EU Relations with Republic of Peru

Peru, as an emerging economy and a country sharing many objectives and values with the EU, is a key partner in Latin America.

Relations with Peru cover political dialogue, trade and development cooperation. Over recent years, the EU and Peru, driven by the shared ambition to further strengthen ties, expanded their cooperation across a broad range of policies: human rights, drugs, social policy, climate change and research and innovation, as well as regional and cross-border development.

Political and policy dialogue is based on the Rome Declaration  with a Memorandum of Understanding   from 2009 implemented through high-level political meetings held annually and complemented by sectoral dialogue meetings at expert level in the areas of human rights, drugs, industrial policy, SMEs and innovation, as well as climate change. The last high-level political dialogue took place in Brussels in November 2015.

Peru is one of the fastest growing economies in Latin America. The EU is Peru's third trade partner after the US and China and the largest foreign investor with about 50% of the total. Peru is key to the EU as a member of the Pacific Alliance (together with Chile, Colombia and Mexico) and as a signatory of the Trans-Pacific Trade Agreement (TTP).

In June 2012, the EU signed an ambitious and comprehensive Trade Agreement with Peru (and Colombia) which has been provisionally applied since 1st March 2013 (awaiting ratification by all EU Member States). The agreement will open up markets into a free trade area, thus boosting trade and investment. It will bring tariff savings of more than €500 million as well as an improved and more stable environment for trade and investment.

As an upper middle-income country, Peru in principle no longer qualifies for bilateral development cooperation, but in view of continuing inequality, Peru will receive €66 million over 2014 - 2017 under a phase-out programme. The Multi-Annual Indicative Programme pdf - 285 KB [285 KB] seeks to consolidate the results achieved in previous cooperation programmes focusing on inclusive regional development and support to trade and SME development. Under the 2007-2013 cooperation programme Peru has received €135 million. The main policies supported by the EU are the reduction of child malnutrition in remote and poorer areas (€60.8 million) with impressive results (a reduction from 23.3% in 2010 to 14.1% in 2014), the fight against illegal drugs (€32.21 million) and the promotion of alternative development and ecological trade.

Peru participates actively in all EU-Latin America regional and thematic programmes and benefits from the Partnership Instrument to support EU and Peruvian priorities in the field of human rights, education, innovation, environment and climate change and the fight against drugs.

The visa waiver agreement will grant Peruvian citizens visa-free travel to the EU Schengen area for a maximum of 90 days. The visa waiver will considerably ease citizen mobility between the two historically and culturally connected continents and should boost business trade.

President Humala visited the EU Institutions in June 2012 and addressed the European Parliament. He also attended the EU-CELAC Summit in Brussels in June 2015.

On the political horizon, the next key date will be the Presidential elections in April 2016. At the last Presidential elections, in June 2011, following an invitation from the Peruvian Government and the electoral authorities, the European Union deployed an EU Electoral Observation Mission  (EOM) to observe the second round of the Presidential elections.