The Coalition Government is seeking to negotiate a high quality, comprehensive Free Trade Agreement (FTA) with Peru that would open up new markets for Northern Territory exporters, creating more local jobs.
Last week the Minister for Trade, Steven Ciobo, launched the Peru-Australia Free Trade Agreement (PAFTA) negotiations with Peru’s Minister for Foreign Trade and Tourism, Eduardo Ferreyros.
Country Liberals Senator for the Northern Territory, Nigel Scullion, said Peru presented a growing opportunity for Territory exporters that a Free Trade Agreement could help to unlock.
“Over the past decade, Peru has been one of the fastest growing economies in the world with annual GDP growth averaging 5.9 per cent (2005-2015),” Senator Scullion said.
“Many of our exports to Peru are blocked by high tariffs that we will seek to eliminate through this FTA.
“For instance the Territory’s beef exports currently face tariffs of 17 per cent.”
Senator Scullion said NT businesses that exported services could also benefit from an FTA as Peru was increasingly looking offshore for specialised services.
“Our expertise in key growth sectors such as mining and tourism is well suited to meet this demand.”
An FTA with Peru would be another gateway to Latin America, strengthening Australia’s economic relationship with the region. The United States, the European Union and Canada all have FTAs that give them preferential access to Peru.
“A Free Trade Agreement with Peru would help NT exporters to compete and break into this growing market,” Senator Scullion said.
Senator Scullion said the Coalition Government was pursuing an ambitious trade agenda and more agreements that would help Northern Territory exporters grow.
“The more the NT is exporting, the more local jobs there will be.”