TABACO

Decree No. 3.478

Organization for the implementation of Decree Law No. 19,800/72 and Law No. 20,678.

Bs. As., 19/11/75

VISTO Act No. 20,678 amending articles 3, 13 and 25 of Decree-Law No. 19,800/72, and

CONSIDERING:

That the amendments introduced make it necessary to update the regulation of the Decree-Law No. 19.800/72.

That the new structure of the National Government has changed the name of the implementing body and the relevant agencies mentioned in Decree No. 2.373 of 28 March 1973.

It is necessary to establish the mechanism for the designation of the professional association of tobacco workers of greater representation in the national order.

Therefore, attentive to the legal opinion of fs. 23 and proposed by the Minister of Economics.

THE PRESIDENT OF THE ARGENTINA NATION

RIGHT:


Article 1 - The State Secretariat for Agriculture and Livestock will be the implementing body of Decree Law No. 19.800/72 and Law 20.678.

Art. 2o - The Ministry of Agriculture and Livestock will:

(a) All studies necessary for the determination of ecological-economic zones suitable for the production of tobacco, a task that must be completed within a period not exceeding five (5) years, from the date of force of Decree Law No. 19,800/72;

(b) Research and extension, coordinating its action with the specific technical agencies of the different tobacco provinces towards the varieties of better agronomic and industrial behaviour and towards the best practices of cultivation, harvesting, healing and conditioning;

(c) The establishment of a National Registry of Tobacco Seeds and the development of the rules to which the breeders and seedlings of such cultivation should be adjusted;

(d) Economic studies that will allow the national executive branch to fix prices of the different types and types of tobacco trade, which will be based on the calculation of the respective production costs in the established production targets;

(e) Analysis of the socio-economic aspects of the areas currently in production and advise on the measures to be taken when there are problems that require special, differential or emergency treatment;

(f) The opening of a Register of Tobacco Producers, in which any person, entity or society that is devoted to its cultivation must be registered;

(g) The study, proposition and updating of official type patterns;

(h) Advice to official agencies on current or regular and special or promotional credit lines, which should be available to assist producers in quantity and opportunity, as well as the preparation of relevant regulations;

(i) The necessary steps before the Central Bank of the Argentine Republic and the Ministry of State of Finance, aimed at providing the Special Tobacco Fund with the resources that would enable the payment of the contempt and the additional emergency to the producers, as soon as possible, with an impact on the future collections of the same Fund and to achieve the payment of a minimum interest rate.


Art. 3o - The Secretary of State for Trade:

(a) Create a register in which the natural or legal persons engaged in the sale of tobacco (couplers, traders, industrialists and exporters) should be registered for the purposes of their activities, and should be given the list of inscriptions to the Tobacco Department of the Ministry of Agriculture and Livestock;

(b) It shall maintain a register of compulsory registration of tobacco importers and exporters in all their forms and must give the respective lists to the Ministry of Agriculture and Livestock; and

(c) Approving the nozzles and labels for the presentation of the products of both the imported and those produced by the country ' s manufactures and giving their views to the Secretariat of State for Agriculture and Livestock.

Art. 4o - The Secretariat of State for Industrial Development shall maintain a register in which tobacco manufactures must be registered and shall give a view of the list of entries to the State Secretariat for Agriculture and Livestock.


Art. 5o - The National Standing Advisory Commission of Tobacco, created by Article 3 of Decree Law No. 19.800/72 and amended by Article 1 of Law No. 20.678, shall be presided by the Secretary of State of Agriculture and Livestock, or by the official designated by the latter, and composed of one (1) representative of the representatives of the State of Finance, of Commerce, of Industrial Development and of Agriculture, and of each other; Members of producers ' entities, tobacco workers, the cigarette manufacturing industry and exporters shall be appointed by the Ministry of Agriculture and Livestock and shall emerge from the soils which, in effect, raise the entities that group them (a terna for holders and another for alternates).

The alternate members shall replace the holders, not only in the plenary meetings of the Commission, but also in the different subcommissions that exist or are formed in the future.

The members of the National Standing Advisory Commission of Tobacco shall be "ad-honorem", without prejudice to the receipt of roads, mobility expenses, when they must be transferred for the exercise of their functions, in accordance with the regulations that are internally issued.

The Ministry of Agriculture and Livestock, on the proposal of the National Standing Advisory Commission of Tobacco, shall designate the administrative staff rented in a minimum amount necessary for the performance of the functions assigned to that Commission.

Within ninety (90) days of the present decree, the Commission shall issue its rules of procedure and its budget for the period, which shall be subject to approval by the Secretariat of State for Agriculture and Livestock.


Art. 6o - Couriers, traders, industrialists and exporters must send to the Department of Tobacco of the Secretariat of State of Agriculture and Livestock, from one (1) to fifteen (15) of each month, as an affidavit, the details of tobacco purchases, discriminated by province, type and commercial class, made directly to producers in the previous month. The name and name of the producer shall also be indicated in alphabetical order; number of registration in the Register of Producers of the Tobacco Department, number of liquidation ballots; kilograms of tobacco acquired by type and commercial class; and value of the same.

To this end, they must make a table according to the model that will be distributed by the Tobacco Department, attaching a perfectly readable duplicate of the original of the corresponding purchase ballots, without amendments or scrapes and by correlative order of numbering. The original ballot must be delivered to the producer, at the time of the sale operation.

In addition, prior to the commencement of the collection, the buyers must notify the Tobacco Department of the numbering of the ballots to be used in the purchase of each type of tobacco, respecting a correlative numbering.

Within the first quarter of each year, the acopiadores, merchants, industrialists and exporters shall submit to the Tobacco Department, as an affidavit, a demonstrative grid of the raw material movement recorded during the previous year. The corresponding table will be distributed by the department.

The Department of Tobacco, with the collaboration of the provincial agencies, will verify the operations of sale, controlling the resulting decreases between the kilograms of tobacco acquired to the producers and the weight of the same once baked and bolted, in accordance with the regulations of the Directorate General Impositiva. In the event that these mermas exceed the normal values (under normal values to the weighted averages of the mermas of each acopiadora firm by commercial type, in each agricultural year) without due cause, the offending signatures shall be held liable for the missing, which shall be paid for each kilogram of difference, the amount corresponding to that type and class of tobacco in the participation of the Special Tobacco Fund. To this end, at the end of the processing of each commercial type, acopitors, traders, industrialists and exporters will submit to the Tobacco Department a summary of the total purchases of tobacco, to bulk by commercial type, the kilograms resulting from the pottery and the corresponding decreases. In the event that tobacco is removed, it will be done in the same way, indicating the amount of stick and resulting residues.

When a firm operates with enabled or with exclusive haulers who sell or transfer bulk tobacco, there will be no recognition between them and the enabling firm, the latter being responsible for those that could occur in the gallons of those. The enabling firm will also be responsible for the differences in the quantities of the different classes acquired or transferred by the authorized or exclusive buyers in relation to the delivery by the producer.

For the purposes of the justification of the missing person by dust, stick and residue, the acopiadores, merchants, industrialists and exporters must, in writing, require the presence of personnel of the Agricultural Delegation dependent on the Ministry of State of Agriculture and Livestock of the corresponding area, which shall proceed to the incineration of the same, after the extraction of samples, working the respective certificate with indication of quantity and type of residue.


Art. 7o - Cigarette manufacturers will refer to the Department of Tobacco of the Secretariat of State of Agriculture and Livestock within the first quarter of each year and as an affidavit, a demonstration tablet of the tobacco movement registered the previous year. Also, until the day ten (10) of each month will send an affidavit of the sales of the previous month, using the official forms prepared by the Tobacco Department, in original and two (2) copies, with the following detail:

(a) Inputs (previous factory and deposit, returns and processing in the month) and Outputs (tax free; that is, sale of returns, export and ranch, ex-zone sales, internal consumption of factory, donations to public good institutions and unused and extravious fiscal values; and subject to tax; that is, global sales of the month and stocks);

(b) Number of packages of cigarettes sold, with discrimination of price of each marquilla and its denomination of blond and black cigarettes (for the purposes of this decree shall be consigned as black cigarettes to all marquillas that do not conform to the denomination of blonds), in order to calculate the payment to be made to the Special Tobacco Fund and to the Professional Association of Workers of tobacco activity of greater representativeness in the national order.

In addition, tobacco manufacturers should report to the tobacco department of the State Secretariat for Agriculture and Livestock on a monthly basis, the amount of tobacco entered in the previous month, paying the rate set out in article 38 of Decree Law 19.800/72.


Art. 8o - The Ministry of Agriculture and Livestock shall grant the funds from the application of article 23 (a) of Decree-Law No. 19,800/72, and article 25, subparagraphs (a) and (d), as amended by article 3 of Act No. 20,678, which shall deposit the industrialists in accordance with article 9 of this Decree, which shall be assigned to the payment of the excess and the additional work of emergency.

Cigarettes for domestic consumption of the factory, donations to institutions of public good, export, the consumption of rancho to the ex- zone franca and those for unused and extravited tax values are excluded from this payment.

Art. 9o - For the purposes specified in the previous article, the manufactures of cigarettes shall deposit, within the fifteen (15) days of the following month of the sales made, the amount referred to in Article 8 of the present decree, in cash, cheques or orders payable on Buenos Aires, to the order of the Ministry of State of Agriculture and Livestock-General of Administration-, in the Treasury Department of the above-mentioned Section 4022 If the expiry of the specified period is operated on an unqualified day for the National Civil Service, the payments may be made until the next first working day.

The Tobacco Department of the State Secretariat of Agriculture and Livestock shall make a monthly plank based on the affidavits of sales made by the industrialists, as set out in article 7 of the present decree, and shall refer it to the General Directorate of Administration of the aforementioned State Secretariat, which shall include the name of the manufactures and the amounts for each concept that shall be entered - with the indication of the quantity of cigarette packages and discrimination of the same.

With this information, the Directorate General of Administration will make the collection coupons, forwarding part "B" to the Tobacco Department, together with a demonstration of the revenues recorded during the month. The Department shall proceed with the calculation of the distribution of funds collected between tabacal provinces, in accordance with the mechanism established by Decree Law No. 19.800/72. The General Directorate of Administration shall proceed to liquidate in favour of the Social Work of the Association of Tabacal Activity Workers of greater representativeness in the national order, the funds received from that destination within the time limit set in this article, in the course of the same month. If new deposits are received after the date indicated, they will be added to those corresponding for the following month.

The resources from the Tobacco Special Fund shall be administered by each province, in accordance with its marketing modalities, by the agencies that each of them determines, having to be held quarterly to the Ministry of State of Agriculture and Livestock, in accordance with article 31 of Decree Law No. 19.800/72. To this end, each province will submit quarterly to the Ministry of State of Agriculture and would gain a balance, status and demonstrative plans for the proper application of the funds received, legalized by the authorities or regulatory bodies empowered to exercise the appropriate control in such jurisdictions. Without prejudice to the statement, it will be sufficient disclaimer from the Ministry of Agriculture and Livestock before the Court of Accounts of the Nation, the receipt granted by competent authority of the respective province, for each remesa sent for the purposes of Decree Law No. 19.800/72 and Law 20.678.

Failure to agree with the provisions of the preceding paragraph shall suspend the remission of the resources of the Special Tobacco Fund to the province in which it is in need (responsing it to the responsibility of the delay in payment to the producers), revoking that remission only when it fulfils the obligation referred, as provided for in this article.

In each province, an Advisory Council, representing the producers, will be responsible for ensuring the fate and impact of the Tobacco Special Fund remnants.

The resources received by the tabacal provinces, from the Special Tobacco Fund, should be deposited in a special account that each province will open for that purpose, which may be supervised by the Ministry of State of Agriculture and Livestock, as often as it deems necessary.

Art. 10. - After the completion of each agricultural year and known the total collection of the application of Decree Law No. 19,800/72 and Law No. 20,678, which is given by this decree, the final adjustment of the funds shall be made in accordance with article 27 (a) of Decree Law No. 19,800/72.

Art. 11. - The resources set out in article 23 (a), (c) and (d) of Decree-Law No. 19,800/72 and article 25 (a) of the same, as amended by article 3 of Act No. 20,678 together with the revenues from the fines specified in article 12 of this decree, shall be entered into the Special Account 887--Tobacco Special Fund, under the jurisdiction of 54- Ministry of State of Agriculture and Livestock.


Art. 12. - The following offences shall be punished by the Ministry of Agriculture and Livestock and by the limitation set out in article 42 of Decree Law No. 19,800/72, as follows:

(a) Failure to deposit in term the amounts resulting from the application of what is indicated in article. 9th of this decree, up to one (1) month in arrears, a fine equal to fifty percent (50 %) of the sum to deposit; up to two (2) months a fine equal to one hundred percent (100 %) of the sum to deposit, more than two (2) months a fine equal to four hundred percent (400 %) of the sum to deposit;

(b) For failing to submit the affidavits established in the arts. 6th and 7th of this decree: up to fifteen (15) days of delay, a fine of one thousand pesos ($ 1000.-); of more than fifteen (15) days and up to thirty (30) days of delay, a fine of two thousand pesos ($ 2000.-); from thirty (30) days and for the following periods of fifteen (15) days, the penalty shall be doubled; and

(c) For other offences, the penalties set out in the existing resolutions, provisions and other legal instruments shall be applied and in those which are issued for the implementation of Decree Law No. 19,800/72 and Act No. 20,678 which are regulated by this Decree.


Art. 13. - The Secretariat of State for Agriculture and Livestock will hold annually, in October, a meeting with the specific purpose of seeking the opinion of the National Standing Advisory Commission on Tobacco, on the production needs, in order to establish an appropriate marketing order.

With regard to the volume of production, the Secretariat of State for Agriculture and Livestock shall undertake a preventive calculation of the supply and future needs of industry, export and stock formation.

This calculation shall be made on the basis of the following information:

(a) Estimated statements of tobacco requirements for the next year to be submitted by buyers to the State Secretariat for Agriculture and Livestock, as required by article 14 of Decree Law No. 19,800/72;

(b) Information provided by the State Secretariat for Foreign Trade and International Economic Negotiations on export prospects;

(c) Data provided by producers ' associations with regard to production prospects; and

(d) Other judgements available to the Secretary of State for Agriculture and Livestock.

Art. 14.- With regard to marketing management, the State Secretariat for Agriculture and Livestock would, once the preventive calculation referred to in the previous article, propose the measures to be taken to ensure an adequate balance between supply and demand in the immediate future. These measures will consist mainly in the use of the resources of the Special Tobacco Fund, as set out in the agreements with the provincial governments referred to in article 29 of Decree Law 19.800/72. Such measures should include:

(a) Economic and financial support for the formation of stocks for the stable supply of industry and export;

(b) Economic and financial export support, in accordance with the magnitude of surpluses, and

(c) Information and guidance to producers to seek to oblige the volume of crops to the actual possibilities of their placement.


Art. 15. - The National Standing Advisory Commission on Tobacco will participate in all the tasks set out in article 4 of Decree Law No. 19.800/72.

Art. 16. - The Secretary of State for Agriculture and Livestock, Trade and Industrial Development, are empowered to establish by resolution the agencies that, within each Secretariat, shall intervene in order to comply with the provisions of articles 2o, 3o and 4o of this decree.

Art. 17. - The agreements between the Ministry of Agriculture and Livestock and the provincial governments, referred to in article 29 of Decree-Law No. 19,800/72, shall be held in the course of the month of November of each year.

Art. 18. - The Directorate-General of Administration of the Ministry of Agriculture and Livestock, in accordance with the liquidations referred to it by the Department of Tobacco, shall hand over to the governments of each producer province on a monthly basis of advance, the cash-over until the thirty (30) of November of the respective year, of the corresponding part of the Special Tobacco Fund, taking to that end, as the basis for the harvest, of the previous year, the value of the production of the 28 of Decree-Law No. 19.800/72.

The Department of Tobacco will also make the list of producers per month according to the different types of tobacco and areas. The name and name of the producer number of registration in the Registry of the Department of Tobacco shall be the number of ballots for the sale of tobacco and acopier signature; kilograms delivered, discriminated by type and commercial class; and the value of tobacco, having to send a copy of this list to the provincial agency that establishes the Convention signed with each province, as indicated in article 29 of Decree Law No. 19.800/72, within thirty days of the time limit.

The tabacal provinces, in accordance with the above-mentioned conventions, will provide the Department with the necessary personnel to meet these deadlines. Income to be subsequently verified as at 30 (30) November each year will be settled once the readjustment for the sales of cigarette packets has been made and the value of tobacco production in the respective campaign is known.

Art. 19. - In order to give effect to the overprice and the additional emergency provided for in article 12 (b) and (c) of Decree Law No. 19,800/72, each producer shall:

(a) To present the liquidation ballot provided by the co-pier, which shall not have amendments or scraps, nor may it be transferred, or transferred, except to banking institutions and producers ' cooperatives, to guarantee credits originating in tobacco production;

(b) To certify its identity; and

(c) To ban the registration card in the Tobacco Department of the State Secretariat for Agriculture and Livestock.

Art. 20. - The collection inspectors shall act at the request of a party on their own initiative, when they consider the types of patterns to be violated. Its mission will be to dictate the type and class of tobacco in discussion and the transaction may be made only on the basis of that opinion. The parties may appeal the inspector ' s Views to an arbitral tribunal in which case an acquittal in which both parties undertake to give effect to the sale transaction, regardless of the final judgement, which will be inapplicable.

The record should record the causes of the deferendum, as well as the type, class and quantity of the tobacco line in question. At the same time, the extraction of three (3) tobacco samples will be carried out, dulled and rinsed or dispensed and signed - as well as the record - by the parties concerned and by the acting inspector. Of these samples two (2) shall be held by the respective parties (one sample for each part), the third must be handed over to the arbitral tribunal.

The court shall be composed in each province by one (1) representative of the provincial governments, one (1) representative of the producers ' associations and one (1) representative of the buyers; it shall be chaired by an official of the Ministry of Agriculture and Livestock with hierarchy superior to that of the inspectors who have made the first classification and shall be issued within forty-eight (48) hours of the registry.

Art. 21. - Default of Decree No. 2373 of 28 March 1973.

Art. 22. - Contact, publiquse, give yourself to the National Directorate of the Official Register and archvese.