Why should you invest in Peru?

  • Peru shows a scenario of sustained economic expansion, which is essential to attract investments.  In the year 2010, the economic activity reached a growth of 9%, the exports rose by 32% and private investment rose by 22% exceeding US$ 27,000 million. 

  • In addition to the macroeconomic growth reached for 9 consecutive years, there are positive expectations for the following years based on announcements of public and private investment project execution, growth of internal consumption and the responsible economic policy that has strengthened the financial system, maintained public expenditure and reduced the debt-GDP ratio, providing strength to Peruvian development. It is projected that as from 2011 the GDP will grow above 6%, which is its structural potential of growth.

  • Since over two decades ago, Peru has assumed a wide opening investment policy, setting a coherent, promoter, stable and transparent legal framework based on equality of conditions for foreign and domestic investments, which was also reflected in the Constitution.  Our legal framework for foreign investment is one of the most modern and less restrictive ones worldwide, and it reflects principles that orient investment policies at international level.

  • Moreover, Peruvian regulations have special regimes providing stability and help the investor in the pre-operational stage of investment projects.

  • At international level, Peru has developed a network of international investment treaties, nowadays, Peru has 31 current agreements.  Besides, the possibility for preferential access to extended markets through commercial agreements, markets that might be accessed by the investor from our country. Peru has signed Commercial Agreements with its main partners, such as Free Trade Agreements with the U.S.A. and China and a Partnership Agreement with the European Union.

  • The optimum panorama offered by Peru for the development of investment projects is acknowledged by main organizations and risk assessment centers which have placed Peru among “investment grade” countries.

  • Countless natural resources available for transformation: basic and precious minerals, hydrocarbons and great capacity for hydric energy generation, among others.

  • Optimum climatic conditions and land with agricultural potential: they guarantee high agricultural yield on the Peruvian coast, particularly high value crops (fruit and vegetables), in which Peru has been consolidating as an important worldwide exporter.  Furthermore, there is a great potential of development in the Andes or the rainforest, from which we obtain products with high nutritional content - such as Andean cereals - and exotic fruit, of growing consumption in Asian countries.

  • Biodiversity: Peru has the majority of climates or life zones in the world; it is the second country in Latin America in terms of natural forest extensions and it has a vast coast; besides, it is the main exporter of fish flour and oil.

  • Growing cities: Lima, the capital city of Peru, has nearly 10 million inhabitants, and there are other fast developing cities, with urban percentage of around 65%.

  • Strategic location in the Southern Hemisphere: Peru is a natural aero commercial hub as it is located in the center of South America, a few hours by plane from main American capital cities and with a growing investment in port infrastructure to intermediate the South American trade with Asian Pacific countries with preferential customs treatment.

  • We invite you to invest in Peru.  The Peruvian State, by means of PROINVERSIÓN (Private Investment Promotion Agency) provides free expedition and assistance services to potential investors in Pre-establishment, Establishment and Post-Establishment stages. 

 

Geographic location

  I. COUNTRY DATA

Official Name

Republic of Peru
 

Type of Goverment

Democratic

Extension

1 285 216 km2

Location

It is located on the center of South America in front of the Pacific Ocean, between south 0° 2' and 18º 21'34'' latitude and 68º 39'7''and 81 º 20’13’’ longitudes.

Capital

Lima

Natural Regions

Coast:15,087,282 ha.

Highlands:35,906,248 ha.

Forest:77,528,030 ha.

 

Geographical Organization

24 Departments and 1 Constitutional Province (Callao)

Population
Total (2014): 30,814,175

Official Language

Spanish

 

Currency Sol (S/.)
Sol (S/.) US$ 1 = S/. 3.280 (updated as of July 10, 2018)

 

General Regulations

With the purpose of promoting private investments, Peru has established a stable and attractive legal framework to national and foreign investors.

The Constitution of the Republic of Peru (1993) provides regulations that constitute essential principles to guarantee a favorable legal framework to private investments in general and to foreign investments in particular. One of its key principles is the equality in the treatment of national and foreign investments. The main regulations of the treatment of private investments are:

  •  Legislative Decree N° 662, approval of the Legal Stability Scheme for Foreign Investments,
  • Legislative Scheme N° 757, approval of the Framework Law for Private Investment Growth, and
  • Regulations on Private Investment Guarantee Schemes, as approved by the Supreme Decree 162-92-EF. 

According to these regulations, some important items for foreign investors in Peru are the following:

 

Basic Rights of Foreign Investors

- Non-discriminatory treatment compared to national investors.
- Freedom of trade and industry, and export and import freedom.
- To send remittances abroad for the profit or gains, after having paid any applicable taxes.
- Guarantee to freely possess and use foreign currency.
- To use the most favorable exchange rate in the market.
- To freely re-export any capital investments.
- Unlimited access to domestic credit.
- Free hiring of technology and remittance of royalties.
- To purchase shares owned by national investors.
- To take investment insurances abroad.
- To enter into Legal Stability Agreements with the Peruvian Government, for their investments in Peru.

Foreign Investment Models Foreign investments can be freely made under any of the business legal forms recognized by law, and under the following models:
- Direct Foreign Investment, as contributions to social capital.
- Contributions to the development of contractual joint ventures.
- Investments in goods and property located within Peruvian territory.
- Portfolio investments.
- Intangible technology contributions.
- Any other mode of investment contributing to the development of Peru.
Free Access to Financial Sectors Private investments are allowed, without restrictions, in almost all financial activities, and do not require any prior authorization. Activities with restrictions to foreign investments are very few, such as air transportation, sea transportation, private security and surveillance, investments in protected natural areas and the manufacture of weapons of war.
Property Rights

According to the Constitution of Peru, the property right is inviolable except under exceptional circumstances, when expropriation is allowed after the payment of a fair indemnification that includes a compensation for eventual damages. 

 
Additionally, when it comes to ownership, foreign and Peruvian entities are in the same conditions. However, foreign entities cannot purchase or own mines, land, forests, water, fuel or energy sources within 50 kilometers from international borders, with the exception of cases of public necessity that are specifically declared as such by a Supreme Decree approved by the Council of Ministers.

Performance Requirements In accordance with the commitments made at the WTO, no mechanism of selection or performance requirement is applied or required to foreign investors.
Freedom of Organization and Performance of Activities Every company has the right to organize and perform activities in the manner that it deems convenient. The Government has repealed any legal provisions establishing production modalities or performance rates, prohibiting the use of supplies or technology processes and, in general, intervening in the production processes of a company, with the exception of legal provisions dealing with hygiene and industrial safety, environment preservation and health.

 

 

Trade Agreements of Peru

In the nineties, Peru began exporting more products while opening its market to supplies and capital goods needed by its production sectors in order to ensure their competitiveness and specialization. 

 

At that time, Peru began to take advantage of some trade preference systems which were offered by countries such as the United States and those belonging to the European Union to some countries like Peru. These preferences allowed Peruvian exports not to pay the duty or import tax to enter such markets. However, regardless of them being very good and Peru taking greater advantage of them every year, these systems did not benefit all products, or had short terms, or complicated conditions and procedures which made it difficult for Peruvian producers to use them. Peruvian exports continued increasing but nothing assured these trade preferences would last forever, thus, preventing Peruvians from engaging in bigger and long term projects to export to the world.
 

Consequently, in order to consolidate the access its products already had to those markets, Peru decided to negotiate trade agreements with the countries it sold and sells more to. With these agreements, all export benefits Peru had would no longer be temporary nor have limited coverage, but would be consolidated in trade agreements which would complement processes of multilateral and regional integration. These Agreements do not only hold commitments regarding the trading of goods, but they also include dispositions about services, intellectual property, investments, among others, which allow the development of a diversified supply of quality goods and services as well as providing our products with value added.


Today, Peru holds trade agreements which open the main markets of the world: those where millions of consumers hope to become acquainted with, appreciate and enjoy the products and services Peru has to offer.


The website www.acuerdoscomerciales.gob.pe, is an official website of the Peruvian government used to keep the citizens informed about these trade agreements and the great opportunities they provide. It also holds a platform for direct care of the citizens, to address their queries and learn about their projects. Now that Peru holds these agreements, the Government keeps working so more and more Peruvians may benefit from them.

 

Preferential tariff

INFORMATION ON PERU
Flag of Peru
bullet TRADE AGREEMENTS: in force | signed but not in force
bullet TRADE AGREEMENTS IN FORCE
 
Multilateral Agreements
Agreement/Partner(s) Date of Signature Text of the Agreement Trade Policy Developments
WTO members
01 January 1995
(Contracting Party to GATT 1947 as of 07 October 1951)
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Customs Unions
Agreement/Partner(s) Date of Signature Text of the Agreement Trade Policy Developments
Andean Community
26 May 1969
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Free Trade Agreements
Agreement/Partner(s) Date of Signature Date of Entry into Force Text of the Agreement Trade Policy Developments
Pacific Alliance
10 February 2014
20 July 2015

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European Union
26 June 2012
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Japan
31 May 2011
01 March 2012

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Costa Rica
26 May 2011
01 June 2013

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Panama
25 May 2011
01 May 2012

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Mexico (ACE 67)
06 April 2011
01 February 2012

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South Korea
14 November 2010
01 August 2011

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European Free Trade Association (EFTA)
14 July 2010
01 July 2011

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China
28 April 2009
01 March 2010

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Canada
29 May 2008
01 August 2009

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Singapore
29 May 2008
01 August 2009

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Chile
22 August 2006
01 March 2009

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United States of America
12 April 2006
01 February 2009

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MERCOSUR (ACE 58)
30 November 2005
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Thailand
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31 December 2011

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bulletTRADE AGREEMENTS SIGNED but not in FORCE
Free Trade Agreements
Agreement/Partner(s)   Date of Signature Text of the Agreement Trade Policy Developments
TPP Trans Pacific Partnership Agreement
04 February 2016

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Honduras
29 May 2015

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Guatemala
06 December 2011

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Preferential Trade Agreements
Agreement/Partner(s)   Date of Signature Text of the Agreement Trade Policy Developments
Venezuela
07 January 2012

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bullet Trade Agreements By Country
Antigua y Barbuda Argentina Bahamas Barbados Belize Bolivia Brasil Canadá Chile Colombia Costa Rica Dominica Ecuador El Salvador Estados Unidos Grenada Guatemala Guyana Haití Honduras Jamaica México Nicaragua Panamá Paraguay Perú República Dominicana Saint Kitts y Nevis Santa Lucía San Vicente y las Granadinas Suriname Trinidad y Tobago Uruguay Venezuela

Foreign Direct Investment

 

I. FDI FLOWS ACCORDING TO THE CENTRAL RESERVE BANK OF PERU

The Central Reserve Bank of Peru (BCRP) reported a flow of US$ 10,172 billion of foreign direct investment for 2013, lower by US$ 2,067 billion to the amount obtained in 2013, mainly due to reinvestments and capital contributions.

Foreign Direct Investment Flows
Central Reserve Bank of Peru
(US$ million)

* Forecast - Inflation Report, December 2013
Source: BCRP
Prepared by ProInversión

 II. RECORD OF CAPITAL CONTRIBUTION

Foreign investment figures presented below are based on registration statements submitted by companies/investors to PROINVERSION pursuant to Legislative Decree No. 662 (Article 19). While the Decree establishes the mandatory registration of foreign investment, it does not establish a fixed deadline or penalty for those who fail to comply with such records.

The difference between the figures reported by the BCRP and those recorded by PROINVERSION can be explained, by the fllowing, the BCRP prepares its foreign direct investment statistics considering, in addition to capital contributios and share capital purchases (share transfer between residents and nonresidents), reinvestment of profits (difference between profit generated and dividens paid to foreign investors in the same period) and net lending to the parent company (received minus paid loans) between the investor and its affiliate.

As of December 31, 2013, the foreign investment stock as capital contributions amounted to US$ 22,614.74 million.

Foreign Direct Investment Stock as Capital Contribution
(US$ million)

Source: BCRP
Prepared by ProInversión 

Spain, the United Kingdom and the United States are the main sources of capital contributions to Peru, which account for 52.82% of the stock in December 2013, while the top 10 countries account for 85.80% of the accumulated stock.

Foreign Direct Investment Stock by Country of Origin
December 2013

Source: PROINVERSIÓN  
Prepared by ProInversión

Regarding the distribution of contributions by sector of destination, 85.93% concentrated in mining, finance, communications, industry and energy sectors.

Foreign Direct Investment Stock by Economic Sector December 2013

Source: ProInversión 
Prepared by ProInversión

III. MAIN INVESTORS

The main investors that made capital movements, through contributions or share purchases in the 2009 - 2013 periods are as follows:

 

INVESTOR COUNTRY SECTOR
TELEFONICA LATINOAMERICA HOLDING, S.L.  SPAIN COMUNICATION
VOTORANTIM METAIS LTDA. BRASIL MINING
CYPRUS CLIMAX METALS COMPANY U.S.A. MINING
PERU COPPER SYNDICATE LTD. UNITED KINGDOM MINING
SN POWER HOLDING PERU PTE LTD SINGAPORE ENERGY
ANGLO QUELLAVECO SARL LUXEMBOURG MINING
COMPAÑÍA MINERA LATINO – AMERICANA LTDA. (CMLA) CHILE MINING
SMM CERRO VERDE NETHERLANDS B.V. NETHERLANDS MINING
MVM RESOURCES INTERNATIONAL B.V. NETHERLANDS MINING
IC POWER HOLDINGS (KALLPA) LIMITED BERMUDA ISLAND ENERGY
DIA BRAS EXPLORATION INC CANADA FINANCE
GERDAU S.A BRASIL INDUSTRY

 

Rutas Maritimas

Puerto
de origen
(Perú)
Puerto
de
destino
US$ Tarifa promedio de flete por contenedor (*)
Días
de tránsito
(**)
Frecuencia de
salida
(**)
20 pies 40 pies
Callao (Perú) Balboa (Panamá) 1000 1800 10 Semanal
Callao (Perú) Cartagena (Colombia) 1600 2000 13 Semanal
Callao (Perú) Leixoes (Portugal) 1700 2995 29 Semanal
Callao (Perú) Le Havre (Francia) 2000 3000 32 Semanal
Callao (Perú) Rotterdam (Países Bajos (Holanda)) 22003100 32Semanal
Callao (Perú) Hamburgo (Alemania) 2300 3200 33 Semanal
Callao (Perú) Amberes (Bélgica) 2300 3200 33 Semanal
Callao (Perú) San Petersburgo (Federación Rusa)2500 3400 34 Semanal
Callao (Perú) Tilbury (Reino Unido) 2500 3500 34 Semanal

(*) El costo del servicio del flete del contenedor de 20" y 40" corresponde a la tarifa básica del flete internacional y no incluye los reajustes por características específicas, consultar directamente con las líneas navieras de su preferencia.

(**) Para saber los datos exactos de frecuencia de salida y los días de tránsito revisar en "Líneas navieras".

Investment Guide

Cover

Peru's investment Guide 2015 - 2016

This investment guide is a helpful tool for foreign investors because gathers key information on economic, legal, tax, work and how to establish a company in Peru.

The Report Peru 2014 

(http://www.oxfordbusinessgroup.com/)

Over the past decade Peru has seen a period of transformative growth, effectively positioning it as one of the leading economic performers in Latin America. Posting growth rates in excess of 6% from 2010-12, the economy expanded by a further 5.1% in the first half of 2013. A major metals and minerals exporter with a burgeoning agricultural sector, Peru’s rapid economic growth has been the result of elevated global demand for commodities and key exports, as well as prudent fiscal planning and the expansion of non-primary sectors.

2013 Doing Deals in Peru.

In the last two decades, Peru has implemented a responsible and solid economic policy becoming a rapidly expanding economy that offers a wide variety of investment opportunities.

The country has emerged as the best performing economy in Latin America, showing the highest growth rate (6.4%) and the lowest inflation (2.8%) in the last decade.

Peru: Global Investor’s Guide 2013

Today Peru is able to count on a fiscally responsible government, low debt and a large number of private investments in both the near and distant future. As our great nation continues to grow, we are charged with the challenge to maintain a path of development that will reach all sectors of society.

So how does a nation turn this economic growth into a lasting improvement in the standards of living and quality of life in Peru? The answer is with smart policy and responsible investment from both the public and the private sector.

Productos Hecho en Perú

Requisitos para productores:

Los interesados que deseen obtener la autorización de uso del sello de calidad "Hecho en Perú - Made in Peru" deberán presentar la siguiente documentación:

Datos generales:

  • Razón social.
  • Representante legal (nombre, cargo y DNI) y adjuntar documento que acredite poder vigente con que actúa.
  • En caso de persona jurídica, adjuntar documento que acredite la personería del solicitante.
  • Registro Único de Contribuyente - RUC.
  • Domicilio legal.
  • Domicilio planta industrial.
  • Teléfono, fax, e-mail, etc.
  • Licencia municipal de funcionamiento.
  • Se deberá declarar la marca registrada con la que comercializa el producto, si corresponde.

Requisitos específicos si es un producto industrial manufacturado:

  • Certificado de Conformidad con Norma, vigente o con una antigüedad no mayor de tres (3) meses a la fecha de presentación de la solicitud, expedido por un Organismo de Evaluación de la Conformidad debidamente acreditado por el Ministerio de la Producción.

Requisitos específicos si es un producto alimenticio:

  • Registro sanitario otorgado por DIGESA o por la Autoridad Competente según corresponda.
  • Resolución de autorización de Habilitación Sanitaria otorgado por DIGESA o Certificado de Conformidad con Norma expedido por un Organismo de Evaluación de la Conformidad Autorizado por el Ministerio de la Producción, vigente o con una antigüedad no mayor de tres (3) meses a la fecha de presentación de la solicitud

Requisitos específicos si es un producto farmacéutico o afín:

  • Registro sanitario otorgado por DIGEMID.
  • Certificado de Buenas Prácticas de Manufactura otorgado por DIGEMID.

Requisitos específicos si es un vehículo de fabricación nacional:

  • Código de Identificación Mundial del Fabricante (WMI) otorgado por el Ministerio de la Producción.

Requisitos específicos si es un producto agrario:

  • Certificado fitosanitario otorgado por SENASA.

Productos sujetos a armado, ensamblaje o montaje simple:

  • Los interesados que deseen inscribir en el Programa productos sujetos a armado, ensamblaje o montaje simple u otros casos particulares, serán materia de evaluación, a efectos de determinar el otorgamiento o no de la autorización por parte de la Autoridad Competente (Dirección de Normas Técnicas y Supervisión Industrial - PRODUCE).

Requisitos para comercializadores:

Los interesados que tengan por objeto la comercialización de productos podrán acceder al Programa presentando la siguiente documentación:

Datos generales:

  • Razón social
  • Representante legal (nombre, cargo y DNI) y adjuntar documento que acredite poder vigente con que actúa.
  • En caso de persona jurídica, adjuntar documento que acredite la personería del solicitante.
  • Registro Único de Contribuyente - RUC.
  • Domicilio legal.
  • Domicilio planta industrial.
  • Teléfono, fax, e-mail, etc.
  • Licencia municipal de funcionamiento.