Andina

Peru: Cusco companies strengthened to enter U.S. market

Photo: Ministry of Foreign Trade and Tourism of Peru

09:05 | Cusco (Cusco region), Dec. 3.

Foreign Trade and Tourism Minister Desilu Leon underscored her sector is working to ensure that more companies based in Cusco make the most of the trade agreement signed between Peru and the United States, which has been beneficial for the economic development of the South American country's regions.

The government official said companies from Cusco successfully ship products such as quinoa, coffee, and cacao to the North American market.

The Ministry of Foreign Trade and Tourism (Mincetur) will work with the southern Peruvian region to achieve the shipment of goods with higher added value, such as energy bars, flour, chocolates, and frozen products.

"Likewise, the National Agrarian Health Service of Peru (Senasa) has been coordinating with its counterpart in the United States to establish the sanitary protocol for the entry of aguaymanto, turmeric, pitahaya, and new avocado varieties. These products are of great importance for our country, especially for small producers," Leon disclosed. 

The Cabinet member made these remarks during the opening of the event "Trade Opportunities in the Framework of the Trade Agreement between Peru and the United States," organized by Mincetur and with the participation of the United States Embassy in Peru.

This event brought together U.S. Ambassador to Peru, Stephanie Syptak-Ramnath; Cusco Region Governor Werner Salcedo; as well as representatives of business guilds and public entities.

The aim of this event was to strengthen the competitiveness of exporting companies and those with export potential in the region, so that they can consolidate their internationalization in this important market.

Significance of FTA

The Trade Promotion Agreement between Peru and the United States represents a milestone in our country's commercial opening strategy.

After 15 years of validity, this agreement has contributed significantly to Peruvian economic development and the creation of new opportunities for the internationalization of national companies, especially micro-, small-, and medium-sized enterprises (MSMEs).

In 2023, Peru-U.S. bilateral trade exceeded US$19 billion. In said year, Peruvian exports to that market exceeded US$9 billion, a 6.7% growth compared to 2022.

Shipments to the United States have exceeded US$6 billion as of September 2024.

The United States is currently Peru's second-largest trading partner, accounting for 13% of our total exports, and is the main destination for our non-traditional exports.

In particular, it is the main market for Peruvian agricultural exports, where Peru has managed to position itself as the second-largest supplier of fruits with products such as blueberries, grapes, avocados, citrus fruits, among others.

Regarding Cusco region, shipments to the North American country registered a value of US$76 million in 2023. Exports of coffee (US$4 million), quinoa (US$2 million), cocoa (US$1 million), and textiles (US$1 million) stood out.

Furthermore, Cusco's agricultural exports grew by 60% between January and September 2024 compared to the same period in 2023. The increased exports of frozen sweet corn (+133%), cacao (+109%), quinoa (+64%), and coffee (+12%) were especially significant.

During the 15 years of validity of this FTA, a positive impact has been observed in the incorporation of new exporting companies to the U.S. market.

In this period, 9,254 new exporters have been registered, who have managed not only to place their products but also to generate strategic alliances with U.S. companies as part of global value chains.

(END) NDP/MVB

Published: 12/3/2024