PERU SIGNED FREE TRADE AGREEMENTS WITH SINGAPORE AND CANADA

The Government of Peru has just signed Free Trade Agreements with Canada and Singapore. The Minister of Foreign Trade and Tourism of Peru, Mrs. Mercedes Araoz, and the Secretary of State for Foreign Affairs and International Trade of Canada, Mrs. Helena Guergis and the Minister for Trade and Industry of Singapore, Mr. Lim Hng Kiang, signed these FTA’s on May 29th in the presence of the President of the Republic, Dr. Alan García in Lima.

Several other Agreements with Canada were subscribed at the same occasion. In a letter, the Prime Minister of Canada considered the Agreements as a great success for both nations and congratulated authorities and the people of Peru “… an stable, recognized leader in Latin America with political influence and economic power in the region”. President García expressed deep satisfaction for the FTA with Canada “…an admired and loved country” opening its doors for Peruvian agro industrial products, textiles and clothing and many other trade and investment possibilities. The agreements wits Canada include labor and environmental co-operation.

In the case of Singapore, the FTA is also a broad-based and comprehensive agreement, covering issues such as trade in goods, rules of origin, trade remedies, sanitary and phytosanitary (SPS) measures, technical barriers to trade (TBT), trade in services, investment, government procurement, customs procedures, temporary entry of persons, competition policy, institutional provisions and dispute settlement. All Peruvian exports will be granted tariff-free access to Singapore immediately. “Pisco”, “Maiz Blanco Gigante Cusco” and “Chulucanas” will be recognized as Peru’s geographical indications in Singapore. An Investment Chapter with modern provisions shall replace the current bilateral investment treaty.

Minister for Trade and Industry of Singapore, Mr. Lim Hng Kiang, stressed the value of the agreement for strengthening ties with Peru, a vibrant economy experiencing healthy economic growth, with trade and investment flows between both countries expanding and allowing for their enhanced access to the Latin American and Asian markets respectively. The Minister also referred to Peru as host of the Asia-Pacific Economic Council (APEC) meetings this year, followed by Singapore’s APEC Chairmanship next year and the numerous contacts by leaders, officials and business delegations from both sides.

President García expressed that the treaty shall expand possibilities for the industrial and agricultural sectors, as well as access to modern technologies, finance and logistics that are the trademark of Singapore. Completion of this FTA is also a signal to other Asian countries about where future economical potential lies, he stressed.

Peru’s FTA agreement with the United States is in the phase of implementation. The country is presently negotiating Free Trade Agreements with China and the European Free Trade Association countries, while similar treaties with México and Chile are in the final stages of approval. Similarly, preliminary steps for that same goal are being taken with the Republic of Korea and the European Union, this last via the Andean Community of Nations.

Vice Minister of Economy, Trade and Industry of Japan, Mr. Yoshitaka Shindo, present at an APEC Ministerial Meeting held in Arequipa, declared that Peru figures in the list of priorities of Japan for future negotiation of an Economic Partnership Agreement. At this time, Japan and Peru are actively negotiating an investment treaty with the aim of signing it at the end of this year.

Tokyo, June 3rd. 2008