WORLD TRADE  
ORGANIZATION  G/LIC/Q/ARG/11 
5 May 2010 
 
 (10-2498) 
Committee on Import Licensing Original:   Spanish 
  
 
IMPORT LICENSING SYSTEM OF ARGENTINA 
 
Replies by Argentina to Questions fro m Canada, China, the European Union
, 
Japan, Mexico, Peru and the United States  
 
 
 The following communication, dated 3 May 2010, is being circulated at the request of the 
delegation of Argentina.  
_______________ 
 
  We continue to be greatly concerned about Argentina's import licensing system and how it is 
being used to restrict trade.  We are also troubled by the lack of transparen cy of the current system 
and the burdens and delays our exporters report that it is placing on their goods at importation. 
 
 We therefore request that Argentina provid e detailed responses to the following questions: 
 
1. Some companies report that they have been told that their import licence application will not 
be approved unless the company agrees to trade bal ancing requirements established by the Secretary 
of Domestic Trade.  These companies also tell us that in order to obtain a licence to import goods, 
they must show an increase in exports of the same dollar value of Argentina-originating goods.  Other 
companies report that Subsecretaría de Política y Ge stión Comercial requires additional information 
in order to issue an import certificate for miscell aneous products, such as a process diagram showing 
the entire production cycle of the goods subject of the application;  details of the inputs used (origin 
and relative share in the final production cost) and a list of the products manufactured by the 
producing/exporting company.  
(a) Could Argentina please provide an explanation for these measures, along with copies for the 
Committee of the laws and regulations that  authorize and implement these requirements?  
 
 As regards the first question, Argentina is unabl e to provide an explanation for such measures 
since they do not exist and there are consequent ly no laws or regulations in this respect. 
 
 The additional requirements are part of the processing of import certificates, which are 
published in Argentina's Official Journal, in accordance with Article 1.4(a) of the Agreement 
on Import Licensing Procedures. 
 
(b) Please indicate, in some detail, how Argentina co nsiders this policy to be consistent with its 
WTO obligations . 
  Concerning the request for additional informati on, Article 1.4(a) of the Agreement on Import 
Licensing Procedures provides that information regarding procedures and the submission of 
applications are to be published in sources notifie d to the Committee.  It should be noted that G/LIC/Q/ARG/11 
Page 2  
 
  Argentina has regularly notified all import licen ces in effect, together with the respective 
regulatory provisions. 
 
2. We are not satisfied with the justifications prov ided thus far by Argentina for increasing the 
number of tariff lines subject to import licensing.  In G/LIC/Q/ARG/8 Argentina claims that the 
expansion of non-automatic licence requirements is  necessary for certain sensitive products due to 
changes in the trade flows caused by the world economic and financial crisis.  We still question the 
specific underlying measure Argentina is implem enting through this non-automatic import licence 
regime.  
- Please explain specifically the measure be ing implemented through non-automatic import 
licensing and which WTO provision justifies Argentina's imposition of that measure. 
 
 The measures implemented under the Agreement on Import Licensing Procedures are 
automatic and non-automatic import licensing;  there is no specific underlying measure. 
 3. In G/LIC/Q/ARG/8, Argentina states that the processing time at its ports of entry for 
non-automatic import licences is as stipulated in Ar ticle 3.5(f) of the Agreement on Import Licensing 
Procedures.  However, industry and press reports continue to indicate that importers experience 
lengthy delays of well over 100 days to obtain a licen ce.  We believe in the reliability of these reports, 
and we urge Argentina to take them seriously and he lp us obtain the information we are requesting.  
(a) Please confirm in writing that the time-limits prescribed by the Agreement on Import 
Licensing Procedures are, in practice, be ing respected by all Argentine officials. 
 
 The officials assigned to the import licensing syst em respect the time-limits prescribed by the 
Agreement on Import Licensing Procedures. 
 
(b) Please provide the specific citation to Argentin a's regulations or laws that requires that 
non-automatic import licences be issued within 30-60 days. 
 
 Law No. 24.425 of 1994 adopts and incorporates the Uruguay Round commitments, including 
the Agreement on Import Licensing Procedures, in the national legislation. 
 4. In G/LIC/Q/ARG/8, Argentina indicates that applications for non-automatic import licences 
were previously examined on a first-come first-s erved basis, but currently they are considered 
simultaneously.  
(a) What is the reason for this change in procedu res?  Why must applications now be considered 
simultaneously, a practice normally reserved for addressing quota allocations? 
 
 Because of the addition of new products to th e non-automatic licensing regime and in order to 
avoid cumbersome administrative procedures, it was decided that analysis of trade flow monitoring would be much swifter if impor t licence applications were examined 
simultaneously. 
 
(b) When was the new approach of simultaneous examination adopted and in what law or 
regulation? 
 
 The Agreement does not demand or require th e analysis of licence applications to be 
governed by a domestic regulation.  It should be mentioned that Law No. 24.425 
incorporating the Agreement on Import Licen sing Procedures empowers the administrative 
authority to take such decisions.  G/LIC/Q/ARG/11 
 Page 3 
 
 
   
5. In G/LIC/Q/ARG/8 Argentina indicates that  the main reason for requiring non-automatic 
import licences for the products covered by Regul ation 61/2009 is that there have been significant 
changes in trade flows for these products, coupled  with the increase in subsidies and tax refunds 
introduced to avoid bankruptcy and support production in various related economic sectors.  
- How do these particular factors justify non- automatic import licences under WTO rules? 
 
 Argentina wishes to state that there was a misprint in the response provided in document 
G/LIC/Q/ARG/8, since Argentina does not u se licences because it uses subsidies or tax 
refunds. 
 
 Argentina also reiterates its response to the questionnaire in document G/LIC/Q/ARG/8 in the 
following terms:  "The main reason is that the in ternational economic and financial crisis adversely 
affected the real economy, with a particular impact on  trade.  In this context, significant changes were 
noted in the trade flows for these products.  Hen ce it is necessary to evaluate these trends and the 
reasons underlying such changes.  To that end,  as a transitional measure, this mechanism for the 
verification of goods of different kinds was set up."  
6. Article 5.2(h) of the Agreement indicates that  Members should include in their notifications 
the expected duration of the licensi ng procedure if this can be estim ated with some probability, and if 
not, the reason why this information cannot be pr ovided.  Argentina responds to this question, 
however, by referencing either Article 2 or Article 3.5(f) of the Agreement, depending on whether the 
import licences are automatic or non-automatic.  It is our understanding that Article 2.2(a)(iii) and 
Article 3.5(f) deal with the time period for processi ng an application, not the expected duration of the 
procedure.  
- Please provide estimates of the expected dur ation of the import licence procedures that 
Argentina has imposed.  If this information c annot be estimated with some probability, please 
provide reasons why it cannot be provided. 
 
 Please provide further details regarding the difference between time period for processing a 
licence application and expected duration of the pr ocedure.  It is our understanding that the 
Agreement on Import Licensing Procedures only establishes time frames for the processing of 
licence applications and periods of licence validity. 
 
7. In G/LIC/Q/ARG/8, Argentina indicates that, even if import licensing procedures established 
by Argentinean regulations are referred to as "p rovisional", the continuation, and extension, of the 
non-automatic import licensing requirements over time is dictated by market conditions and the need 
to control compliance with the applicable techni cal standards and regulations, and environmental, 
safety and consumer protection regul ations, and that non-automatic licences will be applied as long 
as the reasons for having to submit certain goods to pre-rel ease verification and monitoring 
mechanisms still exist.  
(a) What are those reasons when referring to co mpliance with applicable technical standards 
and regulations? 
 
 Compliance with technical regulations, which al so applies to domestic producers, is examined 
under the non-automatic licensing procedure.  The implementing authority has to verify compliance by the importer of all existing essential requirements pertaining to consumer protection, road safety, electrical safety and e nvironmental standards, in accordance with the 
regulations that apply to the product in qu estion.  Once it has been  ascertained that the 
product meets the stipulated requirements (which are mandatory whether or not the product is G/LIC/Q/ARG/11 
Page 4  
 
  subject to import licensing), the competent body issues the licence within the prescribed time 
frames. 
 (b)  In which circumstances would Argentina consid er that it is no longer necessary to control 
such compliance through non-automatic import licences? 
 
 In the short term, control of compliance w ith technical regulations is mandatory and 
necessary and will be conducted through the im port licensing system.  It should be pointed 
out that compliance with technical regulations is independent of whether or not a product is 
subject to import licensing. 
 
8. Please provide the following statistics : 
(a) Indication of the number of import licences granted from October 2008- October 2009; 
  A total of 32,696 import certificates were issu ed between October 2008 and October 2009. 
 
(b) Information on the distribution of licences among supplying countries;  and 
  Distribution by origin of the certificates issu ed is as follows:  China accounted for 38.58 per 
cent, MERCOSUR countries for 36.14 per cent, the European Union for 5.03 per cent, and 
the remaining applicant countries fo r the remaining 20.6 per cent. 
 
(c) The number of applications that are currently pending, and the average number of days those 
applications have been pending. 
 
 There are approximately 5,300 applications currently pending, but it should be noted that 
none of these certificates exceeds the 60-day time-limit. 
 
9. In G/LIC/Q/ARG/8, Argentina explains that non-automatic import licences are a mechanism 
for the pre-release verific ation of goods that requires the impor ter to submit an application to the 
competent body, which verifies that the product compli es with all of the technical standards and other 
requirements under the national regulations in force (the same ones that apply to domestic products) 
as well as the accuracy of the importer's data.  If the product complies with these requirements, the 
competent body issues the corresponding licence within th e stipulated time frame.  The data that must 
be provided by the importers are set out in each one of the corresponding resolutions.  
(a) When were those referred technical standards  and other requirements adopted?  Please 
provide references to the relevant regulations. 
 
-  Law No. 24.240 , Normas de Protección y Defensa de los Consumidores (Law on 
Consumer Protection), adopted on 22 September 1993 and enacted on 
13 October 1993; 
-  Resolution SICyM 92/1998 , of 18 February 1998, and amendments thereto; 
-  Resolution SICyM 851/1998 , of 16 December 1998, and amendments thereto; 
-  Resolution SICyM 508/1999 , of 9 August 1999, and amendments thereto; 
-  Resolution SICyM 653/1999 , of 8 September 1999, and amendments thereto; 
-  Resolution SICyM 676/99 , of 21 September 1999, and amendments thereto; 
-  Resolution SICyM 838/99 , of 17 November 1999, and amendments thereto; 
-  Resolution SDCyC 287/2000 , of 12 December 2000, and amendments thereto; 
-  Resolution SI 91/2001 , of 18 September 2001, and amendments thereto; 
-  Resolution SICyPyME 220/2003
, of 30 December 2003, and amendments thereto; 
-  Resolution SICyP 153/2005 , of 26 July 2005, and amendments thereto.  G/LIC/Q/ARG/11 
 Page 5 
 
 
   
(b) On which basis did Argentina determine t hat non-automatic import licence requirements 
were necessary to verify compliance with those regulations?  
 
 Under the requisite procedure for non-automatic  import licences, the data gathered by the 
various government bodies can be compared and thus comprehensive information obtained on 
the product in question, including complian ce with the relevant technical regulations. 
 
10. In G/LIC/Q/ARG/8, Argentina explains that where non-automatic import licences are 
required for certain tariff items, they are exempted  from the automatic licensing requirement if they 
have been subjected to it.  Please explain the reas on for the decision to require non-automatic import 
licences to products for which only automatic import licences were required.  
 The decision to require non-automatic licensing of products that were previously subject to 
automatic licensing was prompted by the significan t changes in trade flows for these products, which 
called for the establishment of a verification an d monitoring mechanism, other than automatic 
licensing, that could more accurately ev aluate the reasons for such changes. 
 
11. In G/LIC/Q/ARG/8, Argentina claims that th e justification for requiring non-automatic import 
licence requirements in the tyre sect or lies in the need to establish, for these products, a pre-release 
verification mechanism to monitor and control imports  of such goods, checking that they comply with 
the environmental, safety and consumer protecti on regulations governing their placement on the 
market, and controlling the accuracy of the data d eclared by the importer.  When were those 
environmental, safety and consumer protection reg ulations adopted?  Please provide copies of the 
relevant regulations.  On which basis did Argentina determine t hat non-automatic import licence 
requirements were necessary to verify compliance with these regulations?  
 The State must guarantee consumers' safety in using tyres under normal or foreseeable 
conditions of use.  By means of Law No. 24.449 on traffic and road safety, adopted on 
23 December 1994, and its supplementary provisio ns, it laid down the essen tial safety requirements 
that both imported and domestically produced tyres are required to meet before being sold in the 
market.   Likewise, in exercise of the powers conferred by Decree No. 1474/1994 establishing the 
National Standards, Quality and Certification Syst em, the State must provide for quality assurance 
through the adjustment of standards and ensure th at certification is granted by competent technical 
bodies.  Accordingly, it must verify that importers meet the safety requirements laid down, in this particular instance, for tyres.  12. Resolution 11/2008 of 25 J anuary 2008 (amending measures establishing import certificates) 
prohibits the introduction of any rectification in the a pplications for, or in the licences already issued, 
and requires importers to make a new application.  
- Please explain the reason for this prohibition and how this is consistent with Articles 1:7 and 
1:8 of the Import Licensing Agreement. 
  The variations provided for in the Agreement mu st be minor in terms of value, quantity or 
weight.  Nonetheless, the regulation addresses the issue of the complexity of rectifying or amending a licence certificate.  In order to facilitate the import licensing process, it provides 
for application for a new certificate containing the duly modified data. 
 G/LIC/Q/ARG/11 
Page 6  
 
  13. Following the replies by Argentina menti oned above, Argentina adopted still another 
Resolution (Resolution 337/2009 of 21 August 2009)  extending import licensing procedures to certain 
auto parts and related products.  
(a) Has Argentina already notified this measure to the WTO? 
 
 The import certificate for auto parts and rela ted products was notified on 3 November 2009 in 
document G/LIC/N/2/ARG/22. 
 (b) Please confirm whether the licensing proce dures for importation of these products are 
automatic or non-automatic and the conditions for issuing import licences. 
 
 The procedure is non-automatic.  (c) Please provide a detailed explanation for the ext ension of these procedures to these products 
in particular. 
 
 The international economic and financial crisis has had a major impact on the automotive, and 
hence the auto parts, sector, leading to uncertainty for tr ade in the sector.  Resolution 
337/2009 therefore takes into account the sector's sensitivity to fluctuations in international 
trade, especially as regards products requiring an  import certificate for auto parts and related 
products (CIAPA). 
 
(d) Please explain why import certificates (Certific ado de Importacion de Autopartes y Afines) 
are only required for those goods destined for final consumption (Article 2). 
 
 Problems arise in the domestic market for su ch products when imports are destined for the 
replacement market.  Therefore, pursuant to Resolution MP 337/2009 automotive assembly 
plants are exempt from the CIAPA requirement, since exemption is provided when goods are destined for the manufacture of vehicles and/or their components. 
 
__________