REGIONAL PROMOTION Decree 1691/94 Amendment of the date of entry into force of Decree No. 1737/93.

Bs. As., 23/9/94

VISTO Issue No. 427,692/93 of the NATIONAL ADMINISTRATION OF ADUANAS under the SECRETARY OF PUBLIC INCOME OF THE MINISTERY OF ECONOMY AND ARTWS AND PUBLIC SERVICES, Law No. 19,640, Decree No. 1737 of 18 August 1993 and

CONSIDERING:

That Article 3 of Decree No. 1139 of 1 September 1988, dictated by the qualification contained in article 32 (d) of Law No. 19.640, determined that the products produced in the Special Customs Area created by that law, in order to be considered as originators of that Area should have as limit the TREINTA and CINCO by CIENTO (35 %) of the value CIF imported

That within the framework of the current economic policy, the industry based on the aforementioned Special Customs Area assumed with the competent national authorities the commitment to promote greater efficiency in the activity of the sector, reducing the prices of its products. This agreement merited presidential approval with the sanction of Decree No. 593 of 4 April 1991 resulting in implementation from 11 April 1991. On that occasion the modification of the alleged percentage of integration was omitted, despite the fact that the measure was part of the agreement reached.

To attentive to this and to the repeated request of the industrial sector, the NACIONAL EXECUTIVE PODER issued on 1 August 1993 Decree No. 1737 establishing that the products are originating from the Special Customs Area when the CIF value of the materials from third countries used in its elaboration does not exceed the CINCUENTA BY SCIENTO (50 %) of the value of the competent FOB of export of the good and is appropriate to the production.

Notwithstanding the correctness, given the time elapsed until the dictation and from the strong reduction of the prices operated and confronting the new prices with the approved accreditations of origin, the NATIONAL ADMINISTRATION OF ADUANAS initiated administrative proceedings to verify the accuracy of the percentages of integration, demanding to the producers guarantees to authorize the exports to the continental territory of the goods produced in the Special Customs Area.

It seems clear that the reasons for economic and industrial policy that have served as the basis for the sanction of Decree No. 1737/93 would result in a strict coverage of a wider period beginning with the application of Decree No. 593/91 and the subsequent decrease in the prices of products from the Special Customs Area, as a result of the commitment of the industrial sector.

That with the measure that is encouraged, the problems affecting the normal development of the productive sector are resolved, facilitating the settlement of the disputes raised, by amending the date of entry into force of Decree No. 1737/93.

That the present decree is issued pursuant to article 32 (d) of Act No. 19,640 and in exercise of the powers conferred by article 802 of the Customs Code.

Therefore,

THE PRESIDENT OF THE ARGENTINA NATION

RIGHT:

Article 1 Las The provisions of Decree 1737 of 18 August 1993 shall have effect from 11 April 1991. Art. 2o . Communicate, publish, give to the National Directorate of the Official Register and archvese. . MENEM. . Domingo F. Cavallo.