Peru's Association of Exporters (ADEX) President Julio Pérez Alván announced that the government will introduce initiatives to strengthen the Peruvian economy. These initiatives include a new Agricultural Promotion Law, the establishment of private Special Economic Zones (SEZs), and a legislative decree that maintains the drawback rate at 3%.

The Peruvian agriculture sector has long advocated for reform to accelerate investment and support small-scale farmers. Pérez Alván noted that the Agrarian Law of 2000 significantly contributed to job creation in decentralized areas.

“Companies emerged where none existed before—blueberry fields, vineyards, and other fruit crops in what was once desert land,” he said.

Although total Peruvian agro-exports are projected to reach $13 billion this year, growth is expected to be moderate at approximately 5%, compared to a more robust rate of 21.4% in 2024. Consequently, the new Agrarian Promotion Law is seen as crucial for stimulating the sector and extending its benefits across the country.

Pérez Alván pointed out that discussions on measures to enhance Peru's competitiveness were held with Economy and Finance Minister José Salardi Rodríguez, Foreign Trade and Tourism Minister Úrsula Desilú León Chempén, and representatives from ADEX, AGAP, Comex, and the SNI.

“We collectively agreed that this is not the right time to reduce the drawback rate. Given the current climatic conditions and the tense international geopolitical environment, maintaining support is imperative. We welcome the impending issuance of a Supreme Decree that will repeal Supreme Decree No. 189-2024-EF, keeping the tariff restitution rate (Drawback) at 3%,” he explained.

Projections

During the 23rd Agroexport Luncheon, Pérez Alván reported that Peruvian agro-exports totaled $12.42 billion in 2024, reflecting a 21.4% increase from $10.19 billion in 2023. The projected figure for this year is estimated at $13 billion, according to the CIEN-ADEX Global Economy and Business Research Center.

While the agro-export sector continues to grow, Pérez Alván emphasized that the increase will remain in single digits. He urged all stakeholders in the supply chain to stay alert to challenges posed by climatic phenomena, which are currently affecting production and logistics due to heavy rains and landslides.

“According to Senamhi, 20 regions are currently under 'orange alert.' In Ica, recent rainfall poses a threat to the ongoing table grape campaign, particularly in the Villacurí area, which could impact quality. Similar challenges are affecting coffee and banana production in other regions. These circumstances call for heightened prevention and rapid response measures to mitigate the impact on the sector,” he said.

Related articles: AGAP President dissects Peru’s agricultural performance