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The commerce ministry has said that the next round of negotiations between India and South American nation Peru for a free trade agreement (FTA) is expected to start in April 2024. The proposed agreement is aimed at promoting bilateral trade and investments between the two countries. In such pacts, two trading partners either significantly reduce or eliminate customs duties on the maximum number of goods traded between them, besides easing norms to promote trade in services.

The ministry said the 6th round of India-Peru negotiations for a trade agreement was held from February 12 to 14, 2024, in Lima, Peru, to continue the work that started in 2017 when the negotiation process was formally announced.  In this round, nine working groups held in-person meetings on trade in goods, rules of origin, trade in services, movement of natural persons, customs procedures and trade facilitation, and dispute settlement.

During 2022-23, the bilateral trade between India and Peru stood at $3.12 billion. India exported goods worth $865.91 million to Peru and imported goods valued at $2.25 billion. Key Indian exports to Peru include motor vehicles/cars, cotton yarn and pharmaceuticals, while imported items include gold, copper ores and concentrates.