Andina

EU-Peru FTA boosted job creation in the Inca country

11:09 | Lima, Mar. 28.

The Free Trade Agreement (FTA) between Peru and the European Union contributed to creating 474,261 jobs in the non-traditional exports sector last year, up by 72% over 2012, before said treaty came into force, the Association of Peruvian Exporters (Adex) reported.

According to Adex's Research Center of Economy and International Business, there were 152,838 direct jobs, 69,118 indirect, and 252,305 induced ones.

In this sense, the agriculture sector and agro-industry stood out, as both segments employed 373,446 people, due to greater shipments of avocados, blueberries, grapes, asparagus, and mangoes, among others.

Likewise, exports of hydro-biological species for direct human consumption —such as giant squids, prawns, anchovies, tuna, scallops, and others— generated 43,031 jobs in 2017, a 3% rise from the previous year.

The iron-steel sector employed 16,549 people (+42%), mainly driven by higher foreign sales of zinc products, copper wires, and raw silver.

Similarly, the textile sector created 21,425 new jobs (-2%) linked to the exports of cotton t-shirts, cotton shirts, and baby clothing.

Traditional shipments

On the other hand, the traditional exports sector employed 294,002 people (97,105 direct, 30,541 indirect, and 166,356 induced jobs).

Overall, Inca exports to the European Union generated 768,263 new jobs in 2017, a 2% increase compared to the previous year.

It must be noted the EU-Peru Free Trade Agreement entered into force on March 1, 2013, after almost three years of negotiations.

(END) ECS/MDV/JAA/MVB

Published: 3/28/2018