DANANG, Vietnam – Australia and Peru announced on Friday they have completed negotiations for a free trade agreement that has been in the works for seven years.
Peru’s President Pedro Pablo Kuczynski and Australia’s Prime Minister Malcolm Turnbull signed the agreement at the Asia Pacific Economic Cooperation summit in the Vietnamese city of Danang.
“Australia and Peru have finalized a comprehensive trade agreement that will generate exports, income and jobs,” said Turnbull, according to an official statement.
The agreement will boost Peru-Australia trade, which grew 57 percent in 2016, although it forms only 0.5 percent of Peruvian exports.
Trade between the countries stood at $363 million in 2016.
The Free Trade Agreement is set to eliminate 99 percent of the tariffs that Australian exporters currently face, while Australian consumers will have greater access to Peruvian products.
Peruvian exports of coffee, cotton t-shirts, fresh grapes, avocados, hake fillets, blueberries, marble and sawn wood has a potential market of $830 million in Australia, according to the Lima Chamber of Commerce.