April 25, 2012

Argentina decided to extend export duty reductions on processed fish products for business groups and companies that have processing plants on land.

According to Decree 558/2012, published on Monday in the Official Journal, a previous regulation (Decree 429/2012) determining the reduction in export duty on certain fishery products processed from hake (Merluccius hubbsi), squid (Illex argentinus) and shrimp (Pleoticus muelleri) is amended.

These benefits were applicable "to companies that maintain or increase staff members."

In the preambles to the new decree it is stated that "given the current situation, it is necessary to take measures promoting greater employment and retention of jobs in the activity."

Therefore, Article three of Decree 429 is amended to benefit companies and/or business groups that have processing plants on land. The condition is that its products "are covered by the measures previously set, subject to the fact they maintain or increase staff members, taking as baseline the highest number of workers registered during the month of December 2011 and comply with their taxation duties and social security."

The new regulation will take effect today but with effects from February 19, 2012.

The measure designed to extend the reduction of export duties of these three resources for further six months was taken in response to the decision of the Member States of the EU to set prices for imports and to encourage local production, national officials said in February.

In the case of processed hake, export duties were reduced from 10% to 5%, and in the case of hake used in other processed products, the reduction was from 10% to 1%.

For shrimp exports, export duties fell from 10% to 5%.

As for the squid, the reduction that is extended is from 10% to 2.5% for all the products from this cephalopod, except for the battered products and clean squid, whose export duties fell from 10% to 1%.