Uruguay Government has imposed special import duties on certain products like footwear and apparel produced in the provinces of La Rioja, San Luis, Catamarca and San Juan in Argentina.
These are all provinces where industrial promotional regimes are in force. The duty imposed will be up to a maximum of 18 percent and is estimated that sales of around US $52.5 million would be affected.
As per rule, these regions form part of Mercosur, (southern common market), so there should be no tariffs.
However, in Argentina, this imposition of import duties is interpreted as part of the ongoing dispute with Uruguay over the installation of paper mills and their perceived environmental impact on Argentina.