Jujuy local content: 70% of the annual amount, and the local supplier may be 10% more expensive

It obliges mining producers and local suppliers to contract works, goods, inputs and services from suppliers registered with the Provincial Registry, «at a percentage no lower than seventy per cent (70%) of the total annual amount contracted with all its suppliers» (art. 5). And it carries the most actionable mechanism in the whole series: if the local supplier meets the technical, financial and schedule conditions and does not exceed an outside bid's price by more than 10%, the mining producer «shall request the price adjustment in a verifiable manner and report it to the Registry so that it may intervene» — meaning a Jujuy supplier can be up to 10% more expensive and the miner cannot simply drop it. On employment, art. 6 requires no less than 70% of the payroll domiciled in Jujuy, under a progressive schedule the Enforcement Authority sets between 40% and 70% according to the project's stage and size, within no more than a year. Who counts as a local supplier (art. 3): real, legal and tax domicile in Jujuy held for at least two years after registering; if a legal entity, incorporation in the province and 50% or more of its capital held by partners domiciled in Jujuy or a branch or representative office in the province; 70% of its own payroll domiciled in Jujuy; professionals registered with the provincial body for at least a year; and in a joint venture, the parties together must be at least 30% local suppliers. The escape valve (art. 8): the producer declares under annual oath the inputs, labour, services or critical goods «lacking local production and/or provision», and those are left out of the calculation. The penalty (arts. 7, 9 and 10): a compulsory annual report, and sanctions on the producer of warning, formal notice and a fine of up to one million times the price of a litre of YPF's highest-grade diesel in San Salvador de Jujuy, tripled for repeat offences; on the supplier, up to removal from the Registry. verif · Feb 28, 2024 ↗

In force since 2024. Art. 13 orders it referred to the provincial Legislature for ratification, and whether that ratification took place was not verified. prob · Feb 28, 2024 ↗

On the mining producer it sets the most enforceable floor in the series, because it is not met by goodwill: there is an annual report, there is a Registry that intervenes and there is a fine priced in litres of diesel. To the Jujuy supplier it gives something no other rule in the country gives: price headroom. It can be up to 10% above and the miner is obliged to ask it to adjust before buying elsewhere. To the outsider it opens a door other provinces close: setting up a branch or representative office in Jujuy is enough, with no need for 50% of the capital to be local — the same door Río Negro leaves open and Neuquén shuts. verif · Feb 28, 2024 ↗