WHY INVEST IN URUGUAY?
- Uruguay stands out worldwide for its political, democratic, and social stability. The country is macroeconomically sound, which ensures a suitable environment for successful investments.
- Uruguay is par excellence a destination for international companies seeking quality, efficiency, experience, and new opportunities, as well as a stable and reliable business environment in Latin America.
- Investment in Uruguay, both domestic and foreign, has been declared of national interest. Foreign and local investors are treated equally and have access to a wide range of incentives.
- The foreign exchange market in Uruguay is free; there is total freedom to buy and sell foreign currency. No prior authorization is required, nor are there any restrictions on the inflow or outflow of foreign currency or capital, transfer of profits, dividends, interest, etc.
- The tax system is the same throughout the country and foreign companies do not need local partners or counterparts in order to operate.
- The large supply of pine wood—mostly concentrated in the north of the country—from certified and operating plantations is a great attraction for the installation of first and second mechanical transformation companies. The annual availability of this wood exceeds three million cubic meters and far exceeds the country's current industrial capacity.
- Uruguay's strategic location in the Southern Cone of the American continent serves as a gateway to the region through multimodal solutions: a combination of rail, land, and sea transport. In addition, Uruguay offers first-class logistics infrastructure, state-of-the-art telecommunications technology and the best energy supply in Latin America based on renewable sources.
- Through trade agreements with Chile, Mexico and Mercosur, Uruguay has access to an expanded market of 400 million people.
- Uruguay is located at the same latitude as the main forestry enterprises in the southern hemisphere. It is located in a climatic zone similar to southern Australia, New Zealand, South Africa and central areas of Argentina and Chile, with climate and soil conditions that ensure very good levels of international competitiveness.
- The country has a stable and favorable legal framework for investment in the forestry sector and a national code of good forestry practices for sustainable production that meets the requirements of international demand.
- The Investment Promotion Law (Nº 16,906) together with the Industrial Parks Law (Nº 19,784) offer important tax benefits for industrial activity.
- On the other hand, export companies may benefit from the temporary admission regime, being able to import supplies free of taxes (VAT and import duties) and combine it with the refund of export duties (3% to 6% of the FOB value).
- Human resources in Uruguay are highly competitive, qualified, and multilingual. The government also promotes subsidies to companies for the implementation of customized training programs for staff or new recruits.
- For more information, please contact our sector specialists here.