Political

India established diplomatic relations with Peru in March 1963. India-Peru relations have traditionally been cordial and friendly. Since the 1990s, there has been an increasing economic and business content to the relationship. On the Peruvian side, an enhanced interest in the Asian region due to APEC membership, coupled with India’s image as a technologically advanced democratic developing country, as well as increased bilateral trade, has enhanced India’s importance. Peru is also a member of NAM.

 Recent VIP / VVIP visits from Peru to India: President Alan Garcia (1987) - Chief Guest for Republic Day, President Alberto Fujimori (1997), Minister for Commerce  (2007),  Vice Minister for Defence (2009) to attend "Aero India 2009", Minister for Trade and Tourism, Mr. Eduardo Ferreyros (2011), Vice Minister of Environment Mr. Hugo Cabiese (2011), Vice Minister of Foreign Affairs Jose Beraun Araníbar (2012).

 Bilateral Agreements:

• Indo-Peru Trade Agreement (1971)
• Basic Agreement on Technical and Scientific Cooperation (1975)
• Cultural Agreement (1987)
• A Working Programme for Scientific and Technological Cooperation between CSIR, India and National Council of Science and Technology (CONCYTEC) of Peru was signed for the periods 1989-90 and 1995-97 under the S & T Cooperation Agreement of 1975.
• Agreement between FSI and Diplomatic Academy of Peru (1997)
• Agreement on Scientific, Technical and Logistical Cooperation on Antarctica (1997)
• Agreement on Tourism Cooperation (1997)
• Agreement between Indian Council of Agricultural Research (ICAR) and the National Institute of Agricultural Research of Peru (INIA) (1997)
• MOU on Annual Foreign Office Consultations (1997) 
• Agreement on Technical Cooperation (1997)
• Protocol for Cooperation between NASSCOM and the Peruvian Chamber of Software (CPS) to promote IT interaction and establish a Joint Council for cooperation between Indian and Peruvian IT industries (1997)
• FICCI signed an agreement with CONFIEP (its Peruvian counterpart) to set up a Joint Business Council (1997)
• MOU on Space Cooperation between ISRO and the Peruvian National Space Organisation (CONIDA) (1998)
• Agreement on visa exemption for diplomatic and official passport holders (2003)
• Agreement for the establishment of a mechanism of political consultation and cooperation with the Andean Community (2003)
• Agreement on gainful employment for family members of diplomats (2005).
• Protocol of Cooperation in Science & Technology (2010)
• MoU between ICWA and CEPEI (2010)
• MoU on Cooperation in the field of Geology and Mineral Resources (2012)
• MoU on the Establishment of Centre of IT Excellence (2012)

A number of agreements i.e.  Bilateral Investment Protection and Promotion Agreement, Customs Cooperation Agreement, Mutual Legal Assistance in Criminal Matters, Air Services Agreement, Defence Cooperation Agreement, Agreement for the Exchange of Information and Assistance in Collection with respect of Taxes, and MoUs on Renewable Energy, and Health, are being negotiated.

The 4th India-Peru Foreign Office Consultations (FOCs) were held in New Delhi on 13th July 2012.  India and Peru cooperate closely on multilateral matters.

India gave an amount of US$ 500,000 to the Government of Peru as disaster relief assistance in the wake of a severe earthquake which took place on 15 August 2007.

Commercial

Trade

 For the first time, total bilateral trade between India and Peru crossed the US $ 1 billion mark.  In 2011-12 the total trade was US$ 1034.02 million, an increase of 71% as compared to the trade in 2010-11. India’s exports to Peru were valued at US$ 563.86 million (up 35%) and India’s imports from Peru amounted to US$ 470.16 million (increase of 150%). The trade balance was US$ 93.7 million in favour of India. 

Indo-Peruvian Trade (US $ Million)

Source: Department of Commerce, Government of India

India’s main exports to Peru are transport equipments, cotton yarn,  iron and steel, plastic and linoleum products, pharmaceuticals, organic and inorganic chemicals, man-made yarns, etc. Main Indian imports from Peru are gold, metalifers ores, crude fertilizers, and silver.

Investments

Four Indian companies have currently invested in the mining sector in Peru.  Many others are exploring possibilities.  Apart from investment in mining, there is tremendous scope for mining equipment and machinery in Peru.

AJE Peru has opened a subsidiary in Mumbai, AJE India Pvt. Ltd.  The company is manufacturing beverages like cold/soft drinks in India.   Another Peruvian investment has been done by Bembos, a fast food chain.  The company has opened a fast food outlet in Mumbai. 

 A Cultural Agreement was signed in 1987.  ICCR sponsored the visit of renowned Odissi dancer Masako Ono to Peru in April 2012.  To commemorate 50 years of establishment of diplomatic relations between India and Peru, proposals for various cultural events like photographic exhibitions, seminars/courses, food festivals, etc. are under discussion. 

Indian Community   The Indian community in Peru is quite small, numbering around 400, mainly engaged in business and trade.   More Indian professionals are entering Peru with the entry of more Indian companies. In addition, there are some Indian nationals with the Missionaries of Charity and other Christian organizations in Lima, Chimbote and Puno.

July 2012