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Law 13.958

ADOPTION OF THE TRADE AND FINANCIAL CONVENTION

BUENOS AIRES, September 18, 1950

The Senate and the Chamber of Deputies of the Argentine Nation,
in Congress, etc.
SANCIONAN WITH FORCE OF LEY.

Article 1.- Approve the trade and financial agreement between the Republics Argentina and Hungary, which was signed in the city of Buenos Aires, on 14 July 1948.

Art. 2.- Contact the Executive.

WHOLE - CAMPORA - Zavalla Carbó.

Approval of the Commercial and Financial Agreement between the Argentine Republic and Hungary signed in Buenos Aires on 14 July 1948.-

CHAPTER I
General clauses

Art. 1.- The High Contracting Parties declare their intention to strengthen their economic linkages and encourage the exchange of their products by ensuring permanent markets in accordance with their respective national needs.

Art. 2.- The Governments of the Hungarian Republic and the Argentine Republic ensure the application of strict reciprocity treatment for all commercial and financial operations between the two countries. They will study and resolve with the greatest benevolence the proposals that are mutually formulated to facilitate and increase their economic relations.

Art. 3.- The High Contracting Parties undertake to disperse the maximum facilities, consistent with their respective laws, to the natural or manufactured products originating from the territory of one of the two countries that are imported into the other, in the area of rights, fees, taxes or tax charges and in respect of the administrative procedures and procedures to which they are subject to the import, circulation, transport and distribution of the same.

Art. 4.- The Governments of the Hungarian Republic and of the Argentine Republic shall take the necessary measures to ensure, within the spirit of the provisions and treaties in force in this field, respect for the denominations of origin and quality that correspond to the exclusive products of one of the two countries, by repressing with application of appropriate sanctions the circulation and sale of those produced in their own territory or in third countries with false denominations of origin, quality or type.

CHAPTER II
Product exchange

Art. 5.- The Argentine Republic will provide facilities for the Hungarian Republic to acquire, provided that the exportable balances permit, 5,000 tons of cotton during the year 1948, and 6,000 tons per year of the same product during the years 1949 to 1952, including. Also. the Argentine Republic will agree on facilities so that the Hungarian Republic can allocate the availability of the open account to the name of the Hungarian National Bank referred to in article. 15, once deducted the sums corresponding to the purchases of cotton, to acquire the following products and goods of Argentina, for the approximate percentages of those availability, which are indicated below: Leathers and vacunos .......................................................................................... The Government of the Hungarian Republic undertakes to undertake or make the acquisitions referred to in this article, to the extent that there are available in the account of the Hungarian National Bank from the Argentine purchases of Hungarian products listed in lists A and B attached to this Convention.

Art. 6.- The products indicated in art. 5 will be acquired by the agencies or firms determined by the Hungarian government, or with the intervention of the Argentine Institute for the Promotion of Exchange, unless this agency prefers to be purchased from another institution or export firms established in the Argentine Republic. This provision will also apply to the other purchases of Argentine products which the Hungarian Government has directly or indirectly made during this Convention.

Art. 7.- Exports of Argentine products to the Hungarian Republic shall be subject to the general provisions governing in the Argentine Republic at the time of each operation. The imports of the Hungarian Republic of Argentine products shall be subject to the provisions of general order in force at the time of their dispatch to square in that nation.

Art. 8.- The Hungarian Republic shall grant facilities to the Argentine Republic so that, to the extent of its needs, it may acquire the products listed in lists A and B annexed to this Agreement, for the minimum amounts indicated therein.

The Argentine Government will facilitate the import of the products referred to in this article.

Art. 9.- The products indicated in art. 8 will be acquired in accordance with contracts or agreements that are concluded in each case with the sellers, by the Argentine Institute for the Promotion of the Exchange, other Argentine official agencies or by importing firms established in the Argentine Republic.

Art. 10.- Argentine or Hungarian products that are exchanged between the Hungarian Republic and the Argentine Republic will be invoiced at the prices that are contractually established.

Art. 11.- The exports of Hungarian goods or goods to Argentina shall be subject to the general provisions in force in the Hungarian Republic at the time of the operation. Imports in the Argentine Republic of Hungarian products or goods shall be subject to the general provisions in force at the time of their dispatch to a place in the said Nation.

Art. 12.- The Permanent Commercial Delegation of the Hungarian Government in Buenos Aires and the Argentine Institute for the Promotion of Exchange will be kept in touch to facilitate the conduct of business operations referred to in chapter II of this Convention. This without prejudice to the intervention of the Central Bank of the Argentine Republic where appropriate. Within this purpose, the Argentine Institute for the Promotion of Exchange and the aforementioned Commercial Delegation shall, in common agreement, determine the quotas and dates on which the Argentine products indicated in Article will be delivered. 5 that the Hungarian Republic acquires, as well as the Hungarian goods that Argentina purchases through the aforementioned Argentine official agency.

CHAPTER III
Payments and financial arrangements

Art. 13.- All payments of any kind, corresponding to direct operations between the Hungarian Republic and the Argentine Republic, shall be made in United States dollars. By common agreement between the Hungarian National Bank, which will act on behalf of the Hungarian Government and the Central Bank of the Argentine Republic on behalf of the Argentine Government, the above-mentioned payments may be made in another currency as indicated above.

Art. 14.- The payments referred to in art. 13 may be carried out directly between the Hungarian National Bank and the Central Bank of the Argentine Republic, or through other banks or institutions authorized to operate in changes, established in both countries.

Art. 15.- The Central Bank of the Argentine Republic will open an account in United States dollars on behalf of the Hungarian National Bank, which will act on behalf of the Hungarian Government, in which it will debit or credit, as appropriate, the value in the aforementioned currency of the following operations:

(1) Debits for: (a) The value of FOB, Argentine port, of the Argentine products that Hungary acquires in the Argentine Republic b) The expenses payable in Argentina inherent in the conservation and shipment of the products referred to in point a) from this country to Hungary, even the freight when the transport is made in Argentine flagships c) The official payments that the Hungarian Government needs to make in the territory of the Argentine Republic, and (d) the aid remittances that residents of the Hungarian Republic make in favour of residents in the Argentine Republic. (2) Credits by: (a) The value of goods that reside in Argentina acquire in Hungary (b) Official payments to be made by the Argentine Government in the territory of the Hungarian Republic, and (c) Remittances of aid to residents of the Argentine Republic for residents of the Hungarian Republic.

Art. 16.- Notwithstanding the provisions of art. 13, will be paid in sterling pounds, Belgian francs, Dutch guilders and dollars "Argentine-Italian Convention", by equal parts of each currency, 40% of the value of the products listed in the list "A" annexed to the present Convention, which Argentina acquires in Hungary. The Hungarian National Bank reserves the right to request, in each case, that the proportional portion of the value of the goods to be paid in "dollar Argentine-Italian Convention" is paid in total or part in sterling pounds or vice versa. This Hungarian institution may also request that the payment of certain shipments of goods included in the annexed "A" list be made entirely in United States dollars through the open account in accordance with the provisions of Article 1. 15.

Art. 17.- For compliance with the provisions of art. 16 the Central Bank of the Argentine Republic will require the prior conformity of the monetary authorities of the countries to which the indicated currencies correspond. If this agreement is not obtained or if for any other reason it is not possible to make the payment in such currency, the Hungarian National Bank and the Central Bank of the Argentine Republic will determine in mutual agreement, the currency that will be used subsidiarily.

Art. 18.- For the conversion to sterling pounds, Belgian francs or Dutch guilders of the portion of the dollar value of the Hungarian products to be paid in those currencies according to the provisions of art. 16, the following types of United States dollars will be taken, in force on the day the order of customs clearance of the goods in Argentina begins: (a) To pounds sterling the average official type of the Bank of England (b) Belgian francs: the average between the US dollar buyer and seller rates set by the National Bank of Belgium (c) Dutch guilders: the average between the US dollar buyer and seller rates fixed by the Nederlandsche Bank.

Art. 19.- The balances (agreeder or obligor) in dollars that, eventually, shed the account referred to in Article 15, as well as the balance of the Argentine net position of change to term in dollars for operations between the Argentine Republics and Hungarian, shall be deemed to be equivalent to the amount of gold resulting from applying the price of the gold in force in New York (Dls. 35 per ounce of fine gold). In case of modification of the price of gold taken into consideration for the application of this Convention (Dls. 35 per ounce of fine gold), the balance that, at the end of the operations of the day prior to the aforementioned modification, throws the account referred to in Art. 15, and the end-to-date balance of operations to be liquidated through the above-mentioned account, shall be adjusted in proportion to the variation that occurred and in accordance with the procedure set out in art. 20. The Central Bank of the Argentine Republic will notify the Hungarian National Bank on a telegraphic basis, on the first working day of each week the balance of the said account and that of the operations to be liquidated through it.

Art. 20.- For the adjustment provided for in the previous article, the following procedure shall apply: 1. The adjustment shall be made on the balance of the account referred to in art. 15 and on the balance of operations to be settled through the aforementioned account, for the closure of the operations of the day prior to the modification of the price of gold taken into consideration for the implementation of this Convention (Dls. 35 per ounce of fine gold). These balances will be telegraphically notified by the Central Bank of the Argentine Republic to the Hungarian National Bank at the end of the day the modification of the price of gold is opposed. 2. Account balance on behalf of the Hungarian National Bank. The Central Bank of the Argentine Republic will immediately credit or debit, in that account, the necessary amount of United States dollars for the new balance, at the new price of gold equals an amount of that metal equal to that represented by the balance prior to the devaluation or valuation incurred.

3. End-of-operation Balance: (a) End-of-time operations from the date of a change in gold price shall be computed separately (b) The adjustment of the completed operations up to the previous day, including, at the date of a change in the value of gold will be made as the respective operations are liquidated and the amount of them is recorded in the account open to the name of the Hungarian National Bank. The Central Bank of the Argentine Republic will increase or decrease the amount in US dollars of each operation registered in the aforementioned account in proportion to the value or devaluation incurred.

Art. 21.- The Government of the Hungarian Republic empowers the Hungarian National Bank, and the Government of the Argentine Republic authorizes the Central Bank of the Argentine Republic, so that the aforementioned institutions may agree: (a) Any modifications that it deem appropriate to the mechanism established by this Convention for the transfer of funds between the two Contracting Countries (b) The technical and complementary provisions necessary for the realization of such transfers.

CHAPTER IV
Maritime and air communications

Art. 22.- The Argentine Government reserves the right to take, during the validity of this Convention, the relevant measures to ensure that the transport of 50% (five per cent) of the volume of goods that exchange the Hungarian Republic and the Argentine Republic is carried out on Argentine flagships. The application of this provision may not result in a delay in the delivery of the products or an increase in the cost of their transport.

Art. 23.- The High Contracting Parties shall promote commercial air communications between the two countries, for which purpose the necessary facilities and authorizations shall be granted, in reciprocity, both with respect to the rights of flight, landing and use of the services and facilities of their airports, as well as to the traffic of passengers, correspondence and airborne goods from one contracting country to the other. To this end, the terms of an agreement will be considered as soon as possible, in which the spirit of the present declaration will be determined the modalities of its implementation, within the respective laws and international conventions on the subject.

CHAPTER V
Insurance

Art. 24.- The Hungarian Government reserves the right to make Hungarian goods exported to Argentina and the Argentine products imported in Hungary secure in companies hungararas when the risks of transport are taken into account by the seller or the buyer, respectively. The Argentine Government reserves the right to ensure in Argentine companies the Argentine goods that are exported to Hungary and the Hungarian products that are imported in Argentina, when the risks of transport are taken into account by the seller or the buyer, respectively.

Art. 25.- The authorities of both countries will agree on the implementation of the technical means that will contribute to increasing the volume of reinsurance operations between the Hungarian Republic and the Argentine Republic.

CHAPTER VI
Final provisions

Art. 26.- The Government of the Hungarian Republic shall provide with the best provision any requirements it receives from the Argentine Government for the provision of procedures, patents, technicians and specialized workers for the industries established in the Argentine Republic or which may be established in the future and for the machinery acquired or which may be acquired in accordance with this Convention.

Art. 27.- The Governments of the High Contracting Parties shall facilitate, to the extent permitted by their country ' s legislation, but always under strict reciprocity, the installation in them of branches or agencies of official economic or financial agencies and banks of the same nature established in the other.

Art. 28.- Any High Contracting Party may promote negotiations to correct, in common with the other, the difficulties of any kind that may arise from the implementation of the provisions contained in this Convention.

Art. 29.- The provisions contained in the previous conventions, which are signed between the Hungarian Republics and Argentina, remain in force as soon as they do not object to the provisions of this Treaty.

Art. 30.- This Convention shall be ratified in accordance with the constitutional procedure of each High Contracting Party and the exchange of its ratifications shall be made in Budapest as soon as possible. Without prejudice to its timely ratification, this Convention shall begin to govern provisionally at fifteen days of its signature and shall govern until 31 December 1952. In faith of which two copies of the same tenor are signed, in Buenos Aires, on the fourteenth day of the month of July thousand nine hundred forty-eight-

Juan Atilio Bramuglia.- Miguel Miranda.- Orlando Maroglio.- Pal Soltész.

LIST OF PRODUCTS A

Products... Amounts (in millions of dollars) I-Material for railways. 1. Diesel Trains and Full Motor Cars , with Diesel engine "Ganz-Jendrassik" passenger cars, eaters cars, cars bedrooms, cars salons, cars with electric equipment and trailers, complete for trams and underground, railway cars................................................. Steam locomotives, from the MAVAG factory, for wide, normal or narrow trout, according to specifications............................................. 7.0 3. Materials and equipment for railway installations, accessories, spare parts ......... 2.0 4. Railroad foxes, motor or motorless................................................. 1.0 5. Motorways, of normal construction, with motor......................................................... 1.5... Machinery and installations of the heavy industry. 1. Cranes and lifting facilities of all kinds, loading and unloading facilities, generators with Diesel engine, fast elevators, etc........................................................... Tractors and agricultural machinery. 1. Tractors.................................... 6.0 2. Agricultural machinery of all kinds............ 2.0 IV.- Machines, tools and other industrial machines. 1. Machines, tools of all kinds, machinery for the different industries (industries of wood, of construction, of leather, of metals, industrial textiles, etc.), cylinder mills and other machinery for mills, industrial engines.................................... 10,0 V.- Measurement instruments, instruments and precision equipment.

1. Instruments and measuring devices (electric, gas and water meters of more than 1 1/2 inch).................................. Instruments, apparatuses and installations of engineering, agricultural and medicine ............... 3. Machines, apparatuses and instruments of fine mechanics (of precision)............................... Working elements, tools and spare parts. 1. Machines for sewing..................... 3.0 2. Tools for the small industry and for agriculture.............................. Spare parts and elements.................. 1.0 VII.- Construction materials. 1. Cemento............................................. 8,0 2. Hardwood without brush of pine spruce or oregón................................................. Locks and closures of special and common types....................................................... 3.0 4. More than 3-inch pipes and for drilling.......................................... 2.0 5. Tiles............................................................ 1.5... 6. Health facilities and accessories for water installations, bathrooms (excluding taps and pipes)............................... 2.0 VIII.- Basic materials for the chemicalpharmaceutical and alkaloid industry. 1. Basic materials of the chemical-pharmaceutical industry................................................... 0,5 2 Alkaloids.......................................... 0,3 IX.- Machinery, installations, equipment of the electrotechnical industry. 1. Installations and telephony and telegraphing devices, and their elements, signaling installations.................................. 2. High power transformers............... 1.0 3. High voltage fittings and installations, auxiliary relais and defect indicators............ 1.0 4. Mounting materials and spare parts....... 1.0 X.- Pediac seeds. 1. Seeds for forages..................... Vegetable seeds........................... 1.0 3. Seeds of herbs........................... 0,5 4. Seeds of flowers.............................. 0.5 XI.- Materials of the chemical industry. 1. Cotton colodium........................ 1.5 XII.- Diverse. 1. Various products based on specific permissions will remind each other in each case ............ 3.0

LIST OF PRODUCTS B

Outputs (in millions of dollars) I.- Machines, tools and objects for domestic use. 1. Milk jars of capacity 20 liters or more (aluminium)....................................... 0,3 2. Corns and objects for domestic use, such as: beef grinders and breadcrumbs, loz and porcelain dishes........................ Wake-ups and watches........................ 1.0 4. Incubating machines.............................. Articles of the electrotechnical industry. 1. Electric lamps for spice stress and for the use of the industry spice lamps the lamps with filling of cryption gas (Hungarian power supply).................................................................................................................................................................... Machinery for the manufacture of electric lamps and gas cryption of radius tubes and for fluorescent light.................................. Fluorescent lamps........................... 0.4 4. Radio tubes.............................. Common radio devices........................ 0,5 6. Radio equipment for communications............ 0.5 7. Parts for radio devices.................. 1.0 8. Projectors for sound films ............. 1.0 9. High speakers................................. 1,0 10. Electrical resistors, coffee makers, radiators, stoves, electric grinders for coffee, fans and other items in the electrotechnical industry............... Pharmaceuticals of glass and ampoules. 1. Recipients and glass appliances for pharmaceutical use, of special qualities, of the type called Pirex or similar........................ 0.5 IV.- Textiles. 1. Fabrics of linen and hemp for packaging..........1.0 2. Fine wool genres for men and for women....125 3. Cotton fabrics, prints and fabrics in colors ....1,25 4. Genres of fine silk for underwear............0,25 5. Rayon genres, smooth and stamped ................1,25 V.- Leather and leather goods. 1. Pieles made, like panofix, irha...............0,6 VI.- Bikes, motorcycles, parts. 1. Bicycles. ........................................3,0 2. Bicycle parts..............................0.6 3. Motorcycles.......................................................1.5 4. Parts for motorcycles......................1.0 VII.- Miscellaneous articles. 1. Optical articles...........................2.0 2. Medicinal species ...................... Serums for veterinary use........................0.5 4. Rubber items (Laticel articles, Rubber industrial objects, rods, crates) ..........0,2 5. Medicinal plants.................................0,6 6. Medicinal water................................................ Mechanical toys........................... Items of high consumption of metals, such as: lighters, mechanical sharpeners, alarm guns, portacortine cartridges ...............1.5 9. Basic ceramic materials........................0,56 10. Items for the use of ceramics..................0,2 11. Sweet peppers packed (paprika) ................ Special bujes, patented, for hilanderias....0,6 13. Books, magazines and newspapers in Hungarian .......0,15 VIII.- Diverse. 1. Various materials, based on special permissions, which will be remembered -mutumente- in each case ....4,0