Peru close to sign FTA with US

Peru close to sign FTA with US

MENAFN - 18/11/2005

(MENAFN) Peru’s president said that his country is about to finalize a free trade agreements with the United States and several other countries, and that it had begun talks with China on a similar deal, AP reported.

The proposed free trade pact with the U.S. has caused a big demonstrations in Peru due to the farmers of sugar cane, rice, corn, potatoes and cotton fear that U.S. agricultural subsidies will make it impossible for them to compete.

Peru’s pharmaceutical industry believes such an agreement will usher in dominance by U.S. companies, pushing the cost of essential drugs out of reach of millions of poor Peruvians, and labor groups argue that an FTA would also erode Peruvian labor laws and job security.

On the other hand, the International Monetary Fund has forecast growth in Peru of 5.5 percent in 2005 and 4.5 percent in 2006.

source: MENAFN