Viticulture Coviar - Its Creation - Full Text Of The Norm

Original Language Title: VITIVINICULTURA COVIAR - SU CREACION - Texto completo de la norma

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CORPORATION VITIVINICOLA ARGENTINA COCOVIAR Law 25.849 Consider the aforementioned Corporation as a legal person of non-State public law, aimed at managing and coordinating the implementation of the so-called Argentine Viticulture Strategic Plan 2020 - PEVI. Mission, Objective and Functions. Authorities. Resources. Sanctions. Evaluation. Coordination. Sanctioned: December 4, 2003. Cast: February 26, 2004.

The Senate and Chamber of Deputies of the Argentine Nation assembled in Congress, etc. sanction with force of Law:

ARTICLE 1 Créase la Corporación Vitivinícola Argentina .COVIAR como persona jurídica de derecho público no estatales, para gestión y coordinación la implementación del denomina PLAN ESTRATEGICO ARGENTINA VITIVINICOLA 2020 .PEVI..

Mission, Objective and functions

ARTICLE 2 It will be the mission and objective of the instituted agency to promote both the organization and integration of the actors of the production chain, and the innovation of products and processes that increase the added value of the sector, with the aim of winning, maintaining and consolidating external markets, consolidating the Argentine domestic market, and achieving the sustained development of the sector.

Article 3 The Argentine Viticulture Corporation will administer the resources instituted in this law, by which it will finance the actions necessary to carry out its mission, prioritizing the implementation of the objectives set out in the Viticulture Strategic Plan, which is attached to the present. It will have full legal capacity to:

1. Establish programmatic guidelines on the basis of needs and priorities established in PEVI;

2. Coordinate programs, actions and plans ,private and public,, which are intended for national viticulture;

3. Manage the resources allocated in this Act and collect resources from co-investors to affect the mandated mission;

4. Promote integration and innovation in the organization of the sector, and technological and process innovation.

Specifically, through public or private executors:

(a) Conduct market research and research for the development and boost of exports and local consumption of wine products;

(b) Promote and celebrate inter-agency conventions or associations that seek to disseminate the benefits of moderate consumption;

(c) Promote actions to promote production, industrialization and marketing, internal and external table grapes and raisins;

(d) Organize or participate in advertising campaigns, broadcasting or trade fairs, locals and the outside, prioritizing actions involving the largest number of actors in the sector;

(e) Organize training and development courses with academic and research entities linked to the Argentine Viticulture;

(f) Coordinate technical assistance activities, by themselves or by third parties, to enterprises, public or private agencies, national or foreign, related to production and wine trade;

(g) Coordinate actions aimed at promoting horizontal and vertical integration of small producers in order to access appropriately to marketing chains, technological and organizational innovation;

(h) Identify and manage resources from local or external sources to support the implementation of the activities of the Corporation.

Authorities

ARTICLE 4 The Argentine Wine Corporation will have as its governing body a Board of Representatives consisting of seventeen (17) members and their respective alternates, whose functions will not be paid. They shall be appointed as follows:

(a) By the private sector, twelve (12) members and twelve (12) alternate members: the presidents of each of the following business union entities will be the members and the members of the management agency that designate these entities, will be the alternate members, namely: Association of Winemakers Argentinas, Association of Vineyards of Mendoza, Bodegas de Argentina Manufacturer In the event that an entity that brings together all the primary wine producers of the country is satisfied, the entity will form the Board of Representatives. Such incumbent and alternate members shall have a term of three (3) years, which shall be deemed revoked when the represented entity changes the authorities of its own administration bodies and designates its substitutes. In the absence of such a replacement, such mandates shall be considered renewed.

(b) For the public sector, five (5) members and five (5) alternate members: The President of the National Institute of Viticulture of the Ministry of Economy of the Nation, or the latter designates as alternate alternate substitutes; the Ministers of the area of Economy and Production of the Provinces of Mendoza and San Juan, or those who designate as alternate alternate alternates; the President of the National Institute of Agricultural Technology, or the latter appoints as alternate vino and a representative of the other ministries of production.

ARTICLE 5o The Board of Representatives will meet annually at regular meeting for:

(a) To designate a President from among the representatives of the private sector, whose mandate will be three (3) years, not being able to be reelected only in the immediate later period;

(b) Designate the Syndicate and the External Auditor on the proposal of the Producers Provinces;

(c) Setting priorities, evaluating and approving the annual budget, memory and balance sheet, not being able to allocate more than three percent (3%) of total resources to management costs;

(d) At the request of the two thirds (2/3) of its members, to convene an extraordinary session;

(e) Apply the sanctions regime and finally resolve the corrective seedlings of the concerned. Resolutions that may be subject to judicial action before the relevant Federal Court;

(f) Dictate functional and operating organic regulations that are relevant in accordance with existing legislation.

ARTICLE 6o O The governing body shall be the Executive Council, which shall be composed of: the President of the entity and a representative of each of the entities and agencies specified in article 4 above.

Such members shall have a term of office for three (3) years, with the entity represented, by resolution of its own administering body, to revoke that mandate and to designate the replacement. In the absence of such a replacement, such mandates shall be considered renewed.

In the case of merger of two or more entities, the mandates of their representatives will expire and the new entity will nominate the representatives to replace them.

In the event that a new business union entity is institutionalized in the sector, the Executive Council may incorporate its representative, first as a vehetor of the administration body, for two years, and in the subsequent period as a final member.

ARTICLE 7 The Executive Council shall have the following powers and functions:

(a) Designate from among its members the authorities provided for in the rules of procedure;

(b) Approving the professional and administrative structure by defining its functions;

(c) To appoint and remove its staff under the private law modality;

(d) To exercise through its chair the representation of the entity in all judicial, extrajudicial, public and private acts in which it intervenes;

(e) Buying, selling, commuting, ceding, taxing or transferring movable and immovable property, and other contracts in accordance with the legislation in force for the performance of the assigned purposes, with the approval of two thirds (2/3) of its members;

(f) Consider the annual budget of the entity and raise it to the Directory of Representatives for approval;

(g) To execute all other actions aimed at the fulfilment of the mission and objectives of PEVI;

(h) To effect the collection of the remedies established in article 10 of this Act.

For the purpose of fulfilling the above-mentioned operational functions, the Executive Council shall implement plans, programmes, projects and actions through the Executing Units, existing agencies or to be established, research, development and promotion, public or private, national or provincial, which have appropriateness and professionalism for such tasks.

In the case of plans, programmes, projects or actions aimed directly at promoting horizontal and vertical integration of producers, they will be channelled through the Producers Provinces, primary producers' union entities and the National Institute of Agricultural Technology and the National Viticulture Institute, as a Special Executive Unit.

ARTICLE 8 The ordinary meetings of the Executive Council shall be at least quarterly, with the presence of the absolute majority of its members and shall be resolved by a simple majority of votes present. In case of a tie the president will have double vote.

The vice president will temporarily replace the president in case of absence or temporary incapacity. In case of death, resignation or permanent disability, a new president will be elected. The vice president and the titular vowels shall be replaced by their respective alternates in the event of death, incapacity or temporary leave, as provided by the internal regulations.

Article 9 The Advisory Assembly, which shall be composed of all public and private entities, national and provincial, linked to viticulture, shall be convened by the Board of Representatives for the purpose of considering the validation of actions, programmes and plans of PEVI.

Resources

ARTICLE 10. To finance PEVI's activities, plans, programs and actions, set up the following resources:

(a) A compulsory contribution is established during 2004, by all wine-growing establishments, equivalent to the sum of $ 0.001691 per litre made of wine, sulphate must, virgin must, or other wine-growing product without concentration process. From 2005 onwards, such imposition will be equivalent to the sum of $ 0.002254. Starting in 2006 such imposition will be equivalent to the sum of $ 0.002818. As of 2007 such imposition shall be equivalent to the sum of $ 0.003381;

(b) It is established by all wine-growing establishments a mandatory contribution during 2004, equivalent to the sum of $ 0.001425 per litre of fruited wine-growing product with no indication of varieties, except concentrated must. Starting in 2005 such imposition will be equivalent to the sum of $ 0.001900. Starting in 2006 such imposition will be equivalent to the sum of $ 0.002375. As of 2007 such imposition shall be equivalent to the sum of $ 0.002850;

(c) It is established by all wine-growing establishments a mandatory contribution during 2004, equivalent to the sum of $ 0.002334 per litre of fruited wine-growing product with indication of varieties, champagne and special wines, except the concentrated must. Starting in 2005 such imposition will be equivalent to the sum of $ 0.003113. Starting in 2006 such imposition will be equivalent to the sum of $ 0.003891. As of 2007 such imposition shall be equivalent to the sum of $ 0.004669;

(d) It is established by all wine-growing establishments, a mandatory contribution during 2004, equivalent to the sum of $ 0.008736 per litre of concentrated must dispatched to domestic and/or exported consumption. From 2005 onwards, such imposition will be equivalent to the sum of $ 0.011648. Starting in 2006 such imposition will be equivalent to the sum of $ 0.014560. As of 2007 such imposition shall be equivalent to the amount of $ 0.017472;

(e) A mandatory contribution is made during 2004, by the fresh grape processing establishments and raisins, equivalent to the sum of $ 0.001400 per kilogram of fresh grapes entered into the establishment. Starting in 2005 this tax will be equivalent to the sum of $ 0.001866. Starting in 2006 such imposition will be equivalent to the sum of $ 0.002333. As of 2007 such imposition shall be equivalent to the sum of $ 0.002800;

(f) The resources allocated shall include interest and fines for non-integrated contributions, which apply to non-compliant establishments, according to regulation;

(g) Contributions, legacies and donations made by private or official individuals or institutions, which shall not give the right to participate in the government and administration of the entity;

(h) Contributions to be made by the producer provinces in the respective budgets for the integral development of viticulture, equivalent to the amounts actually collected from the private sector for the contribution made in this Act;

(i) Any other public resource that is assigned to meet the objectives of PEVI, either by the Provinces or the national State or by financial, state or private, national or international agencies or agencies or agencies.

In relation to points (a), (b), (c), (d) and (e) above, wine products are considered to be all those covered and defined in Act No. 14.878 and complementary standards.

All winemaking establishments inscribed in the I.N.V. area are obliged to do so since the production of the 2004 harvest and the release of respective products.

All resources of the Argentine Viticulture Corporation shall be used only to finance the objectives of the PEVI, after approval of the budget by the Board of Representatives.

The Board of Representatives will adjust the mandatory contributions indicated according to the regulatory methodology.

The taxable contribution will be liquidated by deposit ballot in the account of the Argentine Vitivinícola Corporation of the Banco de la Nación Argentina, in the processing of the transfer permits, and/or request for analysis, and/or free circulation dispatch, and/or export aptitude, and/or commercial circulation of grapes in fresco and raisins, which manage the establishments included in the I.N.V.

The conditions and payment periods shall be established in the regulation of this Act.

With regard to other resources originated in contributions, fees or gabelas that specifically grave viticulture, the Directory of Representatives may propose that they be incorporated into resources established by this Act.

(Note Infoleg: adjustments to obligatory contributions under subparagraphs (a), (b), (c), (d) and (e) of this article, that have been published in Official Gazette can be consulted by clicking on the link "This rule is complemented or modified by standard X(s)"

ARTICLE 11. If it had remained unused after the year is closed, it will automatically integrate the next year budget.

ARTICLE 12. Apportionment shall not be encumbered with any type of national taxes or fees. The national executive branch will propose to the provinces equal tax treatment.

Sanctions

ARTICLE 13. Failure to comply with the mandatory contribution shall be sanctioned by the paralysis of the procedures in which transfer permits and/or free movement clearance permits and/or export requests by the I.N.V. are processed, an agency that will have all the powers of the Acts 14.878 and 11.683 for the implementation of this Act.

Evaluation

ARTICLE 14. The Board of Representatives shall evaluate annually the integral functioning of this legal regime and, accordingly, request the Executive Power to reduce, extend and/or suspend the impositions set out in Article 10. In such cases, the continuity of plans and programmes in implementation should be envisaged. Determined the liquidation of the entity the assets of the entity will go directly to the Heritage of the National Institute of Viticulture.

Coordination

ARTICLE 15. All research and development agencies (INTA - INTI - CONICET, and other agencies dependent on the national executive branch) shall coordinate the plans and pro-grams of research and development, linked to viticulture, through the executing unit that is designated in the PEVI.

ARTICLE 16. Default any rule that is contrary to the present.

ARTICLE 17. Contact the Executive.

IN THE SESSION OF THE ARGENTINE CONGRESS, IN GOOD AIRES, TO THE FOUR DAYS OF THE YEAR TWO MIL TRES.

_

EDUARDO O. CHANGE. . DANIEL O. SCIOLI. . Eduardo D. Rollano . Juan H. Estrada.

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- Oh, God.

Argentina Asociación Argentina de Consorcios Regionales de Experimentación Agraria (AACREA)

de Asociación de Cooperativas Vitivinícolas de Mendoza

de Asociación de Viñateros de Mendoza

de Bodegas de Argentina

Argentina Chamber of Mosto Manufacturers and Exporters

Cámara Chamber of Bodegueros de San Juan

Cámara Rioja Chamber of Agricultural Producers

Centro de Viñateros y Bodegueros del Este

Nacional Comisión Nacional Promoción Vinos de Argentina

) Unión Vitivinícola Argentina (UVA)

) Vinexport (San Juan Wine Exporters)

de Faculty of Agricultural Sciences and Economic Sciences of UNCuyo

) Fundación Instituto de Desarrollo Rural (IDR)

Fundación ProMendoza

) Instituto Nacional de Tecnología Agropecuaria (INTA)

) National Viticulture Institute (INV)

) Catholic University of Cuyo (San Juan)

FINANCING

Mendoza Wine Fund

- Oh, my God. - Oh, God.

INTRODUCTION

The world is going through a change of time. These transformations affect food production and trade and manifest themselves in the process of globalization, the growing urbanization of consumers, the inequality in the development of peoples and regions and the technological revolution.

In the face of this perspective, the Viticulture Argentina has assumed the collective challenge of implementing a Strategic Plan that transforms the sector, allowing for a better global positioning.

Strategies are aimed at focusing actions on the main opportunities of the Global Market (internal and external). This implies a strong commitment of producers, bodegueros and the state to structure and organize viticulture and respond to the needs of consumers.

The objective is to achieve, in the coming years, a maximum added value and a harmonious development of all the economic and social agents involved in the business.

- Oh, God.

The Plan has been developed from the collective work developed over the past two years by the representatives of the production and industry gathered at the Argentine Viticulture Strategic Forum. The forum today has representatives of these organizations:

Argentina Asociación Argentina de Consorcios Regionales de Experimentación Agraria (AACREA)

de Association of Wine Cooperatives

de Asociación de Viñateros de Mendoza

de Bodegas de Argentina

Argentina Chamber of Mosto Manufacturers and Exporters

Cámara Chamber of Bodegueros de San Juan

Cámara Rioja Chamber of Agricultural Producers

Centro de Viñateros y Bodegueros del Este

Nacional Comisión Nacional Promoción Vinos de Argentina

) Unión Vitivinícola Argentina (UVA)

) Vinexport (San Juan Wine Exporters)

de Faculty of Agricultural Sciences and Economic Sciences of UNCuyo

) Fundación Instituto de Desarrollo Rural (IDR)

Fundación ProMendoza

) Instituto Nacional de Tecnología Agropecuaria (INTA)

) National Viticulture Institute (INV)

) Catholic University of Cuyo (San Juan)

The study and planning work is coordinated by INTA. To this end, a team composed of its professionals, the IDR, ProMendoza and UNCuyo have been formed. Participation is fundamental in the generation of consensus, so the contents of the Plan were varied in more than 12 regional and sectoral workshops, involving 600 people.

Global Market Opportunities and Threats

- Oh, God.

The Strategic Forum perceives that the Global Wine Market is undergoing a process of structural transformation that will have a high impact on the future scenario. While any change is threatening, it unfolds at the same time opportunities that the Viticulture Argentina intends to take advantage of with a strategic vision.

These transformations are manifested through an increase in global wine exchanges, changes in consumption habits, the emergence of new consumers, the emergence of a group of very competitive producing countries and a growing power of supermarkets in wine trade. They are also given in a context of great difficulty in adapting the supply to a global demand for wines that tends to decrease.

The analysis carried out by the Strategic Forum resulted in the identification of opportunities and threats that are key to designing future development:

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