Law 13.963

ADOPTION OF THE TRADE AND FINANCIAL CONVENTION AND FINANCIAL AGREEMENT

BUENOS AIRES, September 18, 1950

The Senate and the Chamber of Deputies of the Argentine Nation,
in Congress, etc.
_

Art. 1.- Approve the trade and financial agreement and the financial agreement between the Argentine and Finnish Republics, signed by the plenipotentiaries of both countries on 8 July 1948, in the city of Buenos Aires, as well as the reversal notes of 19 October 1948.

Art. 2.- Communicate, etc.

WHOLE - CAMPORA - Zaballa Carbó.

Annex A: Commercial and Financial Agreement between the Argentine Republic and Finland signed on July 8, 1948.-

CHAPTER I
General provisions

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

Art. 2.- The Governments of the Argentine Republic and the Republic of Finland 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 provide the maximum facilities, consistent with their respective legislation, to 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 the import, circulation, transport and distribution of the same are subject.

CHAPTER II
Export of Argentine products to Finland

Art. 4.- The Argentine Republic will provide facilities for Finland to enable Finland to acquire the minimum quantities of the following products during 1948:

Argentinian oils... 35,000 Freaks and strawberries..................................................................................................................15,000........................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................ In addition, the Republic of Finland will acquire, to the extent of its needs, the following products in the Argentine Republic:

Fruits dried and preserved. Frozen and cold salted meat. The prices of Argentine products sold to Finland through the Argentine Institute for the Promotion of Exchange will be contractually established.

Art. 5.- The products indicated in art. 4. for the amounts indicated therein shall be acquired by Finland to 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 that Finland makes with the funds from the credit referred to in article. 17.

Art. 6.- The Argentine products that Finland acquires from the Argentine Institute for the Promotion of Exchange will be delivered on the dates and conditions that, in common agreement, determine the Legation of Finland in Buenos Aires and the Argentine Institute for the Promotion of Exchange.

Art. 7.- The Government of Finland ensures that all Argentine products that are exported to Finland by application of this Convention are exclusively intended to meet domestic consumption and industrial needs in Finland.

Art. 8.- Exports of Argentine products to Finland shall be subject to the general provisions governing the Argentine Republic at the time of each operation. Imports in Finland of Argentine products or goods shall be subject to the general provisions in force in the aforementioned nation at the time of their dispatch to square.

CHAPTER III
Exports of products to Argentina

Art. 9.- During the end of a year, counted from the date on which the present Convention begins to govern, the Government of Finland undertakes to allow the export to the Argentine Republic, which will buy, to the extent of its needs and in the species it requires, the following products and merchandise for the minimum quantities below are indicated: .................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................................... Paper for newspapers............ 37,000 Paper imitation pen .......... 500 Kraft paper............ 1.200 Paper sulfito ................... 750 Paper imitation butter (graseproof)........................... 100 Paper for writing and printing, free of wood....3,000 Paper for writing and printing, with wood...... 600 Cigarette and charcoal paper............40 Other special papers... 50 Carton of ordinary mechanical wood, without lining and lined....15.000 Cellulose.............................. Mechanical paste... 1,000 Wood made from............ 5,000 Saw timber............ 5,000 Wooden reels for sewing thread and wood coils (reposed for machines) ......... 60 (In dollars) Domestic-used belly products 400,000 (In Argentine pesos) Locks and locks ............... 100,000

Art. 10.- Procurement of Finnish goods and goods by the amounts specified in art. 9 as well as its import in the Argentine Republic, may be carried out by the Argentine Institute for the Promotion of the Exchange, or, failing that, by other Argentine official agencies or by importing firms established in the Argentine Republic.

Art. 11.- The surrenders to the Argentine Republic of the Finnish goods acquired through the Argentine Institute for the Promotion of the Exchange will be made on the dates that, in common agreement, determine the Finnish Legation in Buenos Aires and the aforementioned agency.

Art. 12.- All Finnish goods purchased by the Argentine Republic, whether or not mentioned in this Convention, shall be invoiced at the contractually established prices.

Art. 13.- Exports of Finnish products to the Argentine Republic shall be subject to the general provisions governing Finland at the time of each operation. Imports in the Argentine Republic of Finnish goods or goods shall be subject to the general provisions in force at the time of their dispatch to square in the said nation.

Art. 14.- Prior to the expiration of each annual calendar period, and until the expiration of this Convention, the High Contracting Parties shall determine the Argentine and Finnish products that shall be the subject of special exchange between the two countries during the subsequent period of twelve months.

CHAPTER IV
Payments and financial arrangements

Art. 15.- All payments of any kind relating to direct operations between Finland and the Argentine Republic shall be made in United States dollars under the conditions provided for in this chapter. By common agreement between the Bank of Finland and the Central Bank of the Argentine Republic, on behalf of the Argentine Government, the aforementioned payments may be made in another currency than the one mentioned above.

Art. 16.- The payments referred to in art. 15 may be carried out directly between the two emission institutes or through banks or institutions authorized to operate in changes established in both countries.

Art. 17.- The Government of the Argentine Republic, through the Argentine Institute for the Promotion of Exchange, agrees to the Government of Finland a current account credit for the amount of eighteen million three hundred thousand United States dollars, which will expire on 31 December 1952. The amount of this credit will be intended for the purchase of Argentine goods to be exported and consumed in Finland.

Art. 18.- The sums used by the Finnish Government, with charge of the credit of eighteen million three hundred thousand dollars, established in Article 17, will accrue interest on the basis of 3 1/2 % per year.

Art. 19.- Interests deriving from the amounts used by the Government of Finland on credit charges will be settled and paid on a quarterly basis, the first liquidation and payment must be made on ninety days after the date of commencement of use of the credit. The payment must be made in United States dollars or gold, but, by common agreement between the Central Bank of the Argentine Republic and the Bank of Finland, it may be resolved that it is made in another free currency.

Art. 20.- The Bank of Finland, or its successors, should this institution be transformed, as well as any other bank that was officially founded in Finland with powers or functions currently belonging to the Bank of Finland, guarantees in solidarity the total amortization of the credit referred to in article. 17, as well as the fulfilment of all the main or accessory obligations that the Government of Finland undertakes under this agreement. The aforementioned guarantee of the Bank of Finland will be joined by the solidarity guarantee of the State of Finland.

Art. 21.- An account called "Crédito Nro. 2" will be opened in the Central Bank of the Argentine Republic on behalf of the Bank of Finland, which will act on behalf of the Government of that country, in which the accounting of the transactions relating to the credit referred to in Article will be centralized. 17. In no case may this account disclose a debtor balance exceeding $18,300,000.

Art. 22.- In the "Credit Nro. 2" account opened in accordance with the provisions of art. 21 will be debited in United States dollars: (a) The FOB value, Argentine port, of the products that Finland acquires, in accordance with art. 17 and (b) The expenses payable in Argentina inherent in the conservation and shipment of products from Argentina to Finland, including freight when transport is made on Argentine flagships.

Art. 23.- The value of the Finnish goods that are imported in the Argentine Republic and of the expenses corresponding to the transport of the goods to the Argentine port will be paid by the respective credit in the account "Crédito Nro. 2". The credits thus credited may be used again to make payments in Argentina for the concepts listed in art. 22 to the expiry of the credit, or 31 December 1952.

Art. 24.- The Central Bank of the Argentine Republic will telegraphically notify the Bank of Finland on the first working day of each week, the balance of the account "Crédito Nro. 2" and the balance of the operations to be liquidated through the account. In the event of a change in the price of gold taken into consideration for the implementation of this chapter, the balance that, at the end of the operations of the day prior to the aforementioned modification, lays down the account referred to in Art. 21 and the balance of the term operations to be liquidated through the aforementioned account shall be adjusted in the proportion of the variation that occurred. The adjustment shall be made through a global seat in the credit or debit as appropriate of the aforementioned account. The total amount in dollars of the credit will also be modified, so that the new limit, at the new price of the gold, amounts to an amount of that metal equal to that of the previous one to the devaluation or valorization that occurred.

Art. 25.- For the adjustment provided for in the previous article, the following procedure shall apply: 1. The adjustment will be made on the balance of the account "Credit Nro.

2", to which art refers. 21 and on the end-to-date 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 gold price taken into consideration for the implementation of this chapter. These balances will be telegraphically notified by the Central Bank of the Argentine Republic to the Bank of Finland, at the end of the day the modification of the price of gold is sought 2. Debtor balance of the account "Crédito Nro. 2": The Central Bank of the Argentine Republic will immediately credit or debit, in the account "Crédito Nro. 2", the necessary amount of US dollars for the new balance of that account, at the new price of the gold equals an amount of that metal equal to that represented the balance prior to the devaluation or valuation incurred 3. Balance of operations on term: (a) The operations on term of operation as from the date of modification of the gold price shall be computed separately (b) The adjustment of the operations concluded until the previous day, including, at the date of a change in the value of gold, shall be made as the respective operations are liquidated and the amount of them is recorded in the account "Credit No. 2". The Central Bank of the Argentine Republic will increase or decrease the amount in US dollars of each operation registered in the "Credit Nro. 2" account in proportion to the devaluation or valorization that occurred.

Art. 26.- At the expiration of the period established in art. 17, the Government of Finland will pay in US dollars or in gold the entire debt balance of the account "Credit Nro.

2." By common agreement between the Central Bank of the Argentine Republic and the Bank of Finland, it may be decided that the payment referred to in the preceding paragraph shall be made in other free currency.

Art. 27.- Notwithstanding the provisions of art. 26, at the expiration of the period established in art. 17 the Government of Finland may choose to amortize the debtor balance of the account "Credit Nro. 2" under the conditions specified in the previous article, in ten semi-annual contributions of equal amount each. In such a case, the first payment for amortization should be made effective at 6 months after the expiration of the receivable, but the interest will continue to be paid quarterly in accordance with the provisions of art. 19.

Art. 28.- If the Government of Finland used the option referred to in art. 27, the obligor balance that deposits the "Credit Nro. 2" account from the date of expiration of the period established in Article 2. 17 and up to its total cancellation will accrue interest at the rate of 4 1/2 per year and will continue to enjoy the guarantee provided by art. 24.

Art. 29.- The Government of Finland may at any time pay full or part of the debt balance that the "Crédito Nro. 2" account and the interest earned so far, but the repayments may not be less than $180,000 each time. Payments shall be made under the conditions set out in art. 26.

Art. 30.- For the application of the arts. 19, 24, 25, 26, 27 and 29 of this Convention shall take into consideration the price of gold in New York (currently $35 per ounce of fine gold). The metallic deliveries referred to in arts. 19, 26, 27 and 29, must be made in gold or in bars of good delivery and will be made free of charge in the central house of the Central Bank of the Argentine Republic. In the event of the delivery of gold, the Central Bank of the Argentine Republic will not be able to claim differences for savings in the transfer costs.

Art. 31.- In order to facilitate the financing of imports in Argentina of Finnish products, the Bank of Finland will empower the Finnish banks to allow the opening of documentary credits and, reciprocally, the Central Bank of the Argentine Republic will allow the Argentine authorized institutions to open documentary credits to finance Argentine exports to Finland. The aforementioned credits shall be reimbursed on the "Credit Nro. 2" account provided for in art. 21.

Art. 32.- In order to facilitate the implementation of the financial clauses of this Convention, the Bank of Finland and the Central Bank of the Argentine Republic may agree on any modifications that they deem appropriate to the mechanism established by this Agreement for the transfer of funds between the two Contracting Countries.

CHAPTER V
Maritime and air communications

Art. 33.- The vessels of each High Contracting Party shall enjoy the most favourable treatment accorded to their respective laws regarding the port regime and the operations that they verify in the same.

Art. 34.- The Argentine Government reserves the right to take, during the validity of this Convention, the relevant measures to ensure that the transport of 50% of the volume of exports from Argentina to Finland and 50% of the volume of imports in Argentina of products from Finland are made preferably on Argentine flagships. The application of these provisions may not result in delays in the delivery or care of the products to be transported.

Art. 35.- The Contracting Governments undertake to promote commercial air communications between the two countries for which the necessary facilities and authorizations will be granted, in reciprocity, both with regard to the rights of overflight, 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 country to the other. To this end, the terms of an Agreement shall be considered in which, in the spirit of the present declaration, the modalities of its implementation shall be determined.

CHAPTER VI
Insurance

Art. 36.- The Argentine Government reserves the right to ensure in Argentine companies the Argentine goods that are exported to Finland and the Finnish products that are imported in Argentina, when the risks of transport are taken into account by the seller or the buyer, respectively. The Government of Finland reserves the right to secure in Finnish companies the Finnish goods exported to Argentina and the Argentine products imported in Finland, when the risks of transportation are taken into account by the seller or the buyer, respectively.

CHAPTER VII
Final provisions

Art. 37.- The provisions contained in the treaties signed prior to the date between the Argentine Republics and Finland are repealed, insofar as they oppose the provisions of this Convention.

Art. 38.- 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 the city of Helsinki as soon as possible. Without prejudice to its ratification, this Convention shall begin to govern provisionally within 10 days from the date of signature and shall remain in force until 31 December 1952, except as expressly provided for in the text of the Convention. However, by common agreement between the High Contracting Parties, the Convention may be terminated prior to the expiration of the established deadline, in which case the manner of liquidating outstanding operations and the balance of the "Credit No. 2" account will also be agreed. In faith of which two copies of the same tenor are signed, in Buenos Aires, on the eight days of the month of July, one hundred and forty-eight.

Ernst Ossian Soravuo - J. Atilio Bramuglia - Miguel Miranda - Orlando Maroglio.

Annex B: Financial Agreement between the Argentine Republic and Finland signed on July 8, 1948 in Buenos Aires as well as the reversal notes of October 19, 1948.-

Art. 1.- The Government of the Argentine Republic, through the Argentine Institute for the Promotion of Exchange, agrees to the Government of Finland a current account credit of $75,000.000 national currency. This amount, which includes the corresponding amount in the margin of changes referred to in article 7, subparagraph (b), shall be used exclusively to acquire Argentine products and goods to be exported and consumed in Finland.

Art. 2.- The provision referred to in the preceding article is agreed for a period of three years since 10 March 1947. This period may be extended to the option of the Government of Finland for two more years.

Art. 3.- The amounts used by the Finnish Government on the credit of seventy-five million pesos Argentine national currency established in art. 1 interest will accrue at 3 1/2 % per year.

Art. 4.- Interests deriving from the amounts used by the Government of Finland on credit, will be liquidated and paid quarterly in Argentine national currency pesos, with the first liquidation and payment due to the ninety days from the date of signature of the present instrument. The first settlement and payment shall include interest accrued in the amounts used by the Government of Finland from the date on which the credit was started until the time of such payment. The Argentine national currency that the Government of Finland denies to pay the interest on the amounts used with a charge to the credit may not come from the account "Credit referred to in Article 6.

Art. 5.- The cancellation or amortization of the credit referred to in Article 1, as well as all the obligations that the Government of Finland has entered into under this Agreement, shall have the solidarity guarantee of the Bank of Finland or its successors, if it is transformed, as well as of all and any other bank that is officially founded in Finland with powers or functions currently belonging to the Bank of Finland. The aforementioned guarantee of the Bank of Finland will be joined by the solidarity guarantee of the State of Finland.

Art. 6.- A "Credit" account will be opened in the Central Bank of the Argentine Republic on behalf of the Bank of Finland, where the accounting of the transactions corresponding to the credit referred to in Article will be centralized. 1. In no case may this account disclose a debtor balance exceeding $75,000.000 national currency.

Art. 7.- In the "Credit" account, opened in accordance with the provisions of art. 6 will be debited: (a) The FOB Argentine port value of the products that Finland acquires in accordance with art. 1 (b) The corresponding change margin, in accordance with the rules in force in the Argentine Republic (c) The expenses payable in the Argentine Republic inherent in the conservation and shipping of the products from Argentina to Finland, including freight when transport is made on Argentine flagships. In the aforementioned "Credit" account, the value of the paper for newspapers that IAPI acquires in Finland shall be credited, in accordance with the terms agreed in item (d) of the cards changed on 23/4/947 between the Central Bank of the Argentine Republic and the Bank of Finland, which remain in force and form an integral part of this Convention.

Art. 8.- At the expiration of the deadline set out in article 2, the Government of Finland will proceed to pay the debt balance of the "Credit" account in Argentine national currency pesos. If the Government of Finland does not have at that time the Argentine pesos necessary to cancel its debt, it will be able to sell to the Central Bank of the Argentine Republic free availability currency to agree between this bank and the Bank of Finland, which will be acquired by the Central Bank of the Argentine Republic to the type of buyer in force on that date for the respective currency in the market free of changes of Buenos Aires. You will also be able to sell gold, subject to the Central Bank of the Argentine Republic.

Art. 9.- The Government of Finland may at any time pay in full or in part, in Argentine national currency, the debt balance that deposits the "Credit" account, as well as the interest earned thus far.

art. 10.- 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 the city of Helsinki as soon as possible. Without prejudice to its timely ratification, the present instrument shall be deemed to have entered into force on 10 March 1947. In faith of which two copies of the same tenor are signed, in Buenos Aires, on the eight days of the month of July, one hundred and forty-eight.

Ernst Ossian Soravuo.- J. Atilio Bramuglia.- Miguel Miranda.- Orlando Maroglio.

His Excellency Mr. Extraordinary Envoy and Minister Plenipotentiary of Finland. D. Ernst Ossian Soravuo.

Minister: I am pleased to address V.E. to acknowledge receipt of the note of that Law 471, dated 18 August, which is the text of the following "Mr.Minister: "I have the honour to address your excellence on behalf of the Government of Finland in the following matter: "In the commercial and financial agreement between Finland and the Argentine Republic, signed on 8 July 1948, chapter III, art. 9, it is indicated that the Government of export to Argentina Since both parties have always dealt with this amount during the negotiations, not in tonnes, but in standards, I beg your excellence to confirm to this Law that in this Article. 9 the agreed amount of timber to be exported from Finland to the Argentine Republic is 5,000 standards. "In waiting for your excellence that the favorable answer will be considered as an agreement between the High Contracting Parties, I have the honour to greet your excellence with my highest consideration.- Karl Torsten Tikanvaara." In expressing the conformity of the Argentine Government with the terms of the transcribing note, I renew to your excellence the assurances of my highest consideration.

José Humberto Sosa Molina.