Argentina: "Mining Dollar" – Preferential exchange rate for certain minerals and other goods

Joint Resolution N° 1/23
16 Oct 2023    1 minute read

In brief

Starting 11 October 2023, by means of Joint Resolution No. 1/23 of the Ministry of Economy, the Secretariat of Industry and Productive Development, the Secretariat of Agriculture, Livestock and Fishing, and the Secretariat of Mining ("Resolution"), exporters of gold, silver and their concentrates ("Minerals") were allowed — subject to certain parameters —  to settle their exports at a preferential exchange rate resulting from settling 75% of such exports through the Local Exchange Market and the remaining 25% through blue chip transactions ("Mining Dollar").

To be eligible for the Mining Dollar, exports must, among other requirements, have a settlement date between 11 October 2023 and 20 October 2023, inclusive, as well as pre-financing and/or post-financing of exports abroad or a settlement advance. Moreover, the actual export must be made by 31 December 2023 at the latest.

Contents

The Resolution applies to Minerals (which does not include lithium) and other commodities listed in the Resolution's annex corresponding to the wine, tobacco, automotive, sunflower, barley and leather industries included in the tariff positions of the Common Nomenclature of the  Mercosur ("Commodities"), and is made in the context of the National State's need to strengthen its foreign currency reserves and the expectations generated around the outcome of the upcoming presidential elections to be held on 22 October 2023.

In focus

Decree No. 576/2022 ("Decree 576") created the Export Increase Program ("Program") which was extended until 25 October 2023 by Decree No. 492/2023 ("Decree 492") of 30 September 2023. Likewise, Decree 492 enabled the Industry and Productive Development Secretariat, the Agriculture, Livestock and Fisheries Secretariat, and the Mining Secretariat to incorporate: (i) Minerals; and (ii) Commodities into the Program on an extraordinary and transitory basis.

Effective 11 October 2023, the Resolution extended the Program to Minerals and Commodities as indicated in Decree 492. Thus, exporters of Minerals and Commodities will be able to access a preferential exchange rate in the settlement of their exports. 75% of the exports must enter the country and be traded through the Local Exchange Market while the remaining 25% can be traded through securities ("contado con liquidación" mechanism) as long as they comply with the following guidelines:

  1. To adhere to the Program in accordance with the mechanism set forth in Decree 576
  2. That the export liquidation is made between 11 October 2023 and 20 October 2023, inclusive, to the extent that the effective export date of such exports is not later than 31 December 2023, inclusive.

The Resolution includes the cases of pre-financing and/or post-financing of exports abroad or a settlement advance.

Spanish version

Contact Information
Ezequiel Artola
Partner
Buenos Aires
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ezequiel.artola@bakermckenzie.com
Adolfo Duranona
Partner
Buenos Aires
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Juan Bautista Cervio
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Buenos Aires
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Delfina Ferrario
Attorney at law
Buenos Aires
delfina.ferrario@bakermckenzie.com

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