Peru should promote its non-traditional production in Europe

Fuente/Source: Andina.com.pe - Peru should promote its non-traditional production in Europe

Peru should promote its non-traditional production in Europe

  

Lima, Mar. 02 (ANDINA). Peru should further promote its non-traditional products in the European market in order to take better advantage of the free trade agreement that went into effect yesterday, EU's delegation chief in Peru Hans Allden said Saturday.

Hans Allden. Photo:ANDINA/Carlos Lezama.

He said that Peru's traditional exports such as minerals are already known in Europe and need no further promotion, because the marketing channels are already open.

"Let's generate interest in the European consumers so that they get to know the Peruvian production and learn more about Peru. The country brand is the image of Peru for new products, such as manufactured goods," he told TV Peru.

Other non-traditional products that have a chance to grow in the European market are textiles and agribusiness products like asparagus, Allden added.

He explained that the European consumers are highly demanding and when they go to a supermarket and see that the grapes and mangoes grown in Peru are organic, they will be interested in learning more about Peru.

(END) MDV/GCO/EEP

Peru expects US$8bln investment commitments in 2013

Fuente/Source: Andina

Peru expects US$8bln investment commitments in 2013  

Lima,  (ANDINA). Peru's investment promotion agency Proinversion expects investment commitments to reach US$8 billion in 2013.

Proinvesion executive director, Javier Illescas, said that there are several projects in portfolio such as Line 2 of Lima Metro, Cusco's Chinchero International Airport and Pisco's port.

He noted that Chinchero airport and Line 2 of Lima Metro will require a US$420 million and US$5 billion investment, respectively.

Meanwhile, Pisco' port in Peru's southern region of Ica will entail an investment of around US$100 million.

"We have several projects with those amounts. We are talking about seven to eight billion dollars," Illescas said.

(END) SMA/AQR/LOG/MOC

Peru will prepay $1.5b in debt to curb sol’s gains | The Nation

Fuente/Source: Reuters

Peru will prepay $1.5b in debt to curb sol’s gains

By: Reuters

LIMA  - Peru will launch an aggressive plan to prepay up to $1.5 billion in debt in 2013 to try to stem the Peruvian sol’s appreciation by soaking up foreign currency in the local market, Finance Minister Luis Miguel Castilla said on Saturday.

“We are going to use and make prepayments of between $1 billion and $1.5 billion in 2013, and this will serve to absorb some of the appreciating pressure that exists in the economy,” the minister told a news conference.

Peru’s sol closed on Friday at its strongest level in more than 16 years, with a bid price of 2.558 per dollar.

Yield-hungry investors have poured money into emerging markets such as Peru, which has expanded on average by 6 percent a year in the last decade. It currently ranks as South America’s fastest-growing economy.

Castilla told reporters he forecasts 2013 economic growth at 6.3 percent, up from 6.0 percent previously. The new number matches the government’s growth forecast for 2012.

He also estimated that Peru’s exports will expand 3.3 percent in 2013 to about $45.45 billion, recovering from a projected 4 percent decline in 2012 stemming from weaker global demand and lower metals prices.

The minister said an expected increase in the volume of mineral shipments will help boost exports next year. Mining accounts for 60 percent of export revenue in Peru, the world’s No. 2 copper and silver producer.

Castilla mentioned the possibility of debt prepayment during an interview with Reuters nearly two months ago. He said the debt prepayment was part of a “liability management policy” that seeks to improve and extend the Andean country’s debt profile.

Paying foreign bonds early would complement other measures the government has applied to curb the sol’s rally, such as raising deposit requirements on bank accounts denominated in dollars or allowing local pension funds to invest more money abroad.

Peru has local and foreign debt in dollars and soles that are equivalent to about $36.6 billion, or nearly 20 percent of gross domestic product. About $20 billion is foreign debt, according to the central bank.

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Taking EU-Peru Trade Relations To The Next Level - Speech Eurasia Review

Source: Taking EU-Peru Trade Relations To The Next Level - Speech Eurasia Review

Taking EU-Peru Trade Relations To The Next Level – Speech

By: Eurasia Review

By Karel De Gucht, European Commissioner for Trade

Ladies and gentlemen,

We are together this morning at a very important moment for the relationship between Peru and the European Union.

In June of this year we signed a ground-breaking free trade agreement between the European Union, Peru, and Columbia. When approved, it will deliver very significant benefits to all three partners.

Peru

It will also lay the groundwork for closer cooperation between the European Union and Peru on a range of global issues.

It is very important that we all do our utmost over the coming weeks, months and years to make sure that we bring the agreement into force, take full advantage of its provisions and use it as a springboard for that closer relationship.

I would like to briefly address each of these steps with you this morning before we spend some time discussing your concerns. But let me first give you a short summary of the case for this deal:

First, economics.

Once the agreement is fully in place, we can expect substantial benefits in terms of growth and jobs.

Market opening is always a powerful driver of economic growth.

That is because it acts in two ways at the same time.

It stimulates demand by providing access to new customers. In Europe, for instance, 30 million jobs across our economy depend on exports.

But open trade also acts on the supply side of the economy. Today’s global economy is highly integrated, based on long and truly global value chains. In this context imports – whether of components or raw materials – are vital to companies’ ability to compete.

What is more, imports create a more competitive marketplace – meaning businesses have to raise their game if they want to keep playing. That means they are more competitive on international markets. In our own experience in the EU we have seen that a 1% increase in economic openness translates into a 0.6% increase in productivity.

The EU is the first export market and the principal investor (FDI) in Peru.

EU Trade Chief to visit Mexico and Peru to foster trade ties | Invest in EU

The EU is the first export market and  the principal investor (FDI) in Peru.  

EU-Peru Trade in facts and figures:

• The EU is Peru's 3rd largest source of imports, after the United States and China. In 2011, imports from the EU (€2.8 bn) accounted for 12% of Peru's total imports.

• The EU is the first export market for Peru, with Peru's exports to the EU (€6.4 bn) accounting for 18% of its total exports in 2011. Total trade in goods is €9.2 bn. 

• In terms of FDI, the EU is the principal investor in Peru, representing more than 50% of the total FDI stock. The total foreign investment in Peru reached US$22 bn in 2011 (+2% than in 2010).

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