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Minister: Peru's free trade pact with China to boost exports

(Xinhua)
Updated: 2010-03-01 16:01

LIMA, Peru: Peru's Free Trade Agreement (FTA) with China will create "immense opportunities" for Peru's export and external investment, Peru's Exterior Commerce and Tourism Minister Martin Perez said on Sunday.

"China is the second biggest commercial partner of Peru and the FTA between both countries will serve not only to consolidate the commercial ties with China but also the investments which already are very important for the country," Perez said.

Currently China's investment in Peru has exceeded $1.2 billion, the largest among Asian countries, he added.

The FTA, to be valid on March 1, will enable many Peruvian products to enter the Chinese market duty-free, Perez said. Peruvian entrepreneurs are ready to take this opportunity to expand business with their Chinese counterparts, he said.

Currently more than 1,000 Peruvian companies export goods to China, the number is expected to increase after the implementation of the FTA, he said.

Besides the traditional exports such as fish and minerals, the FTA will open door to new products, like farm produce.

"We foresee major increase in the exports of fresh fruit, like grapes, mangos and avocados, as well as natural colorants, grains, cereals and giant corn," Perez said.

The FTA will also create thousands of jobs in Peru and indirectly increase employment in other countries of the region, Perez said.