Agriculture in Uruguay has witnessed great changes during the last decade. This transformation was led by the Uruguayan agriculture sector, which recorded a strong expansion of production, as a result of increased demand and international prices. Uruguay has historically been known for the cattle industry, however, between 2000 and 2011, there was a remarkable 138% increase of land for agricultural use, which was led by the outstanding increase in the soy cultivation area, which in turn affected the growth of the wheat cultivation area.

Uruguay’s major agricultural products are, soybeans, rice, wheat, maize, sorghum, citrus fruits (mainly oranges, tangerines, lemons, and grapefruits), and deciduous fruits (mainly apples, pears, peaches, plums, quince, and nectarines). The effective area used for planting citrus was 15,000 hectares, approximately, in 2015, half of which corresponded to oranges. Citrus production in 2015 harvest was 252 metric ton. In the last decade, 45% of fresh fruit production was exported. The export value of citrus fruits recorded a CAGR of 8.55% during the period 2012 to 2016, and is expected to sustain the same during the forecasted period of 2017-2022, due to the well established Uruguayan market in North America, after the trade negotiations that were carried out in 2013 which enabled export to the US market.

The overall increase in the international price and the quantities sold, led to a significant rise in Uruguay’s soy export. Export increased from USD 1.6 million to USD 1.6 billion during 2001 to 2014, which led to soy being the largest export product. Moreover, in recent years Uruguay has positioned itself among the six largest soy exporters in the world. During the same period of 2001 to 2014, the volume increased from 11,000 metric ton to 3.2 million metric ton, which represented a 50% average annual growth.

Market Dynamics

The factors driving the market are the abundant arable land, which accounts for 16.4 million hectares (93% of the country's total land area), and favorable government policies like, no limitations or restrictions on export of agro-industrial goods. The factors limiting the market are, adverse effects of climate change on crop production, lack of experience on supplementary irrigation, particularly on the associative use of water.

Segmentation

The market is segmented, based on major food crop/cereal, oilseed, fruit, and vegetable. Furthermore, the study provides insights about key players in the market, their detailed company profiles, and their business strategies. Finally, the study provides the competitive landscape and best investment opportunities in the market. 

Trade Analysis

Uruguay’s major export in 2016 were soybean, which earned USD 857.23 million, rice at USD 413.85 million, wheat at USD 113.73 million, barley at USD 12.58 million, sorghum at USD 1.45 million, citrus fruits at USD 83.51 million, and deciduous fruits at USD 2.07 million. The major exporting destinations are, China, Netherlands, Morocco, United States, Brazil, and Germany. In 2016 rice was the second largest agricultural export of the country, and in 2015, it ranked seventh as a rice exporter, worldwide, and first in Latin America.

The major import in 2016 were maize at USD 34.33 million, barley at USD 20.70 million, bananas at USD 25.69 million, dried legumes at USD 4.99 million, potatoes at USD 4.79 million, coffee at USD 4.59 million and tomato at USD 1.74 million. The major importing countries are, Brazil, Canada, Argentina, Paraguay, Ecuador, Sweden, and France. The import value of dried legumes has recorded a CAGR of 7.41% during the period 2012 to 2016, and is expected to sustain the same rate, due to the vegetable sector not being as profitable as the fruit sector in Uruguay.  

Recent Industry Insights

• Uruguay has developed the policy of “Soil Use and Management Plans”. It regulates the use of soil under crops, in order to promote the application of management practices that reduce soil erosion.
• Uruguay is developing a National strategy to promote irrigated agriculture in Uruguay, with focus on the associative use of water for supplementary irrigation of summer and perennial crops.
• Innovative index insurances for agriculture has been developed in Uruguay with participation of private sector, which complements existing damage-based commercial insurance.

Key Deliverables in the Study

• The study identifies the situation of Uruguay, and predicts the growth, in terms of value, for the agriculture market.
• Report talks about agriculture production, consumption, import, and export of major crops, market trends, government regulations, growth forecast, major companies, upcoming companies and projects, etc.
• The report offers PESTLE, Porter’s and Supply Chain Analysis and Network, as well as Retail Sector Analysis.
• Extensively researched competitive landscape section, with profiles of major companies and their market share, along with an analysis of their current strategic interests and financial information and strategies adopted by them to sustain and grow in the market.

The Report Holds Importance for the Following Stakeholders:

• Seed companies
• Producers and manufacturers
• Enterprises operating in the industry
• Traders and stakeholders operating in the agricultural sector
• Investors/research institutions interested in the market

Customization Options:

• Seed Sector Analysis
• Regulatory Framework
• Inclusion of Additional Crops of Interest