Following on from a decision taken on Tuesday that written legal documents must be submitted to the AFIP tax agency ahead of goods entering Argentina from February 1, the former head of the Argentine Industrial Union, Héctor Méndez, said the government “should find a balance since measures like this put the national industry under risk.”
During radio conversations the lobbyist indicated that “Limitations always provoke reactions and worries among the affected sector. I do understand the government’s need to control imports in order to protect our domestic industry and the foreign currency reserves; it should look for reaching a healthy balance.”
Likewise, Méndez warned the domestic industry’s dependence on imports, “My expertise in the plastic industry, where it currently takes one and a half years to bring a plastic injection mold. So, I can assure that in case imports stop or get blocked, I’ll have to stop all factory production.”
“It’s a delicate situation. At this point Argentina should have learnt what the cons of foreign dependence are. But it seems not to be the case. This is a country in which cars, just to give an example, are manufactured with 70 percent of their materials being imported. There is still much to be done in order to achieve a true national industry.”
Importers yesterday also questioned the government measure that sets a greater control on purchases made abroad.
Head of the Chamber of Importers of Argentina (CIRA), Diego Pérez Santisteban, bashed the measure: “More than 80 percent of imports go toward production in Argentina... given that there isn’t the fluency necessary for importing these types of products, there will be problems ahead,” he said.
The CERA exporters’ chamber also asked the AFIP to “suspend” the resolution, which requires an advance import sworn statement to be submitted to the agency, and that the importing sector is calling a “super license.”
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