Peru: Signing of FTA with Guatemala to boost business and agricultural exports

Photo: Presidency of the Republic of Peru

Photo: Presidency of the Republic of Peru

15:00 | Lima, Apr. 23.

The Ministry of Foreign Trade and Tourism (Mincetur) stated on Wednesday that the signing of the Free Trade Agreement (FTA) protocol with Guatemala will provide a greater boost to agricultural exports and international business with the Central American country, benefiting micro, small, and medium-sized enterprises (MSMEs).

"Today we seal a commitment to development and brotherhood. This agreement represents much more than a legal instrument; it is the expression of a firm political will," Peru's Foreign Trade and Tourism Minister Desilu Leon expressed during the signing ceremony. 

According to Mincetur, this document brings transformative opportunities, preferential market access, as well as eliminates both tariff and non-tariff barriers.

Likewise, it will encourage new business ventures and diversify exports, with a focus on the agricultural, industrial, and technological sectors.

"In recent years, trade between Peru and Guatemala has shown steady growth. In 2024 alone, we reached a bilateral trade worth US$250 million, a 20.5% growth compared to the previous year. It has become our second-largest trading partner in Central America after Panama," Leon revealed.

A total of 366 Peruvian companies currently export to Guatemala, 34.4% of which are MSMEs.

The main products exported are grapes and palm oil, which together account for over 44% of total exports.

"This treaty, originally signed in 2011, could not enter into force due to trade differences that we now leave behind with maturity, transparency, and cooperation," she emphasized.

Imports

In turn, Guatemala's Economy Minister Gabriela Garcia considered this act a "milestone that reflects years of technical effort, established dialogue, and mutual commitment to strengthen our trade relations."

Likewise, the foreign official stated that companies from both countries will be able to adopt better practices and technologies, as well as generate more and better jobs through this renewed agreement.

"The main export products from Guatemala are sugar, coffee, and textiles, while Peru will contribute fruits and petroleum derivatives, with equitable conditions for both countries," she concluded.

(END) GDS/JJN/MVB

Published: 4/23/2025