It was more of a gesture to foreign investors that had initially invested in building the Argentinian railroad system in the 19th century.
The rail industry was very profitable for foreign investors in the 20th century, and the Mitre Law ensured that similar regulations would be continued and thus Argentina hoped for increased investment into their developing economy.
[2][3] The law permitted all railway companies, and not just foreign owned ones, to import most of their raw materials tax-free.
[4] The Mitre Law follows similar practices of Liberalism in other Latin American countries, meaning opening their economies to European countries such as Great Britain, and France, also including lower tax rates to promote business growth.
The Mitre Law included a clause that ensured that a 3% tax on net profits from the rail industry would go back to rebuilding and maintaining stations across Argentina.