REPUBLIC OF PERU: A COUNTRY STUDY
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1 REPUBLIC OF PERU: A COUNTRY STUDY Presented by: CPT Anita Trepanier MML North Dakota State University Upper Great Plains Transportation Institute 8 December 2008
2 AGENDA Introduction Geography/Topography History Demographics (Culture, Economy, Family) Transportation Infrastructure Analysis of Transportation Infrastructure Conclusion Questions?
3 INTRODUCTION Military and civilian commanders are beginning to acknowledge the importance of understanding the culture of countries that the United States military and contractors are sent to conduct operations. In understanding the history, the people, the geography, and the economy, military personnel and civilians are more effective in working with local community leaders and agencies to assist in positive change and relief work. The transportation infrastructure of Peru is restricted due to numerous factors and will somewhat affect the military s ability to move into and around the country. This presentation is an attempt to provide an overview of the cultural topics that will provide the base knowledge needed about the people of Peru and an understanding of the transportation infrastructure within Peru, in order for military personnel to effectively support future disaster relief operations.
4 GEOGRAPHY/TOPOGRAPHY Peru is bordered by Ecuador, Columbia, Brazil, Bolivia, Chile, and the Pacific Ocean 1,285,220 square kilometers Third-largest country in South America Coastal region consists of a narrow subtropical desert plain known as the Costa Dry and semi-tropical Central region is the Andes Mountains Consists of the western, central, occidental, and oriental Cordillera The Andean mountains are only surpassed in height by the Himalayas in Asia Harsh cold conditions Eastern region consists of rainforests known as the Selva Tropical low land jungle of the Amazon Basin One- third of the population lives in the Selva and Andes mountains and twothirds inhabit the Costa Rainfall varies from less than two inches in the Costa to over 150 inches in the Selva Routinely plagued by earthquakes, floods, tsunamis, and infrequent volcanic eruptions
5 GEOGRAPHY/TOPOGRAPHY (CONT.)
6 GEOGRAPHY/TOPOGRAPHY (CONT.)
7 HISTORY The Spanish first settled in northern Peru in late 1532 in Cajamarca Francisco Pizarro a Spanish conquistador arrived in 1532 and captured Cajamarca Proceeded to Cusco and one year later captured the imperial city Once Cusco was captured, he placed Manco Capac II on the Inca throne as a Spanish puppet The native population fought to remain free from Spanish control over the next few years Manco Capac II staged a rebellion in 1536, but was unable to defeat the Spaniards Retreated to Vilcabamba in the remote interior of the Andes and established an independent Inca kingdom, until his defeat in 1572 The Spanish viceroyalty established itself in Lima in 1542 Peru remained under Spanish viceroyalty until 1824 with the aid of Greater Columbia First President, Simon Bolivar Palacios Power struggles continued until the Guano Era of 1845 thru 1872, General Marshal Ramon Castilla rising to power, marked the beginning of age of unparalleled economic growth and political stability
8 HISTORY Peru began exporting the fertilizer in the 1840s and depleted its natural resource within three decades First political party the Partido Civilistas was established in the early 1870s Civilistas an antimilitary party, successful in developing a liberal export-model, Unable to stop the collapse of their economy spurred by the worldwide depression of 1873 Mariano Ignacio Prado ( ), president, lead Peru into a disastrous war with Chile in 1879 The War of the Pacific, Caused by the dispute over nitrate-rich Atacama Desert Allied itself with Bolivia in the Treaty of 1873 to go to war Peace settlement signed in 1883 (The Treaty of Ancon) After a period of intense civil strife, the armed forces led by General Andres Avelino Caceres succeeded in establishing some order in the country Caceres won the presidency in 1886 and began imposing a general peace Focus on reconstructing the country, recovery program, the Grace Contract
9 HISTORY Long-term military involvement until, 1968 revolution of General Juan Alvarado ( ) Significant because it ended two decades of uninterrupted civilian rule 1980, Fernando Belaunde, established democratic rule / confronted drug trafficking Economy continued to fail and Peru s foreign debt swelled to 13 billion U.S. dollars by the end of his term in , Alan Garcia, The American Popular Revolutionary Alliance candidate The growth of a democratic political party emerged early in the 1990s Natural disasters, economic decline, and triple-digit inflation heightened the negative image of government In 1990, Alberto Fujimori was elected president 1992, coup against his own government After being elected to a third term, he resigned from office after a bribery scandal Fled to exile in Japan and in 2006 was taken into custody in Chile In 2006, Alan Garcia was elected as president and is currently president of Peru Seeks to balance economic stability with increased social spending and decrease poverty
10 DEMOGRAPHICS Population: Approximately 29 million (4 th most populous country in South America) 64.7 % are between the ages of 15 and % between 0 and 14 years old 5.6 % over 65 years old Growth rate of 1.264% Death rate of 6.16 per 1,000 Birth rate of per 1,000 Life expectancy: male years / female years Median age: male 25.5 / female 26.1 Infant mortality rate of per 1,000 live births Religion: 81% of the population associate themselves with the Roman Catholic Church Slightly over 1 % are Seventh Day Adventist Less than 1 % are other Christian Slightly over 16 % are unspecified or none
11 DEMOGRAPHICS (CONT.) Population by area/region: Approximately 79 % live in urban areas up from 47 % in 1961 Approximately 21 % live in rural areas in the Costa, Selva, and Andes regions Population by culture affiliation: 45 % Amerindian of pure Native Amerindian descent About 37 % Mestizo (Mixed Amerindian and white) 15 % white About 3 % are black, Japanese, Chinese, and other Languages: Spanish and Quechua are the official languages of Peru There are a large number of Amazonian languages within the country Unemployment: In 2008, 8.9% in Lima 49.7% under employment rate Approximately 45% of Peruvians live below the poverty level
12 DEMOGRAPHICS (CONT.) Class structure: Large lower class Marginal middle class Large upper class Education: Literacy Rate in Rural areas is 80% Literacy Rate in Urban areas is 96% Eleven years of schooling are mandatory Fewer schools in rural areas Many people attend colleges and universities within Peru and internationally National Identity: Spanish and Catholicism (Very strong throughout the country) Many regional and ethnic cultures National culture has been able to withstand these differences
13 DEMOGRAPHICS (CONT.) Family: Kin Group ties Father or male as head of family about 80% Mother or female as head of family about 20% Military: Gender and lineage hierarchy Army, Air Force, and Navy Approximately 140K between all services Voluntary service for ages 18 up to 30 Police: Budget approximately 2.5 billion Approximately 140K Budget approximately 33 million U.S. provides equipment through military surplus sales and the international narcotics control program
14 DEMOGRAPHICS (CONT.) Economy: Free market, last twenty years actively sought foreign investments and imports U.S. is the largest trading partner (31.1% exports to U.S. / 18.2% imports from U.S.) Imports: petroleum, petroleum products, plastics, machinery, vehicles, iron and steel, wheat, and paper Exports: copper, gold, zinc, crude petroleum, petroleum products, coffee, cocaine, potatoes, asparagus, textiles, sugar, and guinea pigs Multiple foreign trade agreements with the U.S., Singapore, Canada, and China Increasing natural gas production due to the Camisea project, currently has the fifthlargest amount of natural gas reserves in South America (Liquified) Potato is the largest crop produced (3,000 varities) Other important crops: sugarcane, coffee, and cotton (Pima and Tanguis) The industrial center is Lima, over 7,000 factories Industries: textiles, clothing, leather products, chemicals, steel products, and processed foods Tourism is a large source of income Cocaine paste is the number one illegal export
15 DEMOGRAPHICS (CONT.) Economy cont.: GDP: $219.6 Billion (2007 est.) Agriculture: 8.4% Industry: 25.6% Services: 66% GDP (official exchange rate): $109.1 Billion (2007 est.) GDP per Capita: $7,600 (2007 est.) Labor Force: million Inflation Rate: 1.8%
16 TRANSPORTATION Seaports: Largest port is Callao, located outside of Lima Major ports: Paita, Salaverry, Chimbote, General San Martin, Ilo, and Matarani All ports have long piers and deep drafts that are capable of handling international ocean-going commercial vessels Ability to move large amounts of containers as well as other general cargo that is bulk or break-bulk. Lighterage ports: Ancon, Aticot, Chancay, Coishco, Puerto Chicama formerly known as Malabrigo, Pacasmayo (Railway access at the pier), and Pimentel Pampa Melchorita is currently under construction and is being built for export of LNG Only privately owned and operated port is the San Nicolas, used for exporting iron ore Port of Callao is located 15 kilometers (9.3 miles) from the capital Lima Approximately 13 million tons of cargo and 728,000 TEUs are handled annually Ten piers or wharves for general and bulk cargo One pier used for passengers Four piers used for minerals Two piers used for petroleum, petroleum by-products, and bulk chemical products Three piers for dry bulk Seven piers or wharves used for fishing vessels and coastal
17 TRANSPORTATION
18 TRANSPORTATION Waterways: Well developed waterways are located throughout the region 8,808km of inland waterways 8,600km ( miles) are navigable tributaries of the Amazon River 208km ( miles) of the Lago Titicaca River Ocean going vessels can use the Amazon River to get to small ports located up to 3,100km (1,925 miles) inland Maximum vessel size that can navigate is 152m (498.71ft) and with drafts ranging from 7.9m (25.91ft) from November to June and 5.4m (17.71ft) from July to October Barge traffic and small vessel traffic are constant Fishing along the waterways is mainly for personal use Amazon River tours are estimated to account for half of total tourism dollars, approximately 150 million dollars
19 TRANSPORTATION
20 TRANSPORTATION Rail: 1,989km (1, miles) of railroad Standard gauge railroad totals 1,726km (1, miles) Narrow gauge totals 263km ( miles) Juan Balta, President of Peru from 1868 to 1872, instituted a program for construction of transportation networks that were financed from the sale of guano Henry Meiggs, American railroad engineer, contracted to build the railroad through the Andes Mountains The Grace Contract passed in1895, British bondholders to operate the country s railroad system for sixty-six years Railways were not maintained and seriously deteriorated by the mid-1900s The national railroad system is managed by the National Railway Enterprise Sub sections: Ferrovias Central Andino in the central regions and the Ferrocarril Transandino or PeruRail in the south and southeastern regions The Central Railroad that runs from Callao to Lima to La Oroya and to Huancayo The highest railroad in the world is the Cerro de Pasco Railroad and the Huancayo Huancavelica Railroad that cross the Andes Mountains The Southern Railroad runs from Mollendo to Arequipa to Juliaca and to Puno Five tunnels totaling 27km (16.67 miles) along the southern railroad. Approximately 300,000t of cargo are moved along both railroad networks annually Passenger service is available along most routes of the Central Railroad and the Southern Railroad. Approximately 1.5 million passengers use the railroad system in Peru annually
21 TRANSPORTATION Rail: Improvement projects started in the late 1900s to improve and upgrade the deteriorated rail network Foreign investment money was used to make these improvements PeruRail estimates program to cost $49 million from % will be allocated to track upgrades 35% to rolling stock investments 5% to other categories (including station renovations, loading equipment, and distribution centers) PeruRail will implement a bi-modal logistic solution for the transport of copper concentrate from the Sociedad Minera Cerro Verde S.A. (SMCV) Sponsors and shareholders of PeruRail consist of two partners, namely Orient- Express Hotels, LTD. (OEH) and Peruvian Trains and Railway. S.A. (PTR S.A.) Each shareholder has an ownership of 50% in PeruRail
22 TRANSPORTATION
23 TRANSPORTATION Highway: 79,105km (49,124.2 miles) of total roadway 11,351km (7, miles) are paved 276km ( miles) are expressway 67,478km (41, miles) of unpaved roadway Pan American highway is the only major expressway in Peru The Pan American Highway runs along the coast line from Ecuador to Chile. The International Finance Corporation (IFC), the private sector arm of the World Bank Group, will lend US$18 million to the toll road concessionaire Norvial S.A., that will support the improvement of Peru's road network In 2002, the government of Peru awarded Norvial S.A. a 25 year concession to operate, rehabilitate and expand a 183-km ( miles) section (Ancon Huacho - Pativilca) of the Panamericana North Highway (Huacho Primavera and Ambar Pativilca)
24 TRANSPORTATION Highway: Three major routes that run along longitudinal lines The Pan American Highway locally known as Route 1 The Inca Road known as Route 3 The Jungle Marginal Road known as Route 5 Peru is currently working on The Road Network N 4 Project Consists of construction of bridges and roads Four bridges to be built over the Casma River, Sechin River, Huambacho River, and the Lacramarca River Planned highway construction projects are a beltway around Chimbote and 474km of road from Pativilca to Caraz, connecting major cities between the two cities
25 TRANSPORTATION Airports: 237 airports, only 54 have paved runways Jorge Chavez International Airport near Lima is the principle airport Other international airports are Colonel Francisco Secada Vigneta Airport, near Iquitos; the Teniente Alejandro Velasco Astete Airport at Quispiquilla, near Cusco; and Rodriguez Ballon Airport, near Arequipa Jorge Chavez International Airport is the largest airport in Peru Located 12km (7.45 miles) outside the country s capital, Lima Passenger volume in 2005 was 5,662,228 and increase of 11.6% from 2004 Cargo volume in 2005 was 177,062t and increase of 3.2% from 2004 Foreign investment project to upgrade the airport
26 TRANSPORTATION
27 ANALYSIS OF TRANSPORTATION Seaports Waterways Rail Highway Airports
28 CONCLUSION Transportation infrastructure upgrades are needed Current projects are upgrading infrastructure Natural disasters an issue with networks U.S. and other NGOs can feasibly move in and out of Peru
29 QUESTIONS
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