FTA Talks Near Completion, Peru Taps India for Clean Tech Push
The pact is expected to open new frontiers in trade, investment, agriculture, fisheries, and technology between the two nations.
Speaking at an event in Bengaluru to commemorate the 204th anniversary of Peru's independence and 62 years of diplomatic relations with India, Ambassador Velarde emphasized that the FTA would serve as a catalyst for unlocking economic potential and elevating the Indo-Peruvian partnership to the next level.
Highlighting Peru's strong macroeconomic foundation, the envoy said the country has posted an average GDP growth of 4.8% over the past two decades, while maintaining single-digit inflation and a stable exchange rate with the U.S. dollar for 28 years.
As Peru looks to diversify and deepen its global partnerships, Ambassador Velarde made a strong pitch for Indian investment and collaboration in the rare earth minerals sector, a critical input for India's ambitions in clean energy and advanced technologies.
'Peru's deposits of rare earth elements such as neodymium, praseodymium, dysprosium, and terbium are vital to India's push in electric vehicles, wind power, electronics, and next-gen IT systems,' Velarde noted. 'We invite India to explore joint ventures, exploration initiatives, and technology collaboration in this strategic area.'
The Ambassador also underlined Peru's established position as the world's second-largest exporter of copper and silver, and among the top four exporters of zinc, lead, molybdenum, and tellurium. In 2022, bilateral trade touched a significant milestone, with over $4.2 billion worth of goods exported from Peru to India.
Positioning Peru as a gateway to Asia, Velarde highlighted the country's strategic maritime location on the South Pacific and its modern port infrastructure, which enables lower shipping costs and faster delivery times. He said new investment avenues remain open in ports and logistics, offering Indian businesses logistical advantages for wider regional integration.
In his keynote address, Ambassador Velarde drew attention to the shared civilizational heritage between the two nations, citing Caral, the oldest known civilization in the Americas, which dates back 5,000 years—contemporary to the ancient civilizations of India. 'This shared legacy has transformed into a partnership rooted in democratic values, mutual respect, and sustainable development goals,' he said.
The event saw participation from Peruvian ministers of education, Indian dignitaries, and prominent members of the business and diplomatic community. The Ambassador extended special thanks to P. Vishwanath, Honorary Consul of Peru for Karnataka, Kerala, and Goa, for his continued efforts in enhancing Indo-Peruvian ties.
Stressing on regional collaboration, Velarde said that Karnataka holds immense potential for future cooperation, especially in sectors such as innovation, green energy, and maritime logistics.
'Let us continue building together a future where the Andes and the Himalayas walk hand in hand, guided by respect, vision, and friendship,' Velarde said in conclusion, drawing enthusiastic applause from the gathering with a heartfelt "Jai Hind" and 'Gracias, Viva el Peru!' UNI BDN SSP
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