Industry
From The Report: Peru 2014
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Like many Latin American countries, Peru is prioritising industrial development, moving away from primary product dependency and working to establish a healthy balance between manufacturing and commodity exports. One of the most important economic activities in Peru, the manufacturing sector contributed 15.98% to GDP in 2012, displaying year-on-year growth of 1.32%, and continued to expand at a rate of 1.42% during the first half of 2013. Despite unfavourable external conditions that have to some extent reduced demand for primary products, the steadiness of non-traditional manufacturing has helped keep overall growth on track, diversifying both products and markets. External trade has proven a successful formula, positioning the country on an international level, while it benefits from strong internal demand due mainly to large-scale development in areas such as construction, mining and energy. A growing middle class is also fuelling internal demand, reflected in the positive performance of fast-moving consumer goods in particular.

Articles from this Chapter

Overview

Adding value: Capital and intermediate goods push national production
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A shift towards industrial development is propelling a number of Latin America’s leading economies. As one of the frontrunners, Peru has caught on to the trend of moving away from primary product dependency, discovering the benefits of establishing a healthy balance between manufacturing and commodity exports. The results are evident in domestic development with the creation of jobs and increased buying power, conditions that are laying the foundation for an emerging middle class. The advantages…

Interview

OBG talks to Gladys Triveño, Minister of Production
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Interview:Gladys Triveño What actions are being taken to aid the growth and increase the competitiveness of micro, small and medium-sized enterprises (MSMEs)? GLADYS TRIVEÑO: The productive segment of the Peruvian economy is 98% MSMEs. Given the size of these firms, and the resulting lack of economies of scale, it is difficult for these businesses to participate fully in the growth we are currently seeing in the economy. There are three primary challenges to the industrial sector in Peru.…

Analysis

Provincial prospects: Move towards industrial parks may spur decentralisation
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A topic receiving much attention of late, decentralisation of Peru’s production sector could soon be realised, benefitting the nearly two-thirds of the country’s population who reside outside of Lima. As limited space for growth in the capital is spawning initiatives from the public and private sectors, consolidating infrastructure via programmes to promote industrial parks will be necessary for this productive shift, which in turn would generate more jobs and development in some of the country’s…

Interview

OBG talks to Eduardo Amorrortu, President, Association of Exporters (ADEX)
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Interview:Eduardo Amorrortu Which export-oriented industries show the most growth potential in the near term? EDUARDO AMORRORTU: Over the past 10 years, industrial exports measured in real terms have grown twice as fast as primary exports (14% versus 7%). This is largely due to strategic efforts to transform the economic structure from one based on primary materials to one based on industry and added-value. The agro-industrial sector has developed a wide range of products and continues to…

Analysis

Forging potential: Healthy metal-mechanics industries explore expanding domestic segments and an emerging export market
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With streets choked corner to corner with taxis, cars and their blaring horns, the relatively recent arrival in Lima of motorcycle taxis is a welcome, but not surprising addition. Coordinating president of Peru’s National Society of Industries Metal-Mechanics Committees, Emilio Navarro points out how this transportation phenomenon is closely tied to industrial activities and consumer products. For example, the metal carriage frame where passengers ride and that is hooked onto the imported motorcycles…