Peru and India resume negotiations for a free trade agreement focused on critical minerals and agro-exports

Peru and India will resume negotiations in June to finalize a Free Trade Agreement (FTA), in a new attempt to strengthen commercial exchange and expand access for Peruvian products to the market with the highest projected growth for the next decade.

The talks will take place in New Delhi and will seek to move towards an agreement that both parties hope to conclude before the end of 2026. This was confirmed by Peru's ambassador to India, Javier Paulinich, who noted that the resumption of negotiations is part of Peru's strategy to consolidate trade ties and attract investments linked to strategic sectors.

“In principle, we will resume negotiations in June, and the venue would be Delhi,” the diplomat stated. He also specified that the goal is to conclude the agreement this year, although he acknowledged that the Peruvian political context could influence the planned timeline due to the current electoral process.".

One of India's main interests in this new phase of negotiations is related to access to critical minerals. Peru seeks to position itself as a key partner for the supply of lithium, copper, molybdenum, and silver, resources considered fundamental for industries linked to semiconductors, electromobility, and the energy transition.

The Peruvian strategy aims to capture the interest of Indian companies in mining exploration and exploitation projects, leveraging Peru's position as a world leader in strategic mineral production.

In that context, the Peruvian government extended an official invitation to the Indian Minister of Coal and Mines, G. Kishan Reddy, to visit the country at the end of June along with a group of investors interested in securing the supply of critical raw materials for Indian industry.

The strengthening of trade relations between the two countries is also a result of sustained growth in bilateral trade. Between January and September 2025 alone, Peruvian exports to India reached US$3.955 billion, marking a 31.11% increase compared to the same period the previous year.

Furthermore, in 2024, total trade between the two countries reached US$5.8 billion, cementing India’s position as Peru’s second-largest trading partner in Asia and fourth-largest globally.

Negotiations for the free trade agreement have already surpassed nine technical rounds, with progress in chapters related to services, customs procedures, and rules of origin. If the agreement is finalized, various Peruvian products could enter the Indian market with lower tariff barriers.

Among the sectors that could benefit the most are Peruvian agricultural exports, particularly products such as cocoa, blueberries, and Andean grains, which currently face tariffs of over 30% in India.

The expectation is that the future agreement will allow for expanded competitive access for Peruvian exports to one of the largest and most dynamic consumer markets in the world, in addition to strengthening bilateral cooperation in mining, technology, and investment.