Doing Business In Argentina

conditions to import when the declared unitary FOB value represents less than eighty
percent (80%) of the reference value. In these cases, the import process will continue,
but the importer will bear additional restrictions such as:
3/4/2008
Increase on Valued Added Tax (VAT) and Income Tax paid on imports, reaching
21% and 11% respectively, depending on the type of product.
Loss of tax benefits such as exemption or deferment of VAT and Income Tax
payments.
Perception of a guarantee equivalent to the difference between the reference
value and the declared value. Deposit/guarantee policies are no longer accepted
for these cases. Only cash, bank collaterals, or public debt bonds will act as a
guarantee to allow the import transaction.
Customs Notes 55, 57 and 58 in 2007 updated and expanded the list of
minimum/reference prices, and required importers of any goods from designated
countries which are invoiced below the reference prices to have the invoice validated by
both the foreign customs agency and the appropriate Argentine Embassy or Consulate.
At the same time, the Argentine Customs Bureau announced that there would be
specific Customs checkpoints, which will control imports of certain types of product
categories such as textiles, apparel, footwear and toys. These items are traditionally the
most affected.
For a complete list of the U.S.-made products for which minimum import prices have
been established, please contact the U.S. Commercial Service Buenos Aires at
Buenos.Aires.Office.Box@mail.doc.gov.
Trade Barriers Return to top
The basic legislation affecting import and export transactions is contained in the
Customs Code (Law 22,415), which came into force in September 1981, and has been
modified and complemented several times through subsequent laws, resolutions and
other regulations.
In the 1990s, the GoA eliminated most non-tariff barriers (through government
procurement and investment regime reform) and specific duties, and made major
progress in reducing traditional border barriers (such as tariffs and import licensing).
Trade was opened to all potential exporters and importers, making Argentina one of the
most open economies in the world.
In the year following the January 2002 collapse of Argentina’s currency board, a 70
percent nominal devaluation of the peso led to a 56 percent drop in imports and a three
percent decline in exports (the latter due to general post-crisis uncertainty and lack of
financing). Since that time, the nation’s exchange rate policy has been based on a
managed float, targeting a nominal exchange rate in the ARP 3 per U.S. dollar range.
Market analysts consider the peso’s real exchange rate broadly undervalued, a factor
that (along with historically high global commodity prices) has contributed to a significant
increase in the volume and value of Argentine exports. 2005 Argentine worldwide goods
and services exports totaled $46.2 billion, up an accumulated 58.8 percent since 2002.