India, Peru may ink free trade pact to strengthen trade ties

NEW DELHI: India and Peru are planning to ink a free trade agreement (FTA) which would be gradually eliminating tariffs on most of goods and services traded between both the nations.

Jose Beraun Aranibar, Vice Foreign Minister for External Affairs said at a CII function here, “We have received a proposal from India (for signing an FTA) and this is under consideration. Now our technical people are doing a feasibility study on it.”

Peru's Vice-Foreign Minister is on two-day visit to India. Both the nations will aim to strengthen the commercial ties and will sign two agreements, consisting one in the field of geology and mineral resources.

In 2011, the bilateral trade between India an Peru was at $835 million. India's exports to Peru consists of organic and inorganic chemicals, drugs and pharmaceuticals, rubber products, machinery and textiles.

The imports from Peru are refined copper wires and minerals, zinc concentrates and manufactures, fish meal, wood and wood products.

India implemented comprehensive FTAs with nations like Japan, Malaysia and South Korea.