Peru Advances Free Trade Talks With India, Aims for 2027 Agreement

Peru has sent a counterproposal to India to advance negotiations for a bilateral free trade agreement, with the South American nation's government aiming to finalize the deal by 2027. The development was confirmed by Peru's Trade Minister, Rogers Valencia, in a Reuters interview on Friday.

Negotiations and Timeline

Talks between the two countries, which first began in 2017, have entered a new phase with the submission of Peru's latest terms. Minister Valencia acknowledged the complexity of the process, stating, "Negotiating with India is a fairly lengthy process."

"However, a counterproposal has now been sent to India, we are finalizing this process, and we hope the treaty with India can be signed in 2027," Valencia added, providing a clear timeline for the targeted conclusion of the long-running discussions.

Shifting Trade Dynamics

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This diplomatic push occurs as India has emerged as a critical trade partner for Peru, primarily due to soaring gold shipments. According to official ministry data, India has now overtaken the United States as the second-largest destination for Peruvian exports.

Key trade figures for the January to July period highlight this significant shift:

• Exports to India: $6.184 billion, a 152% increase from the same period last year.
• Exports to the United States: $5.971 billion, a 21% increase year-over-year.

China remains Peru's largest export partner, a relationship largely fueled by demand for copper and other minerals. The Andean nation, a major global copper producer, anticipates its total exports will reach a record of more than $100 billion this year, up from approximately $91 billion in 2025, according to the trade minister.