Uruguay: Market characteristicsOther posts
Uruguay is a small island of democracy and relative prosperity in South America, it has 3.5 million inhabitants in a relatively small territory, sometimes it is called “Switzerland of South America“. The base of its economy is the banking system modelled as confidential which means that the capital from the whole of South America, and from other parts of the world, is gathered in Uruguay to then be reinvested elsewhere, not in Uruguay. Uruguay is an agricultural country with a small share of industry, however, for financial investors or for individual machinery companies it also remains to be an important market. It is important to mention the system of free zones from where you can re-export goods very well and set up production because Uruguay is a part of MERCOSUR, the local association of Argentina, Brazil, Paraguay and Uruguay, and transporting goods within these countries is somewhat easier than importing it to these countries from Europe. Therefore, those who run production in MERCOSUR have a competitive advantage.