Market Trends of Uruguay Fruits and Vegetables Industry
Adoption of Strategies to Increase Productivity
- The agricultural sector is a mainstay of the Uruguayan economy, contributing 70% of exports and 7% of the gross domestic product (GDP). The sector has experienced rapid growth, intensification, and modernization over the last decade. For instance, an Uruguayan company called "Greenation" developed a hydroponic system that uses solar energy to power the water pumps and lighting. This system allows for year-round crop production and reduces the need for traditional farming methods.
- The Uruguayan government launched a precision agriculture project called "Agricultura de Precisión" in partnership with the National Institute of Agricultural Research (INIA). This project aimed to promote sustainable and efficient crop production through the use of technology such as drones, sensors, and mapping software.
- Citrus fruits represent about 85% of Uruguayan fruit exports and stand out for their advanced traceability system that provides guarantees of their origin. The introduction of advanced technology in producing citrus fruits has helped consumers access information on phytosanitary elements and nutrition.
- Citriculture traceability is present in all stages of the chain, from the development of the plant until it reaches the country of export. The average vegetable cropped area per farm in the South of Uruguay increased. In contrast, the average total area per vegetable farm stayed approximately the same. With the increased adoption of new strategies such as precision agriculture, hydroponics has played a crucial role in increasing the yield of fruits and vegetables in Uruguay.
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Fruits Dominate the Market
- According to the Uruguayan Ministry of Livestock, Agriculture, and Fisheries, fruits account for most of the total agricultural production value in Uruguay. Within the fruit category, the most important crops in Uruguay are citrus fruits (such as oranges, mandarins, and grapefruits), followed by grapes, apples, and blueberries.
- Uruguay's most important citrus-producing regions are Salto, Paysandu, and Florida. These areas have favorable weather conditions, such as warm temperatures and plenty of sunlight, ideal for growing citrus fruits. Additionally, the soil in these regions is rich in nutrients, making it well-suited for cultivating high-quality citrus crops.
- The demand for fruits is increasing in the country with an increase in the export value and an increase in the area under cultivation of horticulture crops.For instance, in 2021, the country's blueberry production was 21,000 tons, a significant increase from the previous year's production of 16,000 tons.
- Uruguay is one of the world's top blueberry exporters, and in 2021, the country exported around 16,000 tons of blueberries. This export value accounted for approximately 25% of the country's total fruit exports. The major markets for Uruguayan blueberries include the United States, Canada, and Europe.
