the framework of the WTO 
Agreement on the Application of Sanitary and Phyt osanitary Measures.  Its domestic regulations on 
plant and animal health are mostly containe d in Decree Law No. 25902 of 29 November 1992, 
Organic Law on the Ministry of Agriculture and Li vestock, establishment of the National Agrarian 
Health Service;  Law No. 27322 of 23 July 2000,  Agrarian Health Framework Law;  Supreme Decree 
No. 048-2001-AG of 29 July 2001, establishing the General Regulation to the Agrarian Health 
                                                      
75 WTO document G/SPS/ENQ/21of 21 February 2007. 
76 These comments are included in WTO documents  G/SPS/R/42 of 25 September  2006, G/SPS/R/40 
of 26 May 2006, G/SPS/R/36 of 4 May 2005, G/SPS/R/34 of 16 August  2004, G/SPS/R/33 of 7 May 2004, 
G/SPS/R/31 of 23 December 2003, G/ SPS/R/30 of 4 September  2003, G/ SPS/R/25 of 18 January 2002 and 
G/SPS/R/22 of 5 October 2001. 
77 Excluding revisions, additions or corrections.  The notifications are contained in WTO documents 
G/SPS/N/PER/14 to 139. 
78 Argentina, Bolivia, Braz il, Chile, China, Czech Republic, Ecua dor, Israel, Mexico, New Zealand, 
Paraguay, Poland and Uruguay. WT/TPR/S/189 Trade Policy Review 
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Framework Law;  and Supreme Decree No . 008-2005-AG of 9 February 2005, approving 
organizational and functional regulations of SENASA.79 
119. Legislation on food safety includes Law No. 26842 (General Health Law), Supreme Decree 
No. 007-98 SA (Regulation on Sanitary Surveilla nce and Control of Food and Beverages), and 
Ministerial Resolution No. 449-2006 of May 2006, of the Ministry of Health (sanitary standard for 
application of the HACCP system in the pr oduction of food and beverages), among others. 
120. The main laws governing fisheries health are Law No. 28559 of 29 June 2005, Law on the 
National Fisheries Health Service (SANIPES );  Supreme Decree No. 040-2001-PE of 
17 December 2001, approving the Sanitary Standa rd for Fisheries and Fish-Farming;  Supreme 
Decree No. 07-2004-PRODUCE of 26 Ma rch 2004, approving the Sanitary  Standard for Live Bivalve 
Molluscs;  and Supreme Decree No. 025-2005-PRODUCE of 30 September 2005, approving the regulation to the SANIPES Law.
80 
121. The Agrarian Health Framework Law define d SENASA as a decentralized public agency 
attached to the Ministry of Agriculture, havi ng technical, economic, fina ncial and administrative 
autonomy.  SENASA provides phytosanitary and animal health inspection, verification and 
certification services;  as well as  diagnosing, identify ing and supplying biological controllers.  In 
addition, it registers and inspects pesticides a nd livestock products, together with importers, 
manufacturers, sales outlets and practitioners in the s ector;  and it also issues import licences for crop 
and livestock products. 
122. Pest risk analyses (PRAs) are mainly conduc ted by SENASA and SANIPES, generally either 
at the request of importers or ex officio.  The auth orities stated that PRAs ar e cost free.  They also 
indicated that a plant health risk analysis generally takes a year to complete, either owing to a lack of 
cooperation from the exporting country or because th e questionnaire does not provide the information 
needed for the analysis.  In the animal health area, the average time is three months;  the PRAs 
performed during the reporting pe riod have related to bovine spongiform encephalopathy (BSE) and 
avian influenza. 
123. SANIPES also performs PRAs on the various fishery activities.  The time taken varies;  for 
example, sanitary studies to approve an area for harvesting bivalve molluscs should last at least a year, according to the regulations.  In the case of the sanitary standard for fish meal and oil, the period 
varies between three and six months. 
124. With respect to the safety of processed foods, Supreme Decree No. 007-98-SA of 
September 1998 created a framework standard for sanitary surveillance and control of food and 
beverages in the production chain.  The authorities st ated that this brings domestic regulations into 
line with international ones, particularly those of  the Codex Alimentarius.  Peru has also adopted 
international standards for establishing food hea lth certificates and nutritional valuations.  The 
authorities stressed that the harmonization and adop tion of international food safety standards has 
been helpful when negotiating equivalence agreem ents with other countries whose markets receive 
Peruvian exports. 
125. In the period 2000-2005, SENASA also approve d a number of regulations on agricultural 
inputs, including those relating to the national regist ry of chemical pesticides  for agricultural use.  
SENASA has also worked to contro l and eradicate pests and diseases, and has declared national zones 
                                                     
 
79 The regulations may be consulted at the SENA SA Internet site:  http://www.senasa.gob.pe/ 
normatividad_2/index.htm. 
80 The regulation can be consulted on the SANIPES In ternet site:  http://www.itp.org.pe/ sanipes.htm. Peru WT/TPR/S/189 
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to be free of foot-and-mouth disease, avian influen za, bovine and caprine brucellosis, among others, 
as well as pests such as fruit fly. 
126. Imports of all plants, plant products and othe r regulated items, as well as animals, animal 
products and by-products, require the respective phyto sanitary or animal health permit.  The Single 
Text for Administrative Procedures (TUPA), issu ed by SENASA, sets out the requirements for 
obtaining the necessary entry permit.  In some cases  it is also necessary to obtain a phytosanitary or 
animal health import permit at the preshipment stag e, to ascertain the conditions that the product in 
question will need to fulfil to gain admission to  the country.  Products that do not satisfy the 
established  phytosanitary or animal  health requirements are sent back. 
127. All natural or legal persons undertaking activiti es that involve the manufacture, formulation, 
importation, exportation, packaging, distribution, st orage and marketing of agricultural pesticides or 
livestock inputs (including animal feed) must be registered in the Companies Registry, while those 
engaging in seed propagation are required to register in the Seed Producers Registry.  Both registries 
are operated by SENASA. 
128. The costs of conformity assessments and inspections  in respect of plant and animal health, as 
well as all other technical and laboratory analysis services, including inspection visits, are paid for by 
the users.  The costs in question are established in the TUPA issued by SENASA.  Sanitary and 
phytosanitary inspections can be conducted at the borde r, inside the country or at the place of origin. 
129. In the case of food safety, the costs of conformity assessments and inspections, as well as all 
other technical and laboratory analysis services, including inspection visits, are paid for by the 
applicant.  With regard to sanitary certification, one  of the requirements is inspection, which is also 
paid for by the applicant.  Hea lth surveillance in spection is the responsibility of the State and may be 
conducted at the border, inside the country or at the place of origin. 
130. In the case of fisheries health, SANIPES carries  out sanitary inspections and audits on the 
various fisheries and aquaculture activities on an ex officio basis.  Inspection or conformity 
assessment services can also be requested by  firms who must then pay for the service. 
131. As regards genetically modified products, Pe ruvian legislation includes Law No. 27104 (Law 
on the Prevention of Risks Arising from the Use of Biotechnology) of May 1999, Supreme Decree No. 108-2003-PCM (Regulation to Law No. 27104), which govern imports of genetically modified 
products;  and Supreme Decree No. 022-2004-RE, ratifying the Cartagena Protocol on Biosafety to the Convention on Biological Diversity.  It should be  noted that there is no regulation governing the 
domestic market for genetically modified products;  and, as at mid-2007, no permit had been issued 
under Law No. 27104 for the marketing of such products. 
(3) M
EASURES DIRECTLY AFFECTING EXPORTS  
(i) Registration and documentation 
132. Exporters may fulfil customs formalities without us ing a customs broker.  To do so, however, 
they require  authorization from SU NAT, for which they must satisfy the requirements set out in the 
Regulation to the General Customs Law.81  SUNAT authorization is not needed in the case of exports 
worth US$2,000 or less. 
                                                      
81 Chapter III of Title VII of the Regulation to the General Customs Law, approved by Supreme Decree 
No. 011-2005-EF of 26 January 2005. WT/TPR/S/189 Trade Policy Review 
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133. In general, the documents needed for exports  are the customs declaration, the commercial 
invoice and the transport document;  although cer tain merchandise exports require additional 
documents such as authorizations (section (4)(ii)).82  A simplified declaration is used for exports 
valued at US$2,000 or less. 
134. SUNAT makes a random selection of exports for cont rol, taking risk analysis variables into 
account.  Controls may be documentary or physical.  The Peruvian authorities stated that around 5 per 
cent of export operations undergo physical control. 
(ii) Other charges 
135. Exports are not subject to any charge or tax.83  The General Sales Tax (IGV) paid on inputs to 
be used in the production of goods for export is held as a tax credit in favour of the exporter.84  The 
notional 0 per cent tax levied on exports for statis tical purposes was repealed by Legislative Decree 
No. 951 of 3 February 2004. 
(iii) Quantitative restrictions, controls and permits 
136. Peru continues to prohibit exports of  certain specimens of Cat's Claw ( Uncaria tomentosa  and 
Uncaria guianensis ) "either unprocessed or subject to mech anical processing", unless they come from 
specific areas;  and it also bans the exportation of al pacas and llamas that have won awards in official 
events.85 
137. The exportation of wood in log form and other forest products in their "natural state" is 
prohibited, except where obtained from nurseries or forestry plantations and "not requiring processing for their final consumption".
86 
138. A further export prohibition applies to seeds, specimens and products of maca ( Lepidium 
meyenii, Lepidium peruvianum ) "in the natural state or having undergone primary processing."87  The 
purpose of this measure is to promote maca exports with "higher value-added".88  Exportation of 
specimens of camu camu ( Myrciaria dubia ) is also prohibited "in the natural state and having 
undergone primary mechanical processing", except for pr oducts "in the form of extracts or processed 
pulp."89  This measure reflects the need to promote private investment in response to growing demand 
for camu camu on international markets. 
139. Export bans are also applicable to seeds, fruits "and any other botanical structure in its natural 
state, which can be used to obtain genetic material from the thornless variety of pijuayo 
                                                      
82 See paragraph 62 of the General Procedure:   Definitive Exportation, INTA-PG.02 of 
22 October 2005. 
83 Article 54 of the Single Harmonized Text of the General Customs Law, approved by Supreme 
Decree No. 129-2004-EF of 12 September 2004. 
84 Article 34 of the Single Harmonized Text of the Law on the General Sales Tax and Selective 
Consumption Tax, approved by Supreme Decree No. 055-99-EF of 15 April 1999, and Article 6 of Supreme 
Decree No. 29-94-EF of 29 March 1994. 
85 Article 1 of Supreme Decree No. 009-99-AG of 29 March 1999, and Article 1 of Supreme Decree 
No. 008-96-AG of 8 June 1996.  Both of these prohibitions are described in WTO (2000), Chapter III, 
section (3)(iii). 
86 Article 261 of the Regulation to the Forestry and Wild Fauna Law, appr oved by Supreme Decree 
No. 014-2001-AG of 9 April 2001. 
87 Article 1 of Supreme Decree  No. 039-2003-AG of 8 December 2003.  Maca is a plant. 
88 Article 1 of Supreme Decree No. 039-2003-AG of 8 December 2003. 
89 Article 5 of Supreme Decree No. 046-99-AG of 25 November1999.  Camu camu is a fruit. Peru WT/TPR/S/189 
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(Bactris gasipaes  Kunth)."90  This measure forms part of Peru's efforts to control access to its genetic 
resources.91 
140. Exports of certain products are subject to contro ls and therefore require authorization.  Some 
of these controls are applied in compliance with Peru 's international commitments.  Products requiring 
authorization include:  hydrobiological species;  wild flora and fauna;  narcotics, psychotropic 
substances and their precursors;  products that  could be used to manufacture drugs;  arms, 
ammunition, explosives and related articles for civ ilian use;  documents containing a historical or 
geographical description of Peru's borders;  goods fo rming part of the nation's cultural heritage;  and 
liquid petroleum gas and other hydrocarbon derivatives.92 
141. The Ministry of Agriculture sets a nnual quotas for alpaca and llama exports93, as part of a 
regime that seeks to promote the breeding, pr oduction, marketing and consumption of these species.94  
The Peruvian authorities have indicated that Peru eliminated the guano export quota in 2000. 
(iv) Subsidies, charge and tax concessions and free zones 
142. Peru has informed the WTO that it did not gran t any export subsidy for agricultural products 
between 2000 and 2002.95  No specific subsidy was notified, w ithin the meaning of the Agreement on 
Subsidies and Countervailing Measures, for 2000-2006. 
143. Peru maintains a duty drawback scheme, wh ich has been amended on numerous occasions 
since its creation in 1995.  Under this scheme, exporte rs receive 5 per cent of the f.o.b. value of their 
exports or half of their production cost, whichever is  less, but they must fulfil certain conditions in 
order to qualify:96  for example, the c.i.f. value of impo rted inputs may not exceed 50 per cent of the 
f.o.b. value of the exported product.  The bene fits granted to a ten-digit tariff line cease once an 
enterprise exports over US$20 million of products under that line. 
144. Under the scheme, exports of products classified  under some 270 ten-digit tariff headings are 
not entitled to any duty drawback97;  examples include animal waste material, coffee, fish fats and 
oils, sugar, food residues, minerals, skins, wool, waste of textile fibres, and jewellery and gold and 
silver articles. 
145. Roughly US$154.3 million was reimbursed unde r the duty drawback scheme in 2006, 
following repayments totalling US$141.0 million in 2005. 
                                                      
90 Article 2 of Ministerial Resolution No. 0725-2000-AG of 22 September  2000.  The pijuayo is a type 
of palm tree. 
91 See, for example Article 27 of Law No. 26839 of 16 July 1997. 
92 SUNAT online information:  " Tabla de relación de códigos de entidades y documentos de control:  
mercancías referenciales que controlan las entidades " [List of entity codes and control documents:  benchmark 
goods under entity control].  Cons ulted at:  http://www.aduanet.gob.pe /aduanas/infoaduanas/clasifica/ 
clasificacionarancelaria/entidad/rel acioncodigos.htm [12 July 2007]. 
93 Article 63 of the Regulation to the Law Prom oting the Breeding, Production, Marketing and 
Consumption of South Amer ican Domestic Camelids Alpaca and Llama, approved by Supreme Decree 
No. 0242004-AG of 2 July 2004.  Ministerial Resolution No. 0015-2006-AG of 14 January 2006 sets the quota 
for 2006. 
94 Law No. 28041 of 25 July 2003. 
95 WTO documents G/AG/N/PER/5 of 12 June 20 02 and G/AG/N/PER/6 of 16 October 2003. 
96 Article 3 of the Regulation on th e Simplified Drawback Procedure for Ad Valorem  Tariff Duties, 
approved by Supreme Decree No. 104-95-EF of 23 June 1995. 
97 Supreme Decree No. 127-2002-EF of 25 August 2002. WT/TPR/S/189 Trade Policy Review 
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146. In mid-2005, Peru abolished the export requirement s that companies had to fulfil in order to 
obtain the benefits available under the CETICO S and ZOFRATACNA programmes (section (4)(iv)). 
147. Peru maintains regimes offering relief from im port duties and other taxes on goods intended 
for export (section (2)(iv)). 
(v) Financing, insurance and promotion 
148. The Development Finance Corporation (COF IDE), a public-sector second-tier development 
bank, administers a number of export financ ing programmes.  Through the FIEX programme, 
exporters may borrow to finance their working capit al and purchases of machinery, equipment, spare 
parts and other investments.  Loans may range up to US$3 million for working capital, and up to 
US$20 million for investments, with payb ack terms of between one and 15 years.98  The annual 
interest rates that COFIDE charges to commercial banks making FIEX loans vary between LIBOR + 1.5 and LIBOR + 2.25 percentage point s.  Commercial banks are free to set the interest rates at which 
they offer FIEX loans to their customers.  COFIDE also extends credits at market interest rates for 
shipment operations. 
149. Since 2002 COFIDE has operated an expor t credit insurance scheme, known as SEPYMEX
99, 
for small and medium-sized enterprises, under wh ich firms exporting up to US$8 million per year 
may insure up to US$1 million in preshipment credits.  The premium is 0.35 per cent for every 
90 days' insurance cover, and the policy covers half of the insured amount. 
150. The National Strategic Export Plan involves th e implementation of a credit programme for 
foreign buyers of Peruvian products.100 
151. Export promotion activities are carried out by bot h public and private institutions.  The Export 
Promotion Commission (PROMPEX), created in 1996, is the public agency responsible for 
"formulating, proposing, directing, coordinati ng and executing comprehensive promotion plans for 
exportable goods and services, within the framework of foreign trade and e xport development policies 
and targets approved by the Ministry of Foreign Trade and Tourism ... "101  Through its activities, 
PROMPEX seeks to contribute to the development of Peru's supply of exportable goods, increase the 
presence of Peruvian products on international ma rkets, and optimize the management of export 
enterprises.  Its activities include participation in trade fairs, provision of advisory and training 
services, information dissemination and market prospecting.102  Its budget amounted to 
S/. 11.9 million in 2006 (roughly US$3.6 million).103  In early 2007, the Government decided to 
merge the Peru Promotion Commission (PROMPERÚ) with PROMPEX.104 
                                                      
98 COFIDE online information. Consulted at: http://www.cofide.com.pe/sf4reino.html [26 March 2007]. 
99 Emergency Decree No. 050-2002 of 3 October 2002. 
100 MINCETUR online information.  Consulted at:  http://www.mincetur.gob.pe/comercio/otros/penx/ 
articulos/articulo_4.htm [10 July 2007]. 
101 Article 3 of the Regulation on the Organization and Functions of the Export Promotion Commission 
– PROMPEX, approved by Supreme Decree No. 013-2003-MINCETUR of 27 June 2003. 
102 Ezeta Carpio, José (2007). 
103 PROMPEX (2006). 
104 Supreme Decree No. 003-2007 -MINCETUR of 1 March 2007. Peru WT/TPR/S/189 
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152. MINCETUR's export promotion work falls within  the framework of the National Strategic 
Export Plan formulated in 2003.  Activities incl ude producing export plans for specific economic 
sectors and regions, market studies, trade f acilitation strategies and training activities.105 
153. The main private-sector agencies involved in ex port promotion activities are:  the Exporters 
Association (ADEX);  the Lima Chamber of Co mmerce (CCL);  the National Confederation of 
Private Enterprises (CONFIEP);  the External Trad e Society (COMEX);  and the National Industry 
Society (SNI). 
(4) OTHER MEASURES AFFECTING PRODUCTION AND TRADE  
(i) Legal framework for business 
154. Peru is middle-ranked among Latin American c ountries in terms of the ease and cost of 
setting up an enterprise.106  In 2006, an average of ten proce dures was required to open a business in 
Peru, and these were completed on average in 72 days.107  The cost of opening a business amounted to 
approximately US$847.20 (i.e. 32.5 per cent of the country's per capita income). 
155. PROINVERSIÓN, Peru's Private Investment Pr omotion Agency (see Chapter II(4)) provides 
information on procedures for opening a business and supplies the necessary forms.108  
PROINVERSIÓN  also coordinates with other pub lic- and private-sector agencies to eliminate 
bureaucratic obstacles and simplify and facilitate th e investment process.  As an example, the 
authorities reported that they have been able to streamline procedures for obtaining operating licences 
and have established an electronic system to make it easier to set up small enterprises. 
156. The main legal provisions governing company formation are contained in the General 
Companies Law (Law No. 26887 of 9 December 1997)  and the amendments thereto, and a resolution 
issued by the Head of the National Supe rvisory Authority for Public Records, 
No. 200-2001-SUNARP-SN of 24 July 2001.109  Investors (whether domestic or  foreign) have several 
legal forms of business organization to choose from,  including public limited companies, commercial 
partnerships, limited partnerships, limited lia bility companies, and civil partnerships.  
157. Setting up a public limited company requires signing Articles of Association ( Minuta de 
Constitución ), which are entered in the register of legal persons of the respective registry zone of the 
Supervisory Authority for Public Records (SUNARP ).  The cost of registration depends on the 
number of pages, the amount of capital, and the type of advisory service agreed upon.  Once registered, another authorization or registration, as the case may be, must be obtained from the sector corresponding to the activity to be undertaken by the company.  In addition, a municipal operating 
                                                     
 
105 MINCETUR online information.  Consulted a t:  http://www.mincetur.gob.pe/comercio/otros/ 
penx/index.htm [10 July 2007]. 
106 World Bank (2006a), page 92. 
107 World Bank online information.  See: http://e spanol.doingbusiness.org/ExploreTopics/Starting 
Business/Details.aspx?economyid =152. 
108 PROINVERSIÓN online information.  See http://www. proinversion.gob.pe/orientacion/empresas/cont_3.htm. 
109 Other relevant provisions include Resolution 195-2001-SUNARP/SN of 18 June 2001, partially 
regulated by the Regulation on Company Registration, No. 200-2001-SUNARP/SN of 18 July 2001, and by Resolution of the Head of the National Supervisory Au thority for Public Records, No. 195-2001-SUNARP/SN 
of 18 July 2001;  the Commercial Registry Law (Decree Law No. 19.893 of 22 January 1973, regulated by 
Supreme Decree No. 95-85-ICTI/CO of 19 July 1985;  Law No. 26.366 of 1968 (National Public Records System;  National Supervisory Au thority for Public Records). WT/TPR/S/189 Trade Policy Review 
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licence must be obtained, along with legalization of accounting records and authorization of the 
payroll at the Ministry of Labour and Social Promotion.110 
158. A public limited company must have at least two partners, who may be either natural or legal 
persons.  The company's capital must be fully sub scribed when it is established, and at least one 
quarter must be paid up.  There is no minimum ca pital requirement.  Forei gn nationals not domiciled 
in  the country may serve as directors. 
159. Enterprises, whether or not domiciled in the country, may establish branches in Peru, which 
must be entered in the SUNARP Registry.  In the case of companies established abroad, the following 
documentation must be presented:  certificate of cu rrent validity;  certification that the company's 
articles of association do not prohibit the establishm ent of branches abroad;  copy of the document 
containing the articles of association or equivalent documents in the country of  origin;  and evidence 
of the decision to establish the branch. 
160. Net corporate income is taxed at a rate of 30 per cent.  Firms also pay an additional 4.1 per 
cent on any distribution in cash or kind that represent s taxable income, since this entails an indirect 
distribution of profits not liable to subsequent ta x control, and includes amounts charged to expenses 
and undeclared incomes.  
161. The Government may provide a guarantee of tax stability to investors by signing law-
contracts ( contratos-ley ) with them.  There is also a general legal stability regime, which includes the 
income-tax regime to which investors (both domestic  and foreign) and firms that receive investments 
may adhere, provided they fulfil minimum investment  requirements.  There are also sector-level 
investment promotion schemes, e.g. in the mining and hydrocarbons sectors (see Chapter IV(4) and 
(5)).  Peru has signed 33 bilateral investment protection agreements. 
(ii) Price controls and competition policy 
162. The authorities reported that Peruvian law does not contain any statute enabling the 
Government to control prices or profit margins on goods and/or services. Public service rates in telecommunications, energy, sanitation and infrastru cture are regulated under specific rules by 
specialized regulatory agencies (see Chapter IV(7)).  
163. The main general regulations governing compe tition policy are contained in the Constitution 
– Articles 58 (right to free private enterprise), 59 (the State as promoter of free enterprise), 60 (economic pluralism) and 61 (ove rsight of market competition);  and also in Legislative Decree 
No. 701 of 5 November 1991.  The latter provides for the elimination of monopolistic practices and 
any control or restriction of free competition.  There are also statutes regulating competition in 
specific sectors such as electric power and telecommunications (see Chapter IV(7)(ii)). 
164. Legislative Decree No. 701 provides for ex post  control, prohibiting acts or conduct that 
restrict or distort free competition, whether through other practices or through agreements, as well as 
acts or conduct that constitute abuse of a dominant market position, such as to produce an adverse 
impact on general well-being.  Legislative Decree No. 701 makes no distinction between monopolistic 
restrictions or practices even when these occur in  different stages of the production process or in the 
marketing of goods and provision of services, nor be tween natural or legal persons established under 
public or private law who engage in such activities.  It only regulates the eff ects of an enterprise's 
                                                     
 
110 PROINVERSIÓN online information.  See: http://www.proinversion.gob.pe/orientacion/ 
empresas/cont_3.htm. Peru WT/TPR/S/189 
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conduct on the market, but does not regulate the size, origin, nationality or structure of an enterprise 
in that market. 
165. The National Institute for the Defence of Co mpetition and the Protection of Intellectual 
Property (INDECOPI) applies general laws on free competition in all sectors except 
telecommunications (see Chapter IV(7)(ii)).  INDECO PI seeks to promote more effective markets by 
eliminating bureaucratic barriers and strengthe ning standardization a nd intellectual property 
protection.111  To disseminate the market culture nati onwide, training is provided on institutional 
topics including trademarks, market access, tende ring processes, technical standards and others. 
166. The authorities stressed that INDECOPI has political autonomy in its decision-making, which 
it has used in fulfilling its functions under para meters of minimum intervention in markets, 
concentrating on investigating and sanctioning an ti-competitive practices (inter-firm collusion and 
abuse of dominant position), in order to counteract a nd reverse the potential effects of such practices 
on the market.  One of the main objectives recently proposed by INDECOPI is to strengthen the units 
responsible for Free Competition, Market Access, Pr evention of Unfair Competition, and Defence of 
Competition. 
167. For the purpose of resolving disputes relating to  competition policy, INDECOPI maintains the 
following commissions:  Free Competition;  Inspection;   Dumping and Subsidies;  Market Access;  
Tendering Procedures;  and Prevention of Unfair Competition.  The powers of the Free Competition 
Commission include issuing opinions on procedures ar ising from violations of the legal framework;  
undertaking research and investigation on issues within its jurisdiction, either on its own account or as 
a result of a complaint;  undertaking studies and publishing reports;  and preparing regulatory 
proposals and issuing such directives as may be  required.  The Chamber for the Defence of 
Competition (SDC) is the second administrative instance;  its rulings may also constitute binding precedents. 
168. The Free Competition Commission may impose monetary sanctions for violations of Decree 
Law No. 701 up to a maximum of 1,000 tax units (UIT) for a minor or serious violation
112 (equivalent 
to about US$1,084);  and above UIT 1,000 in the case of very serious violations.  In both cases, the 
fine imposed may not exceed 10 per cent of the invo ice value or gross income received by the firm 
being sanctioned in the fiscal year immediately preced ing that of the ruling issued by the commission.  
The SDC may also impose sanctions under Legislative Decree No. 701. 
169. Competition policy issues brought before I NDECOPI in 2000-2006 concerned sectors 
including electric power and energy, land transport, maritime ports and airpor ts, radio broadcasting, 
telecommunications and intellectual property.113 
170. Peruvian legislation has no mechanism for a dvance notification of enterprise mergers and 
acquisitions, except for mergers and concentrations  occurring in the electric power sector.  Law 
No. 26876 (Law against Monopoly and Oligopoly in the Electric Power Sector), regulated by 
Supreme Decree No. 017-98-ITINCI of 1998, establishes a system of prior authorization for business 
concentration operations in the electric power sector.  A total of nine notifications were made of 
mergers and acquisitions in that sector in 20 00-2006;  none of them elicited any objection. 
                                                      
111 INDECOPI online information.  See:  http://www .indecopi.gob.pe/quienessomos-plan-inst-estra.jsp. 
112 In 2007,  UIT 1 was equivalent to S/. 3,450. 
113 For an exhaustive list and the cases presente d, see:  http://www.i ndecopi.gob.pe/destacado-
competencia-comisiones- clc-inforPlub.jsp. WT/TPR/S/189 Trade Policy Review 
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171. In the period 2000-2006, the INDECOPI Free Competition Commission received 
92 complaints of violations of the rules on fr ee competition.  In addition, eight ex officio 
investigations were made into possible violati ons of competition regulations, and 12 fines were 
imposed during that period.114 
172. The Organisation for Economic Co-operati on and Development (OECD) has expressed 
concern at the limits to INDECOPI's autonomy and neutrality.115  The study in question stresses that 
INDECOPI has not received any public funding sin ce 2003, so part of its work on competition issues 
is financed through surcharges.  As a result, a centr al concern of INDECOPI has been to cover its own 
costs rather than oversee market behaviour.  It al so identifies the challenge posed by opposition to 
competition policies among the majority of the low- income population, particularly in view of the 
large size of the informal sector.  Another study116 also supports the adoption of measures aimed at 
strengthening INDECOPI as an institution.  Accordi ng to the WEF, Peru is ranked 59th in terms of 
the effectiveness of its competition policies.  Areas that need to be addressed include the lack of a 
competition culture and the limited independence of INDECOPI.117 
173. The authorities view the suggestion that INDECO PI should use fines to finance its activities 
as lacking a factual and legal basis.  They pointed  out that INDECOPI generated 95 per cent of its 
budget from fees and fines, between 2005 and 2007, while about 5 per cent of its funds came from the 
public budget.  They stated that INDECOPI's in ternal resources largely come from fees charged for 
the registration of  intellectual property rights a nd other services, with just 10 per cent coming from 
fines. The authorities also consider erroneous the claim that most of the poor oppose competition 
policies, but acknowledge that a competition culture is lacking.  On this point they stressed that they 
have continually implemented activities to promote competition. 
174. Despite the problems indicated, INDECOPI con tinues to make a significant contribution to 
the administration and consistent integration of  policy issues relating to defence of market 
competition, intellectual property and technical regulations.  The authorities noted that this 
institutional proposal has been analysed and used as an example for other Latin American countries. 
175. There are Andean provisions on competition which apply to anti-competitive practices if they 
originate and produce real effects in one or more  member countries, except when the origin and the 
effect are both confined to a single country;  and if they originate in a non-member country and produce real effects in two or more member countries.
118  In other situations, national legislation 
applies.  None of the complaints lodged on comp etition issues has been considered worthy of an 
investigation under Decision No. 608. 
176. Peru has not signed any cooperation agreem ents on competition with other countries. 
                                                      
114 Investigations were carried out in respect of service and product manufacture activities such as:  
hospital activities;  warehousing and storage;  crop growing;   publications;  sugar;  malt and malted beverages;  
non-alcoholic beverages;  cocoa, chocolate and confectionery;  bakery products;  tobacco;  dairy products;  gas;  
paper and paperboard;  electric power generation and distribution;  legal services;  business activities;  
insurance;  telecommunications;  freigh t transport by road;  maritime transp ort;  rail transport;  air transport;  
wholesale trade in food, beverages and tobacco;  wholesal e trade in construction materi als;  wholesale trade in 
other products. 
115 OECD (2004). 
116 UNCTAD (2004). 
117 World Economic Forum (2006), page 163. 
118 Rules on the protection and promotion of free competition in the Andean Community are contained 
in Decision No. 608 of 29 March 2005, as amended by Decision No. 285 of 1991. Peru WT/TPR/S/189 
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(iii) State trading, State-owned enterprises and privatization 
177. In its most recent notification119 to the WTO concerning State-trading enterprises, Peru 
reported that it has no State-trading enterpri ses within the meaning of GATT Article XVII. 
178. The National Coca Corporation (ENACO)120 was created in 1949 as the sole Peruvian firm 
authorized to market coca leaf and its by-pro ducts.  Decree Law No. 22095, on the Repression of 
Illegal Drug Trafficking, of 2 March 1978, granted the State, through ENACO, the exclusive right to 
market coca leaf both domestica lly and abroad.  As from 1982, ENACO became a State enterprise 
under private law, structured as a public limited company, and it maintained its monopoly on the 
marketing of coca and its by-products. 
179. Article 60 of the 1993 Constitution restricted St ate participation in business activity to a 
subsidiary role only.  Subsequently, the Peruvian Governme nt embarked upon a process of major 
changes that promoted private participation in various sectors of the economy where the State had 
majority holdings.  The National Fund for the Fi nancing of State Business Activity (FONAFE) is 
responsible for regulating and directing the St ate's business activity in areas where it still has a 
presence.  The most important FONAFE functions include approving the consolidated budget of firms 
in which it has a majority stake. 
180. By late 2006, State holdings in enterprises had been sharply reduced;  the number of firms in 
various sectors in which the State is a majority shareholder is as follows:  electricity, 15;  banks and finance companies, 5;  securities and real estate, 1;  petroleum, 2;  ports, 1;  drinking water and sewerage service, 1;  others, 6.  The Stat e also held a minority stake in 21 firms. 
181. According to information provided by the au thorities, income from concessions amounted to 
about US$495 million over the pe riod 2000-2006, while revenue from the privatization or sale of 
State assets totalled US$847 million.  The main priva tizations during the period occurred in the areas 
of electric power transmission and distribution (2002), hydroelectric energy production (Yuncan plant, 2004), oil refining (Pampilla plant, 2004), and mining (Las Bambas mine, 2004;  Michichillay, 
2007).  The authorities noted that projected investme nts amount to about US$1.4 billion in respect of 
privatizations, and about US$6.4 billion in the case of concessions. 
(iv) Incentives 
(a) Trade-related investment measures and local-content requirements 
182. Legislative Decree No. 653 of 1 August 1991 establishes that for the promotion and 
development of dairy farming in Peru, and in the interests of consumer protection, the free 
importation of  milk powders, anhy drous fat and other milk products, by any natural or legal person, 
is subject to the restriction that such products may not be used in the reconstitution and re-mixing 
processes for the production of liquid milk products, cheeses, butter, and similar products for direct 
human consumption.  Peru notified
121 this restriction to the Committee on Trade-Related Investment 
Measures in 1995.  Although these provisions still had legal force in early 2007, the authorities stated 
that in practice they are not used.  They also reported that the Government and Congress are working 
together on legislation to repeal these provisions. 
                                                      
119 WTO documents G/STR/N/4/PE R, G/STR/N/5/PER, G/STR/ N/6/PER, G/STR/N/7/PER, 
G/STR/N/8/PER, G/STR/N/9/PER, G/ STR/N/10/PER of 5 April 2005. 
120 ENACO online information.  See:  http://w ww.enaco.com.pe/empresa/infinstitucional.php. 
121 WTO document G/TRIMS/N/1/PER/1 of 18 April1995. WT/TPR/S/189 Trade Policy Review 
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(b) Free zones 
183. Peru offers tax benefits through the Export,  Processing, Industry, Marketing and Service 
Centres (CETICOS) of Ilo, Matarani and Pa ita, and the Tacna Free Zone (ZOFRATACNA) 
(Table III.6).  In mid-2005, Peru abolished the e xport requirements for obtaining benefits under these 
schemes.122  Previously, annual exports outside Peru had to amount to at least 92 per cent of the 
revenue of firms receiving benefits under the CETI COS scheme, and 50 per cent of the revenue of 
firms receiving benefits under ZOFRATACNA.  The Tacna Free Zone (ZOFRATACNA) replaced 
the Tacna CETICOS which was in operation until 2002.123 
184. Sales made through CETICOS and ZOFRATACNA  within Peruvian customs territory are 
taxed on an equal footing with ot her Peruvian imports.  The only exceptions are used vehicles and 
those that are overhauled or repaired in CETICO S or ZOFRATACNA;  these are subject to selective 
consumption tax (ISC) at zero per cent, while used vehicles from elsewhere are subject to ISC at a rate of 30 per cent (see section (2)(v) above).  Th e tax base applicable to products from CETICOS and 
ZOFRATACNA excludes the value of inputs obtained from Peruvian customs territory, but not the 
value added to them.
124  Machinery and other imported cap ital goods may remain in ZOFRATACNA 
for unlimited periods and until 2012 in the CETICOS.125 
Table III.6 
Main elements of CETICOS and ZOFRATACNA, March 2007 
 CETICOSa ZOFRATACNA 
Main legislationb Legislative Decree No. 842 (30.08.1996);  Legislative 
Decree No. 865 (27.10.1996);  Legislative Decree No. 864 (27.10.1996);  Law No. 26953 (22.05.1998);  
Supreme Decree No. 023-96-ITINCI (04.01.1997) Law No. 27688 (28.03.2002);  Supreme Decree 
No. 011-2002-MINCETUR (17.12.2002);  Supreme Decree No. 002-2006-MINCETUR 
(11.02.2006);  Supreme Decree No. 021-2003-
MINCETUR (03.09.2003);  Supreme Decree No. 005-2007-MINCETUR (15.04.2007) 
General objectivesc To develop the northern and s outhern zones of Peru by 
promoting private investment in infrastructure and 
productive activity To contribute to sustainable socioeconomic 
development of the Department of Tacna 
through investment and technological 
development 
Main benefits Exemption from tariff duties and other taxes levied on 
imports;  Exemption from Income Tax, IGV, Municipal 
Promotion Tax and ISC until 2012 Exemption from tariff duties and other taxes 
levied on imports until 2022;  exemption from 
Income Tax, IGV, Municipal Promotion Tax and ISC 
Activities authorized Manufacturing, except for products classified in ISIC Rev 
2 categories 3114 (apart from the preparation of products 
based on fish meal), 3115, 3118, 3122, 3530 and 3720 
(apart from refined copper piping and accessories of 
refined copper piping), and t hose that have recorded 
exports of over US$15 million in 1996 (applicable only to 
tariff headings listed in Supreme Decree No. 005-97-
ITINCI);  maquila and assembly activities;  processing, repair and packaging of me rchandise;  and  storage, 
distribution, marketing and ot her services related to the 
aforementioned activities Manufacturing except for products classified in  
ISIC Rev 2 categories 3114, 3115, 3118, 3122, 3530 and 3720 (apart from agribusiness 
products from the region);  maquila;  storage, 
distribution and other services 
a Only refers to provisions applicable to  the CETICOS at Ilo, Matarani and Paita;  the CETICOS at Loreto , established by Law 
No. 26953 of 22 May 1998, was not operating in mid-2007. 
b Excluding amendatory legislation. 
c As indicated in the law. 
Source : WTO Secretariat. 
                                                      
122 Thirteenth complementary, repealing, and fina l provision of Law No. 28569, of 5 July 2005. 
123 Law No. 27688 of 28  March 2002. 
124 Article 22-A of the Single Harmonized Text of the Regulation on the Law Governing the Tacna 
Free Zone and Trade Zone, approved by Supreme Decree No. 002-2006-MINCETUR of 11 February 2006. 
125 Article 15 of Law No. 27688 of 28 March 2002, and the twelfth complementary, repealing and final 
provision of Law No. 28569 of 5 July 2005. Peru WT/TPR/S/189 
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185. The amendments that abolished the export re quirements applicable until mid-2005 under the 
CETICOS and ZOFRATACNA regimes did not alter the scope of benefits offered by the two 
schemes.  Accordingly, the revenue obtained from sales made from CETICOS and ZOFRATACNA 
within national territory is exempt from income tax. 
186. Between December 2002 and February 2 007, the value of goods imported into 
ZOFRATACNA was approximately US$851.4 million, of which about one third represented used 
vehicles.  During the same period, exports fro m ZOFRATACNA to destinations within Peru 
amounted to US$370.9 million.  The Peruvian authorities estimate that the State has forgone about US$114.6 million in taxes following implementation of  the ZOFRATACNA regime since late 2002.  
The Secretariat did not have data on the value of trade associated with CETICOS. 
187. The Tacna Marketing Zone was replaced by the Tacna Trade Zone in 2002.  Imports into the 
Tacna Trade Zone of 1,223 ten-digit tariff headings  enjoy a "special" tariff of 8 per cent and are 
exempted from any other tax.
126  Sales made in the Tacna Trade Zone must be on a retail basis and are 
not subject to any tax, although the revenue gene rated by such sales is liable for income tax. 
188. Law No. 28864 of 6 August 2006 provides for the creation of the Special Economic Zone of 
Puno, offering benefits that are simila r to those of CETICOS and ZOFRATACNA. 
(c) Other fiscal measures 
189. Peru continues to offer a large number of incentives for business activity and investment.  
Most exemptions are applied in relation to the General Sales Tax (IGV) a nd Selective Consumption 
Tax (ISC) (see section (2)(v) above).  According to official estimates127,  tax revenue forgone as a 
result of such exemptions in 2006 amounted to about US$1.4 billion (roughly 2.2 per cent of GDP). 
190. Legislative Decree No. 977 of 16 March 2007 in troduced rules to tighten controls and 
rationalize tax exemptions, incentives or benefits.  Among other provisions, the Decree establishes 
that all benefits based on geographic criteria shall only be applicable to ta xpayers having tax domicile 
within the respective zone;  that no benefits should be granted on indirect taxes, charges and 
contributions;  and that benefits shall be valid for a period of no longer than six years, renewable once 
only for a three-year period. 
191. Legislative Decree No. 818 of 22 April 1996 pr ovides incentives for investment in natural 
resources through large-scale projects.  Benefits include exemption from the payment of minimum income tax for up to one year after commercial ope rations have begun;  early refund of IGV on capital 
goods, new intermediate goods, services and construc tion contracts;  and tariff splitting on capital 
goods, machinery and new equipment, and used goods under the temporary admission regime. 
192. There is also a simplified tax regime for small businesses and microenterprises (Law 
No. 28015 of 3 July 2003, Law on the Promotion a nd Formalization of Micr oenterprise and Small 
                                                     
 
126 Article 10 of the Single Harmonized Text Regula ting the Law on the Tacna Free Zone and Trade 
Zone, approved by Supreme Decree No. 002-2006-MINCETUR of 11 February 2006. 
127 Marco Macroeconómico Multianual [Multi-year M acroeconmic Framework] 2007-2009 (Annex C), 
approved at the meeting of the Council of Ministers on 24 May 2006.  See:  http://www.bcrp.gob.pe/bcr/ 
dmdocuments/Publicaciones/pro_ec onomico/MMM2007- 2009_MEF.pdf WT/TPR/S/189 Trade Policy Review 
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Business).  Special tax regimes have been established to encourage microenterprises to join the formal 
sector, such as the Single Simplified Regime (RUS)128 and the Special Income Tax Regime (RER).129 
193. In early 2007, a scheme for early refund of IGV was approved for all economic sectors, to 
enter into force on the first day of the month foll owing publication of the corresponding regulation in 
El Peruano .130 
194. The Law for Investment Promotion in the Amazon Region (Law No. 27037) provides tax 
benefits in the form of reductions or exemptions  from income tax and general sales tax for firms in 
various departments engaging in agriculture, forest ry or related industrial activities, and tourism, 
among others.  The benefits include a reduction of in come tax to either 10 or 5 per cent;  exemption 
from that tax and other partial or complete exem ptions from indirect taxes, as well as from other 
levies such as the special tax on net assets or municipal taxes. 
195. There are also development measures targeting specific sectors, such as agriculture, mining, 
manufacturing industry and the merchant marine (see Chapter IV). 
(d) Credit programmes 
196. The Development Finance Corporation (COFIDE), which is 98.6 per cent owned by the State, 
acts as a second-tier development bank supporting the wo rk of the private financial sector.  COFIDE 
does not set interest rates for its final beneficiaries, which are freely established by the corresponding first-tier financial institutions.  The latter assume th e responsibility and risk of the credit operation.   
197. COFIDE has set up a number of programmes and credit lines to serve the financial needs of 
small businesses and microenterprises.  It also fina nces the agricultural sector through specific credit 
lines (see Chapter IV(2)). 
198. In 2004, COFIDE operations were targeting the following sectors (percentages in brackets):  
construction (38.7), fisheries (16.9), industry (15. 9), services (12.7), commerce (7.6) agriculture and 
livestock (3.7), transport (2.7) mining (1.2) and to urism (0.6).  In late 2004, the balance of the 
COFIDE portfolio amounted to US$573 million. 
199. There are also special funds and official cr edit programmes to serve the needs of specific 
activities, such as fisheries (see Chapter IV (3)) and agriculture (see Chapter IV(2)). 
(e) Other incentives 
200. Because of the limited financial resources availa ble to the State, ther e are few incentives for 
science and technology development.  In 2004, e xpenditure on science and technology amounted to 
US$100.5 million, or approximately 0.16 per cent of GDP
131, much of which is used to finance State 
                                                      
128 Legislative Decree No. 967  The new RUS encompasses Income Tax, General Sales Tax and 
Municipal Promotion Tax.  Selective Consumption Tax is not included in the new RUS. 
129 The legal provisions governing the RUS are contained in Articles 117 to 124 of the Income Tax 
Law, the Single Harmonized Text of which was approved by Supreme Decree No. 179-2004-EF and amending regulations;  and Legislative Decree No. 937 of 14 November 2003, as amended by Legislative Decree No. 967 
of 24 December 2006.  The provisions  governing the RER are contained in Articles 117 to 12 4 of the Income 
Tax Law, the Single Harmonized Text of which was approved by Supreme Decree No. 179-2004-EF and amending regulations. 
130 Legislative Decree No. 973 of 10 March 2007. 
131 Science and Technology Indicators Network online information.  See:  http://www.ricyt.edu.ar/ 
indicadores/PorPais/PE.xls. Peru WT/TPR/S/189 
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technological institutes and public universities.  In  April 2002, the National Competitiveness Council, 
attached to the Office of the President of the Counc il of Ministers, was established for the purpose of 
developing and implementing a National Compe titiveness Plan.  Law No. 27267 of 26 May 2000 
created Technological Innovation Centres (CITES), the development of which has been linked to 
productive chains to expand exports in sectors such  as footwear, leather, wood and furniture, among 
others.132 
201. Presidential Resolution No. 040-2001-CD/CONAM133 establishes benefits for the processing 
and marketing of forestry products obtained from litt le-known species, waste materials from forestry 
operations, and the recycling of forest products.  Th e benefit consists of a 25 per cent reduction in the 
operating fee. 
(v) Government procurement 
202. Peru is neither a member nor has observer status in the WTO Plurilateral Agreement on 
Government Procurement. 
203. Article 76 of the Constitution establishes that works contracting and the procurement of 
supplies financed out of public funds must be  done through competitive bidding.  The Law on 
Government Contracting and Procurement, Law No. 26850 of 27 July 1997, was amended by Law 
No. 28267 of 3 July 2004, approving a new Singl e Harmonized Text a nd Regulation (Supreme 
Decrees Nos. 083 and 084-2004-PCM, which have been in force since 29 December 2004).134  These 
provisions lay down the key criteria for the legal framework regulating goods and service procurement processes, as well as contracting for public works and government consulting services. 
204. Law No. 26850 sets the minimum conditions and exceptions that civil servants belonging to 
all government entities and enterprises must obser ve in goods, services and works procurement 
procedures.  The Law does not impose any restri ction on participation by foreign suppliers. 
205. Apart from the exemptions explicitly recognized by Law No. 26850, government 
procurement must use one of the four following types of selection process, depending on the object (goods, services or works) and the amount of the procurement (abiding by the thresholds indicated in 
each annual budget law for the public sector):  (i) comp etitive bidding;  (ii) public call for proposals;  
(iii) direct contract award (either public or selective) ;  or (iv) small contract award.  In addition, 
wherever possible, the following selection modalities can be used:  (a) reverse auction (attendance-
based or electronic);  (b) framework agreement;  and/or (c) corporate purchases (mandatory or 
optional). 
206. In 2006, a competitive tender was held to  award works contracts valued at over 
S/. 1.15 million (roughly US$351,145), and for good s procurements in amounts above S/. 450,000 
(about US$137,404).
135  A public call for proposals is used for contracting services of all types, 
including consulting services and leasing, in amount s above S/. 200,000 (about US$61,068).  Direct 
contracting is applicable to pr ocurement and contracting processes  undertaken by public agencies 
                                                      
132 See:  http://www.produce.gob.pe/industria/cites/index_cites.php. 
133 See also the Regulation to the Forestry and Wild Fauna Law (Sup reme Decree No. 014-2001-AG of 
9 April 2001). 
134 Other important provisions adopted during the period include Supreme Decree No. 102-2001-PCM 
(Single Harmonized Text of Law No. 26850) and Supreme Decree No. 013-2001-PCM (Regulation to the Law 
on Government Contracting and Procurement), both dated 13 February 2001. 
135 CONSUCODE, online information.  See:  h ttp://www.consucode.gob.pe/boletíninstitucional/ 
COMUNICANDO%20Febrero%202006. pdf. WT/TPR/S/189 Trade Policy Review 
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within the margin that exists between competitive tenders or public calls for proposals and small 
contract awards, depending on the object of the pr ocurement or contracting process.  Small contract 
awards apply to procurement a nd contracting processes undertaken by public agencies for amounts 
below one tenth of the lower limit established for competitive bidding or public calls for proposals, 
depending on the object of the contract. 
207. To be eligible to bid in processes undertaken pursuant to the Government Procurement Law, 
it is necessary to be registered in the National Suppliers Registry (RNP)136, and not to be subject to 
sanction or disqualification from entering into cont racts with the Government.  The Higher Council 
for Government Contracting and Procurement (CON SUCODE) is responsible for operating the RNP, 
which has chapters on:  (i) goods suppliers;  (ii)  services providers;  (iii) works consultants;  
(iv) works contractors;  and (v) persons disqualif ied from government contracts.  A foreign supplier 
without domicile in Peru may register in the RN P, but only through its legal representative in Peru, 
unless they have to be engaged via a waiver of the selection process or are manufacturers of sophisticated products, in which case the contracting pub lic agency or enterprise registers the supplier 
through a special procedure. 
208. When awarding a contract, Law No. 27143 of 19 June 1999 (Law on Temporary Promotion 
of National Productive Development) required a 10 per cent preference to be added to the sum of the 
technical and economic points classification attained  by bidders offering goods produced or services 
originating within the national territory.  Emerge ncy Decree No. 064-2000 of 23 August 2000 raised 
the bonus to the total score obtained by bidders fo r goods produced within the national territory to 
15 per cent, effective until 30 July 2001.  On 16  January 2001, Supreme Decree No. 003-2001-PCM 
established what characteristics goods and services must have in order to be considered as goods 
produced or services supplied within the national territory.  Lastly, the Congress of the Republic 
passed Law No. 27633 of 16 January 2002, raising th e advantage enjoyed by domestic products to 
20 per cent on top of the overall points score. 
209. Special laws govern procurement in certain  areas and for certain State agencies or 
enterprises.
137  For example, procurement and contract ing by PETROPERÚ are governed by its own 
regulation, which was proposed by its board of directors and approved by  CONSUCODE.  
PETROPERÚ is required to use the electronic gover nment procurement and contracting system to 
report all contracts and purchases and the status of the processes that it applies. 
210. Law No. 27767 of 21 June 2000 requires food suppor t and social compensation programmes, 
and all government agencies that use public fund s, to use nationally produced food products of 
agricultural and hydrobiological origin.  To undertake the corresponding procurement, the purchasing institutions set up procurement commissions which must include a producer representative.  
Government agencies are required to notify their food product requirements annually, indicating the 
possible purchase timetable as well as the annual amount required. 
211. Transparency measures in government contract s essentially involve the publication of annual 
procurement plans, invitations to tender and other contractual documen ts (20 working days before the 
bid submission date), and publication of the results of contract awards. 
                                                     
 
136 National Suppliers Registry, online information.  See:  http://www.rnp.gob.pe/. 
137 The following agencies are su bject to a special regime:  PETROPERÚ;  PROINVERSIÓN;  
Commission on the Formalization of Informal Property (COFOPRI);  the National Food Assistance Programme 
(PRONAA);  the Social Emergency Production Programme (PESP)-RURAL.  Certain types of procurement 
from the following agencies are subject to a special regime:  Industri al Marine Services (SIMA);  the National 
Elections Panel (JNE);  Agua para Todos  (Water For All);  Fenómeno del Ni ňo (El Niño Phenomenon). Peru WT/TPR/S/189 
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212. Disputes during the procurement procedure are r esolved according to the stage at which they 
arise.  Those in the selection phase are settled admi nistratively, which includes appeal to the senior 
officer of the contracting entity, and review by th e Government Procurement and Contracts Tribunal.  
In the case of disputes over contract execution, conc iliation and arbitration pro cedures are available;  
and complaints of irregularities can be lodge d with CONSUCODE.  The latter is the final 
administrative mechanism for resolving disputes rela ting to the content of bidding documents or the 
conditions of the selection process. 
213. In the event of violation of the legal princi ples and provisions governing procurement, three 
types of liability can be established:  administrativ e, civil and criminal.  The different liabilities are 
established by the agencies of the National Surveilla nce System, the Office of the State Attorney 
General ( Procuraduría General del Estado ) and/or the Office of the Prosecutor General of the Nation 
(Ministerio Público o Fiscalía de la Nación ). 
214. Under the Andean Community's government procurement regulations, member countries 
guarantee national treatment to each others' enterprises in the area of services, but not goods, procurement.  As of early 2007, Peru was not o ffering national treatment in government procurement 
to any other trading partner. 
215. The authorities stressed that disciplines on tran sparency, non-discrimination, due process and 
procedure, as well as specific commitments on market access that are being or have been negotiated, 
are similar to those contained in the WTO's Pl urilateral Agreement on G overnment Procurement. 
216. In 2006, the General Secretariat of the Andean Community ruled
138 that the requirements 
imposed by Peruvian law in giving a 20 per cent advantage to domestic goods and services in 
procurement processes, distorted competitive conditi ons in favour of Peruvian services or service 
providers compared to other members of the Andean  Community.  It was therefore ruled that Peru 
was violating the obligation of national treatment envisaged in Decision No. 439 for the procurement 
of services by public agencies, under non-discriminatory conditions.  The Peruvian authorities indicated that this issue would be solved by La w No. 29042, to be published on 14 June 2007. 
217. Although there were various problems with govern ment procurement processes in Peru prior 
to 2001
139, the authorities pointed out that the key amendments to the Peruvian Government's 
procurement system had been introduced since then , following the entry into force of the Single 
Harmonized Text and a new regulation on 13 March 2001. 
218. Government procurement in Peru uses an Inte rnet-based instrument, known as the Electronic 
Government Procurement and Contracting System (SEACE).140  This system contains centralized 
information on all procurement procedures undertaken  by all government agencies and enterprises.  
SEACE consists of two components:  (i) an info rmation module, which has been fully operational 
since June 2005;  this publishes all annual contr acting plans, invitations to tender, replies to 
consultations and observations ma de on the bidding documents, the result of the selection process and 
contract award, as well as all information relating to  contractual performance;  and (ii) a transactional 
                                                      
138 Opinion No. 03-2006 of 14 March 2006.  See:  http://intranet.comunidadandina.org/ 
Documentos/Dictamenes/DICtamen03-2006.doc. 
139 Risk Maps of Government Contracting and Tendering Processes:  Workshop organized by the 
National Consortium for Public Ethics (PROÉTICA) and the Higher Council for Government Contracting and 
Procurement (CONSUCODE), November 2001.  See:  http://www.transparency.org/content/download/5364/ 
31368/file/riesgos_peru.pdf. 
140 SEACE online information.  See:  http://www.seace.gob.pe/. WT/TPR/S/189 Trade Policy Review 
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module which is expected to enter into force in early 2008, and will also make it possible to submit 
bids over the Internet. 
219. The system maintains a centralized data syst em on government procurement.  According to 
SEACE calculations141, the total value of government contracts in 2006 (including both centralized 
and decentralized agencies) was about US$5.586 bi llion (roughly 8 per cent of GDP).  Within this 
amount, contracts were awarded under the following ma in types of selection process:  small contract 
awards, which accounted for 36 per cent;  competitive tenders and public calls for proposals, which 
jointly represented 36 per cent;  and direct contrac ting (either public or selective) which accounted for 
17 per cent. 
(vi) Intellectual property protection 
220. The Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS Agreement) 
was incorporated in national legislation when th e Marrakesh Agreement was ratified by means of 
Legislative Resolution No. 26407 of 18 December 1994.  As a developing country, Peru had up to 1 January 2000 to implement the TRIPS Agreement.  Peru has also submitted position papers in the 
Council for TRIPS
142 on issues concerning the protection of traditional knowledge, biological 
diversity and biological resources in re lation to intellectual property rights. 
221. Peru is a member of the World Intellectual Pr operty Organization (WIPO) and is a signatory 
of various treaties (see Table III.7). 
222. Peru has notified the WTO143 that the National Institute for the Defence of Competition and 
the Protection of Intellectual Property (INDECOPI) is  the Government enquiry point on this topic. 
223. INDECOPI's functions are regulated by  Decree Law No. 25868, Supreme Decree 
No. 025-93-ITINCI and Legislative Decree No. 807.  It s work in respect of intellectual property is 
organized through the following agencies:  the Copyright Office for issues relating to copyright and related rights;  the Distinctive Signs Office for issues relating to trademarks, names, commercial 
slogans, certification or collective marks and appell ations of origin;  and the Inventions and New 
Technologies Office for issues relating to patents, utility models and industrial designs, protected 
plant varieties, traditional knowledge and other new technologies.  These offices represent the first 
administrative instances on intellectual property matters;   their rulings can be appealed against in the 
Intellectual Property Division of the INDECOPI  Tribunal, which is the second and final 
administrative instance of appeal on such matters. 
Table III.7 
Participation in agreements on intellect ual property protection, December 2006 
Convention/Agreement Date of accession 
Lisbon Agreement, Appellations of Origin  16 May 2005 
WIPO Copyright Treaty 6 March 2002  
WIPO Performances and Phonograms Treaty 18 July 2002  
Paris Convention for the Protection of Industrial Property (1883) 11 April 1995 
Treaty on the registration of films  27 July 1994  
 Table III.7 (cont'd) 
                                                      
141 Amount disbursed in goods, services and works.  Includes State enterprises but not contracts 
involving military secrets or internal security. 
142 WTO documents IP/C/W/484 of 2 November 2006, WT/GC/W/564/Rev.2, TN/C/W/41/Rev.2, 
IP/C/W/474 of 5 July 2006, IP/C/W/484 of 2 November 2006, IP/C/W/429 of 21 September 2004, IP/C/W/442 
of 18 March 2005 and IP/C/W/165 of 3 November 1999. 
143 WTO document G/VAL/N/3/AR G/9 of 8 November 2005. Peru WT/TPR/S/189 
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Convention/Agreement Date of accession 
Berne Convention for the Protection of Litera ry and Artistic Works (1886) 20 August 1988 
Rome Convention for the Protection of Perfor mers, Producers of Phonograms and Broadcasting 
Organizations 7 August 1985 
Brussels Convention relating to the Distribution of Progra mme-Carrying Signals Transmitted by Satellite 7 August 1985 
Geneva Convention for the Protection of Producers of P honograms against Unauthorized Duplication of their 
Phonograms  24 August 1985 
Source : WTO Secretariat, on the basis of information prov ided by the World Intellectual Property Organization. 
224. Peru has notified the WTO of its relevant legal instruments144 and the Andean Community's 
Cartagena Agreement.145  The Council for TRIPS  reviewed Peru's  legislation in 2001.  Peru received 
and replied to questions put to it146, relating to the issue of enforcement, in particular. 
225. The Peruvian legal framework for the protecti on of intellectual property is established by 
domestic legislation, the Andean Community's Cartagena Agreement, the Treaty establishing the 
Court of Justice of the Andean Community, and Andean Community Decisions.  Table AIII.6 lists 
Peruvian laws dealing with TRIPS issues. 
226. Andean Community legislation deals with indus trial property, copyright and related rights, 
traditional knowledge, access to genetic resources a nd plant breeders' rights.  The Andean Common 
Industrial Property Regime (2000) was introduced by Decision No. 486, which brought the Andean 
common regime into line with the TRIPS Agreement. 
227. INDECOPI may grant licences for reasons of publ ic interest, emergency or national security;  
and in cases involving dependent patents.  Compulsory licences also may be granted, either ex officio or at the request of a party, in the event of prac tices detrimental to the exercise of free competition, 
especially where they constitute an abuse of a dom inant position.  Compulsory licences are subject to 
adequate remuneration and must be used principa lly for the supply of the domestic market.  No 
compulsory licences were granted in the period 2000-2006. 
228. The system for protecting breeders of new pl ant varieties has been developed through 
Supreme Decree No. 08-96-ITINCI and Andean Commun ity Decision No. 345.  Peru is not a member 
of the International Union for the Protec tion of New Varieties of Plants (UPOV). 
229. Peruvian law provides for the protection of geographical indications
147, including the concepts 
of "appellations of origin" and "indications of source".  Peru has obtained recognition for the 
following appellations of national origin:  Pisco148, white maize ( Gigante Cusco  variety) and 
Chulucana pottery products. 
230. Decision No. 486 permits parallel imports from an y country of products protected by patents, 
layout-designs, trademarks or industrial designs.  With respect to parallel imports relating to 
copyright, Decision No. 351 of the Andean Community Commission and Legislative Decree No. 822 
                                                      
144 WTO documents IP/N/1/PER/P/4 of 24 March 2004;  IP/N/1/PER/I/3 of 7 November 2000;  
IP/N/1/PER/C/1 of 10 May 2000;  IP/N/1/PER/C/2 of 10 May 2000;  IP/N/1/PER/C/3 of 10 May 2000;  
IP/N/1/PER/I/1 of 10 May 2000;  IP/N/1/PER/I/2 of 10 May 2000;  IP/N/1/PER/P/1 of 10 May 2000;  
IP/N/1/PER/P/2 of 10 May 2000;  IP/N/1/PER/P/3 of  10 May 2000;  IP/N/1/P ER/1 of 13 April 2000. 
145 WTO document IP/N/4/PER/1 of 19 August 1997. 
146 WTO documents IP/Q/PER/1, IP/Q2/PER/1, IP/Q3/PER/1, IP/Q4/PER/1 of 12 June 2001. 
147 Legislative Decree No. 823, Industrial Property Law;  Decree Law No. 26122, Law on the 
Prevention of Unfair Competition;  Decision No. 486 of the Commission of the Cartagena Agreement. 
148 WTO document IP/C/W/117/Add.16/Rev.1 of 14 February 2001. WT/TPR/S/189 Trade Policy Review 
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(National Copyright Law) establish specific provisi ons on the exhaustion of copyright.  According to 
the case law of the Andean Court of Justice relating to Decision No. 351149, parallel imports of 
products protected by copyright are not prohibited, unless any injury could be caused to the authors. 
231. Peru  has provided information on enforcement in its replies to the checklist of issues under 
the TRIPS Agreement.150  INDECOPI oversees the enforcement of domestic and international 
obligations on intellectual property rights, and is al so responsible for receiving and resolving disputes 
and for imposing penalties.  Two types of action ar e possible in the area of industrial property:  
(i) administrative actions implemented by INDECO PI, including third-party objections (to use or 
registration), border measures, the cancellation of re gistrations for non-use, being common or generic 
or well-known;  and actions relating to unfair competiti on;  and (ii) judicial actions relating to civil 
proceedings, administrative court cases, unfair co mpetition proceedings or criminal proceedings. 
232. The Copyright Law allows copyright owners to  report infringements and request preventive 
measures such as confiscation or destruction of illicit copies.  Andean Decision No. 486 stipulates that 
the owner of a patent, utility model, industrial d esign, trademark, slogan or trade name may seek 
preventive or interim measures such as:  cessation of the acts that constitute the violation;  withdrawal 
from commercial channels of the products resulting fr om the violation and the award of ownership of 
such products;  prohibition of imports or exports of  the offending products;  d estruction of offending 
products;  temporary or permanent closure of the business that is the subject of the complaint;  compensation in respect of damage and injury;  publ ication of the judgement and notification thereof 
to interested parties.  In addition, the offending pr oducts may not be re-exported in the same state, nor 
may they be subjected to a different customs procedure. 
                                                     
 
149 Judgement in Trial 39-IP-99, consulted at:  http://intranet.comunidadandina.org/IDocumentos/ 
c_Newdocs.asp?GruDoc=11). 
150 WTO document IP/N/6/PER/1 of 16 August 2000.