Non-traditional exports of textile and clothing on the rise in Peru

Non-traditional exports from Peru are expected to post a 15 percent growth in 2014 from last year, mainly driven by shipments of agricultural products, clothing exports, and other value-added products. This trend of exports will help Peru find new niches in the modern economy, according to the country’s Foreign Trade Society (ComexPeru) In its latest report released, Comex found the non-traditional sectors which showed the highest pick up in the overall exports this year are agriculture, textile and clothing activities. Peru’s economy, the fastest growing in Latin America, surged in the first quarter as textile makers boosted exports to meet demand from companies such as J.C. Penney Co., the second-largest U.S. department-store chain. Production of textiles expanded 47 percent from a year earlier in March, the statistics institute said. The textile output grew 27 percent during the quarter, the biggest expansion of all 17 components making up the manufacturing breakdown. The export capacity of clothing and value-added products has increased due to hard efforts put by the business community and the public sector to open new markets. Also the Andean trade preferences helped put the country on a more even footing with other nations shipping textiles to U.S. retailers. Furthermore, Comex’s head pointed out non-traditional exports rose 9 percent in the January-April stretch, while agricultural exports recorded a growth of 28 percent during the reported period. Nevertheless, it is projected that total traditional and non-traditional exports would see a decline from 10 percent to 12 percent by the end of 2014.