Argentine envoy bids for investors
By Philip Iglauer
Argentina is seeking to attract more Korean investment in its country to match growing bilateral trade and its booming economy during an investment seminar slated for Oct. 25.
The Argentine Embassy in Korea said at “Environment for Foreign Investment in Argentina,” where trade officials, diplomats and Korean business people were on hand, that they took to bust “regretful stereotypes” the two nations have of each other and “surprise many” with the new opportunities in the waiting for investors.
“Our seminar offers an opportunity to get acquainted with what Argentina is today,” said Argentine Ambassador to Korea Carlos Alberto Arganaraz in an email interview with The Korea Times.
“Korea and Argentina are ready for great partnerships in biotechnology, pharmaceuticals, software, food manufacturing, bio-fuels and renewable energy, a broad range of professional services, such as health care engineering, IT and advertising.”
The country’s economy is growing at a thumping 9.2 percent in 2010, the fastest in Latin America, and averaged 7.4 percent over the past nine years.
Indeed, President Cristina Fernandez was re-elected by the widest margin in Argentine history and with 54 percent of the vote, in large part because of the success of the economy amid a world of financial turmoil in wealthy countries that are forced to accept harsh austerity measures in exchange for financial lifelines.
Trade has boomed the past decade. Bilateral trade expanded from $400 million in 2002 to over $1 billion in 2008. At the seminar, the Argentine ambassador said the country aims to diversify that volume.
“Our eyes are set on the diversification of our exports rather than on the amount,” he said.
“After all, amounts can fluctuate according to the international price of commodities, as I believe that only balanced growth can secure growing markets for both countries.
“Our relationship has grown over the past 49 years on solid ground, offering business people from both countries fundamental tools that facilitate economic and trade cooperation,” Arganaraz said.
From 1992, business people of the two nations could visit each other’s country without visas. An agreement for the promotion and protection of investment was signed in 1994. A bilateral agreement on nuclear energy was signed in 1996, and a Scientific and Technological Cooperation Agreement was signed in 2000.
But Korean investment in Argentina has remained small compared to bilateral trade volume. According to the latest figures from Exim Bank, Korean companies exported $160 million into the country in 2007, with 41 percent of services, followed by 32 percent in mining and some 19 percent in the agriculture.
The embassy pitched the human factor as an incentive to invest. Just 300 Argentineans live in Korea, while some 26.000 Koreans live in Argentina.
“The Korean community thrives in various regions of Argentina,” Arganaraz said. “Their fluency in both Korean and Spanish, and their comprehensive knowledge of the two cultures is a great asset to companies considering investment in Argentina.”