The many limitations which used to drag on Uruguay’s development in terms of International Commerce, became advantages when the government and the private sector decided to work together and find viable solutions.
By Jorge Reano
Be it out of conviction or necessity, Uruguay is widening its commercial horizon, thus, consolidating itself as a viable opportunity in different aspects linked to International Commerce, and not just as a raw products exporting country.
Since global commercial relations have become more dynamic due to multiple Free Trade Agreements, larger flows of merchandise have been consolidated. At the same time, some tariffs and fees have increased in many areas.
Considering that China has evolved to become an Economic Power, as well Commercial, this Chinese push has made Uruguay develop policies which will increase its own options, since it finds itself sandwiched between Argentina and Brazil.
And since China has increased its commerce with Latin America while there was the Mercosur Agreement, Uruguay decided to take a different at all the different opportunities available in order not to be asphyxiated by the Giant Brazil and its counterpart Argentina.
Therefore, in addition to its “traditional” International Commerce, the Uruguayan Government decided to quantify its real and tangible advantages. Thus, the Port of Montevideo remains its most strategic location and base for Uruguayan Commerce, in addition to being the country’s identity badge.
It is then, decided that it was imperative to modernize and re-establish the importance of Uruguay’s First Port in regards to Logistics, International Commerce and as a Job Creator.
Being a “Multi-Purpose” port, as well as a “Free Port” the entrance and permanence of merchandise which transits through the port does it without any Import or Export fees.
In this way, Uruguay has become as a “regional hub” where High Quality Logistics services and “interport-warehousing” are provided to all its client. Therefore, a sustained increase in the volume of Commerce has been observed, which in turn, translates to an increase in the number of jobs.
Additionally, having implemented a policy of “Free Zones” at a national level, promoted private investments and the need for labor increased which developed a greater International Economic Integration.
Thus, the many limitations which used to drag on Uruguay’s development in terms of International Commerce, became advantages when the government and the private sector decided to work together and find viable solutions.