PRLog - Feb. 8, 2012 - (Sunnyvale, CA) – Argentina has implemented a new trade regulation which makes it mandatory for companies to declare the amount of goods being imported into the country by signing an official document beforehand. Effective February 1, 2012, all registered importing companies are required to fill in the Anticipated Sworn Declaration of Imports (Declaracion Jurada Anticipada de Importacion - DJAI) application. Importers will also have to provide details about the business transaction in advance and wait for the national tax agency AFIP (Federal Administration of Public Income), to issue a permit. Goods that do not possess a valid DJAI authorization number will not be allowed to enter the country.
“The move seems to be part of new measures to achieve greater control on imports and safeguard Argentina’s trade surplus. Since it is very new, it is yet to be seen whether this will be a smooth process or will create unacceptable delays,” said Dr. Shan Nair, Co-founder of Nair & Co.
Impact of Argentina’s Import Regulations on Foreign Currency Transactions
As Argentina takes steps to tighten its capital outflow, businesses are increasingly concerned about its impact on foreign currency transactions. Signing contracts with Argentina based companies has become more complex as such companies require special permissions to send USD and other foreign currency abroad.
“The payment process begins only after the import of goods has been authorized and the goods have been actually imported. This is governed by the foreign exchange regime and in order to make the payment, the necessary purchase of foreign currency must have an authorization from AFIP,” said Dr. Nair. “In other words, payment can be made in US$ by purchasing them, but there is a process involved,” he adds.
About Nair & Co.
Nair & Co. provides you with your one touch outsourced finance, internal audit compliance, HR and legal department for your international operations. If you are expanding abroad for the first time, our turnkey solution will help you do so with minimal risk, stress and cost. We currently support more than 1000+ client operations in over 50 countries and have core offices in U.K., India, China, U.S., Japan and Singapore. Nair & Co. was named among the top 100 outsourcing services providers in the world by the International Association of Outsourcing Professionals (IAOP). Learn more at www.nair-co.com