Government Industries or Facilities
Argentina has privatized most of its government-run organizations. The private electrical, gas and telephone systems are well into their second or third year of existence. The gas and oil industries have also experienced changes, and many U.S. companies are involved in their privatization. Within the last two years, the military has begun to sell off many of its industrial assets and it is in the process of privatizing traditionally military-run systems such as the airports, ship repair facilities, steel mills, and maintenance and repair industries. With Argentina's economic potential constantly being reevaluated by the media, great strides are being made by Argentine businesses and industries to better equip themselves to compete in an international marketplace.
Under President Menem, Argentina is opening a number of opportunities for U.S. business and industries to help advance the Argentine economy. The country has remained economically stable for the last three years, the Argentine peso has been pegged to the dollar, and much construction, repair and cleanup are evident throughout the city of Buenos Aires. While the city of Buenos Aires is very advanced and modern, much of Argentina's interior remains underdeveloped. This area represents a large untapped resource, awaiting only the necessary initial capital investment. Argentina is a resource-wealthy nation and the future years promise tremendous opportunity for U.S. business growth.
Opportunities in dual-use or related technology fields
Current potential opportunities for U.S. defense firms
are virtually unlimited with regard to types of products or services that
would be of interest to Argentina. However, problems lie in the limited funds
available to National and Provincial government agencies to purchase new goods
and services, and in the work force, union and labor regulations that would
affect the daily conduct of business within the country. Also, Argentina lacks
the requisite technical infrastructure, and therefore, many of the high-tech
products currently in use in the defense industry would not be practical for
Argentina to consider at this time. Argentina's military is well educated and
many of its senior officers, through special military programs, have
lived and studied in the United States and Europe. They appreciate the need for a better technological infrastructure within their military, and realize they have far to go. Currently however, other issues, e.g., such as changing from a conscript military to an all-volunteer military, may take higher priority over the need for more sophisticated equipment.
Civilian Market Opportunities
Waterways - dredging the rivers for silt, garbage and pollution. This sector currently is affecting the barge and shipping industry. Engineering techniques/equipment focusing on dredging would be welcomed by the commercial shipping industry.
Airport and Aviation Support Systems - includes air traffic control systems, radar systems, and detection devices.
Law Enforcement - radar and detection technologies, night-vision equipment, and training.
Medical Supply - portable field hospitals and support equipment; medical diagnostic equipment.
Port System Privatization - because of deregulation port systems, a broad difference in quality and capabilities exists among the many new public ports. Equipment and technology in the shipping and port sectors are needed.
Another emerging trend in demand in the Argentine market is at the state-level. Privatization of state and regional programs are underway, offering opportunities beyond the programs at the national level in many of the same sectors previously mentioned. At the state level, the engineering and construction sectors are also in need of technology and equipment.
For further information on opportunities in the above civilian sector areas, contact:
Presidencia de la Nacion, Subsecretaria General
Balcarce 50, Piso 1
Tel. (54-1) 343-0317 and 342-9017 ext. 503/516