Argentina.gob.ar Presidency of the Nation COMMON NOMENCLATURE OF MERCOSUR

City of Buenos Aires, 12/14/2021

SEEN File No. EX-2021-66245092-APN-DGDA#MEC, Laws No. 22,415 (Customs Code) and its modifications, 25,127, its regulations and its complementary norms and 27,541, Decrees Nos. 97 of January 25, 2001 and its amendment, 1126 of December 29, 2017, 230 of March 4, 2020, 789 and 790, both of October 4, 2020, 1060 of December 30, 2020 and 410 of 25 June 2021, and

CONSIDERING:

That through Law No. 25,127, its Regulatory Decree No. 97/01, its amendment and its complementary regulations, the provisions applicable to ecological, biological or organic production were established, and a rational management of natural resources was promoted.

That the aforementioned law establishes the promotion of ecological, biological and organic production throughout the country.

That through article 52 of Law No. 27,541 on Social Solidarity and Productive Reactivation in the Framework of Public Emergency and its amendments, the NATIONAL EXECUTIVE POWER was empowered to set export duties, until December 31, 2021.

That through section 1 of article 755 of Law No. 22,415 (Customs Code) and its amendments, the NATIONAL EXECUTIVE POWER was empowered to tax with export duties the export for consumption of merchandise that was not taxed with this tax, to deduct taxes the one that was encumbered with said tribute and to modify the established export right.

That through section 2 of the aforementioned article it was established that, except as provided by special laws, the powers granted in the aforementioned section 1 may only be exercised in order to fulfill any of the purposes established therein.

That since the publication of the aforementioned Law No. 27,541, the NATIONAL EXECUTIVE POWER has issued various regulations in which it has sought to reduce the rate of export duty, with special attention to the generation of added value in the country.

That the public emergency in economic, financial, fiscal, administrative, social security, tariff, energy, health and social matters, declared by said law, has generated a particular impact on the various productive activities and, especially, on organic production.

That through Decree No. 230/20 export duty rates were set for different merchandise, mostly of agro-industrial origin, and certain tariff positions of the MERCOSUR Common Nomenclature (NCM) referring to certain industrial products were included.

That in accordance with the provisions of Decree No. 789/20, the rates of Export Duties were set for other merchandise, mostly of industrial origin, and certain asymmetries of pre-existing rates were corrected.

That Decree No. 790/20 established export duty rates for certain soybean products and by-products.

That with the issuance of Decree No. 1060/20, among other measures, the rate of export duty for different products of regional economies was set at ZERO PERCENT (0%).

That through the issuance of Decree No. 410/21, the tax levels applicable to various merchandise were modified, in order to perfect the definitions of the policies contained in the aforementioned decrees.

That organic production implies the elaboration of differentiated foods through the application of techniques and practices tending to the preservation of the environment and the sustainability of the productive systems.

That the aforementioned way of producing generates a greater use of labor compared to conventional production, the restoration of soils and a valid alternative for a country that seeks to expand its exportable supply of differentiated foods.

That the demand for organic food represents a market with high potential for development at the national level and is growing at the international level.

That it is convenient, therefore, to encourage the production and export of foods differentiated by their production method, in accordance with the criterion of promoting greater production of food with added value.

That for the reasons stated it becomes necessary to modify the rates of export duties for products that have the condition of ecological, biological or organic included in certain tariff positions of the MERCOSUR COMMON NOMENCLATURE (NCM).

That, in this sense, on the one hand, it is appropriate to reduce to ZERO PERCENT (0%) the aliquots of the export duty for those products that do not affect fiscal sustainability, complying with the provisions of Law No. 27,591 on the Budget General for the National Administration for Fiscal Year 2021 and, on the other hand, for products of an ecological, biological or organic nature subject to international prices and with higher rates, it is appropriate to provide a reduction in the level of the applicable tax.

That Law No. 26,122 regulates the procedure and the scope of the intervention of the HONORABLE CONGRESS OF THE NATION regarding the decrees issued by the NATIONAL EXECUTIVE POWER, by virtue of the provisions of article 76 of the NATIONAL CONSTITUTION.

That the aforementioned Law determines that the PERMANENT BICAMERA COMMISSION of the HONORABLE CONGRESS OF THE NATION is competent to rule on the validity or invalidity of legislative delegation decrees.

That article 22 of Law No. 26,122 provides that the Chambers pronounce themselves by means of respective resolutions and that the rejection or approval of the decrees must be express, in accordance with the provisions of article 82 of the NATIONAL CONSTITUTION.

That the competent permanent legal services have intervened.

That this measure is issued in use of the powers conferred by articles 76 and 99, subsections 1 and 2 of the NATIONAL CONSTITUTION, 755 of Law No. 22,415 (Customs Code) and its amendments and 52 of Law No. 27,541 of Social Solidarity and Productive Reactivation in the Framework of the Public Emergency and its modifications.

Thus,

THE PRESIDENT OF THE ARGENTINE NATION

DECREES:

ARTICLE 1.- Set at ZERO PERCENT (0%) the rate of the export duty (DE) for products that have the condition of ecological, biological or organic, duly certified and authorized by the competent body, in the terms of Law No. 25,127, its regulations and its complementary norms, and that they present the Certifying Company Certificate, authorized by the NATIONAL SERVICE OF SANITY AND AGRI-FOOD QUALITY (SENASA), a decentralized organization in the orbit of the MINISTRY OF AGRICULTURE, LIVESTOCK AND FISHERIES, with the exception of those that are included in article 2 of this measure.

ARTICLE 2°.- The rate of the export duty (DE) is reduced by FIVE PERCENTAGE POINTS (5 pp) for the merchandise included in the tariff positions of the MERCOSUR COMMON NOMENCLATURE (NCM) that are recorded in the Form (IF-2021 -114460615-APN-SPT#MEC) which as an Annex forms an integral part of this decree, provided that they meet all the conditions and requirements mentioned in the preceding article.

ARTICLE 3.- The MINISTRY OF AGRICULTURE, LIVESTOCK AND FISHERIES is empowered to, through the NATIONAL SERVICE OF HEALTH AND AGRO-FOOD QUALITY and the FEDERAL ADMINISTRATION OF PUBLIC REVENUE, through the GENERAL DIRECTORATE OF CUSTOMS, an autarchic entity within the scope of the MINISTRY OF ECONOMY, within the scope of their respective competences, dictate the complementary regulations that are necessary for the correct implementation of the provisions hereof.

ARTICLE 4.- The provisions of this decree will enter into force THIRTY (30) days following its publication in the OFFICIAL GAZETTE.

ARTICLE 5°.- Notify the PERMANENT BICAMERA COMMISSION of the HONORABLE CONGRESS OF THE NATION.

ARTICLE 6.- Communicate, publish, give to the NATIONAL ADDRESS OF THE OFFICIAL REGISTRY and file.

FERNANDEZ - Juan Luis Manzur - Martin Guzman - Julian Andres Dominguez - Matias Sebastian Kulfas

NOTE: The Annex(es) that make up this Decree are published in the web edition of BORA -www.boletinoficial.gob.ar-

and. 12/15/2021 No. 97117/21 v. 12/15/2021