PROFILE: Peru



A Few Practical Tips for Doing Business in Peru

  • Punctuality is respected and expected.

  • Make small talk before starting a meeting.

  • Peruvians speak very little English. Most English speakers are in Lima.

  • Learn some Spanish phrases.

  • Avoid topics such as politics and religion.

  • Understand Peru's history.

  • Peruvians are proud of their culture.

  • In Peru’s business culture, respect depends primarily on status, rank, education, personal relationships and age.

  • Business structures are hierarchical with decision making done from the top.

  • Traffic in Lima is very bad.

  • Peru is a modest country: religion, beliefs, and traditions mean people mostly cover their body when they go out in public.

Brief History

1533 - The Spanish conquistadores defeated the Inca Indian Empire.

1821 - Peru declared its independence.

1824 - 1884 - Remaining Spanish forces were defeated and territorial disputes erupted.

1884 - 1930 - Reconstruction

1930 - 1979 - Alternation between democracy and military rule

1979 - Present - Civilian rule restoration and elections


Location

Western South America, bordering on the South Pacific Ocean. It is located between Chile and Ecuador. Bordering countries are Bolivia, Brazil, Chile, Colombia and Ecuador.


General Information

  • Government: Presidential Republic

  • Capital City: Lima

  • Literacy Rate: 94.5%

  • Size: Almost twice the size of Texas

  • Population: 32.3M

  • Population Growth: 0.51% (2022 est.)

  • Population Distribution: 1/3 of population along the desert coastal belt in the west, with a strong focus on Lima. 1/2 of population is in the Andean Mountain highlands.

  • The rainforest adjoining the mountains is sparsely populated.

Economy

Peru is a country with many resources - minerals, fishery and agricultural land and forests. It has Latin America's largest reserves of gold, lead and zinc. Peru also is the world's second largest producer of silver and copper. It also has large reserves of oil and natural gas as well as abundant forestry reserves. Their fishing grounds provide an abundant and varied supply of seafood. Their agricultural production includes asparagus, blueberries, table grapes, avocados, organic bananas and paprika.

  • Unemployment Rate: 6.8% (2022)

  • Currency Exchange Rate: 1 US Dollar = 3.87 Peruvian Sol (9/20/22]

  • GDP: $371.3B (2020 est.)

  • GDP Growth Rate: 2.18% (2019 est.)

  • Labor Force: 3.42M (2020 est.)

  • Labor Force Breakdown: Agriculture - 25.8%, Industry - 17.4%, Services - 56.8% (2011)

  • Major Industries: Mining, steel, metal fabrication, petroleum extraction & refining, natural gas extraction and liquefaction, fishing, food processing, beverages, chemicals, machinery, furniture, forestry.

International Trade

Total Product Exports (2021) - $56.3B


Major Product Exports (2021)

  • Ores, slag, ash - $21.5B

  • Gems, precious metals - $8.1B

  • Fruits, nuts - $4.7B

  • Mineral fuels, including oil - $3.9B

  • Copper - $3B

  • Food industry waste, animal fodder - $2B

  • Fish - $1.2B

  • Knit or crochet clothing accessories - $1.1B

  • Coffee, tea, spices - $970.9M

  • Tin - $859.7M

Major Product Export Partners (2021)

  • US - 12.8%

  • South Korea - 5%

  • Japan - 4.98%

  • Canada - 4.94%

  • India - 4.87%

  • Switzerland - 3.44%

  • Netherlands - 3.36%

  • Chile - 3%

  • Spain - 2.6%

  • UK - 2.3%

  • Germany - 1.9%

Total Product Imports (2020) - $34.7B


Major Product Imports (2020)

  • Refined Petroleum - $2.18B

  • Broadcasting Equipment - $1.08B

  • Computers - $833M

  • Cars - $828M

  • Crude Petroleum - $752M

Major Import Partners (2020)

  • China - $ 9.91B

  • US - $6.82B

  • Brazil - $1.77B

  • Chile - $1.46B

  • Argentina - $1.41B

English Language Online News Resources

Peruvian Times - general news - www.peruviantimes.com


Sampling of companies

National Holidays

  • January 1- New Year's Day

  • April 14 - Maundy Thursday

  • April 15 - Good Friday

  • April 17 - Easter

  • June 29 - St. Peter & Paul

  • July 28 and July 29 - Independence Day (2 days)

  • August 30 - Santa Rosa De Lima

  • October 8 - Battle of Angamos

  • November 1 - All Saints Day

  • December 8 - Feast of Immaculate Conception

  • December 25 - Christmas Day

  • December 26 – Christmas

By Paul Mastilak

InterMark3, Inc.