Uruguayan Government

Beyond that Uruguay wants to move away from the existing problems in the Argentina, many times it is inevitable that they influence the economy of this country (either for good or evil). The conflict between the Argentine Government and the field has caused, as I already said in an article last month in Uruguay, between opportunities and threats, a true invasion of inversiones argentinas in the agricultural sector, which put on alert the Government of Tabare Vazquez, who will announce in brief application of a system that encourages good agricultural practices and proper use of soils, and punishable those who breach the rules. It is this Argentine invasion came at the hands of destructive practices of soil that can not be stopped at time, generate higher costs than benefits that produce in the short term for the country. But as well as Uruguay receives negative shocks from the Argentina, it also receives positive impulses. The intervention of the Argentine Government in the market of beef (with consequences for exports of meat, which resulted in the country fail to comply with the quota Hilton), left a space exploited by Uruguay that would achieve an increase in agricultural exports during 2008 that Lake, according to a study by the Ministry of agriculture, $4.171 million, which means an increase of 51% in relation to 2007, being the main exporter category beef, which will generate an income of foreign currency per USD 1462 million and will represent 34.3% of the total agri-food exports. The Russian market which is showing a strong expansion is located within the main markets for Uruguayan beef.

Uruguay improves your credit rating, win markets by taking advantage of the momentum of prices of food, but does not conform to this. Also wants to take advantage of the prices of petroleum is therefore that in December this year, will submit to the international companies exploiting oil and gas, a seismic study on the seafloor of the territorial sea, in order to entice these companies so that they start the exploration and exploitation of hydrocarbons. Daniel Martinez, Uruguayan Minister of industry, energy and mining said that with this, it opened: (a) new stage start to global players in oil exploration interest. On gas that possibly removed, Martinez said the following: would have a guaranteed level of placement (since) gas consumption has grown substantially in the region and today the region has a very important deficit. The Uruguayan Government is working hard on this plan and so is that the end of this year, will define the legal framework of the contracts concluded with companies, given that the tender will open in July 2009 the award between 10 and 15 blocks of between 4000 and 8000 km2 each. Why for S & P, Uruguay is better than the Argentina? In a nutshell, because strives to implement sound policies, and by generating a stable institutional framework for the investor. Because it considers private investment as a key element for the growth and is therefore that it seeks to attract it. Different investment opportunities that will surely attract the private capital are emerging in Uruguay.