Time: 2005-09-01 Argentina Imposes Restrictions On Imports Of Shoes, Toys
Argentina\'s government is imposing restrictions on imports of footwear and toys in response to increasing flows of these goods from Brazil and China, Economy Minister Roberto Lavagna said Tuesday.
The measures will require all producers of these products to apply for special, non-automatic import licenses.

Lavagna said Tuesday that Argentina\'s current footwear trade agreement with Brazil allows the use of these licenses when imports from the neighboring country reaches 13.5 million pairs. Shoe imports from all countries totaled 13.4 million pairs in 2003, then rose to 18.9 million pairs in 2004 and are projected to hit 22.4 million pairs this year, according to Economy Ministry data.

The government\'s figures showed that Brazilian-made footwear exports to Argentina will total 16 million pairs in 2005. The Economy Ministry said it made its estimate based on first-half data, \"without taking into account that foreign exchange appreciation will start to complicate exports to countries with tariffs (Europe and the U.S.) and can divert (Brazilian-made shoes) toward Argentina.\"

Economy Ministry data showed that Chinese-made toy imports totaled $26 million in 2003, then rose to $48.65 million in 2004 and are estimated at $74.95 million in 2005.

Industry Secretary Miguel Peirano said the government hasn\'t set an expiry date or limit for licenses needed for either sector.

A year ago, Argentina imposed similar restrictions on Brazilian producers of large appliances such as refrigerators and washing machines. The two countries eventually reached sector-specific trade agreements for most of those goods.

Source: MorningStar, August 30, 2005