The 7th round of India Peru trade talks in New Delhi marked a significant milestone in the bilateral relationship, characterized by substantive advances across various chapters, notably in areas such as Technical Barriers to Trade (TBT) and Dispute Settlement mechanisms.
Sources confirmed to Financial Express Online that during the talks which concluded on Wednesday (April 11, 2024), “the two sides made substantive progress in TBT and Dispute Settlement mechanisms among others.”
“These breakthroughs underscored a shared commitment to fostering a more robust and mutually beneficial trade framework between the two nations. As both sides continue to navigate the complexities of global commerce, the outcomes of these negotiations stand as a testament to the proactive efforts towards enhancing trade cooperation and resolving trade-related disputes effectively,” sources quoted above explained.
Background
Peru’s Ambassador to India, Javier Manuel Paulinich Velarde, expressed confidence in the progress made during the negotiations and the potential for a strong partnership. According to him, his country has 22 FTAs with 58 countries which has led to an almost immediate increase in trade, investment and cooperation.
Peru’s Chief Negotiator, Gerardo Antonio Meza Grillo, highlighted the significance of restarting negotiations after a hiatus since 2019, emphasizing the need for flexibility to find mutual solutions.
The negotiations covered various aspects including trade in goods and services, movement of natural persons, Rules of Origin, Sanitary and Phytosanitary Measures, and dispute settlement, among others. Both sides had around sixty delegates participating, discussing aspirations and concerns thoroughly.
India and Peru have seen significant growth in trade over the past two decades, with the potential for further collaboration through the ongoing negotiations. The next round of talks, expected in June 2024, will involve discussions over video conference to address outstanding issues beforehand.
At the beginning of the seventh round of talks, Sunil Barthwal, Commerce Secretary, Department of Commerce, Ministry of Commerce & Industry, highlighted the longstanding diplomatic ties between India and Peru since the 1960s. He pointed out the importance of discussions held during the 9th CII India-LAC Conclave in August 2023, which paved the way for resuming negotiations. He suggested that input from stakeholders and industry feedback should guide the negotiation process.
Rajesh Agrawal, Chief Negotiator and Additional Secretary, Department of Commerce, noted the frequency of recent talks as a sign of both countries’ eagerness for deeper economic cooperation. He stressed the importance of swift and effective negotiations.
Peru has emerged as the third-largest trading partner of India in Latin American & Caribbean Region. In the last two decades, the trade between India and Peru has increased from US$ 66 million in 2003 to around US$ 3.68 billion in 2023.The trade agreement under negotiations shall play a pivotal role in future collaboration in various sectors, creating avenues for mutual benefit and advancement.
