Current Trends in the Agropecuary Sector in Uruguay

Despite the current decline in commodity prices, the market for farmland in Uruguay remains highly sought after. Investors are staying active, convinced that this period of low commodity prices is temporary and that investing in Uruguay continues to be an attractive option. This appeal is largely due to the country’s legal stability, where the rules have remained unchanged despite changes in government over the years. This legal security is crucial for investors and is one of the reasons why Uruguay remains a preferred destination.

Furthermore, the land market in Uruguay is experiencing a steady appreciation. Annual land valuation increases range from 1.5% to 2.5%, or even more, depending on the time of year. This appreciation, combined with the profitability of exploitation, makes land investment extremely attractive.

Regarding current prices, all types of land are in high demand. Forestry lands are the most sought-after, with prices around $4,000 per hectare. Agricultural lands, especially those with a high percentage of arable land, exceed $10,000 per hectare. Finally, livestock lands have prices ranging from $2,500 per hectare in the northern part of the country to $5,000 or $6,000 per hectare in the south and southcentral regions of Uruguay.

In summary, despite the decline in commodity prices, the combination of legal stability, constant appreciation, and high demand continues to make the Uruguayan agropecuary market a very attractive option for investors.