The Peruvian government's approach to start talks and sign a bilateral trade agreement with the United Kingdom after the Brexit is positive, as it will keep the flow of non-traditional exports which, up to August, amounted to 189 million dollars, the Exporters Association (ADEX) stated.
"It is one of the biggest economies in the world with which we have very important trade and investment ties. Our annual exports exceed 600 million dollars, while our imports amount to 290 million dollars. We have a surplus trade balance that could be lost if we do not have tariff preferences," said Juan Varilias, the head of ADEX.
"It is our understanding that the British authorities are looking for the fastest way to keep all the integration commitments they have with all their trading partners, especially those that derive from the FTA with the European Union. Therefore, we expect this can be resolved without much negotiations," he added.
Varilias said that in the last 5 years, while Peruvian exports to the world fell, shipments to UK kept growing at an average rate of 9.2%, which reveals the importance of this market for the country.
According to data from ADEX, between January and August 2016, shipments of added value products amounted to 189 million dollars, i.e. 5.6% more than in the same period last year. The most important sub-sector was the agribusiness sector, which accounted for 83% of all the non-traditional exports.
The main products were: avocados, fresh asparagus, citrus, mangos, quinoa, pomegranates, lemon essential oil, blueberries, of a total of 407 added-value products shipped to the UK.
"The agro-industrial subsector is one of the main engines of growth in our sales to the UK. In the last 5 years it grew at an average rate of 22.2%, which is highly significant within the crisis that dominates the world stage," the president of ADEX stated.
According to the Department of Economic Studies of ADEX, the UK represents a potential of 1,200 million dollars in exports, which means that, despite the Brexit, Peru could triple shipments to that destination.
Source: americatv.com.pe