Peru Calls for Enhanced Logistics in India Trade Talks

Peru's Foreign Minister Elmer Schialer advocates for improved logistics between India and Peru to bolster economic ties. Emphasizing the construction of a naval and aerial hub, he sees enhanced trade through the India-Peru Free Trade Agreement. Schialer hopes to sign the agreement by year's end, inviting Indian investors.

Peru's Foreign Minister, Elmer Schialer, on Monday underscored the necessity of improving logistical channels between India and Peru to fortify economic connections. He proposed the development of a naval and aerial hub, featuring two extensive ports, to facilitate more efficient trade and commerce.

"We need better logistics...construction of a naval and aerial hub encompassing two huge ports... We hope that India soon touches the Peruvian soil in our airports," stated Schialer, who is in India for the Raisina Dialogues 2025. The India-Peru Free Trade Agreement, currently under negotiation, aims at boosting trade and investment between the two nations, covering goods, services, and other cooperative areas. Significant strides have been made in negotiations, with the seventh round concluding in April 2024.

In discussions regarding the India-Peru Free Trade Agreement (FTA), Schialer emphasized the need for superior logistics infrastructure to enhance trade. He pointed out that India stands as Peru's third or fourth key trading partner. The FTA is projected to send a "strong signal" for businesses in both countries to collaborate more closely, with Schialer expressing optimism that the agreement could be finalized by the year's end, unlocking opportunities for expanded trade.

Highlighting mutual industrial strengths, especially in mining, Schialer remarked, "If we invest timely, Peru could become the top copper exporter and producer, which is why we invite Indian investors to our country." Both nations have agreed to temporarily set aside sensitive sectors, such as textiles, to focus on more promising areas, planning to revisit these sectors at a later stage.

India and Peru have nurtured amicable relations since 1963, with bilateral trade soaring from USD 66 million in 2003 to USD 3.68 billion in 2023. The anticipated free trade pact could unlock new avenues for economic collaboration and mutual prosperity. Schialer also stressed the significance of the Global South, advocating for tangible measures and practical approaches to enhance cooperation.

Schialer concluded by asserting that focusing on genuine outcomes would enable nations to forge stronger bonds in trade, investment, and culture. "The essence of this needs to be based on realities and concrete measures... And then vast things like trade, investment, culture can be constructed," he stated. (ANI)

(With inputs from agencies.)