R.B. INSTITUTE of MANAGEMENT STUDIES MBA PROGRAMME Affiliated to Gujarat Technological University , Ahmedabad April, 2013

GLOBAL COUNTRY STUDY AND REPORT ON ARGENTINA‖

(R. B. Institute Of Management Studies) In Partial Fulfillment Of The Requirement of the Award for the Degree Of Master of Business Administration In Gujarat Technological University [Batch: 2011-13, MBA SEMESTER III-IV]

R.B. INSTITUTE OF MANAGEMENT STUDIES MBA PROGRAMME Affiliated to Gujarat Technological University , Ahmedabad April, 2013

―Government Regulation & Political Situation And Oil & Gas Industry of Argentina‖

Overview of Argentina

Republican Argentina is an independent republic, which lies on the South American continent. Argentina is bounded to the north by Brazil, Bolivia and Paraguay, to the east by Brazil and Uruguay, the south by the Atlantic Ocean and Chile and to the west by Chile and the Andes Mountains. The capital and largest city in Argentina is Buenos Aires. In the Argentina other major cities include Córdoba, Rosario, La Plata, San Miguel de Tucumán and Mendoza.

Over the last 10 years throughout the 1990's Argentina has been one of the most economically and politically stable countries in South America.

The official language is Spanish and most widely spoken, however Italian and some Native American languages are also spoken in the Argentina.

Argentina’s Political System

Argentina is one of those countries whose political systems are grounded on the standards of the representative democracy dominated by federal system. In this system, the governing body is partitioned into the state and central branches. Thus multiple parties have made their way into the whole political scenario. The most dominant parties in Argentina include the popular names of Radical Civic Union and the Justicialist party. Apart from this there are numerous small size parties that are recognized in their respective limited areas.

Key Demographics

Official Name Argentina India Land Area 30,528 sq km 32,87,240 sq km

Population 39 537 943 (July 2012 est.) 1,220,200,000 (2012 est.)

Capital City Buenos aires Delhi Religion Catrholics, Hindu - 80.46% Romans, Muslim - 13.43% Muslims, Christian - 2.34% Jeweshes, Sikh - 1.87% Protestants Buddhist - 0.77% Jain - 0.41% Animist - others 0.72% Language Spanish (official) Bengali, Bodo, Italian (official) Chhattisgarhi, Dogri, German (official) Garhwali, Garo, Malayalam. Manipuri, Marathi, Mizo, Nepali, Punjabi, Rajasthani, Telugu, Tulu, Urdu, Gujarati, Kannada, Kashmiri, Khasi

Kodava, Takk, Kokborok, Konkani, Kumaoni, Maithili, Sanskrit, Santali, Sindhi, Tamil Government Republic United Progressive alliance (UPA) Currency Argentina pesos Rupee Natural resources oil, natural gas, and Coal, Iron ore, hydroelectric potential, Manganese, Mica, electricity Bauxite, Titanium ore, Chromate, Natural gas, Diamonds, Petroleum, Limestone and Thorium. India's oil reserves. Population growth 0.061% (2012 est.) 1.41% (2009 est.) rate country comparison to the country comparison to world: 183 the world: 93

Political Situation

Current Politics of Argentina in compare of India

• Argentina:

In Argentina, the president is both head of the state and head of the government. The government works on a multi-party system. Argentina is one of those countries whose political systems are grounded on the standards of the representative democracy dominated by federal system.

India:

Politics in India takes place within the framework of a federal Westminster- style Parliamentary democratic constitutional republic, in which the President of India is head of state and the Prime Minister of India is the government

Government Regulation

Legal acts

Court system – ARGENTINA The Court System of Argentina consists of Federal and Provincial court systems. Federal courts include the Supreme Court, 17 appellate courts, and district and territorial courts on the local levels. The Federal Court System hears cases concerning the National Government or any of its agencies, conflicts involving two or more provinces, matters involving foreign people or companies, and certain alleged violations of individual Constitutional rights.

Court System – India

The Supreme Court of India is the highest judicial forum and final court of appeal as established by Part V, Chapter IV of the Constitution of India. According to the Constitution of India, the role of the Supreme Court is that of a federal court and guardian of the Constitution.

Criminal Law – India

The Indian Penal Code by the British during the British Raj in 1860, forms the backbone of criminal law in India. The Code of Criminal Procedure, 1973 governs the procedural aspects of the criminal law. Jury trials were abolished by the government in 1960 on the grounds they would be susceptible to media and public influence. This decision was based on an 8-1 acquittal of Kawas Nanavati in K. M. Nanavati vs. State of Maharashtra, which was overturned by higher courts.

Civil Law – Argentina In 1871 Argentina's Congress enacted the Argentine Civil Code. The Civil Code encompasses all matters concerning agreements, obligations, property, domestic law, and successions.

Civil issues are decided in Civil Courts. A judge decides all civil cases. Judges at the trial level court usually specialize in special areas- family law, property law, business law, juvenile law, or bankruptcy law. The losing party may make an appeal to the second-level court, the Civil Court of Appeal (Camaras Civiles de Apelacion). Human Rights Law – Argentina

The Constitution expressly provides for fundamental human rights such as equality before the law, personal liberty, freedom of expression, peaceful assembly, and the right to private property. Argentina is a member of the American Convention on Human Rights and accepts the jurisdiction of the Inter-American Court on Human Rights. Argentina has ratified the Rome Treaty and is a member of the International Criminal Court. Human Rights Law – India

An act To provide for the constitution of a National Human Rights Commission, State Human Rights Commissions in States and Human Rights Courts for better protections of human rights and for matters connected therewith or incidental thereto.

The Argentina Companies Act

The Argentine Companies Act (Nr 19550, hereinafter the ‗Companies Act‘) provides several rules related to the activities of foreign companies in Argentina. The following are the most important ones.

Section 118 of the Companies Act provides that companies incorporated abroad are governed as regards their existence and formalities by the laws of the place in which they were incorporated. The Indian Companies Act 1956

It is an Act of the Parliament of India, enacted in 1956, which enabled companies to be formed by registration, and set out the responsibilities of companies, their directors and secretaries.

The Companies Act 1956 is administered by the Government of India through the Ministry of Corporate Affairs and the Offices of Registrar of Companies, Official Liquidators, Public Trustee, Company Law Board, Director of Inspection, etc. The Registrar of Companies (ROC) handles incorporation of new companies and the administration of running companies.

The Act is 658 sections long. It contains provisions about Companies, directors of the companies, memorandum and articles of associations, etc. This act states and discusses every single provision requires or may need to govern a company. Consumer Law in Argentina

The paper reports on the new Argentine Consumer Protection Act (CPA) which was adopted by the Parliament in 1993 but partially vetoed by the President. It aims at creating a specific system of consumer protection law, thereby extending the already existing provision of the Argentine Civil Code and special market legislation Consumer Law in India

1) The Competition Act, 2002:

An Act to provide, keeping in view of the economic development of the country, for the establishment of a Commission to prevent practices having adverse effect on competition, to promote and sustain competition in markets, to protect the interests of consumers and to ensure freedom of trade carried on by other participants in markets, in India, and for matters connected therewith or incidental thereto.

2) The Consumer Protection Act, 1986

Consumer Protection Act of 1986 is an Indian federation law enacted in 1986 to protect interests of consumers in India. It makes provision for the establishment of consumer councils and other authorities for the settlement of consumers' disputes and for matters connected therewith.

Medical and Health law Argentina Information on vaccinations and other health precautions, such as safe food and water precautions and insect bite protection, may be obtained from the Centers for Disease Control and Prevention‘s (CDC) hotline for international travelers at 1-877-FYI-TRIP (1-877-394-8747) or via the CDC website.

For information about outbreaks of infectious diseases abroad, consult the infectious diseases section of the World Health Organization website. The WHO website also contains additional health information for travellers, including detailed country-specific health information.

Medical and Health law – India

The Transplantation of Human Organs Act, 1994 An Act to provide for the regulation of removal, storage and transplantation of human organ for therapeutic purposes and for the prevention of commercial dealings in human organs and for matters connected therewith or incidental thereto.

The Prevention of Food Adulteration Act, 1972

An Act to extend the Prevention of Food Adulteration Act,1954, to the Kohima and Mokokchung districts in the State of Nagaland

Labor law – India Argentina‘s labor law governs labor-management relations. The normal working week is eight hours per day on weekdays and half a day on Saturday for a total of 45 hours per week. Working week may not exceed 48 hours. Night shifts (between 9 pm and 6 am) may not exceed seven hours, but this restriction does not apply to employees working a ―swing‖ shift (i.e. afternoon/evening shift).

Government culture of Argentina

Argentina has three levels of government- federal, provincial, and local. Each province has its own legislation, including provincial constitutions, laws, and resolutions, elects its own governor and legislators, and appoints its own judges without the federal government‘s interference. The Federal Government consists of the Executive, Legislative, and Judicial Branches.

Economy of Argentina

Argentina's macroeconomic performance in recent years has been strong. Consecutive years of rapid and pro-poor economic growth enabled poverty and unemployment to be cut to levels experienced prior to the country's 2001- 2002 economic crisis. President Fernandez seeks to support economic growth and stability after 8 years of continued GDP increase.

In the first quarter of 2012, GDP grew by 5.2% while the economy shrank by 0.5% in May, for the first time since 2009.

Findings of the Study Part - 1

The area of Argentina is only 30,528 sq km; it is very small in compare to India.

Population of Argentina is 39537942 only in compare to India but it compare with area India have more population rate per square Km.

Argentina have not Hindu population the major part is Roman catholic in compare of India have major part of population is Hindu.

The primary source of law and the basis of the political system of the Country were established on February 7, 1831. Where as in India primary source of law and the political system are shared as central as well as state government of the country.

Governmental powers in Argentina are divided between the national, the regional and the community levels where as Indian constitutions define the power distributions between the federal Government (Central Government) and State Government.

The King of the Argentina is the Head of State and the Prime Minister of Argentina is the head of government in a multi-party system. Where as in India the head of state is President of India and Prime minister of India is Head of Government. The Argentina Company Law is very poor in European Country. It implemented in 1993. Where as in India have a strong Government law of Company like the Indian Companies act 1956 it designed after large provisions in this act

Summary of oil and gas industry of

Argentina

The Oil & Gas Industry in the Argentina Background Argentina is South America‘s largest natural gas producer and a significant producer of oil. However, the heavily regulated energy sector includes policies that limit the industry‘s attractiveness to private investors while shielding consumers from rising prices. Consequently, demand for energy in Argentina‘s rapidly growing economy continues to rise while production of both oil and gas are in decline – leading Argentina to depend increasingly upon energy imports.

Argentina consumed an estimated 3.3 quadrillion British thermal units (Btu) of energy in 2009, just shy of the 3.5 quadrillion Btu of total energy produced. Natural gas – used widely in the electricity, industrial, and residential sectors, and increasingly in transportation – comprises approximately one-half of Argentina‘s total energy consumption.

Demographic Comparison of India, Argentina & Gujarat

India Argentina Gujarat 1 President Dr.Pranab Cristina Dr. Kamla Mukhrjee Fernandez Beniwal 2 Population 1,189,172,906 1,189,172,906 60,383,628 3 Capital City New Delhi Buenos Aires Gandhi agar 4 Largest city Mumbai Buenos Aires Ahmadabad 5 Life 66.8 76.95 64.1

Expectancy 6 Human 0.60 0.86 0.62 Development Index 7 Literacy Rate 61% 97.2% 79.31% 8 GDP per capita $3500 US $14700 US $1350 9 Corruption 3.4 2.9 Perception Index 10 Wealthiest Mukesh Ambani Gregorio Perez Mukesh Citizens ($19.5bn US) Company & Ambani family ($1.8bn ($19.5bn US) US)

Oil and Other Liquids Argentina is largely self-sufficient in crude oil, but imports oil products. Relatively low levels of exploration activity, combined with natural declines from maturing fields, explain the gradual erosion of oil production from its peak in 1998.

Labor unrest has periodically shut-in Argentina‘s oil production, with concomitant impacts on exports, refinery runs, and local product supply.

Separate disruptions affecting up to 100,000barrels of output per day (bbl/d) plagued the sector in late 2010 and early 2011.

Exploration and Production

EIA estimates that Argentina‘s total oil supply in 2011 was just below 7, 50, 000 bbl/d, of which roughly 5, 88, 000 bbl/d was crude oil and lease condensate, with the remainder comprised of natural gas liquids (NGLs), biofuels, and other liquids.

The Neuquén and Golf San Jorge basins comprise the vast majority of Argentine crude oil production, each accounting for slightly more than 40 percent of national output. Chubut (Golf San Jorge basin) is the most prolific oil province, followed by Neuquén, Santa Cruz, and Mendoza.

Exports

Argentina exported just over 60,000 bbl/d of crude oil in 2011, almost a 40 percent decline from the previous year due to increased domestic consumption and decreased production. The United States and Chile accounted for three-quarters of exports, followed by China and Brazil. Argentina‘s exports to the United States in 2011 included 28,000 bbl/d of crude oil and 4000 bbl/d of petroleum products, according to EIA data.

Refining

Argentina claims ten refineries with a combined 630,575 bbl/d of crude refining capacity, according to OGJ, nearly half of which is controlled by YPF. The vast majority of capacity derives from just four refineries: YPF‘s refinery in La Plata (189,000 bbl/d), Shell‘s refinery in Buenos Aires (113,000 bbl/d), YPF‘s recently upgraded refinery in Lujan de Cuyo (106,000 bbl/d), and ExxonMobil‘s refinery in Campana (87,000 bbl/d).

NATURAL GAS

Overview of Argentina

Argentina produces more natural gas than any other country in mainland South America, but its output has declined over 10 percent from peak levels in 2006. It is also the continent‘s largest natural gas consumer. Though once a net exporter of natural gas to neighboring countries, argentina became a net importer in 2008. Recent assessments suggest that Argentina possesses one

of the world‘s largest endowments of shale gas, which has become a focus of efforts to reverse the sector‘s recent decline.

Slightly less than one-third of natural gas consumed in Argentina is used to generate electricity at thermoelectric power plants, while industry and the residential sector each account for 28 and 24 percent of Argentina‘s natural gas demand, respectively. About 7 percent of natural gas consumption is also used in the transportation sector, as roughly 1.9 million of Argentina‘s vehicles operate on compressed natural gas.

Exploration and Production

Argentina produced about 1.4 TCF of dry natural gas in 2011, or approximately 4 billion cubic feet per day (BCF/day). Roughly half of Argentina‘s conventional natural gas production derives from the Neuquén province. An even greater share of Argentina‘s natural gas production derives from the Neuquén basin, which also encompasses parts of the Mendoza, Rio Negro, and La Pampa provinces. Neuquén includes the country‘s most prolific natural gas field, Loma La Lata, operated by YPF.

Pipelines

According to the U.S. Central Intelligence Agency, Argentina has 18,269 miles of natural gas pipelines. Transportadora de Gas del Sur (TGS), the leading

natural gas transportation company, claims to operate the most extensive pipeline system in Latin America. Its predominant pipelines are Neuba I, Neuba II, and San Martin, which connect producing provinces in the Neuquén, San Jorge, and Austral basins with Buenos Aires and other demand centers. The other primary natural gas transportation company is Transportadora de Gas del Norte (TGN).

The Oil & Gas Industry in India

Sector Overview India is the sixth largest consumer of oil in the world and the ninth largest crude oil importer. India‘s oil and gas sector contributes over 15% to the Gross Domestic Product (GDP).

According to Ministry of Petroleum and Natural Gas, India has a total reserve of 1201 million metric tones of crude oil and1437 billion cubic metres of natural gas as on 01 April 2010. The total number of exploratory and development wells and metreage drilled in onshore and offshore areas during 2009-2010 timeframe was 428 and 1019 thousand metres respectively. The Indian gas market is expected to be one of the fastest growing in the world over the next two decades: the IEA forecasts gas demand to increase at 5.4% per annum over 2007-30 (IEA,2009) reaching 132 BCM by 2030.

Indian primary energy supply is currently dominated by coal (37%), biomass and waste (27%) and oil (26%) while the share of natural gas is only 6%. Natural gas use in India really started to grow in the late 1970s after the first major gas finds in the western offshore and the development of the first transmission pipeline in the northern region.

Before 2009, gas demand potential was estimated to be 20 or 30 BCM higher than actual use as consumption had been constrained by the lack of supply for over a decade (MOPNG, 2000). To address the supply shortfall, the Indian government passed some reforms at the end of the 1990s to encourage domestic production and the construction of liquefied natural gas (LNG) terminals.

In particular, the New Exploration Licensing Policy (NELP) opened Exploration & Production to private and foreign companies. This has been relatively successful: after stagnating since the early 2000s, Indian gas production is expected to double between 2008 and2011 due to the start of the Krishna Godavari KG-D6 field in April 2009.

The year 2009 therefore marks a turning point for the Indian gas market: with new supplies available, Indian gas consumption increased to 59 BCM in FY 2009/10, from 43 BCM in FY 2008/09.

Meanwhile a third LNG terminal is expected to start in 2010. But challenges remain, illustrated by NELP‘s failure to attract the major international oil companies and the long battle over the allocation and price of KG-D6 gas. The government is now considering introducing an Open Acreage Licensing Policy (OALP).

The potential for growth of the natural gas market in India is tremendous; however, this is a very price sensitive market as the ability of customers to pay differs between sectors.

The power generation and fertilizer sectors are the main consumers. Fertilizer producers are subsidized by the government and have limited ability to absorb higher prices. In the power generation sector, gas has to compete against coal for base-load generation.

Any change in the power sector or in coal markets will have a huge impact on whether gas is used as a base-load option or for peak purposes, and therefore on future gas demand in the power sector. City gas and industrial users show greater price flexibility, but they are still emerging markets.

Historically, gas had been allocated in priority to fertiliser and power plants, while city gas, compressed natural gas (CNG) and industrial had the remainder. Furthermore, fertilizer producers and power generators were allocated gas at low Administrative Price Mechanism (APM) prices determined by the government. But the recent pricing reforms that took place

mid- 2010 mean the end of low APM prices, and that new gas supplies are likely to be more expensive.

The Indian gas sector, like the whole energy sector, is dominated by state- owned companies. Oil and Natural Gas Corporation (ONGC) and Oil India Ltd (OIL) have dominant upstream positions, while until 2006, Gas Authority of India Ltd (GAIL) alone had been responsible for pipeline gas transport.

The state has also a very important role in the regulatory framework and gas policy, in particular the allocation and pricing of gas. Recent reforms have brought more private investors in the upstream and downstream sectors, but a more transparent regulatory framework will be critical to incentivize future private investments.

The Indian gas market is therefore at a crossroads in 2010. Despite the dramatic increase of domestic production, last year has witnessed a tough battle over the allocation and the pricing of KG-D6 gas, which could have far- reaching consequences for many stakeholders the Indian gas market to reach its potential, there are still many hurdles to be solved on pricing, supply, infrastructure, regulation and policy.

The Oil & Gas Industry in Gujarat Background Gujarat is looking at moving forward to become the ‗Petro capital‘ of India. Gujarat accounts for 54 percent of India‘s onshore crude and 39 percent of on shore Natural Gas Production. It has about 46 percent of India‘s installed refining capacity and 60 percent of India‘s total crude oil import facility.

The Government has announced MOU‘s worth USD 4.5 billion and investments worth USD 5.7 in Gujarat. Gujarat has a well established gas grid of 550 kms and it plans to expand the same to 2,200 kms with investment worth USD 500 million.

Investments have been proposed to build new LNG terminals in addition to the existing terminals in Dahej and Hazira, are underway Constraints

Constraints faced by oil and gas sector in Gujarat are the same faced by the Indian Oil and Gas industry, as the sector is regulated by the Government of India.

Any international event in the sector directly affects the Indian oil and gas sector as the industry has strong global inter linkage. Gujarat has huge potential for retailing of fuel as it is expected to experience major movement of goods.

Present Position and Trend of Business (Import/Export) With India/Gujarat

Imports

Bolivia

Bolivia is the source of virtually all of Argentina‘s natural gas imports via pipeline. A contract between Bolivia‘s national oil company and ENARSA extends through 2026 and stipulates a current trade volume of 7.7 million cubic meters of natural gas per day (272 MMCF/d), which is up from 5 million cubic meters per day (177 MMCF/d) in 2010 and due to grow to 27.7 million cubic meters per day (nearly 1 BCF/d) by 2017.

Liquefied Natural Gas (LNG)

Argentina imported 21 LNG cargoes, or almost 1.1 million tons (50 BCF of natural gas), of LNG in 2010. Trinidad and Tobago accounted for nearly 90 percent of those imports, with the remainder arriving from Qatar. Argentine government tenders suggest that LNG import volumes most likely doubled in 2011.

ENARSA has contracted with YPF to develop and execute a LNG strategy. Argentina began importing LNG in 2008 with the installation of the Bahía Blanca Gas port, a dockside receiving terminal and degasification vessel that uses proprietary technology from Accelerate Energy.

In June 2011, a second and larger Accelerate Energy floating storage and degasification vessel, also financed by YPF and ENARSA, was inaugurated in Escobar (GNL Escobar) with base load and peak throughput capacities of 500 and 600 MMCF/d, respectively.

Exports

Though Argentina is a net importer of natural gas, it continues to export natural gas to its neighbors – largely Chile and, to a lesser extent, Uruguay.

However, Argentina‘s reliability as a regional natural gas exporter has occasionally been undermined by supply interruptions during periods of domestic shortages. Exports of dry natural gas have dramatically fallen from its peak of 274 BCF in 2004 to 15 BCF in 2010.

Present Trade Barriers for Import / Export

INDIA ARGENTINA

The U.S. goods trade deficit The U.S. goods trade surplus with India was $7.1 billion in with Argentina was $1.7 billion in 2008, an increase of $611 2008, an increase of $348 million million from $6.5 billion in 2007. from $1.4 billion in 2007. U.S. U.S. goods exports in 2008 goods exports in 2008 were $7.5 were $18.7 billion, up 6.1 billion, up 28.7 percent from the percent from the previous year. previous year. Corresponding U.S. imports from Argentina were Corresponding U.S. imports from India were $25.8 billion, $5.8 billion, up 29.7 percent. up by 7.0 percent. India is Argentina is currently the 32nd currently the 17th largest export largest export market for U.S. market for U.S. goods. goods.

The stock of U.S. foreign direct The stock of U.S. foreign direct investment (FDI) in India was investment (FDI) in Argentina $13.6 billion in 2007 (latest was $14.9 billion in 2007 (latest data available), up from $9.2 data available), up from $13.9 billion in 2006. U.S. FDI in India billion in 2006.U.S. FDI in is concentrated largely in the Argentina is concentrated largely information, manufacturing, and in the nonbank holding banking sectors. companies, mining, and manufacturing sectors.

India at Oil & Gas Production

Crude Oil and Natural Gas Production

Percentage Growth in Crude Oil & Natural Gas Production

Gujarat at Oil & Gas

Gujarat is the only state in India with a 2,200 km integrated gas grid that is operated on an open access, common carrier principle.

Districts covered are Valsad, Navsari, Surat, Bharuch, Vadodara, Anand, Kheda, Ahmedabad, Gandhinagar, Mehsana, Sabarkantha, Surendranagar, Rajkot.

ONGC has oilfields at Ankleshwar and Gandhar in Bharuch district. ONGC has struck O&G blocks, in Charada-3 offshore block in Cambay basin, Matar and Karjan taluka area of Vadodara district in Gujarat.

Essar is looking at setting up its own terminal at Pipavav. It is also planning for developing its 0.75 tcf coal bed methane (CBM) block in Mehsana, Gujarat, having recoverable gas reserve.

GSPC (50% stake) with Adani Group (20-25% stake) to set up a five MMTPA LNG import terminal at Mundra port.

Conclusion

Argentina‘s total oil supply in 2011 was just below 7, 50, 000 bbl/d, of which roughly 5, 88, 000 bbl/d was crude oil and lease condensate, with the remainder comprised of natural gas liquids (NGLs), biofuels, and other liquids. Argentina mainly exports its Oil to United States (40%), Chile (34%), China (19%) & Brazil (7%). Whereas Argentina is short of Natural Gas Seasonal shortages of natural gas also plague some summer months, as electricity demand soars with high temperatures. To avert similar problems in the future, the state energy company has taken steps to import greater volumes of liquefied natural gas (LNG). Argentina had proved natural gas reserves of 13.4 trillion cubic feet (TCF) as of January 1, 2012, a decline of approximately 50 percent from reserve levels of a decade ago. Argentina produced about 1.4 TCF of dry natural gas in 2012, or approximately 4 billion cubic feet per day (BCF/day). Roughly half of Argentina‘s conventional natural gas production derives from the Neuquén province. Roughly 13 percent of Argentina‘s 2011 natural gas production was from offshore resources, which mostly entailed the Cuenca Marina Austral 1 concession that is operated by Total, with the remainder from concessions operated by Sipetrol Argentina, a subsidiary of Chile‘s national oil company ENAP Sipetrol. India has a total of around 3.14 million sq. km sedimentary basins and in last eight years significant steps have been made to increase exploration activities. Consequent to these efforts the total unexplored area has come from 50% in 1995-96 to 30% at present.

Domestic production of crude oil has been a reason of worry for the Indian economy for some time now. For more than 16 years the total production of crude has stagnated around 32-33 MMT. This has been particularly disturbing given the crude oil consumption in the country implying an increasing dependence on imported crude. At present India‘s crude dependence is around 78%.

Argentina imported 21 LNG cargoes, or almost 1.1 million tons (50 BCF of natural gas), of LNG in 2012. Trinidad and Tobago accounted for nearly 90 percent of those imports, with the remainder arriving from Qatar.

Argentina is self-sufficient in energy and a net exporter of oil and gas. It produced 800,000 billion per day of crude oil of which 300,000 bpd is exported. It has two billion barrels of reserves.

EDUCATIONAL AND CULTURE SYSTEM AND CHEMICAL INDUSTRY

INTRODUCTION OF ARGENTINA

Argentina is a country of South America. Argentina has first rank in land area and it has eights rank in the world. It has occupies a continental surface area of 2,791,810 km 2 (1,078,000 sq.mi) between the Andes mountain range in the west and the southern Atlantic ocean in the east and south. It is boarded by Paraguay and Bolivia in the west and south under the name of Argentina Antarctica; it claims 969,464 km2 of antartica. The country is known as ARGENTINA REPUBLIC.

FACTS OF ARGENTINA

Official name Republic Argentina (Spanish) Argentina republic Capital (largest city) Buenos airs Official languages Spanish Demonism Argentine Garment Democratic federal republic President Christine kroner Vice president Julio combos Independence From Spain May revolution 25 may 1810 Declared 9 July 1816 Recognized 1821 (by Spain) Currency Peso (ARS) Calling code + 54 Area Total 2,766,890 km2 Population 2006 estimate 39,921,833

OVERVIEW OF EDUCATION SYSTEMOF ARGENTINA

The school year in Argentina runs from March to December and lasts about 200 days. Schools are closed for national holidays, such as Good Friday and Easter, and two weeks in July for vacation. Normally, public elementary schools are in session four and a half hours each weekday. Saturdays are generally reserved for extracurricular school activities. Often, a school will have a morning and afternoon session, allowing pupils and teachers to choose their sessions. Some elementary schools offer evening classes for adults. Bilingual programs are offered in many private elementary schools.

The educational system is divided into four distinct levels. The preprimary level (kindergarten) is not compulsory and enrolls children from 3- to 5-years- old. The primary (elementary) level is compulsory and consists of 7 grades. Pupils at this level must remain until all 7 grades are completed or, in case of repetition of grades, until age 14. Children from 6- to 12-years-old attend primary school along with adults who need instruction on this level. The secondary level is attended by youths from 12- to 17-years-old, or 16 if they are employed and attend night school. Courses of study vary from 3 to 8 years and prepare students for vocational or professional programs. Higher education includes private and national universities and institutions that provide teacher training and advanced training in technical careers.

HISTORY OF THE ARGENTINE EDUCATIONAL SYSTEM

Argentina attained its independence in 1816, but it took several years for the country to organize. A long civil war and armed conflicts delayed the organization of the country, which finally started with the National Constitution in 1853.The organization of the educational system started in 1852, but it was only in 1884, when the 1420 Law of Basic Education was passed, that the National System started to shape. The 1420 Law established the State‘s obligation to provide public education to children in schooling age. Any city or town with more than one thousand inhabitants had to have a primary public school. This law had a very significant effect on schooling. In 1883 only one third of the children between six and thirteen years old went to school, ratio that increased to 50% in 1914, and 75% in 1931. The number of primary schools doubled in the first 10 years, and they increased from 1,279 in 1880 to 10,776 in 1930.

In terms of the federal organization of the educational system, at the beginning primary schools were the Provinces‘ responsibility, but since 1890 the Federal government had started to influence. First, it conditioned the transfers to provinces (since most of the tax revenue in Argentina had been (almost from the birth of the country) collected at federal level), fulfilling the directions of the National Council of Education. Second, in 1905, the Làinez‘s Law authorized the Federal Government to build schools and provide education in those cities without provincial schools. In practice, federal schools were established in almost every large city of the country, what created a somewhat asymmetric competition between provincial and national schools. Usually federal schools were in a more advantageous situation, with more resources, better paid teachers, and, consequently, a reputation for better quality.

THE STRUCTURE OF EDUCATION SYSTEM OF ARGENTINA

- Pre-school level –

For children from 3 to 5 years old, only kinder 5 are compulsory. The purpose of this level is to stimulate maturity, social integration and the bond between family and the educational institution; all the preschool settlements are authorized and monitored by the juridical educational authorities.

- General basic education level

There is three cycles of three years each. The objectives are to achieve the acquisition and instrumental command of socially beneficial values, written and oral communication, languages and month operations, ecology and natural, sciences, exact sciences, technology and informatics, social sciences, Latin America and universal culture.

-Polemical level – three years from 15 to 17/18 years old.

For above levels the school year begins in March early and ends in November. According to the federal and provincial law, the govt. must guarantee comprises at least 4 hours. Where most of public‘s school has working 20 hours in a week. When private schools are increasingly offering full-day public schools .in this sense the increasing labor force participation of women might have worked in favor of private schools.

In addition to the basic education the systems also include three levels.

1. Tertiary level

It includes university and non universities studies that offer professional and economic education at undergraduate level.

2. Graduate level

It is under the authority and responsibilities and professional institutions of renowned level. The universities are national. The national govt. is basically responsible for the financing.

3. special regimes

They mainly comprise special education, adult education, artificial education and non formal education.

In the current system the ministry of education is responsible for assisting the president in all matter connected to it at the national level. The main function of ministry of education is coordination and monitory of the education system. The orientation of the jurisclictions and formulation of the objectives and area policies.

EDUCATIONAL SYSTEM DESIGN Recently there have been some new laws to impulse the sector. The two most important ones are the Lye Federal de Education (Federal Law of Education) (1993) and the Lye 17 de Education National (National Law of Education) (Law 26.206), sanctioned at the end of 2006.The Federal Law of Education, Law 24.195, tried to revise and reformulate the system.

This Law was intended to serve as a flexible framework to define the national and jurisdictional responsibilities. The Federal Council of Education was created to provide, the main guidelines, and the mandatory years of schooling were extended from 7 to 10.2 Before the reform, Argentina had a 7-year primary school and a 5-year secondary school.

The system was changed to a new cycle called General Basic Education Level (EGB), which comprised the previous primary school plus the first two years of the secondary school, organized in three cycles of three years each, and the secondary school was reduced to three years (called Polemical), eliminating technical schools. The mandatory schooling changed from the primary level (7 years) to the EGB (9 years) plus Initial Education (Kinder 5).

The National Law of Education (2006) introduced some modifications to the previous law, reverting some reforms, although granting more importance to the Federal Council of Education. The new law defines the pre-school as a pedagogical unity since the child is 45 days old; consequently, child care institutions (―jar dines materials‖) are also included in the national system. It also reverts the structure to a primary (comprising EBG 1 and 2) and secondary school (where the EGB 3 is added as a common cycle to all the orientations). The law revitalizes technical schools, emphasizing a more labor- market oriented education in the last three years of the secondary school. Some of the objectives are: to deepen the theoretical knowledge as a whole according to the different orientations (humanistic, social, and techno- scientific) and to develop

Important human abilities so that students may access the production sector, incorporating work as a pedagogical element. Therefore, Polemical can be linked with the Technical Professional Stage (TPS), offering training in more specific fields and granting the diploma of technician in the chosen specialty. The Common Basic Contents (CBC) was designed to help all students acquire a series of basic competencies, conceptualize different fields of knowledge and contribute to social and productive activities.

In addition, the 2006 law extends the mandatory years of schooling to the entire secondary school, i.e., 13 years of mandatory schooling.

QUALITY OF EDUCATION WITH-IN ARGENTINA

Primary Education system

1. Structure of Primary and Secondary Education

The structure of primary and secondary education in Argentina was redefined by the Education Reform Law, passed in 1993. The implementation of this curricular reform is a gradual process, starting in 1994 and continuing until today, at different pace among the various provinces. This reform extended compulsory education from 7 to 9 years, and redefined the structure and curricula of secondary education, comprising two three-year cycles, lower secondary (EGB3) which completes the nine years of compulsory education, and upper secondary (Polimodal) which ends in grade 12. The following table sum marizes the current structure of the system.

Structure of Primary and Secondary Education in Argentina Education Level Age Group Grades Remarks Pre-primary 5 years of age Initial Education Compulsory Education: One year of Pre- primary plus 9 years of basic education Three three-year cycles: EGB1; EGB2 and EGB3 Primary: EGB1 and Ages 6 – 11 Grades 1 to 6 EGB2 Lower secondary: Ages 12-14 Grades 7 to 9 EGB3 Ages 15-17 Grades 10 to 12 Non compulsory Upper-Secondary (Polimodal)

2. Recent Trends in Enrollment

A first glimpse at differences in educational attainment across income groups can bederived from looking at trends in enrollment rates. A recent study by

FIEL5 in Argentina documents awidening gap in secondary school enrollments between the poorest and the richest quintiles, between 1992 and 1997. Gross secondary enrollment rates fell by about 7% among the bottom quintile, while they grew rapidly (by about 15%) among the top quintile. More recent data indicates that this worrying trend may have stopped. Comparing data from the EPH surveys of October 1997 and October 1999, a recent study commissioned by the Bank shows important increases in the enrollment rates of youngsters (ages 13–19) belonging to the poorest quintile in 20 out of 24 urban centers, including the larger cities of Mendoza, Santa Fé and Cordoba. In 13 cases these increases were larger than the average for the population in this age group and they were higher than 10% in eight of them. This is an encouraging sign of the positive impact of government efforts aimed at expanding access to EGB3, in less developed areas, and at providing targeted critical inputs to schools catering to lower income populations as well as targeted scholarships to students from poor families to encourage them to stay at school.

3. Educational Attainment by Quintile

Beyond the trends in school enrollment, a deeper view of differences in education opportunities can be obtained by looking at the highest level of education completed, across income groups. This can be seen in the graph below, which shows wide differences in educational attainment according to income per capita of the child‘s household. Only about 30% of the children from the two lowest quintiles finish secondary education (grade 12), whereas this is true for over 80% of the children from the richest quintile. Over half of the children from the poorest quintile do not even complete the 9 grades of compulsory education (EGB3 under the new structure implemented starting in 1993).

1 INTRODUCTION OF THE CHEMICAL INDUSTRY AND ITS ROLE IN THE ECONOMY

The chemical sector is an integral part of Argentina‘s economy, with above average growth rates in comparison to other sectors, at 10.5% average annual growth from 2007 to 2011, making it the most dynamic sector in the country‘s economy.

According to data from Argentina‘s Chamber of the Chemical and Petrochemical industries (CIQyP), basic chemical substances and products contributed 24.8% of the industry‘s production value, while agrochemicals contributed 13.0%, specialty chemicals contributed 15.1% and end-use chemical products such as pharmaceuticals, paints and coatings, cosmetics and hygiene products contributed the remaining 47.1%.

ORGANIC CHEMICALS Most of the chemical compounds that contain carbon atoms are called organic chemicals. Organic chemicals are used in many household products like paints, varnishes and products of cleaning and disinfecting.

INORGANIC CHEMICALS Inorganic chemicals are substances of mineral origin, but not of basically carbon structure. These include nitrate, fluoride and metals. Inorganic chemicals are mostly used in detergents, soaps, and fertilizers.

INDIAN INVESTMENT IN ARGENTINA Chemical: United Phosphorus Ltd (UPL) of Mumbai has acquired three Argentine agrochemical and seeds companies and operates four manufacturing units and a R&D unit employing around 200 Argentines. Punjab Chemicals and Crop Protection Ltd (PCCPL) has acquired an Argentine company ―Síntesis Quimica‖ and operates with two factories in Argentina producing and exporting agro chemicals. Their turnover is about USD 25mn.

INDIAN EXPORTS TO ARGENTINA PERIOD: JAN-DEC 2012

ITEM IN MILLION US $

ORGANIC CHEMICALS 154

PRODUCTION TREND: CHEMICALS

The chemical industry is among the most diversified industrial sectors and produces a wide variety of products, more than 70,000 commercial products. The chart below highlights segment-wise production of major chemicals in the organised sector from FY07 to FY11:

INTERNATIONAL TRADE

Combined exports of the chemicals and petrochemical sector grew at 6.8% CAGR during FY05–FY10 (up to Dec ‘09), whereas collective imports registered superior CAGR of 13% during the same period. The chart below captures the international trade scenario of chemicals and petrochemicals sector:

According to Department of Chemicals and Petrochemicals, this sector, together accounted for nearly 10% of total domestic exports and 8% of total domestic imports during FY10.

Group-wise capacity & production of major chemicals in organized sector:

Main Groups Installed Production (Figures in MT) Capacity 2009-10 2007-08 2008-09 2009-10 2010-11 1 2 9 10 11 12 I: ALKALI 7489600 5268987 5427233 5601913 5981204

II: NORGANIC 715915 602309 512513 517511 572052

III: ORGANIC 1940457 1545442 1254171 1281169 1339589

IV: PESTICIDES 146471 84701 85218 82185 81934

V DYES 54551 32552 37636 51080 47036

10346994 7533991 7316771 7533858 8021815 TOTAL MAJOR CHEMICALS (I+II+III+IV+V)

4 PRESENT POSITION AND TREND OF BUSINESS (IMPORT/EXPORT) WITH INDIA/GUJARAT

In the Indian chemical industry, alkali chemicals enjoy the highest contribution in the total production. Since FY02-FY09, the representation of alkali chemicals in the total production has been around 70%, followed by organic chemicals at around 20%. The share of dyes and dyestuffs and pesticides, on the other hand, remain extremely low; however, the production of dyes and dyestuffs has been increasing steadily since FY04 due to its growing significance in sectors such as textiles, leather, plastics and foodstuffs. Nonetheless, the growth in production of organic chemicals has been extremely sluggish. During FY03-FY09, the production of inorganic chemicals rose steadily as compared with the steady production growth of alkali and organic chemicals, therefore this segment grew at comparatively healthier CAGR than the industry as a whole.

In the case of alkali chemicals, soda ash has been enjoying the highest share in total production since FY03. However, from FY08, the production of caustic coda has been surpassing soda ash; the contribution of caustic soda increased to 38% in FY09 from 29% in FY04. In the organic chemicals segment, the share of carbon black has been over 70% of the total production since FY04 whereas in the inorganic chemicals segment, out of the 19 products, methanol, acetic acid and acetaldehyde constitute over 50% of the total production

SHARE OF MAJOR STATES IN PRODUCTION OF CHEMICALS AND PETROCHEMICALS IN INDIA

Argentina has following main industries for trade and commerce, 1. chemical 2. Petrochemicals and pharmaceuticals

PRODUCTS EXPORTS IMPORTS BALANCE CHEMICAL 3503 6492 -2989

GROUP - WISE EXPORT & IMPORT OF CHEMICALS

( Figures in Rs. Crore)

Group

TRADE 2007-08 2008-09 2009-10 2010-11 2011-12

INORGANIC Export 3317 5166 4540 14008 5106 CHEMICALS

Import 11393 16270 17236 20763

ORGANIC Export 28870 34058 35241 41940 40097 CHEMICALS

Import 32642 44505 57550 51230

Export of Major Chemicals - Product wise / Group wise from 2006-07 to 2011-12

Export of Major Chemicals

GROUP PRODUCT 2009-10 2009-10 2010-11 2010-11 2011-12 2011-12 QTY. VALUE QTY. VALUE QTY. VALUE ALKALI SODA ASH 257219 20931 199765 18281 257622 31586 CHEMICALS

ALKALI CAUSTIC 76995 14342 143791 25699 82208 18977 CHEMICALS SODA

ALKALI LIQUID 7602 1406 3412 573 4766 1090 CHEMICALS CHLORINE

INORGANIC ALUMINIUM 8127 4771 7068 3363 3362 2181 CHEMICALS FLOURIDE

INORGANIC CALCIUM 971 346 961 348 1267 592 CHEMICALS CARBIDE

INORGANIC CARBON 359840 87287 365478 114404 277698 142242 CHEMICALS BLACK

INORGANIC POTASSIUM 1811 763 1307 393 844 487 CHEMICALS CHLORATE

INORGANIC SODIUM 375 35 7 22 127 51 CHEMICALS CHLORATE

INORGANIC TITANIUM 5942 5794 7491 8797 5009 7811 CHEMICALS DIOXIDE

INORGANIC RED 405 804 317 799 383 1133 CHEMICALS PHOSPHORUS

ORGANIC ACETIC ACID 13022 4590 8368 2662 25887 8687 CHEMICALS

ORGANIC ACETIC 1256 760 1902 880 2652 1373 CHEMICALS ANHYDRIDE

ORGANIC ACETONE 501 277 2805 1250 1200 958 CHEMICALS

ORGANIC PHENOL 2720 3269 1293 2321 1146 2147 CHEMICALS

10 CONCLUSIONS AND SUGGESTIONS

In conclusion, the Argentine education and culture system is a mixture of US and Western European education and culture systems. The education and culture system of argentina is different from other countries. The education system is the highest in south America. There are different-different universities and instituition which are providing good education to the student.As per our finding the education system of argentina implied communication skills of students.

Argentina country is importing organic and non organic chemicals from india.

The chemical industry can be broadly classified under three segments: Basic, Specialty and High-end/knowledge chemicals.Indian exporters are invited to explore the potential for exports to Argentina. General or specific permission is necessary from the RBI for all foreign exchange transactions

The promotion of Special Export and Investment Zones, SEZs, cluster development and monetary incentives through fiscal and policy initiatives will foster the growth of the industry

Tourism Industry of Argentina Summary

The Argentine tourism industry is recovering due to the return of political stability and a favorable exchange rate. Currently, the sector has once again achieved levels prior to the devaluation in January 2002.

Most of the tourism growth is from Latin American neighbors. Meanwhile, tourism from North America and Europe has decreased compared to pre-devaluation levels.

The most popular winter destinations are the ski resorts located along the Andes Mountains, while the most popular summer destinations are the beach resorts on the Atlantic coast. The ARGENTINA sees tourism as a key engine for growth and employment.

To promote tourism, the ARGENTINA needs to devote more resources to marketing Argentine destinations, invest more in tourism infrastructure, maintain its current exchange rate policy. The World Travel & Tourism Council (WTTC) has spearheaded global analysis of the economic importance of the sector for over 20 years.

This research has established the contribution of Travel & Tourism on an ongoing basis to over 180 countries in absolute size, share of the economy, and growth.

Around the world, WTTC research is referenced as the authoritative source of the role of Tourism in generating GDP, income, and employment.

WTTC is now releasing new research on the role that Travel & Tourism plays in the world economy in comparison to other economic

sectors.

The results of these comparisons provide new perspectives on the relative significance of Travel & Tourism as well as some of its unique advantages in driving current and future global economic growth.

This new WTTC research benchmarks Travel & Tourism against an assortment of other sectors for twenty countries and for each world region.

Argentina has many peculiarities that have traveled the world by word of mouth with the people who have visited the country. The outgoing personality of its people, who are friendly, fun and effusive; the typical cuisine which includes asado, mate, regional dishes, and dulce de leche treats. The traditional dances like tango, a couple dance with a 2 x 4 rhythm, which was born in Buenos Aires during the 19th century and today has reached an international level, or folklore, with different choreographic forms over their. According to each area; the passion for football, and the fanaticism for the major players and clubs, Boca Juniors and River Plate being the most popular ones, and the ones that fill their stadiums and cause proliferating displays of excitement every time they play; typical games like truco. A card game in which luck and the ability to trick or deceive the opponent are the most important things, or horse riding games in the outskirts of the city which reveal the powerful Spanish influence and the persistence of old traditions; and, of course, the personality that each special region knows how to maintain and strengthen as time goes by. The Argentine Republic, with an area of almost 3.8 million square kilometers (1,468,000 square miles), is located in the Southern Hemisphere of the American continent. Its 3,800 kilometers (2,361 miles) in length stretch from 22º to 55º south latitude.

The country borders on Paraguay, Brazil, Bolivia and Chile, and on the Atlantic Ocean to the East. The country is touristically divided in 6 regions, and politically divided in 24 provinces. Argentina is usually described as a land of impressive contrasts, product of a varied geography. From the Andes to the west, which stretch along the Argentina-Chile border from north to south, with the highest peak, 6,959 meter / 22,831 feet Mount Aconcagua, to the Pampas and the Atlantic Coast, and across hill ranges, numerous forests, rainforests, deserts and fertile valleys, the biodiversity of these ecosystems allow the development of rich flora and fauna. Many natural sites in the country are protected areas like reserves and national parks. Moreover, some of the main natural landmarks have been declared World Heritage Sites by the UNESCO.

The main characteristic of Argentina is diversity, and this is also the case with the weather. The country enjoys a very varied climate: it is mild and humid in the Pampas; cold and damp in the western Patagonia; subtropical in the Mesopotamia region; and warm in the Northeast. The highest points at all latitudes are the coldest areas, with dry, snowy, mountain weather, and a wide temperature range

Argentina is South America's second largest country, after Brazil, in land area and population. It occupies most of the continent's southern region between the Andes Mountains and the Atlantic Ocean. Argentina stretches from 22'S to 55'S latitude a distance of about 2,300 miles and is shaped roughly like an inverted triangle that tapers southward from a base about 1,000 miles wide.

Argentina's area of 1,072,067 square miles is about one-third that of the U.S. In climate, size, and topography, Argentina can be compared with the portion of the U.S. between the Mississippi River and the Rocky Mountains, although the North American region has colder winters.

The humid lowlands of eastern Argentina, especially along the rivers of the Rio de la Plata system, resemble the Mississippi Valley. In northern Argentina, the savannas and swamps of the Chaco region find a parallel in

coastal Louisiana. Westward, the humid pampa (plain) gives way to rangeland and finally to desert that is broken only by irrigated oases, just as the Great Plains of the U.S. become drier toward the west. The Andes present a far more imposing barrier than the Rockies, but both mountain systems mark the western end of the plains.

The variety of vegetation in Argentina is striking. The vast Pampa region fanning out 500 miles from Buenos Aires stands in sharp contrast to such areas of limited agricultural potential. The most extensive level grassland in South America, the Pampa region covers roughly one-quarter of the nation, and its abundance can be credited for turning Argentina into a rising star country at the beginning of the 20th century. Containing some of the richest topsoil in the world, the Pampa is extensively cultivated in wheat and corn and provides year-round pasturage for most of Argentina's 50 million head of cattle.

The Andean region extends from the dry north to the heavily glaciated and ice covered mountains of Patagonia. Its trajectory includes the dry mountains and desert west of Cordoba and south of Tucuman and embraces the irrigated valleys on the eastern slopes and foothills of the Andes.

Patagonia is a region of arid, windswept plateaus, covering about 300,000 square miles. Except for some irrigated valleys, this is poor, scattered pastureland.

The Argentine Mesopotamia, which consists of the provinces between the Uruguay and Parana Rivers, is made up of floodplains and gently rolling grassy hills.

Argentina benefits from rich natural resources, a highly literate population, an export-oriented agricultural sector, and a diversified industrial base. Although one of the world's wealthiest countries 100 years ago, Argentina suffered during most of the 20th century from recurring economic crises, persistent fiscal and current account deficits, high inflation, mounting external debt, and capital flight.

A severe depression, growing public and external indebtedness, and an unprecedented bank run culminated in 2001 in the most serious economic, social, and political crisis in the country's turbulent history.

Interim President Adolfo RODRIGUEZ SAA declared a default - at the time the largest ever - on the government's foreign debt in December of that year, and abruptly resigned only a few days after taking office. His successor, Eduardo DUHALDE, announced an end to the peso's decade-long 1-to-1 peg to the US dollar in early 2002. The economy bottomed out that year, with real GDP 18% smaller than in 1998 and almost 60% of Argentines under the poverty line.

Real GDP rebounded to grow by an average 8.5% annually over the subsequent six years, taking advantage of previously idled industrial capacity and labor, an audacious debt restructuring and reduced debt burden, excellent international financial conditions, and expansionary monetary and fiscal policies. Inflation also increased, however, during the administration of President Nestor KIRCHNER, which responded with price restraints on businesses, as well as export taxes and restraints, and beginning in 2007, with understating inflation data. Cristina FERNANDEZ DE KIRCHNER succeeded her husband as President in late 2007, and the rapid economic growth of previous years began to slow sharply the following year as government policies held back exports and the world economy fell into recession.

The economy in 2010 rebounded strongly from the 2009 recession, but has slowed since late 2011 even as the government continued to rely on expansionary fiscal and monetary policies, which have kept inflation in the double digits.

The government expanded state intervention in the economy throughout 2012. In May the Congress approved the nationalization of the oil company YPF from Spain's Repsol. The government expanded import- restrictive measures and practices during the year, including a pre-approval of

all imports. In July the government also further tightened currency controls in an effort to bolster foreign reserves and stem capital flight.

Argentinais a large country, the 8th largest in the world, with very different geographic regions, home to a high biodiversity of species, and a great variety of landscapes and climates.

Native people have been influenced by the Spanish culture inherited during colonialism, as well as major migration waves that took place by the end of the 19th Century. They helped develop a very European social profile with many of the traditions from the Old Continent –especially of Mediterranean countries. The Spanish, Italian, and French culture have left their legacy in areas such as education, art, architecture and gastronomy. However, there are wide native populations living in rural areas in some provinces in the country, where local traditions and folklore remain intact. The native and European traditions merge giving birth to a melting pot of cultures and races, where people are very opened to the rest of the world and to cultural diversity, producing a unique identity.

Visitors can enjoy an endless array of options: soccer, tango, folklore, polo, golf, trekking, horse riding, rafting, recreational fishing, skiing, hunting, thermal springs, spas, archaeological ruins, wines, beef, and more. The virgin tropical rainforests and impressive national parks, the endless nightlife, the delicious food, the shopping areas, the art, the shows, the casinos, and above all, the people make this country an ideal destination for any kind of tourist activity and a unique destination for a one-of-a-kind successful business trip.

Tradition, professionalism, and hospitality combine to provide visitors the best possible assistance. Argentina offers an excellent and varied range of accommodation options, including qualified additional services. These characteristics identify Argentina as an internationally developed country in terms of facilities, technology, and infrastructure, which explains the large growth and diversification of tourist activities, especially in the field of the meeting industry.

Year after year, Argentina has become one of the top host countries in the world for conferences, conventions, trade fairs, sports events and incentive trips, a market that has been growing strong over the last few years due to the diversification of destinations and products. Actually, in the 6 tourist regions, travelers can find more than 30 destinations suitable for holding all types of international events and incentive trips, each with their own characteristics, but with a common denominator: the excellence in their service.

Everything you can imagine and much more is waiting for you in Argentina, a unique and passionate experience.

Connectivity Argentinahas an advanced infrastructure and transportation system: more than 38,700 kilometers (24,047 mi) of national roads, one of the longest railroad networks in the world (35,753 Km –22,216 mi), 25 sea ports, 38 river ports, and 58 airports –23 of which are international airports.

Over 20 airlines offer direct flights to the country from more than 40 destinations in the five continents. Also, a wide network of roads and domestic flight connections allow visitors to quickly travel from Buenos Aires to any tourist spot in the country.

Not for nothing Argentina ranks second in Latin America in terms of Logistics Performance, which reflects the country‘s logistics capacity based on the efficiency of the customs clearance process, the transport and business related infrastructure quality, our competitive prices for shipments, the service quality and the shipment frequency (source: World Bank, 2009).

The country‘s connectivity is not just a relevant detail, it also represents added value for PCO´s and Incentive Houses, since it allows them to offer their clients a wide array of experiences with little travel time, by interconnecting regions with contrasting landscapes, and different cultures.

ARGENTINA AS A DESTINATION FOR CONFERENCES, CONVENTIONS, TRADE FAIRS, SPORTS EVENTS AND INCENTIVE TRIPS

Argentinais currently enjoying political and economic stability, with a significant development of infrastructure and new technologies, as well as a noticeable growth in foreign trade. All this has transformed the country in an ideal place for investments, mainly in the agricultural industry, but also in various production sectors, such as the oil, mining, fishing, wine, and metallurgical industries. Over the past few years, due to the growth of the service industry, other non-traditional sectors became highly capitalized by Argentina, especially IT, communications, agricultural, bio-fuel production, creative industries, professional service providers, and the tourism industry, an activity which is showing one of the highest growth rates.

The consolidation of an integrated services global market, a time zone similar to that of developed countries, the quality of its human resources, the affinity with Western culture, and the high competitiveness of the currency‘s exchange rate, all this complemented by an expanding infrastructure, stand as some of the reasons why Argentina has had a significant economic growth over the last few years. And for those reasons it is an ideal destination for the meeting industry: not only because of its natural, cultural and historical attractions, but also because of the quality of the services provided.

Year after year, Argentina is chosen to host all kinds of conferences, exhibitions, festivals, sports events, corporate meetings, and incentive trips, and receives thousands of travelers from around the world. Equipped with state-of-the-art technology, convention and exhibition centers and conference halls multiply across the main cities and tourist centers of the country, located in fantastic places. The hotel capacity has also been incremented in the last years to meet the space needs, allowing for the organization of medical, industrial, political, economic and entertainment industry conferences, as well as major sport events and festivals with large audiences.

Tourists, and especially businessmen, will find in Argentina all the comforts necessary to turn their trip into a unique, exciting and pleasant experience.

A DESTINATION WITH A TOURIST QUALITY SYSTEM Argentinahas adopted a sustainable development model based on product

quality, tourist services, andenvironmental conditions seeking to ensure a competitive tourist development capable of positioning Argentina as a quality destination in the International Market.

To that end, the National Public Administration (Administración Pública Nacional) has become an innovative and proactive player in designing and providing the tools for applying the culture of quality to the tourism industry, as established in the guidelines convened in the Strategic Federal Plan for Sustainable Tourism (PFETS) and to which purpose the Argentina Tourism Quality System (SACT) has been created.

This system is an operational level strategy that aims to promoting the culture of quality and continuous improvement to all the players that are part of the value chain of the national tourism industry.Thus a modernization process begins, with a focus on professionalism that will allow strengthening the integrated management of tourist destinations within a sustainable development model based on socio-cultural, environmental, and economic responsibility criteria.

Argentina´s Ministry of Tourism and the National Institute of Tourism Promotion (INPROTUR) –created by a National Act for tourism promotion abroad- in strategic alliance with the national authority on the subject, the Argentine Association of PCO´s and Meeting Suppliers (AOCA, as per its acronym in Spanish), have created a plan for the Meeting Industry in Argentina. The plan includes, among other points, the sustainability and internationalization of the different tourist options, as well updating services to high quality, and the harmonious growth of the space infrastructure the industry requires.

The plan aims to position Argentina among the top 15 countries in the world as an ideal destination for hosting conferences, conventions, fairs, sports events, incentive trips, and international events. Within this context, the National Tourism Act and the Strategic Federal Plan for Sustainable Tourism serve as reference points to determining the paths to follow and the many promotion actions that the INPROTUR is taking around the world.

Additionally, there is an Act that exempts foreigners who participate in conferences, conventions, and international trade fairs in Argentina from paying the value-added tax (IVA). Also, we have the AOCA, which is the association formed by important professionals in the conference, trade fair, exhibit, and event organization industry, and finally, there are more than 20 Conventions & Visitors Bureaux inover 30 destinations prepared to host international events.

That way, the synergy between the public and private sectors ensures the successful organization of all events, with the support and cooperation of all the Argentine destinations, as well as that of InProTur.

BUENOS AIRES REGION ―Political, financial and cultural center of Latin America, in the vastness of the wet Pampa‖ This region comprises several cities, among them the capital city of the country, Buenos Aires. These cities share similar traditions and feature a harmonic combination of natural and urban elements.

The City of Buenos Aires is the most elegant and active metropolis in South America and the one that best summarizes the heterogeneous Argentine essence. It dazzles visitors with its atmosphere, the distinct personality of each one of its quarters, the warmth of its people and the wide array of cultural, entertainment and shopping opportunities. Tango, literature, cuisine, music, film, theatre, shopping tours, giant soccer stadiums, and an endless nightlife can all be found in this cosmopolitan city.

The significant infrastructural growth the city experienced over the last years, together with its highly-trained PCO´s and the success of highly renowned international events, make Buenos Aires the most important business meeting point in Latin America.

Just a few kilometers away from the national capital city, visitors can discover the vast Province of Buenos Aires, a breathtaking view of endless fields and its worldly renowned cattle.There are tours to different ranches where visitors

can taste a delicious tender Argentine beef ―asado‖ and enjoy the endless Pampa. This is the land of gauchos and their horses, where local customs coexist with European influences.

A destination that invites you to enjoy multiple experiences: the plains, the hill ranges, the delta, the beaches, and the diverse urban cities. The vast Atlantic coast offers sunny beaches and cities as the wonderful Mar del Plata, which combines business, relax and sports activities.

Likewise, the province presents the ideal sceneries to practice all kinds of tourism: historical-cultural, adventure, rural and, of course, business tourism. There are all sort of interesting business programs within a very short distance from the City of Buenos Aires.

CITY OF BUENOS AIRES Often called "la Reina del Plata‖ (―the Queen of La Plata River"), Buenos Aires is one of the most important cities in the world, South America‘s major cultural capital, and one of the political and economical centers of the region. Buenos Aires dazzles visitors with its unique beauty, which results from the combination of its history, traditions, culture and people. This vibrant city is active 24 hours a day –people call it ―the city that never sleeps‖- with its countless restaurants, bars, theatres, tanguerías, pubs, night clubs, museums, shopping centers, art galleries, and even a floating casino on the river. Buenos Aires combines modern and historical places; European culture with Latin American spirit, which results in a very unique and magical identity.

Thanks to its highly diverse offer of cuisine, entertainment, hotels and tourism, and to the presence of professionals who specialize in organizing events of all kinds and sizes, Buenos Aires is nowadays the ultimate business meeting point in Latin America, offering all that is needed to make visitors‘ stays unforgettable.Moreover, the city has many possibilities for combining business and relaxation:Visitors can go golfing or sailing through the Delta, attend a polo match or experience our passion for soccer. Buenos Aires will seduce you.

The city hosts many exhibits, conventions, congresses, trade fairs, and international events for many industries and on different subjects. The trade fair, conference, convention, and corporate tourism industry is growing year after year, both in size and quality. Among the most important events are the Tango World Championship, the ATP Tour (International tennis circuit), the Book Fair, the Independent Film Festival, the Livestock Fair, the Automechanika Fair, the Open Polo Championship, the International Tourism Trade Fair of Latin America (FIT), Fashion Buenos Aires, ArteBA, as well as the lyrical season at the Teatro Colón, one of the most prestigious in the world.

Its infrastructure, cultural, historical, heritage and tourist attractions, together with its favorable business climate, the professionalism of its inhabitants, and the convenient exchange rate for visitors and PCO´s, position Buenos Aires as one of the booming event destinations in the hemisphere: it is at the top of the ICCA World City Ranking for the Americas (years 2009 and 2010).

SIGHTS Around the historical Plaza de Mayo are the Presidential House or Casa Rosada (the Pink House), the Cathedral, the Cabildo –currently a history museum-, the Banco Nación and the De Mayo Avenue, which integrate the historical center of the city. The Obelisk, the city‘s most recognizable icon, is on the mythical Corrientes Avenue, only a few steps away from the Teatro Colón, which is known all over the world for its amazing acoustics.

Another singular quarter is San Telmo, where the most famous tanguerías - ideal venues for hosting social or incentive events to the rhythm of tango- can be found. Every weekend there is a fair in Plaza Dorrego that shows many objects, antiques and curiosities.

La Bocais located in the south part of the city, next to the port that gave it its name. There visitors can stroll down Caminito, an internationally renowned street museum with a singular architecture and full of bright colors. In that

quarter there is also a museum devoted to the great Argentine painter Benito Quinquela Martín, who portrayed life in the docks in all his works. Another attraction is the famous Boca Juniors Stadium (known as ‗La Bombonera‘, which translates as "the candy box"), in the heart of La Boca.

The most aristocratic quarter of Buenos Aires is Recoleta, which is also where the city‘s oldest cemetery is located. There visitors can see the tombs of many of Argentina‘s national heroes and historical characters. French architecture predominates in this quarter, with petit-hotels and mansions. Another must- see spots include the Centro Cultural Recoleta, the Palais de Glace, the National Museum of Fine Arts, the interior design shopping center Buenos Aires Design, and the National Library. Alvear Avenue, with its exclusive designer stores, crowns the quarter as the Parisian corner of the city.

The woods of Palermo fill Buenos Aires with fresh air. There are two artificial lakes surrounded by trees, and wonderful gardens, including a very romantic rose garden designed by the famous architect Charles Thays.Palermo is ideal for shopping, since it is the home of the most up-and-coming and avant-garde fashion designers. In that same area, Palermo ―Soho‖ and Palermo ―Hollywood‖ have become the places to meet with friends after a business meeting, with an intense nightlife, and its many restaurants, clubs, bars, and pubs. This quarter is also home to the racetrack, the city‘s most prestigious tennis courts, golf courts, and the polo field where the world‘s most important Polo Open takes place (Campo Argentino de Polo).

Finally, visitors cannot leave the city without visiting Puerto Madero, where recycled docks have become the most exclusive office buildings and apartments in the city. With an endless array of restaurants, bars, a floating casino, 4 and 5 star hotels, and movie theaters, this quarter ensures entertainment by one of the most attractive landscapes of the city: La Plata River.

The ARGENTINA is convinced that tourism will generate income and create many of the new jobs so urgently needed in Argentina. According to former Secretary of Tourism Germán Luis Pérez, ―Tourism will significantly

contribute in overcoming, once and for all, the extreme crisis bearing down on the Argentine society as a whole.‖ ARGENTINA officials have expressed a desire to see the tourism industry double from the current 7 percent of GDP to 14 percent. An increase in tourism not only helps those who work in areas such as travel agencies, hotels, car rental agencies and airline companies but also local industries such as shopping centers, restaurants, and entertainment. Tourism also creates employment in remote areas of the country, which frequently do not have many alternate sources of development.

A number of conditions need to exist for tourism to continue to grow. Argentina‘s tourism marketing efforts need to be targeted to neighboring countries and key markets in North America and Europe. There also needs to be an adequately funded effort to increase the quantity and quality of tourism- related infrastructure. As the second largest country in South America and the eighth largest country in the world, Argentina has plenty of hype to live up to; but of course Argentina surpasses it all with gracious style. Home to the ‗Paris of South America‘, Buenos Aires, Argentina is a country famed for its passion and pride.

Here, football is played more obsessively than anywhere else, the sexy tango dance was brashly born, the best steaks are feverishly devoured and the humungous Andes mountain range towers. Even the largest dinosaur in the world was discovered here! Argentina is a country of celebrated proportions which persistently smash traveller expectations.

Environmental Laws rules and regulations

Introduction of Argentina

Argentina is developing nations: poor water & air quality, deforestation, & soil degradation. There are many non-governmental & governmental agencies work toward research & policymaking that address pressing problems to the preservation of Argentina's wondrous natural landscapes, forests, &Agriculture farmlands.

Experts agree that it is not the laws that are deficient in Argentina; rather, it is recurrent fail to enforce present laws. With the added internal clash of the 2001 economic problems & the struggle to balance economic growth & environmental preservation is a major challenge. Currently, increaseschedules are severely outweighing pro-environmental action.

Argentina Topography:

Position:The Southern South America, Sharing border the South Atlantic Ocean, among Chile & Uruguay

Geographic coordinates: 3400 S, 6400 W

Map references: South America

Area: Sum: 2,766,890 sq km land: 2,736,690 sq km water: 30,200 sq km

Areaproportional: slightly less than 3-10ths the size of the US

Land boundaries:complete: 9,665 km border countries: Bolivia 832 km, Brazil 1,224 km, Chile 5,150 km, Paraguay 1,880 km, Uruguay 579 km

Seashore: 4,989 km

Nautical claims:connecting zone: 24 nm continental shelf: 200 nm or to the edge of the continental margin exclusive economic zone: 200 nm region sea: 12 nm

Full country name: - Argentine Republic

Area Cover: 1.08 million sq miles (second largest country in South America after Brazil)

Population: 40.3 million (2009 WHO), 1.5 million currently overseas

Climate:It arid in southeast; sub Antarcticare in southwest

Territory:There are rich prairies of the Pampas in northern half, flat to rolling hill of Patagonia in south, rockyAndes along western border

Elevation extremes:lowermost point: Salinas Chic as -40 m Situated on Peninsula Valdes area peak point: Cerro Aconcagua is 6,962m high

Natural resources:There are fertile plains of the pampas, lead, zinc, tin, copper, iron ore, manganese, petroleum & uranium

Irrigated l&:The Agriculture 17,000 sq km

Natural threats:The San Miguel de Tucuman & Mendoza areas inAndes subject to earthquakes; pamperos are violent hurricanes that can strike the Pampas in north

Environment—Present issues:There is erosion results from inadequate flood controls & improper l& use practices; irrigated soil deprivation; desertification; air toxic waste in Buenos Aires & other major cities; water toxic waste in urban areas; rivers becoming polluted due to increased pesticide & fertilizer use These are upcoming problems

Environment—internationalagreements: They have made Party to: Antarctic-Environmental Protocol, Antarctic Treaty, Biodiversity, Climate Change, Desertification, danger Species, Environmental

Modification, Hazardous Wastes, Law of the Sea, Marine Dumping, Nuclear Test Ban, Ozone Layer Protection, Ship Pollution, Wetlands, SEASONS IN ARGENTINA

Spring: September - November Summer: December - March Autumn: March - May Winter: June - August

Locomotives in Argentina

Road transport

Highways also knows as freeways

Public transport (Taxi) Commuter rail station, Belgrano Line, Buenos Aires.

Entrance to a Buenos Aires Metro station.

New International link proposed

Air travel Buenos Aires's Ministro Pistarini International Airport

There are 76 rivers in Argentina.

Argentina Environmental laws rules & regulations

Laws & regulations for each group of environmental defense: Waste Management Act Water Pollution Act Air Pollution Act Dangerous Waste Act Generators of Waste Act Transporters of Hazardous Waste Act

Treatment or Final Disposal PlantsAct Challenges for Future Nationalised Oil Co. in Argentina:- Air, Water, & Noise Pollution Solid Waste Energy Soil Conservation & Deforestation The cattle threat Other environmental problems.

CONTRAST OF ENVIRONMENTAL ISSUES BETWEEN ARGENTINA & INDIA ARGENTINA. DEFORESTATION The Argentina has over 33 million half of forest, representative over 12% of the country's l& area. There Between 1990 & 2005 Argentina lost 6.4% of its natural forest cover, although farm expansion resulted in the net forest loss being lower at 2.1%. Forestry bill in 1997 obtainable tax breaks,even subsidies to foreign investors for creating tree plantations & the aim was to plant an average of 200,000 half per year from 2000 to 2009. India Nearby 45% of India's l& is dishonored primarily due to deforestation, untenable agricultural practices & mining & excessive groundwater elimination. More than 2/3 part of this can be renewed. The India has 10th biggest forest shelter in the world at 68 million hectares. The government‘s National Action Plan on climate change includes expanding forest cover from the current 23% to 33% of India's territory, to afforest 60 million hectares of dishonored forest land.

India has rich biodiversity &more than 45,000 plant & 91,000 animal types. There are rapid loss trends – 10% environment are on the endangered list & many are on the border of loss.

Agriculture

The Agriculture is the spirit of India. Since time immemorial, the majority of its population bank on agriculture sector directly or indirectly. This is the major reason; the influence of Indian agriculture industry to GDP (Gross Domestic Products) is around 25 %. Farming in India is a crucial sector in socio-economic growth of the country. Likening the total farming output of India with other countries, India is graded second worldwide. Because of altering farming situation& international rivalry, growth in production &careful distribution of food obtainadvancedimportancecrossways the sphere.

Air pollution (Argentina)

Air toxic waste is the outline into the atmosphere of chemicals, particulate matter, or biological materials that cause uneasiness, disease, or death to humans, create problematic damage other living creatures such as food crops, or injury the natural environment or built environment. Evenair is a complex dynamic natural gaseous system that is essential to support life on globeEarth. The Stratosphericozone depletion due to air pollution has long been predictable as a threat to human health as well as to the Earth's ecosystems.

Sulphur oxides (SOx).

Nitrogen oxides (NOx) Carbon monoxide (CO) Chlorofluorocarbons (CFCs)

Ammonia (NH3) Odors Radioactive pollutants

Indian Pollution

Air Pollution There normal constituent of fresh air are consist of 78.1 % Nitrogen, 21 % Oxygen, 0.95 % Argon & 0.04 % Carbon di-oxide. There are some illustration of harmful essentials of air like hydrocarbon gases, carbon monoxide, nitrogen oxides, sulfur dioxide, hydrogen sulfide & some greenhouse gases including carbon dioxide, nitrous oxide, methane & many more.

Water Pollution There most of the Indian big industries produce a large scale of poisoned liquid emission which is normally wash out through a canal into river water. The recent report defines that around 29001 million liters of liquid dirt are produced daily in India when there have a volumeof 6001 million liters per day.

L& Pollution Properly & pollution in India is due to the toxic pesticides & fertilizers as well as erosion during 2009, the issue of Uranium poisoning in the state of Punjab came into light, initiated by fly ash ponds of thermal power stations, which reportedly lead to severe birth defects in children in the Faridkot & Bhatinda districts in Punjab.

Overgrazing

ARGENTINA:-

Environmental Opportunities in Bolivia

The Soil erosion from overgrazing & poor cultivation methods, such as slash & burn agriculture are pressing environmental Suitability issues in the Cochabamba vale.

Provide & raise alertness in society & the government about sustainable management of natural funds for increased production &depletion of ecologically aware products. To implement maintainable agriculture & ecology projects at native schools. There projects include crop diversification, fertilization methodswith soil maintenance. Exclusively provide environmental legal consulting for the purpose of unstable local l& use policies.

INDIA:-

STATE of MEADOW L&: FACTS Overgrazing related with livestock breeding practice beyond range& carrying capacity degrades natural habitat for wildlife. It forces wildlife to migrate further in search for better homes, thus increasing risk of introduction to human-wildlife conflicts.

Degraded l& in turn is occupied by rodents: plague by Brandt voles & grasshoppers requiring periodic infestations.

Their Stock size has increased 1.3 times with goat herd size doubled in 1995 against 2000 in the Altai Sayan eco-region alone.

Argentina - Cold climate kills thousands of cattle &more over 100 people

BUSINESS PERSPECTIVE:

As to April 2011 report of the US Department of Energy, Argentina has 774 trillion cubic feet of technically recoverable reserves which is the 3rdmajor in the world. China has the largest investments of 1275 followed by USA with 862. Commercial production has previously started in USA where shale gas is decidedas the ¨Game Changer in the gas marketplace of USA. In China, shale gas plan is a priority in the current five year plan. In India IFFCO has invested 25 million dollars in a Canadian business Americas Petrogas which has a shale gas block in Argentina.

Agroindustry As on 2011 area under crops was 34 million hectares. Soya is the major crop & accounts for 19 million hectares. Wheat is planted in 5.7 million hectares, Maize in 4.8 million hectares & Sunflower in 3 m hectares.

The main part of agriculture in Argentina is ―the Pampas‖, there is vast, fertile plains covering the landscape of Buenos Aires, La Pampa, Santa Fe & Cordoba. Here Rosario is the center of agri-business with its agro-processing plants. There is no restriction on foreign investment in l& in Argentina.

Soy - 52 m tons Corn - 22 m tons wheat - 16 m tons sunflower seeds - 4.5 m tons sorghum - 3 m tons

Wine There is Argentina is fifth majorcreator of wine in world with a manufacture of 2.5 million liters. There are 250,000 hectares of vineyards in Argentina & Mendoza

province accounts for 70 % of manufacture. There second major production is in San Juan & the third in Salta shires. The umnumber of vineyards is 27000 & wineries are 1500.

Energy In Argentina there is self-reliant in energy & has extra petroleum for exports. Sum of Total oil reserves are about 2 billion barrels& Annual manufacture is about 850,000 bpd of which 300,000 bpd is carry across. Even still there are underexplored & unexplored areas for oil. Regarding the Provincial governments are the holders of oilfields, ENARSA& Federal state oil company controls all the off-shore areas.

Automanufacture by companies in 2011

Peugeot –Citroen 250000 General Motors - 160000 Ford - 120000 Toyota - 105000 Volkswagen - 90000 Fiat – 80000

60 % of automobiles produced in Argentina are exported. 40% of parts used in vehicle business plants in Argentina are locally made.

IT There IT sector has started rising in recent years. It has employed about 50,000 people & had a turnover of 2.5 billion dollars in 2009 augmented from 300 million dollars in 2006 to over 500 million dollars in 2009.

Pharmaceuticals The Argentine pharmacological market is valued at 4.7 billion dollars. There are 110 research laboratories in the country, of which 16 are global laboratories & the rest are national. Marketplaces influential are Bayer, Bag&Roemer‘s. The Foreign companies have a share of 54% of the market while the local firms control 46%.

Customs & taxation:

The member of Mercosur, Argentina trails the Common External Price which is an average of 15%. At extended duty is 20%. But there are a number of exclusions. Sales tax is 21%. Corporate tax is 35%& Income tax lies between 9 & 35%

Introduction of pharmaceutical industry in argentina There are fourteen Indian Companies which have established operations in Argentina. They provide employment to 7000 Argentines; eight of them are in IT, two in agro- hemicals one in pharma, one in cosmetics and one in mining. India is the second largest Asian investor in Argentina, after China, with 13 companies in the country that have invested $1.1 billion and generated some 9,000 jobs, she said

India argentina deepen relation

Bilateral ties between India and Argentina were strengthened with the signig several. economic and technical cooperation agreements during the official visit of the President of Argentina, H.E. Cristina Fernandez Kirchner to India in October 2009 The Argentine President, was accompanied by a high-level delegation comprising several ministers and businessmen, held extensive talks with Prime Minister Dr. Manmohan Singh of India.

Swot analysis of argentina pharmaceutical indusrty industry is relatively well developed. Though there are recent price cuts, many medicines still enjoy high prices.

Weaknesses ARGENTINA has One of the highest regional rates of private health spending as a percentage of the total health expenditure. Access to pharmaceuticals is Only restricted to one-third of the population As market is reliant on foreign drugs, it exerts considerable pressure on government healthcare finances. Most of healthcare provision concentrated in Metros. Multinationals Companies posting lower profits,

Strengths Although mostly sourced from private pockets. healthcare spending is rising. Medical devices has steady demand. local generics

Opportunities

ASEAN(association of south-east Asian nation)harmonization initiative. The adoption ICH and WHO guidelines.& Western regulatory standards. Need for new legislation and cost containment, which isn‘t allowing for patents of newly discovered uses of a known drug, to boost generics consumption Threats Resistance of Government to fully aligning regional patent law with international standards. Faster entry of generics into the market. by Legislation allowing it. Failure of Government to revise discriminatory pricing policy with new measures, Numbers of medicines which are under the controlled-price drugs list, has been expanded.

Argentina promises to review ban on Indian imported pharmaceutical products

Argentina has assured India of reviewing a ban on imported pharmaceutical products and announced the purchase of drugs worth 150-200 million US dollars from Indian firms, ―The Indian pharmaceutical industry is among the world largest and most developed. Increased market access of Indian products can benefit both the countries‖ Scindia said in the statement. The announcement comes when Argentina is pressing foreign laboratories to comply with a non written policy of import-export dollar for dollar. This means pharmaceutical companies established in Argentina will have to implement a policy that balances imports with exports if they wish to continue operations in the country

Pharmaceutical Trade With India Will Benefit Argentina

According to the UN Commodities Trade Statistics Database (UN Comtrade), Argentina's pharmaceutical imports reached a value of US$1.14bn in 2012, a 109% increase on the US$0.55bn pharmaceutical imports in 2008. In 2009, we calculate pharmaceutical imports reaching a value of US$1.25bn, and by 2014, we expect this figure to increase to US$2.01bn, equating to a compound annual growth rate (CAGR) of 10.0%.. Indian pharmaceutical goods have therefore held a declining share of Argentina's pharmaceutical imports, from a value of 0.85% in 2008 to 0.30% in 2012. By 2013, the generic medicines market is expected to account for 18.2% of Argentina's drug market expenditure.

Dominated By The West

According to the UN Comtrade, Argentina's main pharmaceutical import partners include the US as well as a number of Western European countries. This further highlights the benefits that Argentina can realise from allowing the import of Indian drugs Bilateral trade between India and Argentina has experienced a significant increase between 2008 and 2012. During this period, Indian exports to Argentina increased from US$105.43mn in 2008 to US$380.75mn in 2012. Meanwhile, Argentinean exports to India increased from US$575.41mn in 2008, to US$829.67mn in 2012.

A Call For Increased Pharmaceutical

Despite an increase in bilateral trade between India and Argentina, India's Minister of State for Defence has said that the Indian pharmaceutical industry is facing difficulties, as it is not present in the Argentinean government's group of 27 countries allowed to export drugs to the Latin American country According to the UN Commodities Trade Statistics Database (UN Comtrade), Argentina's pharmaceutical imports reached a value of US$1.14bn in 2012, a 109% increase on the US$0.55bn pharmaceutical imports in 2008. In 2012, the legitimate generics market accounted for around 13.2% of total spending in value terms, although it is much larger in volume terms and growing faster than the market as a whole.

Pharmaceuticals in India The North Indian pharma industry led by the biggies, are now on a drive to consolidate ground in the global market, However victories of the biggies, their efforts to reach out to more markets across the globe, and the unending pains of the small scale sector are at present overshadowed by one factor – the uncertainty over the extension of tax holidays to the industry belts Uttarakhand and Himachal Pradesh. Because, it can yet again reshape the future of the North Indian pharma industry. Also, the friction between those in the excise-free zones and outside the zones has reached a flashpoint as countdown had started for the expiry of the excise sops.

Pharmaceuticals from argentina

Glenmark‘s ground-breaking drug discovery effort is primarily focused in the areas of inflammation.Glenmark has a robust pipeline of 13 molecules in various stages of preclinical & clinical development.GGL also develops, manufactures, markets and distributes active pharmaceutical ingredients (APIs) to other pharmaceutical companies. It markets around 65 APIs globally in approximately 65 countries, including the US, various countries in the EU, South America and India. GGL has so far filed 41 DMFs(Drug Master Files) with the US-FDA.

RANBAXY BAGO COMPANIES

1) Laboratórios Bagó 2) Química Montpellier 3) Disprofarma 4) NutriciaBagó 5) BiogénesisBagó.

Biopharmaceuticals companies export from argentina to india Biosidus‘s proven expertise in Biotech manufacturing methods has resulted in a wide range of biopharmaceuticals.

1)Erythropoietin (HEMAX™ / Hypercrit™ / Epoyet™ / Epoimmun™ / Zyrop™) 2) Filgrastim (Neutromax™/Biofigran™/Colstim™/Granulostim™) 3) Interferonalpha2b (Bioferon™/ Inter 2B™/Citopheron™/Zavinex™/Ganapar™) 4) Lenograstim (Lenobio™/Leumostin™/Gran™) 5) Intestinal probiotic (Bioflora™)

Activity:

-Contract -Manufacturing - Research & Development

Product / Technology type(s) covered:

-API/chemicals - Bio

- Proteins

- Technology

Therapeutic targets:

- Cancer

- Cardiovascular

- Dermatology

- Hematology

- Infectious Diseases

- Oncology

2nd largest exporter of pharma in argentina with India.

Argentina based biotechnology company which over the past two decades has developed a global business in the supply of high quality biopharmaceuticals in the territories of Asia, Africa, Eastern Europe and Latin America.

Biosidus S.A. has two production sites. The Almagro Plant located in the city of Buenos Aires, devoted to R&D activities and to the production of APIs, equipped with bacterial fermentation capacities and also hosting mass cell culture areas. Biosidus S.A. counts on a robust pipeline of therapeutic proteins, in different stages of development. Filgrastim (Neutromax™/Biofigran™/Colstim™/Granulostim™) Filgrastim is a recombinant methionyl human granulocyte colony stimulating factor (r-Met-Hu-GCSF), produced by bacterial fermentation. Filgrastim is used to treat neutropenia, a side effect of chemotherapy, which makes patients more susceptible to bacterial infections. Somatropin Biosidus Injection is available as a freeze dried powder at the following strengths 4 I.U.& 16 I.U. Today India Pharma Exports has been reckoned in midst of some steadfast Pharmacy Wholesalers and Generic Drugs( Kamagra Supplier) Supplier like Generic Stendra, Generic Valtrex , Generic Avanafil and many more categories of medicines available etc. We are a Pharma Wholesale Company, provides Pharmaceutical Drugs, Tablets, Capsules, and many other Pharma Products and providing 100% fulfillment assurance in each and every aspect of pharmacy supplies.

Indian pharma wholesale export to india

India Pharma exports are a leading pharmacy wholesaler and pharmaceutical supplier of top quality medical supplies all over the globe. Day by day are expanding our business of pharmacy wholesale, pharmacy drop shipping and pharmaceutical supplier of many prescription drugs. Ghevoba Healthcare is reputed pharmacy wholesale company. All our items are accepted by the FDA and are known for maximum protection. Our items are produced by well known, reputed companies which are recognized for higher standard. India Pharma exports is a top notch pharmacy wholesaler as well as pharmaceutical supplier over-the-counter medications, surgical & medical supplies. All our products and solutions are recognized for 100% purity and will surely impress you with its efficiency. ―In the long term, this is a clear positive for the generic sector, including Indian pharma companies,‖ a Sun Pharma spokesperson told PTI. The industry size is estimated to be $20 billion, of which about $10 billlion. According to industry estimates, the FDA currently has a backlog of roughly 2,700 generic drugs awaiting review.

India Generic Pharma eyes for 1 Billion Dollar on argentine Generic Markets

Heard latest news about Generic Pharma Industry. India Generic Pharma Industry looks to be a very [healthy proposition for long term. It‘s literally a billion-dollar opportunity. an opportunity worth nearly $1.3 billion is up for grabs for domestic generic players. Ranbaxy recently said that it has garnered 47% share in the Lipitor market till mid-Apri. But more recently, the patent expiry of cardiac blockbuster Plavix, which mopped up US sales of $6.8 billion.

Indian generic pharma eyes for 1 billiondollar global generic market

Heard latest news about Generic Pharma Industry. India Generic Pharma Industry looks to be a very healthy proposition for long term an opportunity worth nearly $1.3 billion is up for grabs for domestic generic players. Ranbaxy recently said that it has garnered 47% share in the Lipitor market till mid-April. Its sales in North America more than doubled to Rs 2,093 crore during the first quarter ended March, the first full quarter after the generic Lipitor (atorvastatin) launch. For a market the size of Argentina, this outward-looking approach makes a lot of sense. With a population of 40 million, Argentina is much smaller than the other major Latin American pharmaceutical markets of Brazil and Mexico, with

191 million and 111 million inhabitants respectively.

Shaking Off Former Prejudices in argentina relations of trade with India

After decades marked by struggle with military dictatorship, a defeat in the Falklands war, and severe economic difficulties, Argentinean companies have a lot of work ahead to build a eputationabroad beyond the country´s extraordinary tennis players and tango dancers. After decades marked by struggle with military dictatorship, a defeat in the Falklands war, and severe economic difficulties, Argentinean companies have a lot of work ahead to build a reputation abroad beyond the country´s extraordinary tennis players and tango dancers. ―Argentina is at the forefront of countries in Latin America for clinical research in terms of training, hospitals, human resources and enthusiasm, which is critical, and has been the key for the region in many ways,‖ The direct and indirect pharmaceutical labour force stands today at 27,000 and 100,000 employees, respectively. Elea today has 70% of the market in this area. Abel Guillermo Di Gilio, Business Director of Elea, tells us ―Elea would not be able to proceed at various stages of research without these partnership. Education definitely helps companies like Novo Nordisk to gain market share in developing countries like Argentina, but within such a niche it is equally, if not more important to have high quality products. In the diabetes market, both patients and doctors want to have products with very high quality, and very good delivery devices

Import and export of pharma product affects GDP of Argentina

While Argentina in the past has encouraged foreign investment, in 2011 the GoA took actions that have dampened the investment climate. On the positive side, the country hosts 500 U.S. companies that employ more than 155,000 Argentines. Real GDP has grown at an average rate of 7.2 percent since 2003, assuming the latest estimates of 8.0 percent growth in 2011 are accurate. The Government of Argentina has signaled its desire to see continued foreign direct investment (FDI) flows to enhance the nation‘s productive capacity and GDP growth potential. High growth since 2003 has led to improvements in key socio-economic indicators, including a reduction in unemployment from 21.5 percent in 2002 to 7.2 percent during the third quarter of 2011, according to official figures. In December 2011, Central Bank reserves were about $46 billion, up from a low of $9 billion

in 2002.

December 2011, the Argentine Congress passed Law 26.737 (Regime for Protection of National Domain over Ownership, Possession or Tenure of Rural Land) limiting foreign ownership of rural land, even when not in border areas, to a maximum of 15 percent of all national productive land. Argentina debt to official Paris Club creditors now stands at an estimated $8.9 billion, including arrears and past due interes.

Argentina continues to owe debt to private bondholders. Ninety-two percent of the defaulted $82 billion of private debt has been swapped for a mix of new bonds with a substantial loss in net present value. In 2010, Argentina paid its $9.5 billion debt to the IMF In 2010, $6.57 billion, 2011, the GoA planned to use $7.5 billion.

Findings

 There are fourteen Indian Companies which have established operations in Argentina.

 India is the second largest Asian investor in Argentina, after China.

 Despite higher revenues, multinationals Companies posting lower profits

 Bilateral trade between India and Argentina has experienced a significant increase between 2008 and 2012.

 product is available with long expiry date, so we can use it for a long period of time.

 India Generic Pharma Industry looks to be a very healthy proposition for long term.

 Ninety-two percent of the defaulted $82 billion of private debt has been swapped for a mix of new bonds with a substantial loss in net present value.

 Foreign firms may also participate in publicly financed research and development programs on a national treatment basis.

 Ninety-two percent of the defaulted $82 billion of private debt has been wapped for a mix of new bonds with a substantial loss in net present value

 Argentinean government would benefit from catering for increased harmaceutical trade from India.

Conclusion

 Overall, India is the second largest Asian investor in Argentina, with 13 companies in the country that have invested $1.1 billion and generated some 9,000 jobs and going on

 Argentina in the past has encouraged foreign investment in 2011 the Gov of Argentina took actions that have investment climate. On the positive side, the country hosts 500 U.S. companies that employ more than 155,000 Argentines

 Today India Pharma Exports has been reckoned in midst of some steadfast Pharmacy Wholesalers and Generic Drugs As per growth in pharma trade with Argentina the growth of India‘s GDP has increase with 3% overall in economy from past five years.

 As Argentina is one of the major importer of drugs from India as on trade basis.

Family Business in Argentina

Argentina is a national lawful republic located in South America and it has borders with these South American countries: Paraguay, Bolivia, Brazil, Uruguay, and Chile. The Argentine Republic is the second largest country in South America, after Brazil. Nearly 41 million people live in Argentina.

It is the eighth-largest country in the world by land area and the largest among Spanish-speaking nations. Argentina is an origin member of the United Nations, Mercosur, the Union of South American Nations, the Organization of Ibero-American States, the World Bank Group and the World Trade Organization.

Argentina is Latin America's third-largest economy with a "very high" rating on the Human development index. Within Latin America, Argentina has the fifth highest nominal GDP per capita and the highest in purchasing power terms.

In Argentina, more than 80 per cent of the businesses are family businesses and only 20% are having service sector. A family business is popularly defined as ―any company where founders or descendants continue to hold positions in top management, on the board, or among the company‘s largest stockholders.‖

Generally family business means person‘s own business where he invests money, work in his firm and get returns from it. And in Argentina most of the business is family business and very few people are doing service so, we can say it is self financed company.

In Argentina, businesses with less than 40 people employed are employed in workforce while other is having their own business. Small businesses are mostly family businesses, so family businesses are essential to the Economies of the Argentina. For all these reasons, the Law must provide tools that help Family Businesses to optimize their performance.

The number of family businesses has increased in Argentina as it is having 80 % family business. Family businesses have traditionally been described according to their size and ownership. So in Argentina mainly business are

started as per the owner‘s wish and in which format he wants to start his business.

A characteristic of family businesses is that their close relationship with customers. Family businesses often maintain relationships with customers for many years, and the customers appreciate how the family business treats their employees and the commitment of employees and management to the firm.

As we know that business runs on the relationship with the customers. Business should have a very good relation with their customer and every minute detail about customer should be considered while doing business as they are king in the market. In fact, two thirds of companies surveyed believe that their relationship with customers is a competitive advantage of family firms.

Challenges in front of family business are as follows:

Emotions, Informality, Tunnel vision, Lack of written strategy, Compensation problems for family members, Role confusion, Lack of talent, High turnover of non-family members, Succession Planning, Retirement and estate planning, Training, Paternalistic, Overly Conservative, Communication problems, Systematic thinking, Exit strategy, Business valuation, Growth, Vision, Control of operations.

Family business have arise various types problems accrues from some family issues in Argentina and in that way to De motivated for doing a business. And here arise a risk from other sole Proprietorships firm and other member of family. In family business have got various competitive advantages by work with family business and achieve a particular goal and growth.

Family businesses have distinctive characteristic from which they can derive important competitive advantage. A long term prospective come from building a business for future generation while the strength of most family businesses‘

founding values given them a clear identity in an increasingly faceless corporate world.

There are also risks associated with this type of business in most notably the dissension that may arise within families, particular business family members who are actively working in the business vs. those who are solely shareholders.

As a family business grow, the owner/manager equation shift and complexity growth. More generation of the increasingly extended family and growing number of non family manager require more formal system.

Successful family business need to establish a board devoted to strategic business the family needs to be involved and informed preferably though dedicated channels such as a family council.

A board allows a family firm to establish its clear line of authority for different area of business. It ensures the stability and continuity of the policy and value that distinguish the firm. It also make a necessary distinction between matter of day to day management and issue of strategy enabling strategic issue to be properly and objectively addressed.

Boards allow the infusion of new ideas and broader range of experience from having outside director included. These members help on several fronts, simultaneously, assisting with the contentious internal issue, ensuring equal treatment between family and non family executive and contributing external prospective to strategic reflection.

An effective board, a logical organization structure and fair and transparent recruiting and promotion policies are the key drivers to ensuring the longevity and success of family business.

Pattern of relationship may not hold when it becomes a question of bringing in the second generation of what by then will be extended family. The continued existence of a business as a family member‘s depending on maintaining relationship with in a widening family circle.

Equally important in a family firm is growing it will have to draw in manager from outside the family, this will require management of the relationship between family and nonfamily member of the business the sharing of the power, which the acceptance of non family manager require, in one of the hardest issue for family business to come to term with.

Family businesses come in all shapes and size and experience every kind of success and failure. Those which never make the grade of expire with their founder will not reach the stage of the forming a board and appointing directors. There will also be those which deliberately decide not to grow in order to retain their original pattern of organization. It intend to focus on the issue face by those family business which need to formalized their structure in order to grow but which aim to do so in way which will both retain the family commitment and promote the business success of the business.

Argentina posses a federal system, the Law 1955, part of the Commercial Code, which regulates commercial entities. In Argentina there is not a specific regulation for family enterprises; they may adopt any of the available legal entities for commercial businesses. At the same time, Argentina‘s options for legal entity of commercial business are organized as numerusclausus, this means that parties cannot create new types of legal entity and they must comply with the requirements imposed by law to each of the types.

However, the law gives the remaining partner, member or shareholder three months to incorporate another party and avoid dissolution. During this period, the benefit of limited liability of the firm is suspended. The choices of legal entity with limited liability in Argentina available for family businesses are two: the SRL (Sociedad de ResponsabilidadLimitada) and the SA (SociedadAnonima). Partnerships cannot acquire limited liability status under Argentina‘s law. The entrepreneurs organize the firm by means of a contract or agreement (articles of organization) and an ―estatuto‖ (bylaws).

Founders of family business generally expect the business to pass to the next generation. But before that happens, ―transfer of control‖ of the business comes into place. In this process, the goals of the founder have to be pared

with the goals of the other family members. The instructor of a course of study on Continuing Legal Education developed by the American Law Institute and the American Bar Association in July 2001 recommended the transfer of control of the family business to be gradual.

This would involve that the founder;

(1) Identify one or more successor candidates with a sustained record of performance.

(2) Place candidates in positions of managerial control to test their abilities.

(3) Provide the specialized training to the candidates in how to run the company.

(4) Gradually delegate more and more day-to-day management authority to them while retaining ultimate control.

(5) Subject big decisions to collaboration between the owner and successor candidates.

(6) Appoint the most proven successor as President while the owner continues as Chairman.

(7) Finally, when the successor is prepared to take full control and the owner is ready to retire, transfer full control to the successor.

A family business implies an overlap of a ―family system‖ and a ―business system‖. The two systems function following different principles. The ―family system‖ operates on emotion-based bonds, unconditional acceptance, tolerance towards mistakes, equality rules, lifetime relationships and generational and birth order authority.

On the other hand, the ―business system‖ operates on basis of objective rational-based bonds, performance-based evaluations, recording of mistakes, competence and performance rule and power and role authority. Those

differences may provoke problems to arise. Also, normally there is no market for the ownership interests of these businesses.

Generally, these enterprises lack liquidity for the investments and they lack the kind of control of performance and management that markets provide for publicly held business. At the same time these characteristics provide a big strength, because ―that common bond of family gives that business the ability to plan for the long run, rather than trying to satisfy the short terms needs of faceless investors.

Social Problems:

Argentina is a federal constitutional republic. Cristina Fernandez de kirchner was related to the presidency in October 2011 in multiparty election that media and various nongovernmental organization (NGO) describe as generally free and fair. Security forces reported to civilian authorities but occasionally acted independently of civilian country.

The principal human rights problems included use of excessive forced by police sometimes resulting in death, action that risk impairing freedom of the press, and continuing infringement of the rights indigenous people.

Other human rights problem included prison condition, including mistreatment of some prisoner, occasional arbitrary arrest and detention prolonged pretrial detention, continued concern about judicial efficiency and independence, official corruption, domestic violence against women, child abuse, sex trafficking and forced labor, primarily within country, and child labor.

Judicial authority‘s prosecuted number of official who committed abused during the reporting period, however, some official engaged in corruption or other abuses with impunity.

The following are the problems which Argentina is facing and they are as follows:

Racial Discrimination:-

The government of Argentina has taken significant formal step; to eliminate the racial discrimination over the last decade. However the measure provided by legal and institutional changes is still in the initial stage of implementation.

Unemployment:-

Rate of unemployment in Argentina is increasing to 7.60% in the third quarter of 2012 from 7.20% in second quarter of 2012. Thus that shows Argentina is having very high rate of unemployment and they are facing many problems also.

Poverty:-

Argentina is relatively rich country. Yet despite this wealth, it is also a country with a relatively high level of poverty. Generally poor families have low level education, and have a large number of dependence so they will face problem in further.

Child and maternal health issues:-

The following are the issues in the above issues; a deterioration in the financing of different sub system, rise in the cost of importance medication and bio medication input as a result of currency devolution, an increasing the need for public hospital service, higher epidemiological risks, emotional instability due to the inability to deal.

Youth education and development issues:-

After economic crisis, many lived in severe poverty, which left a large percentage of children with in adequate living condition and education support. However, studies shows that despite the loss in family income Argentines have not removed their children from school.

Gender equity issues:-

Argentina has a history of female leaders, as well as internationally recognized images that symbolize the heavy participation of women in the political, social and domestic field and that shows that Argentina is giving equal importance to both male as well as female.

Applied technology issues:-

Argentina is a culturally rich country with an extremely educated population, abundant natural resources, and a growing economy. Growing frustrated with the lack of resources and social program offered, many locally run NGO‘s quickly filled the urgent need.

Marriage, Family and Kinship:-

Here marriage is decided by male and female freely and if the people are minor then only parents interfere in the marriage. The government only recognizes civil marriage.

Corruption:-

Argentina is deeply a corrupted country. Transparency international, a nongovernmental watchdog organization, ranks the land of the Gaucho 105th in this corruption index, just behind other models of good governance such as Algeria, Mexico and Greece.

Police Brutality:-

The major human rights groups today accuse the Argentina police of excessive violence and corruption, and charged that abusive police practices are exacerbating the problem of deteriorating public safety in Argentina.

These issues are hotly debated in the platforms of political parties. The population is unsure about the role of the police. Concerned with the increase in violent crimes in the last decades of the twentieth century, many people are demanding a stricter police control and reforms in the penal system which would extend the time of custody.

However, many people are not willing to grant more powers to the police force because they believe they are part of the problem. Insecurity and violence are closely associated with amazing unemployment, social anomie, and corruption at higher levels of government. There had been some cases of citizens killing criminals in theft attempts, causing controversy and public argue on the role of common citizens in law enforcement.

Food& Beverage Industry of Argentina

Argentina has slipped down our regional ranking for the food and drink market in relation to 2012 on account of the worsening of both its risk and rewards scores. We believe that the government‘s increasingly aggressive interventionist policies will result in more high inflation and low growth in 2013. Moreover, we expect productive capacity to continue to deteriorate as long as strict capital controls and import restrictions remain in place. All of this will be reflected in the weakening of consumer confidence, and we expect that inflation-related factors, rather than volume increases, will be key drivers of food and drink values‘ growth.The production of F&D (2011) in Argentina increased by 3.2% compared to 2010. The activities are mainly concentrated in the Provinces of Buenos Aires, Santa Fe, Cordoba and Mendoza.The Argentine market is dominated by 4 major retailers (Coto, Jumbo, Carrefour and Wal-Mart). Furthermore, supermarket sales in 2011 amounted US$ 54.7 billion.

Argentines are very fond of beef and pastas. Most restaurants offer a wide assortment of meat dishes and pastas. It is quite customary to buy fresh pasta for Sunday lunch, which is generally a family event. Breakfast is very light and generally includes coffee or tea and milk, toast, butter, and marmalade. At restaurants and hotels, breakfast also includes small croissants. Lunch is served from 12:30 P.M. to 2:00 P.M. It used to be the biggest meal of the day. This is changing because of tight work schedules that cause some working people to eat increasingly lighter dishes. There is generally an afternoon break for tea or coffee with cookies, sandwiches, pastries, and/or a piece of cake. Dinner is served from 9:00 P.M. to 10:00 P.M. There are no rigid food

taboos, but Argentines in general are not very adventurous when it comes to trying unusual foods, flavors, and combinations. People meet at any time of the day at cafés for an espresso or a cup of tea. These places are the heart and soul of urban culture in Argentina. People meet there to discuss politics and soccer, to flirt and make new acquaintances, to study, and to socialize with friends and dates.

Argentine edible oil industry has earned its leading place in the global marketplace as a result of the multi-million dollar investments made by the companies operating in the sector and the superb quality of its raw materials. The country is the world‘s largest exporter and third largest producer of soybean oil, the second largest exporter of peanut oil and a leading producer and exporter of sunﬂower oil. The dynamic growth of the local olive oil industry, targeting premium consumers, also places the country among the main olive oil producers in the world. Argentina has one of the most modern oilseed poles, with eﬃcient transport and communications logistics, including a specialized port system.

Argentina is one of the world‘s top corn and wheat producers, with its corn exports ranking second in the world and its wheat exports placing sixth among global producers. Over 138 companies work in the milling industry, developing high quality products for domestic as well as export markets. Wheat and corn processing have become more sophisticated, shiing towards a wide spectrum of products with high diﬀerentiation and levels of innovation. A range of byproducts and industrial inputs, including oils, ﬂours, yeast, thickening agents, sweeteners and gluten as well as consumer products like cookies, pasta and pastries are produced locally.

Argentine beef, poultry, pork and lamb are renown around the world for their incomparable quality. Exports grew on average 23% per year from 2003 to 2009. Modern processing plants allow for compliance with the strictest international and national sanitary measures. With a natural competitive advantage provided by its 4,725 kilometer coastline and eﬃcient netting and

processing technology, the local ﬁsh and seafood industry is recognized worldwide for the high quality of its catch and processed products.

Country‘s geographic and climatic diversity allow for the cultivation of a wide range of fruits, placing it among the world‘s leading exporters of lemons, pears, apples, blueberries, tangerines and plums. Argentina is also a prime year-round exporter and producer of ﬁrst-quality root and leaf vegetables, whose nutritional qualities are preserved thanks to highly eﬃcient distribution and logistical processes in place.

New investments in technology, improvements in pasteurization systems, process automation, a growth in biotechnology applications and constant innovation are just some of the factors that characterize production of dairy products in Argentina. With USD 1.8 billion in exports, the sector boasts great growth potential, particularly in speciﬁc segments such as cheese, which follow international best practices when it comes to production and quality.

Any occasion is a good excuse for having a barbecue. Festive dishes include: locro (a stew made with corn, meats, chorizos, pumpkins, and sweet potatoes), empanadas (generally meat turnovers, but they might also be filled with corn, ham and cheese, or chicken). Spanish paellas are also sometimes prepared for special gatherings. As Argentina is a wine-producing country, wine is always served at special gatherings and on holidays. Mate drinks are sometimes offered at some public events.

Since the late nineteenth century, Argentina had been mainly food self- sufficient. With the elimination of trade barriers, some food producers are finding it very difficult to compete with the price of some imports, causing a crisis in the agricultural sector. The majority of the population is urban and there are very few individuals who produce food for self-consumption. Large agribusinesses are mainly in charge of food production.

Most land is privately owned. All children have equal rights to inheritance from their parents irrespective of gender or majority. In some isolated areas, the population follows customary law to grant access to land and water. The state owns mineral resources such as oil, and contracts with private business for mineral exploitation.

Agriculture and livestock continue to be important economic activities, even though only a small number of Argentines live in rural areas. Argentina produces grains (wheat, corn, and barley), soybeans, sunflower seeds, lemons, grapes, tobacco, peanuts, tea, apples, and peaches.

Argentina specializes in food processing, tobacco products, textiles and garments, shoes and leather goods, paper products, construction materials, domestic appliances, printing, electronics, medical equipment, cars and utility vehicles, furniture, chemicals and petrochemicals, metallurgy, and steel.

Argentine exports in 1997 amounted to approximately US$26 million while imports amounted to approximately US$30 million. Exports include farming and livestock manufactures, 34 percent; industrial manufactures, 31.3 percent; primary products (non processed agrarian and mineral resources), 21.6 percent; and fuel and energy, 12.41 percent. Major exports are cereals, animal feed, motor vehicles (trucks, buses, and tractors), crude petroleum, steel, and manufactured goods. Major imports are motor vehicles (automobiles), organic chemicals, telecommunications equipment, electronics, plastics, and papers.

Most jobs are obtained through specific training in technical schools or on the job.The top food and beverage companies are divesting unprofitable businesses or businesses that do not strategically fit so that they can focus on core categories.

Public companies in particular are under immense pressure to get the return numbers they need. It is more difficult than ever to squeeze more costs out of the food and beverage industry, hence consolidation efforts to generate

growth and create more value—which help reduce competition and strip out costs.

It‘s not clear that the mergers and acquisitions trend of recent years will continue at its current pace, but that varies somewhat by country. Rather, there appears to be a cyclical process where there is brand consolidation and then de-consolidation, where companies start shedding brands they don‘t feel are core to their business.

In 2007, F&B exports amounted to US$17.8 billion—32% of total exports and 44% of manufacturing exports. The sector contributes around 5% to the country‘s GDP and exhibited a compound annual growth rate of 10% between 2002 and 2007. The sector accounts for 16% of the total expenditure on innovative activities and 8% of the total R&D investments performed in the manufacturing industry. Employing 30% of the manufacturing industry‘s workforce, its output per employee grew 40% in the last five years.

The F&B sector has a long tradition in Argentina, and has undergone important transformations during its history. Continuously incorporating technological advances, the industry has become increasingly competitive. During the 1990s, the food-processing industry was the prime destination of FDI in the country, receiving US$9 billion. Beverage firms were the largest recipients of FDI, accounting for over 40% of the total (mainly beer and non- alcoholic beverages).

Currently, the sector shows strong dynamism, recently reaching record production levels. Between 2002 and 2007 production increased 63%.

The recent sustained growth drove profitability and attracted local and foreign investments. During 2007, investment announcements in the sector reached US$774 millions, being the most relevant those by Coca-Cola (US$289 millions) and Cervecería Quilmes (US$109 millions) aimed at strengthening logistics, acquiring production technology and reducing environmental impact.

The food processing industry in Argentina is dynamic and growing, with new capital investments being made and growth expected. Some highlights of the industry are given below:

• There are approximately 21,500 food processors in Argentina, and their total output value is estimated at $26 billion.

• Of that total value, the oilseedprocessingindustryaccountsfor29%, followed by beverages with 21%, dairy with 10% and meat with 7%.

• The local food industry is expected to grow at a rate slightly above that of the general economy due to large capital investments and a growing focus on exports. In the next five years, the average annual industry growth rate is projected at 3-6%.

• The total value of raw materials utilized by the local food and beverage industry is estimated at $8.5 billion.

• The food ingredient market is estimated at $100 million, of which imported products account for about 15%. Flavorings total $55 million, while additive sand preservatives makeup the balance.

• The food ingredient market grew 28% in the period 1992-98. Although sales in 1999 dropped on account of the economic recession, a rebound is expectedin2000 and to continue onwards, as a reflection of a growing food and beverage industry.

The top food and beverage companies are divesting unprofitable businesses or businesses that do not strategically fit so that they can focus on core categories.

Indian exporters are invited to explore the potential for exports to Argentina. There is scope for increasing the volume of items already exported as well as for new items. These are: vehicles, two-wheelers, auto parts, machinery including for sugar industry and railways, solar and wind energy, chemicals, inputs for agriculture, agrochemicals, bulk drugs, dyestuff, textiles and handicrafts. Indian brands have started making their mark in Argentina. Mahindra Tractors and Royal Enfield Motorcycles were launched in Argentine market in March 2009. Bajaj motor cycles are sold in Argentina.

India‘s imports of soy and sunflower oil as well as copper are expected to increase steadily in the years to come. Wheat would be an import item as and when there is shortfall in Indian production. Argentine companies have been supplying CNG kits to India, wine, wool, leather, olives and dried vegetables and fruits.

Argentina has the potential for contributing to India‘s food security in future. At present, Argentina is a major source of edible oils for India. According to the Solvent Extractors Association of India (SEA), the requirement of edible oils in 2006 was 12 million tons of which 7 million were produced domestically and 5 million was imported. Imports shot up to over 7 million tons in 2009.

In 2010, the requirement of edible oils is expected to increase to 15 million tons and more in the years to come. But the production of oilseeds in India cannot match the demand and India will continue to be a long term importer of edible oils. In this respect, India can count on Argentina as a reliable source. Argentina is the world‘s largest exporter of soya oil and sunflower oil. Argentina has the third largest capacity for edible oil processing after China and USA.

India has imported wheat from Argentina from time to time, including purchase of 44 million dollars in 2008. Besides edible oil and wheat, Argentina can be a new source of pulses. India imports about 3 million tons of pulses from countries such as Myanmar, Australia, Turkey and Canada. Although, India does not import any pulses from Argentina at present, the Argentine soil is suitable for cultivation of pulses of interest to India.

The Argentine agribusiness companies are willing to grow these, attracted by the large and growing market in India. It is advisable for Indian companies to think beyond imports and go in for acquisition of land in Argentina to grow oil seeds, wheat and pulses. There is no restriction on foreign investment in land in Argentina.

A number of foreign companies and individuals own thousands of hectares of land. Sterling Group of NRI Sivasankaran has acquired an olive farm of 1700 hectares in the Catamarca province of Argentina. A Non-Resident Indian company ‗Olam‘ has leased 17,000 hectares of land in Argentina to produce peanuts. Encouraged by the success of this venture, they are now planning to grow wheat, soya and pulses with additional leasing of land. Land is available in lots of hundreds and thousands of hectares.

SEA had sent two delegations to Argentina (also Uruguay, Paraguay and Brazil) in 2006 and 2007 to study the possibility of acquisition of land for production of oilseeds. They have already formed a consortium of 14 companies which proposes to invest in agricultural land in the region. To start with, they have a plan to invest 40 million dollars in Uruguay. Besides SEA of India and STC, private sector groups have also shown interest in acquisition of land in Argentina.

India is going to be under more pressure for agricultural land in future. India´s population increases by 15 million every year and it adds a new Argentina (40 million) every 32 months. On the other hand, agricultural land is diminishing because of the increasing use for residential, industrial and commercial purposes. This is in contrast with Argentina which has a small population of 40 million with an area almost equal to that of India.

Besides the large area, the Argentine productivity of grains and oilseeds are three times that of India. For example, average yield per hectare of soya in India is 900 kg while the Argentine average is 3 tons. In India, the subsistence farmers with their average land holding of just a few acres are unable to invest and increase productivity significantly. But the Argentine farmers who hold thousands of hectares of land do farming commercially and professionally and are able to invest in innovation and productivity.

Argentina can also contribute, to a small extent, to India´s energy security. Argentine oil resources are under-explored. They have 2 billion barrels of discovered reserves and are currently producing 800,000 bpd. They are just starting off-shore exploration and the land area has not been fully explored.

Indian oil companies in public and private sector could make entry here. Reliance has formed a joint venture with an Argentine private company Pluspetrol (along with an Australian company Woodside) and their consortium has won concessions in Peru and Bolivia for oil and gas exploration. They are also exploring opportunities in Argentina and in other countries of the region.

ONGC Videsh Ltd. (OVL) has signed an MOU with their Argentine counterpart ENARSA and jointly seeks opportunities in Argentina and in this region.

Argentina is the third largest exporter of bio-diesel in the world. They exported over 1.5 million tons in 2011 and are increasing production capacity to 3.5 million tons by 2012. India can also consider imports from Argentina.

There are thousands of hectares of land available in the warmer northern parts of Argentina where jatropha can be grown and used to produce biodiesel. The Indian companies can also invest in commercial forestry in Argentina to take back to India wood and paper pulp which are imported by India regularly.

The Argentine Food Code (CódigoAlimentarioArgentino – CAA, in Spanish) is the technical rule created by Law #18284, which was passed in 1969 and put into force by Decree #2126 in 1971. It regulates locally produced and imported food products. The main goal of CAA is to protect public health and

the good faith in commercial transactions of food products within the national territory of Argentina.

Overall, Argentina does not officially have any special packaging or container size requirements or preferences, with the exception of certain products such as salt. It is a marketing issue that the consumer determines what type of package/container size he/she prefers.

Although during the past couple of years the Government of the City of Buenos Aires has been working on creating awareness among the population on the importance of protecting the environment and getting involved in recycling waste, there are no official municipal waste disposal laws or product recycling regulations that affect imported food products in particular.

Before the product is shipped, it must undergo a "pre-shipment inspection" in the country of origin, carried out by an international certification company appointed by the GOA. The GOA‘s objective is to compare the merchandise shipped with the price paid for it in order to avoid under-billing. These companies have offices in all major U.S. ports. Health supplements that contain certain ingredients should have a "warning" sign and specific language determined on a case-by-case basis. INAL regulates this requirement according to CAA standards. U.S. bar codes can remain on the package, and most retailers make use of them.

Product samples with no commercial value (under US$100) do not pay import duties. Regular mail should be used. Post recommends that exporters coordinate with importers/agents on this matter as a certificate of free circulation must be obtained for all samples at INAL.

U.S. products and by-products of animal origin can only be imported from U.S. plants approved by the United States Department of Agriculture and the Food and Drug Administration, and must be accompanied by an official health certificate. While SENASA accepts products from any FSIS/FDA-approved facility, it reserves the right to prior inspection and approval of the establishments of origin, when deemed necessary. All U.S. meat plants

exporting products and by-products of animal origin to Argentina may be audited by SENASA.

In India, in case an export or import that is permitted freely under this Policy is subsequently subjected to any restriction or regulation, such export or import will ordinarily be permitted notwithstanding such restriction or regulation, unless otherwise stipulated, provided that the shipment of the export or import is made within the original validity of the irrevocable letter of credit established before the date of imposition of such restriction.

Every exporter or importer shall comply with the provisions of the Foreign Trade (Development and Regulation) Act, 1992, the Rules and Orders made there under, the provisions of this Policy and the terms and conditions of any licence/certificate/permission granted to him, as well as provisions of any other law for the time being in force.

Private/Public bonded warehouses may be set up in the Domestic Tariff Area as per the terms and conditions of notification issued by Department of Revenue. Any person may import goods except prohibited items, arms and ammunition, hazardous waste and chemicals and warehouse them in such private/public bonded warehouses. Such goods may be cleared for home consumption in accordance with the provisions of this Policy and against Licence/certificate/ permission, wherever required. Customs duty as applicable shall be paid at the time of clearance of such goods. If such goods are not cleared for home consumption within a period of one year or such extended period as the custom authorities may permit, the importer of such goods shall re-export the goods.

All goods may be exported without any restriction except to the extent such exports are regulated by ITC(HS) or any other provision of this Policy or any other law for the time being in force. The Director General of Foreign Trade may, however, specify through a public notice such terms and conditions according to which any goods, not included in the ITC(HS), may be exported without a licence/ certificate/ permission.

Trade barriers are measures that governments or public authorities introduce to make imported goods or services less competitive than locally produced goods and services. Not everything that prevents or restricts trade can be characterized as a trade barrier.

A trade barrier may be linked to the very product or service that is traded, for example technical requirements. A barrier can also be of an administrative nature, for example rules and procedures in connection with the transaction.

The SPS Agreement permits member countries to impose measures to protect human, animal and plant life or health. Furthermore, the Agreement, through its provision for adherence/adoption of Codex standards, which in turn provide for legislative framework for imports and the role for official/government inspection/certification agencies and recognition of such agencies at the exporting country's end through equivalence agreements, permits members to establish formal systems of import control to ensure the appropriate degree of protection for their populace.

Taking strength from these Agreements developed and developing countries have installed strong import control systems in the food sector. Many of these countries also maintain export inspection systems, but these are very minimal and basically cater for providing sanitary, phytosanitary or health certificates when desired by the importing country.

Argentinean candies, chocolates, ready to cook meals and desserts can certainly be a success in the Indian market. We should keep in mind that Argentina has a vast and world renowned food industry. For this, GI could easily supply some products that are highly demanded in India and can reach the market at highly competitive prices

With our future counterpart we could also develop agricultural projects in Argentina targeting our production to India. This will assure the Indian importer low prices corresponding to the production costs.

The key opportunities in food processing sector are- Processable varieties of crop Contract farming

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Investments in infrastructure through Public Private partnership (PPP) Mega Food parks Integrated cold chain Food safety Management Systems

Rapid transformation in the lifestyle of Indians, particularly those living in urban India, has resulted in dramatic increase in the demand for processed food. The main reason why processed food is luring the urban Indians is the convenience that it offers to cooking, as they don't need to spend hours in kitchen to get that appetizing food. Growth in working women's population and prevalence of nuclear families with double income are other trends causing this change in the lifestyle of Indians.

These trends have largely impacted the Indian food-processing sector, as there's been a jump in the demand for processed, ready-to-eat and ready-to- cook food. Amount of money spent by Indian on foods outside home has been assessed to have more than doubled over the last ten years to nearly $5Billion a year.

Also, it's likely to double in the five years to come. These trends entail significant growth potential for the food processing industry in future and, as a result, add to the attractiveness of investment in this sector.

Bta. (Barcelona tecnologias de la alimentacion) has invested on an international scale in gaining professional visitors from markets where the food industry plays a very important role, or markets with business potential in technology and machinery for the food industry, particularly those from the Mediterranean region, Latin America and other emerging countries. In particular, these include: Germany, Argentina, Brazil, Chile, Colombia, Mexico, Venezuela, Algeria, Morocco, Tunisia, Turkey, China, India, Saudi Arabia, Iran, Russia, Ukraine, Angola and Senegal. Among the main activities being developed to bring these markets closer to professionals, the following stand out:

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direct promotion business meetings trade missions business opportunity presentations the aforementioned markets direct marketing activities Above activities organized in collaboration with the main Associations in each market. Likewise, the commitment to the IBC-International Business Center or Meeting Point with the international visitor is of note, whereby a comprehensive information service and sectorial consulting is provided for all overseas visitors while the show is being held.

India's mainstay is agriculture. Entrepreneurs can explore many options in the food grain cultivation and marketing segments. Inefficient management, lack of infrastructure, proper storage facilities leads to huge losses of food grains and fresh produce in India.

Entrepreneurs can add value with proper management and marketing initiatives. The processed food market opens a great potential for entrepreneurs be it fast food, packaged food or organic food. Fresh fruits and vegetables too have a good demand abroad. A good network of food processing units can help potential exporters build a good business.

The global food and beverage (F&B) market is valued at approximately US$4 trillion with food sales accounting for 70% of the market.It produces 100 million tons of food products and exports more than 50 million tons.Argentina is the second largest producer of agricultural commodities and livestock after USA.It is the world‘s largest exporter of soy oil and sunflower oil, the second largest exporter of corn, third largest producer of beef , soybeans and biodiesel and fourth largest of wheat.Argentina is the fifth largest producer of wine in the world with a production of 2.5 million liters.The production of F&D (2011) in Argentina increased by 3.2% compared to 2010.The activities are mainly concentrated in the Provinces of Buenos Aires, Santa Fe, Cordoba and Mendoza.The Argentine market is dominated by 4 major retailers (Coto,

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Jumbo, Carrefour and Wal-Mart).Furthermore, supermarket sales in 2011 amounted US$ 54.7 billion.Food and drink is an important component of the manufacturing industry in Argentina, accounting for 25% of Manufacturing‘s GDP.

EXECUTIVE SUMMARY OF AUTOMOBILE INDUSTRY OF ARGENTINA

The Indian Automobile Industry is manufacturing over 11 million vehicles and exporting about 1.5 million every year. The dominant products of the industry are two wheelers with a market share of over 75% and passenger cars with a market share of about 16%.

Commercial vehicles and three wheelers share about 9% of the market between them. About 91% of the vehicles sold are used by households and only about 9% for commercial purposes. The industry has attained a turnover of more than USD 35 billion and provides direct and indirect employment to over 13 million people.

The supply chain of this industry in India is very similar to the supply chain of the automotive industry in Europe and America. This may present its own set of opportunities and threats. The orders of the industry arise from the bottom of the supply chain i. e., from the consumers and go through the automakers and climbs up until the third tier suppliers. However the products, as channeled in every traditional automotive industry, flow from the top of the supply chain to reach the consumers.

Interestingly, the level of trade exports in this sector in India has been medium and imports have been low. However, this is rapidly changing and both exports and imports are increasing.

The demand determinants of the industry are factors like affordability, product innovation, infrastructure and price of fuel. Also, the basis of competition is the sector is high and increasing and the life cycle stage is growth. With a rapidly growing middle class, all the advantages of this sector in India are yet to be leveraged.

Note that, with a high cost of developing production facilities, limited accessibility to new technology and soaring competition, the barriers to enter the Indian Automotive sector are high and these barriers are study. On the other hand, India has a well-developed tax structure.

The power to levy taxes and duties is distributed among the three tiers of Government. The cost structure of the industry is fairly traditional, but the profitability of motor vehicle manufacturers has been rising over the past five years. Major players, like Tata Motors and Maruti Suzuki have material cost of about 80% but are recording profits after tax of about 6% to 11%.

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The level of technology change in the Motor vehicle Industry has been high but, the rate of change in technology has been medium. Investment in the technology by the producers has been high. System-suppliers of integrated components and sub-systems have become the order of the day.

However, further investment in new technologies will help the industry be more competitive. Over the past few years, the industry has been volatile. Currently, India‘s increasing per capita disposable income which is expected to rise by 106% by 2015 and growth in exports is playing a major role in the rise and competitiveness of the industry.

Consumers are very important of the survival of the Motor Vehicle manufacturing industry. In 2008-09, customer sentiment dropped, which burned on the augmentation in demand of cars. Steel is the major input used by manufacturers and the rise in price of steel is putting a cost pressure on manufacturers and cost is getting transferred to the end consumer. The price of oil and petrol affect the driving habits of consumers and the type of car they buy.

Both, Industry and Indian Government are obligated to intervene the Indian Automotive industry. The Indian government should facilitate infrastructure creation, create favourable and predictable business environment, attract investment and promote research and development.

The role of Industry will primarily be in designing and manufacturing products of world-class quality establishing cost competitiveness and improving productivity in labour and in capital. With a combined effort, the Indian Automotive industry will emerge as the destination of choice in the world for design and manufacturing of automobiles.

The Appellate Body found that the "increased imports" element under the SA requires not only an examination of the "rate and amount" (as opposed to just comparing the end points) of the increase in imports, but also a demonstration that "imports must have been recent enough, sudden enough, sharp enough and significant enough, both quantitatively and qualitatively, to cause or threaten to cause 'serious injury'". Argentina had failed to consider adequately import trends and quantities.

FACTS:

The Automotive Industry in India is one of the largest industries and a key sector of the economy.

The Indian automotive industry started from 1991with the government‘s de- licensing of the sector and subsequent opening up for 100 per cent FDI through automatic route.

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Since then many large global companies have set up their facilities in India taking the production of vehicle from 2 million in 1991 to 9.7 million in 2006.

At present, India is the worlds

Largest tractor and three-wheel vehicle producer. Second largest two-wheel vehicle producer. Fourth largest commercial vehicle producer. Eleventh largest passenger car producer.

Highlights of Indian Automobile Industries

 India is the world's largest two wheel manufacturer.

 India is the world's second largest tractor manufacturer.

 India has the fourth largest car market in Asia.

 India has the world's largest three wheeler mark

Automobile Dealers Network in India

In terms of Car dealer networks and authorized service stations, Maruti leads the pack with Dealer networks and workshops across the country. The other leading automobile manufacturers are also trying to cope up and are opening their service stations and dealer workshops in all the metros and major cities of the country.

Dealers offer varying kind of discount of finances who in tern pass it on to the customers in the form of reduced interest rates.

Major Manufacturers in Automobile Industry

 Maruti Udyog Ltd.  General Motors India  Ford India Ltd.  Eicher Motors  Bajaj Auto  Daewoo Motors India  Hero Motors  Hindustan Motors  Hyundai Motor India Ltd.  Royal Enfield Motors  Telco  TVS Motors  Swaraj Mazda Ltd

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IMPORT EXPORT OPPORTUNITIES IN ARGENTINA

ABOUT ARGENTINA Argentina officially the Argentine Republic is a country in South America, bordered by Chile to the west and south, Bolivia and Paraguay to the north and Brazil and Uruguay to the northeast. Argentina is a founding member of the United Nations, Mercosur, the Union of South American Nations, the Organization of Ibero-American States, the World Bank Group and the World Trade Organization, and is one of the G-15 and G-20 major economies. A recognized regional power and middle power Argentina is Latin America's third-largest economy with a "very high" rating on the Human development index Within Latin America, Argentina has the fifth highest nominal GDP per capita and the highest in purchasing power terms.

ARGENTINA REPUBLIC Capital of Argentina is Buenos Aires. There are other major city namely, Córdoba (pop. 1 350 000), Rosario (pop. 1 158 000), Mendoza (pop. 800 000), Santa Fe (pop. 360 000), Mar del Plata, La Plata, Tucuman. Languages spoken by Argentinean are Spanish (Official), English, Italian, German, French. There is 97% literacy in Argentina. Area of Argentina is Total (2,780,440km2) (1,073,518 sq mi). Currency is Peso ($) (ARS). Gdp of Argentina is Total ($746.927 billion), per capita income of Argentina is ($11,572) and agriculture product produced by Argentina is the Grains, oilseeds and by-products, lemons, soybeans, grapes, corn, tobacco, peanuts, tea, wheat; livestock. On other hand there are many emerging industry namely, Food processing, oil refining, machinery and equipment, textiles, chemicals and petrochemicals.

MODERN HISTORY OF FOREIGN TRADE OF ARGENTINA Argentina recorded trade surpluses for most of the period between 1900 and 1948, including a cumulative US$1 billion during World War I and

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US$1.7 billion during World War II. Tax exposed by the administration of President Juan Perón to control trade deficit between 1949 and 1962. The administration of President Arturo Frondizi, encouraged foreign investment so ,due to foreign investment increased in highest standard of living, domestic and foreign investors responded, industrial production more than doubled, Policies of "free trade" and financial deregulation pursued by Argentina's last dictatorship led to a sudden, record deficit in 1980 and, by 1981, a mountain of bad debts and financial collapse.

Economy Minister Domingo Cavallo enacted the Convertibility Law of 1991. Taking advantage of this low exchange rate, on the lower tariffs on imports and on the reappearance of credit after the free trade liberalization measures taken by President Carlos Menem's administration, Argentine firms and consumers tripled capital goods purchases from 1990 to 1994, while depressed auto sales rose by fivefold. There were deficit prevailing in Argentina market so central bank forced to borrowing money to protect peso‘s value against such pressure there were surplus money US$ 1 billion and US$ 6 billion in 2000 as well as 2001 respectively. On 23 December 2001 Argentina government declared a default on US$93 billion of its bonds, the largest sovereign debt default in history.

CRISIS AND RECOVERY Argentine economy collapse at the end of 2001 and the devaluation of the peso in 2002. As recovery ensued and the exchange rate stabilized around 3 pesos/dollar, exports grew steadily. Imports began recovering sharply in 2003; from 2003 to 2011 the nation's merchandise trade balance recorded a cumulative US$115 billion in surpluses. The nation's perennial trade deficit in manufactures widened during this expansion, however, and exceeded US$30 billion in 2011. Accordingly, the system of non-automatic import licensing was extended in 2011, and regulations were enacted for the auto sector establishing a model by which a company's future imports would be determined by their exports. Import dominated by information technology, major appliances, footwear, and farm machinery.

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OVERVIEW OF ARGENTINA MARKET Argentina is the third largest market in Latin America with a GDP of 386 billion dollars, after Brazil and Mexico. Argentina is one of the richest countries in the world. Argentina is an agricultural power. It produces 100 million tons of food products and exports more than 50 million tons. It is a large exporter of wheat, soya and meat. It is the world‘s largest exporter of soy oil and sunflower oil, the second largest exporter of corn, third largest producer of beef , soybeans and biodiesel and fourth largest of wheat. Argentina is using at present only 34 million hectares for agriculture. Argentina has a large area -almost equal to that of India- with a variety of fertile soils and climates. The vast fertile plains, is one of the most productive regions in the world. They are supported by an excellent network of research and development laboratories. Argentina has developed an efficient infrastructure, logistics and network for transportation and shipping. The food processing industries of Argentina are one of the most advanced in the world and globally competitive. Argentina is self-sufficient in energy and a net exporter of oil and gas. It produces 850,000 barrels per day of crude oil of which 300,000 are exported. The Argentine manufacturing industry is relatively large and diversified. It is strong in food processing, automobiles, autoparts, engineering, metallurgy, pharmaceuticals and biotechnology. Argentina has a population of 40 million. It had the earliest railroads, metro and industrial development. Buenos Aires city was built like the Paris of Latin America with elegant parks, public buildings, apartment blocks, theatres, cafes, restaurants and bars. Argentina celebrated its 25th anniversary of the restoration of democracy in 2008. In the last nine years (after the 2002 crisis), the macroeconomic fundamentals of the economy have become strong and stable. This has been recognized and commended by external observers, including IMF and World Bank. The Argentines from all walks of life, including political leaders, businessmen, and professionals have, now a new mindset, especially after

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the historic 2001 crisis. Policy-makers and the people in general are now looking towards the future with confidence, hope and vision. Indian exporters are invited to explore the potential for exports to Argentina. There is scope for increasing the volume of items already exported as well as for new items. India‘s imports of soy and sunflower oil as well as copper are expected to increase steadily in the years to come. Wheat would be an import item as and when there is shortfall in Indian production. Argentina is a major source of edible oils for India. According to the Solvent Extractors Association of India (SEA), the requirement of edible oils in 2006 was 12 million tons of which 7 million were produced domestically and 5 million was imported. India has imported wheat from Argentina from time to time, including purchase of 44 million dollars in 2008. Besides edible oil and wheat, Argentina can be a new source of pulses. The Argentine agribusiness companies are willing to grow these, attracted by the large and growing market in India. There is no restriction on foreign investment in land in Argentina. A number of foreign companies and individuals own thousands of hectares of land. Sterling Group of NRI Sivasankaran has acquired an olive farm of 1700 hectares in the Catamarca province of Argentina. They have already formed a consortium of 14 companies which proposes to invest in agricultural land in the region. India is going to be under more pressure for agricultural land in future. India´s population increases by 15 million every year and it adds a new Argentina (40 million) every 32 months. This is in contrast with Argentina which has a small population of 40 million with an area almost equal to that of India. Besides the large area, the Argentine productivity of grains and oilseeds are three times that of India. They have 2 billion barrels of discovered reserves and are currently producing 800,000 bpd. They are also exploring opportunities in Argentina and in other countries of the region. ONGC Videsh Ltd. (OVL) has signed an MOU with their Argentine counterpart ENARSA and jointly seeks opportunities in Argentina and in this region.

Trade (US $ million) Year 201 201 200 200 200 200 200 200 200 200 200 200

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1 0 9 8 7 6 5 4 3 2 1 0 India‘ 560 496 342 492 384 303 261 160 136 85 151 143 s expor ts India‘ 121 203 876 836 859 929 739 567 558 404 446 442 s 4 2 impor ts

The trade is very much below the potential. During the visit of the President of Argentina to India in October 2009, the two Governments set a target of 3 billion dollars of bilateral trade by 2012.

IMPORT-EXPORT POLICY OF ARGENTINA TRADE SUMMARY The U.S. goods trade surplus with Argentina was $5.4 billion in 2011, an increase of $1.8 billion from 2010. U.S. goods exports in 2011 were $9.9 billion, up 33.7 percent from the previous year. U.S. exports of private commercial services to Argentina were $4.6 billion in 2010 and U.S. imports were $1.5 billion. Sales of services in Argentina by majority U.S.-owned affiliates were $6.3 billion in 2009.

IMPORT POLICIES Tariffs Argentina is a member of the MERCOSUR common market MERCOSUR Common External Tariff (CET) averages 11.5 percent and ranges from zero percent to 35 percent ad valorem. In December 2011, the MERCOSUR members agreed to increase import duty rates temporarily to a maximum rate of 35 percent on 100 tariff items per member country. Several U.S. industries have raised concerns about prohibitively high tariffs and other taxes in Argentina on certain products, including apples, distilled spirits, restaurant equipment, and motorcycles. Argentine consumers are now required to pay an additional 10 percent tax on such vehicles imported from outside MERCOSUR. These compound import duties do not apply to goods from MERCOSUR countries and cannot exceed an ad valorem equivalent of 35

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percent. Although the DIEMs expired on December 31, 2010, and the government of Argentina has not formally extended them, they are still being charged. The plan was to take effect in three stages with the first phase to have been implemented no later than January 1, 2012. That deadline was not met, however, and the CCC still must be ratified by MERCOSUR‟ s member countries Nontariff Barriers Argentina has imposed a growing number of customs and licensing procedures and requirements that makes importing U.S. products more difficult. A number of U.S. companies with operations in Argentina have expressed concerns that the measures have delayed exports of U.S. goods to Argentina and, in some cases, stopped exports of certain U.S. goods to Argentina altogether. During 2011, the government of Argentina increased its reliance on a growth strategy that is based heavily on import substitution. To carry out this strategy, Argentina increased its use of non-automatic import licenses (see more detailed discussion below) and imposed other nontariff barriers. In early January 2012, Argentina announced a new measure requiring companies to file online affidavits and wait for government review and approval before they can import. The measure became effective on February 1, 2012. Argentina prohibits the import of many used capital goods. Local legislation requires compliance with strict conditions on the entry of those used capital goods that may be imported, which are also subject to import taxes up to 28 percent and a 0.5 percent statistical tax. On December 31, 2010, Argentina reintroduced an import prohibition on used clothing, which is due to expire in 2015. Import Licensing: Argentina imposes automatic import licensing requirements on 2,100 tariff lines, In 2011, Argentina continued and expanded the use of non- automatic licenses to protect sectors that the Argentine government deems sensitive. U.S industry representatives complain that the wait time for the issuance of non-automatic licenses often extends beyond 60 days to 100 days or more, partly due to backlog of license applications. Since 2005, the government of Argentina has also required non-automatic import licenses for

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toys and shoes. Shoe import licenses are valid for only 120 days and, according to exporters, obtaining them involves especially burdensome procedures.

Customs Valuation: Argentina currently applies reference values to several thousand products. In 2011, goods covered by approximately 50 tariff lines were added to that list of products. The benchmarks establish a minimum price for market entry and dutiable value. Argentina has stated that the rule is designed to discourage under- invoicing and fraudulent under-payment of customs duties. Customs External Notes 87/2008 of October 2008 and 15/2009 of February 2009 establish administrative mechanisms that restrict the entry of products deemed sensitive, such as textiles, apparel, footwear, toys, electronic products, and leather goods. The tax collection agency (AFIP) charges import duties based on pre-established reference prices on these several thousand products. On October 14, 2011, AFIP issued Note 15/2011, which permits large importers to establish in-house customs services that are pre-approved by the Argentine government in order to establish their own reference prices. Ports of Entry: Argentina restricts entry points for several classes of goods, Since the first measure regarding the limitation of ports of entry was formally announced in 2005, several provincial and national legislative authorities have requested the elimination or modification of the specialized customs scheme. Customs Procedures In August 2009, AFIP revised certificate of origin requirements for a list of products with non-preferential origin treatment through External Note 4. To receive the most favored nation tariff rate, the certificate of origin must be certified by an Argentine consulate. Simplified customs clearance procedures on express delivery shipments are only available for shipments valued at $1000 or less. These regulations increase the cost not only for the courier, but also for users of courier services. The U.S. Government has raised these policies with the Ministry of Federal Planning, Public Investment and Services, the Directorate of Customs, and the National Administration of Civil Aviation.

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EXPORT POLICIES The Argentine government imposes export taxes on all but a few exports, including significant export taxes on key hydrocarbon and agricultural commodities. Total export tax revenue in 2011 was equal to 15.6 percent of the value of all Argentine exports, including goods not subject to export taxes. The following major agricultural commodities are currently subject to export taxes: soybeans at 35 percent; soybean oil and soybean meal at 32 percent; sunflower meal and sunflower oil at 30 percent; wheat at 23 percent; and corn at 20 percent. The difference in tax rates between raw and processed products appears to create large incentives to process those commodities locally, particularly for soybeans, which are turned in to oil and in turn provide the feedstock for Argentina‘s rapidly growing biodiesel industry. Export Registrations the government of Argentina requires major commodities to be registered for export before they can be shipped out of the country Until 2011, the National Organization of Control of Agricultural Commercialization (ONCCA) administered the Registry of Export Operations for meat, grain (including vegetable oils), and dairy products under the provisions of Resolution 3433/2008. After ONCCA was dismantled in early 2011, administration of the Registry of Export Operations was transferred to the Ministry of Agriculture, but reportedly there have been no major changes to procedures for registering exports. Argentina continues to impose time restrictions on grain and oilseed exports depending on when the export tax is paid. Under applicable regulations, export permits are valid for 45 days after registration is approved. Government procurement Law 25551 of 2011 establishes a national preference for local industry for most government procurement. In March 2011, the Argentine Senate approved an amendment to Law 25551 extending the entities subject to the ―Buy Argentine‖ regime to include: (a) offices within the Argentine public sector (centralized and decentralized public administration); (b) social security institutions; (c) state-owned companies; (d) private legal entities engaged in

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public works and licensees and concessionaires of public utilities and other services (fixed and mobile communications, freight transportation, mining, oil and gas, etc.); (e) provincial public entities; and (f) private entities with tax benefits. As of December 2011, the Draft Law was still pending in the Argentine Lower House. Intellectual property rights protection Argentina continued to be listed on the Priority Watch List in the 2011 Special 301 report. Recently, the Argentina has taken a number of positive and encouraging steps on intellectual property rights (IPR) protection. Argentina has taken steps to address its patent backlog, but it still does not provide adequate protection against unfair commercial use and unauthorized disclosure of undisclosed test and other data generated to obtain marketing approval for pharmaceutical products.

SERVICES BARRIERS Audiovisual Services U.S. industry remains concerned with the added costs associated with exporting movies to Argentina due to measures governing the showing, printing, and dubbing of films. Beginning on August 30, 2011, under Resolution 2114/2011, the National Institute of Cinema and Audiovisual Arts is authorized to tax foreign films screened in local movie theaters. In October 2009, the Argentine Congress passed Law 26.522 regulating audiovisual communication services Law 26.522 would limit foreign ownership of media outlets to 30 percent, require minimum national content of 60 percent to 70 percent, require that all signals owned wholly or partially by the national government be included, set a minimum screen quota for Argentine movies, and require a fee on foreign programmers in the amount of 0.5 percent of annual revenue for acquiring Argentine films. Insurance Services Beginning on September 1, 2011, local insurers may only contract reinsurance from locally based reinsurers On October 27, 2011, the Argentine insurance regulator issued Resolution 36.162 requiring that ―all investments

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and cash equivalents held by locally registered insurance companies be located in Argentina.‖ Nevertheless, foreign insurance firms have reported pressure by the Argentine government to sell their dollars for pesos. Many of these companies have liabilities denominated in dollars, making this foreign exchange requirement difficult to meet.

Investment barriers: Pension System3 The Argentine parliament approved a bill to nationalize Argentina‘s private pension system and transfer pensioner assets to the government social security agency in November 2008. Foreign Exchange and Capital Controls In November 2011, Argentina eliminated the exceptions previously granted to hydrocarbon and mining exporters Revenues from exporting to Argentine foreign trade zones and from re-exporting some temporary imports are still exempted from this requirement. Time limits on fulfilling the obligation to convert to pesos range from approximately 60 days to 360 days for goods (depending on the goods involved) and 15 days for services. A portion of foreign currency earned through exports may be used for foreign transactions. In May 2005, the government issued Presidential Decree 616 revising registration requirements for inflows and outflows of capital and extending the minimum investment time period from 180 days to 365 days. Non-Payment of Investment Treaty Awards Nine U.S. firms have pending cases against the government of Argentina in investor-state arbitration under the United States-Argentina BIT, although there are reports that two of those claims have now been settled Investor-state arbitral tribunals have ruled against Argentina in a number of these cases, awarding hundreds of millions of dollars to U.S. investors In 2008, the U.S. Government filed a submission in an arbitration rebutting Argentina‘s argument and reaffirming its view that Argentina is obligated to pay final ICSID awards immediately. Arbitral tribunals have consistently rejected Argentina‘s argument. As a result of Argentina‘s failure to pay two final ICSID awards, the two U.S. companies to which these awards are owed have filed petitions with the

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Office of the United States Trade Representative seeking the suspension of all benefits to Argentina under the Generalized System of Preferences (GSP).

ARGENTINA BUSINESS OPPORTUNITIES here are many Key Industries in Argentina like Food-processing, Motor Vehicles, Consumer Durables, Textiles, Chemicals/Petrochemicals, Printing, Metallurgy, Steel There are many Key Imports from other company like Machinery, Motor Vehicles, Petroleum and Natural Gas, Organic Chemicals, Plastics There are Key Exports from Argentina like Soybeans & Derivatives, Vehicles, Petroleum and Gas, Corn, Wheat.

SECTOR OPPORTUNITIES FOR IMPORT- EXPORT WITH ARGENTINA Telecommunications Since November 2000, Argentina‘s telecommunications market has been completely liberalized, creating one of the fastest-growing telecommunications markets in Latin America The telecommunications equipment market is dominated by international companies like Siemens, Ericsson, Alcatel, Motorola and Lucent Technologies. There is also a growing trend for telecommunications companies to offer ‗bundled‘ packages offering voice, cable television and internet services. The number of subscribers to mobile phone lines reached 38.0 million in 2009. Broadband connections have also increased rapidly in recent years, growing by 26 percent in 2009 to reach 3.7 million subscribers. Food Processing Engineering and Technology The food processing industry is the main industrial and export sector of Argentina. Major sectors include fat and oil vegetable processing, meat, poultry and beverages Despite strong investment in the Argentine dairy industry throughout the 1990s, economic recession, lack of local finance and difficulty securing offshore credit have all constrained expansion throughout the food processing industry. The beef and sheep meat industry, by contrast, has suffered from an almost total lack of investment. Argentineans are the

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largest consumers of beef worldwide and the domestic market remains very strongs Building Products Argentina‘s building product market has a high growth rate, particularly for new innovative products and standardized building supplies. The largest and most dynamic import items are high quality tiles and finishes, high quality doors and windows, bathroom and kitchen equipment and accessories, high quality wool-based products, saunas, spa pools and other similar equipment and insulation material. Agritech Argentina is one of the world‘s main agricultural and livestock producers, and export agricultural commodities account for about two thirds of the country‘s total export earnings. Agricultural machinery is a growing market as farmers look to increase yields and productivity gains. Innovative technologies such as GPS soil and crop monitoring systems will lead this drive, and there is also increasing demand for accessories and devices that provide better measurements of seed, agrochemical and fertilizer volumes and requirements. There is large potential for exporters to enter this market, which is currently dominated by imports from the Unites States and Israel.

Education The majority of Argentines that study abroad are young people between 18 and 30 years of age. India is a fairly new and unknown destination with less than 1 percent of the market share. This is an agent market, with 75 percent of the people that study abroad choosing a school and enrolling using the services of education consultants. It has low fees and a low cost of living, personal safety, the same school year / seasonal cycle, a summer season in India during Argentine school holidays and high education standards. Sustainability Sustainability awareness by the government is high and there are many new plans underway to implement sustainability practices into all aspects of government and local government, as well as making the public aware of the wider issues of sustainable development. In June 2007 the

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Argentine Environment Secretary launched the ―Sustainable Cities Programmed‖ which is an initial step towards facilitating local governments to adopt environmentally friendly strategies. Over the past five years, the Argentine government has made ambitious plans to develop renewable energy sources, along with ongoing mineral and mining exploration activities. According to a Pew Global Attitudes survey in 2009, 94 percent of Argentines perceive global warming to be a serious problem. Over 70 percent believe that the environment should be given priority, even if it causes slower economic growth and some loss of jobs. Market entry For consumer goods, supermarket chains are very important. Most of them will import directly from India if the volumes justify it. For turnkey plants, equipment, technology and engineering products in general, direct sales or direct promotion from India are possible. It is important, however, to prove quick and efficient after-sales service and technical assistance. The 2001- 2002 crisis practically terminated the banking sector. Since then, the sector has recovered and is now operating normally, although with strict control from the Central Bank on inflows and outflows of funds. All these factors – the lack of bank credit, the requirements on money transfer abroad, the high exchange rate – have contributed to the massive drop of imports to Argentina. This is why it is so important to undertake a thorough investigation of commercial partners. Market entry requires a wide range of information. You have to make decisions on all kinds of issues that will ultimately affect your approach to the market Availability of natural resources Argentina is the eighth largest country in the world in terms of surface area and its relevance is even greater if factors relating to the potential its surface area offers are considered (i.e. the proportion of surface area suitable for agriculture, mining resources, etc.) Arable lands Agricultural production increased 105% in the period 1990-2003. Principal crops include soybean, wheat, sunflower, and corn. Cultivated surface area increased approximately 52% over the same period, representing significant progress in terms of yields.

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Fishing As a result of the considerable length of the Atlantic coast (4.725 kilometers) and the great variety of species found in the fishing zone make Argentina one of the best fishing areas worldwide. The total capture volume goes beyond 1 million tons and about 80 percent of it is exported. Forestry The main factors determining competitive advantages in this activity are present in vast regions of Argentina The diversity of climates and soil types makes it possible to cultivate a wide variety of species. In addition to tree growth rates, the relatively low land value compared to countries such as Brazil and Chile yields high rates of return and exceptional payback periods. Oil and gas Not only is Argentina self-sufficient in terms of oil and gas production but it is also able to generate production for export as well. Furthermore Argentina is the world‘s 10th largest country in terms of gas production and the world‘s 18th largest exporter of oil. Gas production has increased constantly since the early 90s, doubling early 90s levels in 2003. Although oil production has fallen in recent years, levels are still 50% above the levels recorded 12 years ago. Mining The estimated surface area with mining potential totals approximately 750,000 km2, 75% of which has still to be exploited. Argentina has considerable gold, copper, lead, zinc, natural borate, betonies, clay, and ornamental stone deposits. The effective tax rate is 41%, 6 points below the average for the principal Latin American mining nations and almost 20 points lower than that of the major Canadian and Australian mining regions.

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