Unleashing Growth: The Consejo de Mayo's bold plan to streamline Rural Land Investment
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The Consejo de Mayo is the Government-backed think tank dedicated to forging Argentina's new economic and institutional foundation- Its aim is to emphasize fiscal balance, reduced public spending, and the inviolability of private property. It has recently unveiled a major strategic proposal: a significant overhaul of Rural Land Law No. 26,737.
The core focus is attracting global capital as the centerpiece of this reform is a powerful signal to the global market: elimination of restrictions on the acquisition of rural land by private foreign individuals and corporations. This is explicitly designed to maximize Foreign Direct Investment, injecting essential capital and expertise into Argentina’s vast agricultural sector and regional economies, and ultimately driving productivity and job creation.
Crucially, the proposal is two-fold:
- Freeing Private Investment: Private foreign capital would receive a clear path for entry.
- Strategic Oversight: Controls, requiring prior authorization, would be strictly limited to acquisitions by foreign state entities (governments, state-owned enterprises, or funds leveraging state assets).
The Legislative Path Forward: This forward-looking reform is formalized in the Consejo de Mayo’s final report. The Government has publicly committed to submitting a bill based on this proposal to the National Congress, setting the stage for a critical legislative debate on modernizing the nation's investment framework.
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Argentina and the United States Announce New Trade and Investment Framework Agreement
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Argentina and the United States have announced a new Trade and Investment Framework Agreement aimed at eliminating tariffs and expanding access to strategic markets. The initiative represents a significant step toward deepening bilateral economic integration and enhancing opportunities for Argentine exporters in the United States—currently Argentina’s third-largest trading partner.
While full details have not yet been released, the Agreement will prioritize tariff reductions in three key sectors: beef, steel, and aluminum. Additional areas of interest reportedly include critical natural resources and certain non-patented inputs used in pharmaceutical applications.
A statement issued by the White House provided an initial outline of the agreement’s scope. On market access, it highlights that both countries will work to facilitate trade in priority goods. According to the release, “Argentina will grant preferential market access for U.S. exports, including selected pharmaceuticals, chemicals, machinery, information technology products, medical devices, motor vehicles, and a broad range of agricultural goods”.
The agreement underscores a renewed commitment by both governments to strengthen commercial ties, enhance regulatory cooperation, and promote a more predictable framework for investment. If successfully implemented, it is expected to improve competitiveness for Argentine producers, expand opportunities for U.S. investors, and contribute positively to Argentina’s broader economic normalization agenda.
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Argentina to Expand RIGI to Upstream Oil and Gas
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The National Government has announced it will expand the Régimen de Incentivo a las Grandes Inversiones (RIGI) to include upstream oil and gas activities to support export-oriented projects. The initiative, announced by Energy and Mining National Officials, aims to attract investment and boost production in key hydrocarbon basins, particularly Vaca Muerta, by extending fiscal and regulatory incentives to exploration and production sectors previously outside the RIGI.
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Updates and Deadlines on tenders:
Vía Navegable Troncal and Highways
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Call for tender for the Vía Navegable Troncal
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On December 19th, the Argentina’s National Ports and Navigation Agency approved the Bidding Documents (Pliegos de Bases y Condiciones) and officially launched the National and International Public Tender No. 1/2025 for the concession of the Inland Waterway (Vía Navegable Troncal).
Offers are expected to be submitted through the government’s Contrat.AR system, with the deadline set for February 27th, 2026.
Such Tender is the result of the previous steps taken by the National Government and informed in our November Edition of What's New in Argentina.
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Privatization of Argentina's Highways and Corredores Viales S.A.
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On November 20th, the Ministry of Economy through Resolución No. 1843/2025 (the "Resolution"), approved the Bidding Documents (Pliegos de Bases y Condiciones) and officially launched the National and International Public Tender for two sections of the "Federal Concessions Network - Stage II". The sections are: (i) South section - Atlantic - Southern Access 1.325 km (National routes 3, 205, 206 and the Richeri, Newbery, and Ezeiza-Cañuelas highways); and (ii) Pampa Section, 547 km on National Route 5 (Luján-Santa Rosa).
Each concession includes operation and providing services to users on Argentinian highways. Bids will be submitted through the government’s Contrat.AR system and evaluated based on technical and financial criteria before February 6th, 2026.
Said tenders are part of the privatization process of Corredores Viales S.A. approved on February 17th, 2025 by Decree 97/2025 informed in our Special Issue of What's New in Argentina.
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Government Plans to Transfer Winter LNG Procurement to a Private Marketer
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The National Government announced that it is preparing a public tender process to transfer the purchase of Liquefied Natural Gas (LNG) for the winter season from state-owned Energía Argentina (ENARSA) to a private commercial marketer. The initiative, expected to be launched in early 2026, is part of the broader deregulation of the gas market promoted by the current administration.
Under the proposed scheme, the private operator selected through the public bidding process would be responsible for forecasting demand, procuring LNG on international markets, and managing logistics for deliveries to regasification terminals.
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Privatization of Belgrano Cargas y Logística S.A.
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In February, the National Government initiated the process to privatize Belgrano Cargas y Logística S.A., which had been included in the list of companies subject to privatization under the “Ley de Bases y Puntos de Partida para la Libertad de los Argentinos”. Pursuant to Decree No. 67/2025, the approved privatization model provides for the full privatization through a vertical disintegration process.
According to government sources, the bidding documents are nearly finalized and are expected to be published in the first quarter of 2026.
The process will not consist of a single tender package; instead, several distinct sets of bidding documents will be released simultaneously.
Belgrano Cargas y Logística S.A. currently manages freight operations for the Belgrano, San Martín, and Urquiza railway lines. The company holds approximately 37% of Argentina’s rail freight market and operates more than 7,600 kilometers of track across 17 provinces.
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Search of Partners for Tierra del Fuego Province’s Oil Blocks
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Pursuant to local Decree No. 2705/25, the Tierra del Fuego Government authorized an agreement under which YPF shall transfer all of its rights and obligations in the Lago Fuego, Los Chorrillos, and Tierra del Fuego areas (fractions A, B, C, D, and E) to Terra Ignis Energía S.A., a company wholly-owned by the Tierra del Fuego Government (“Terra Ignis”). The approval of the local legislative branch remains pending.
Importantly, Terra Ignis does not intend to become the direct operator of the fields. Instead, Terra Ignis is focused on securing strategic partners to lead the development and investment activities across these blocks.
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Investments Opportunities in Mendoza
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The local Government of Mendoza, through the “Invest in Mendoza” platform, is actively seeking private investors to promote the development of strategic projects in the energy, mining, and hydrocarbons sectors. The portfolio of opportunities includes provincial initiatives such as Potasio Río Colorado and the “Malargüe Mining District,” with a particular focus on advanced projects in San Rafael:
- El Baqueano Dam (Hydroelectric): with an estimated investment of 525 million dollars. Status: Basic studies, socio-environmental studies, and basic engineering tender documentation are available;
- El Sosneado Wind Farm: The only wind power initiative in Mendoza, projected to generate between 50 and 100 MW. Status: Basic and socio-environmental studies are available to reduce investment uncertainty; and
- Hydrocarbons: Areas for exploration and development are available in San Rafael, including Atuel Norte, Atuel Sur, Los Parlamentos, and sectors within Río Atuel and Vega Grande.
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Government Measures Supporting O&G Industry
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Initial Steps Toward the Elimination of Export Duties on Conventional Crude Oil Applicable to Santa Cruz and Neuquén Provinces
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The National Government has signed a new agreement with the provinces of Santa Cruz and Neuquén to eliminate export duties (Retenciones) on conventional crude oil, mirroring a similar arrangement recently reached with Chubut.
Under the agreement, the current 8% export duties will be reduced to zero within certain price ranges. It involves a differential royalty scheme for mature fields and reductions in specific provincial taxes, such as the gross receipts tax.
Overall, the measure is seen as a significant fiscal relief for the oil exporters, and aligns with the new government’s agenda, reflecting its commitment to fostering investment, strengthening the energy sector, and promoting broader productive development. This initiative has not yet been enacted as National Law.
For further information, please refer to news@pagbam.com, call (54-11) 4114-3000 or get in touch with us via WhatsApp.
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