Doing Business with Uruguay

Exporting goods to Uruguay involves understanding the country’s regulations, customs procedures, and documentation requirements. Below is a step-by-step guide to help businesses navigate the export process successfully. This guide includes key contacts in government and related agencies that can assist exporters.

1. Identify the Product’s Customs Classification Code

Before exporting any goods to Uruguay, you must determine the Harmonized System (HS) Code for your product. The HS Code is an internationally standardized system of names and numbers to classify traded goods. It is essential for customs clearance and determining applicable duties and taxes.

• How to Proceed:
  • Check the Harmonized System (HS) Code for your product using the online database of your country or Uruguay’s customs authority.
  • Consult with a local customs broker if you need assistance in classifying your goods.
• Key Contact:
  • Uruguayan National Customs Directorate (Dirección Nacional de Aduanas – DNA)
    Website: https://www.aduanas.gub.uy
    Provides customs classification tools and information on duties and taxes.

2. Ensure Compliance with Uruguayan Product Standards and Regulations

Uruguay has specific standards and regulations for certain products, especially those related to food, pharmaceuticals, chemicals, and electronics. Your product must meet Uruguayan quality, safety, and environmental standards before it can be exported.

• How to Proceed:
  • Verify whether your product requires certification or registration with relevant Uruguayan authorities.
  • Ensure your product meets the sanitary and phytosanitary standards if exporting agricultural goods or food products.
  • Familiarize yourself with labeling and packaging requirements for your product type.
• Key Contacts:
  • Uruguayan Technological Laboratory (Laboratorio Tecnológico del Uruguay – LATU)
    Website: https://www.latu.org.uy
    Oversees product quality standards, certifications, and compliance.
  • Ministry of Livestock, Agriculture, and Fisheries (MGAP)
    Website: https://www.gub.uy/ministerio-ganaderia-agricultura-pesca
    Regulates food safety, agricultural products, and phytosanitary standards.

3. Prepare Export Documentation

To export to Uruguay, you must provide the correct documentation to the Uruguayan customs authorities. The documents required typically include:

• Commercial Invoice: Describes the goods, their value, and the terms of sale.
• Packing List: Lists the contents of the shipment, including the weight, dimensions, and packaging details.
• Bill of Lading (or Airway Bill): A contract between the exporter and the shipping company detailing the shipment.
• Certificate of Origin: Verifies the country where the goods were produced. This may be required for preferential tariff treatment under trade agreements.
• Import Licenses and Product-Specific Certifications: Depending on the product, certain goods may require an import license, health certificate, or phytosanitary certificate.
• How to Proceed:
  • Work with your freight forwarder or customs broker to ensure all documents are correctly prepared.
  • Ensure that all documents are translated into Spanish if required.
• Key Contact:
  • Uruguayan National Customs Directorate (Dirección Nacional de Aduanas – DNA)
    Website: https://www.aduanas.gub.uy
    Provides guidance on required export documentation.

4. Understand Duties, Taxes, and Tariffs

Uruguayan customs will assess import duties, taxes, and tariffs based on the product’s HS Code and the value of the goods. Uruguay is part of the MERCOSUR trade bloc, so if your country has a trade agreement with MERCOSUR, your goods may qualify for preferential tariffs.

• How to Proceed:
  • Determine the applicable tariffs and duties based on the product’s classification.
  • Check if any preferential trade agreements apply, which may reduce or eliminate tariffs.
  • Verify the Value Added Tax (VAT) and any other local taxes that may apply to your product. The standard VAT rate in Uruguay is 22%, but some products may be subject to a reduced rate.
• Key Contact:
  • Uruguayan National Customs Directorate (Dirección Nacional de Aduanas – DNA)
    Website: https://www.aduanas.gub.uy
    Provides tariff schedules and duty calculators for exporters.

5. Arrange Shipping and Logistics

Once the documentation is in order, arrange for the transportation of the goods to Uruguay. The most common ports for shipping to Uruguay are Montevideo (the main seaport) and Carrasco International Airport for air freight.

• How to Proceed:
  • Choose a reliable freight forwarder or logistics company that specializes in shipping to South America.
  • Ensure that your goods are properly insured during transit.
  • Coordinate with the shipping line or airline for the appropriate method of transport (sea, air, or land) based on the nature and urgency of the shipment.
• Key Contacts:
  • National Port Administration (Administración Nacional de Puertos – ANP)
    Website: https://www.anp.com.uy
    Manages port operations in Uruguay, including the Port of Montevideo.
  • Carrasco International Airport
    Website: http://www.aeropuertodecarrasco.com.uy
    Facilitates air freight and cargo handling for exporters shipping via air.

6. Customs Clearance in Uruguay

Once the goods arrive in Uruguay, they must go through the customs clearance process. Your shipment will be inspected, and the duties and taxes must be paid before the goods can be released.

• How to Proceed:
  • Hire a customs broker in Uruguay to assist with the clearance process and ensure all paperwork is in order.
  • Pay any applicable duties, taxes, and fees to the Uruguayan customs authorities.
  • Ensure that all goods comply with Uruguayan health, safety, and environmental regulations before they are released.
• Key Contact:
  • Uruguayan National Customs Directorate (Dirección Nacional de Aduanas – DNA)
    Website: https://www.aduanas.gub.uy
    Handles all customs clearance procedures and provides guidance on the import process.

7. Distribution and Delivery in Uruguay

Once the goods clear customs, they can be distributed to your importer, distributor, or directly to the final customer. Depending on your business model, you may work with a local distributor or establish your own logistics infrastructure in Uruguay.

• How to Proceed:
  • Coordinate with your local partner (distributor or logistics provider) for final delivery.
  • If you are distributing the goods yourself, ensure that you have the necessary import licenses and registrations to operate in Uruguay.
• Key Contact:
  • Uruguayan Ministry of Industry, Energy, and Mining (Ministerio de Industria, Energía y Minería – MIEM)
    Website: https://www.gub.uy/ministerio-industria-energia-mineria
    Regulates industries and provides information on import/export procedures.

8. Post-Export Compliance and Follow-Up

After the goods have been successfully exported and delivered, it is important to maintain proper record-keeping for compliance purposes. Also, monitor the performance of your product in the Uruguayan market and ensure ongoing compliance with all regulatory requirements.

• How to Proceed:
  • Keep copies of all export documentation for at least five years, as they may be required for audits or reviews by customs authorities.
  • Stay up to date with any changes in Uruguayan import regulations that could affect future shipments.
  • Build and maintain relationships with local partners, including distributors, agents, and government authorities.
• Key Contact:
  • Uruguayan Ministry of Foreign Affairs (Ministerio de Relaciones Exteriores – MRREE)
    Website: https://www.gub.uy/ministerio-relaciones-exteriores
    Oversees trade relations and can assist with inquiries related to bilateral trade agreements and market conditions.

Importing goods into Uruguay involves navigating a series of legal and regulatory steps to ensure compliance with the country’s customs and trade regulations. Below is a clear step-by-step guide to importing goods into Uruguay, along with key government contacts and agencies for assistance.

1. Register as an Importer in Uruguay

Before commencing any import operations, you must be registered as an importer with the National Customs Directorate (DNA). Only registered entities or individuals can legally import goods into the country.

• How to Proceed:
  • Register your business with the General Tax Directorate (Dirección General Impositiva – DGI).
  • Obtain a RUT number (Unique Taxpayer Registry) from the DGI.
  • Register as an importer with the National Customs Directorate (DNA).
• Key Contact:
  • National Customs Directorate (Dirección Nacional de Aduanas – DNA)
    Website: https://www.aduanas.gub.uy
    Provides importer registration procedures and guidance.

2. Classify Goods Using the Harmonized System Code

The next step is to classify your goods using the Harmonized System (HS) Code. This international system assigns a unique code to every type of product, which helps determine the applicable import duties, taxes, and restrictions.

• How to Proceed:
  • Determine the HS Code of your product using online databases or consult with a customs broker.
  • Check if there are specific import restrictions or bans on your product class.
• Key Contact:
  • National Customs Directorate (Dirección Nacional de Aduanas – DNA)
    Website: https://www.aduanas.gub.uy
    Offers tools and information for HS code classification and import duties.

3. Comply with Product-Specific Regulations

Certain products, such as food, pharmaceuticals, chemicals, and electronics, are subject to additional import regulations. You must ensure that your goods comply with Uruguayan safety, quality, and environmental standards.

• How to Proceed:
  • Verify whether your goods require special certifications or licenses from relevant authorities. For example:
    • Agricultural products may need approval from the Ministry of Livestock, Agriculture, and Fisheries (MGAP).
    • Medical devices or pharmaceuticals may need approval from the Ministry of Public Health.
  • Ensure that your goods meet labeling, packaging, and sanitary requirements.
• Key Contacts:
  • Uruguayan Technological Laboratory (Laboratorio Tecnológico del Uruguay – LATU)
    Website: https://www.latu.org.uy
    Manages certifications and quality control for imported goods.
  • Ministry of Livestock, Agriculture, and Fisheries (MGAP)
    Website: https://www.gub.uy/ministerio-ganaderia-agricultura-pesca
    Oversees agricultural and food imports.

4. Prepare the Necessary Documentation

When importing goods into Uruguay, you must provide the relevant documentation to the Uruguayan Customs authorities. The following documents are generally required:

• Commercial Invoice: Includes a detailed description of the goods, value, and payment terms.
• Packing List: Outlines the contents of the shipment, including quantities, weight, and packaging details.
• Bill of Lading or Airway Bill: Provides details about the shipment and the carrier.
• Certificate of Origin: Confirms the origin of the goods, which may be required to apply preferential tariffs.
• Import License: Required for goods that are subject to special controls (e.g., pharmaceuticals, food products).
• Insurance Certificate: Proof that the goods are insured during transit.
• How to Proceed:
  • Work with a customs broker or freight forwarder to ensure all documents are prepared accurately.
  • Ensure that the documents are in Spanish, as this is mandatory for customs clearance.
• Key Contact:
  • National Customs Directorate (Dirección Nacional de Aduanas – DNA)
    Website: https://www.aduanas.gub.uy
    Provides detailed guidance on required import documentation.

5. Determine Duties, Taxes, and Tariffs

Uruguay’s customs authorities will assess import duties, taxes, and tariffs based on the product’s HS Code and Customs Value (the goods’ declared value). Uruguay applies Value Added Tax (VAT) on most imports and additional excise taxes for specific products like alcohol and tobacco.

• How to Proceed:
  • Use the HS Code to calculate applicable import duties. Import tariffs in Uruguay typically range from 0% to 35%, depending on the product.
  • Calculate the Value Added Tax (VAT), which is generally 22%, though some goods may qualify for reduced rates.
  • Check if your goods qualify for preferential tariff treatment under Uruguay’s trade agreements (e.g., MERCOSUR).
• Key Contact:
  • National Customs Directorate (Dirección Nacional de Aduanas – DNA)
    Website: https://www.aduanas.gub.uy
    Provides tools for checking import duties and taxes.

6. Arrange Shipping and Logistics

Once your goods and documentation are prepared, arrange for the transportation of the goods to Uruguay. The primary entry points for imports are Montevideo Port and Carrasco International Airport. If you’re importing via land, goods usually arrive through neighboring countries like Brazil or Argentina.

• How to Proceed:
  • Choose a freight forwarder or logistics company experienced in shipping to Uruguay.
  • Ensure that your goods are properly insured and that all transport documents are in order.
  • Depending on the shipping method (sea, air, or land), ensure that your goods comply with the relevant transportation regulations.
• Key Contacts:
  • National Port Administration (Administración Nacional de Puertos – ANP)
    Website: https://www.anp.com.uy
    Manages port operations, including customs services at the Port of Montevideo.
  • Carrasco International Airport
    Website: http://www.aeropuertodecarrasco.com.uy
    Handles air cargo for goods arriving by air.

7. Customs Clearance in Uruguay

Once the goods arrive in Uruguay, they must go through the customs clearance process. Customs officers will inspect the goods, verify the documentation, and assess the duties and taxes.

• How to Proceed:
  • Hire a customs broker to assist with the clearance process and ensure that all customs duties, VAT, and other applicable fees are paid.
  • Submit all required documentation to the National Customs Directorate.
  • Ensure that the product complies with Uruguayan sanitary, phytosanitary, and safety standards for final approval.
• Key Contact:
  • National Customs Directorate (Dirección Nacional de Aduanas – DNA)
    Website: https://www.aduanas.gub.uy
    Handles all customs clearance procedures.

8. Distribute Goods in Uruguay

Once the goods have cleared customs, they are ready for distribution within Uruguay. Depending on your business model, the goods can be delivered directly to the end customer or distributed through local partners or agents.

• How to Proceed:
  • Arrange local transportation through a logistics provider to deliver the goods to their final destination.
  • If you are working with local distributors, ensure that you have agreements in place for warehousing and distribution.
• Key Contact:
  • Uruguayan Ministry of Industry, Energy, and Mining (Ministerio de Industria, Energía y Minería – MIEM)
    Website: https://www.gub.uy/ministerio-industria-energia-mineria
    Provides regulatory information on importation and distribution of goods.

9. Post-Import Compliance

After your goods have been imported and distributed, it’s essential to maintain proper documentation for compliance with auditing requirements. Customs authorities may request documentation for up to five years after the import process.

• How to Proceed:
  • Keep copies of all import documentation, including invoices, bills of lading, and payment records for tax and customs audits.
  • Stay informed about any changes in import regulations that may affect future shipments.
• Key Contact:
  • Uruguayan National Customs Directorate (Dirección Nacional de Aduanas – DNA)
    Website: https://www.aduanas.gub.uy
    Provides information on post-import compliance and record-keeping.

Incorporating a company in Uruguay involves several legal and administrative steps, but the process is relatively straightforward compared to other Latin American countries. Below is a step-by-step guide to help you navigate the incorporation process, including information on costs and key contacts within relevant government agencies.

1. Choose a Legal Structure

Before incorporating a company in Uruguay, you must decide on the legal structure that best suits your business. The most common legal forms for businesses in Uruguay are:

• Sociedad Anónima (SA): A public limited company with shareholders. Ideal for larger corporations.
• Sociedad de Responsabilidad Limitada (SRL): A limited liability company, commonly used by small and medium-sized enterprises (SMEs).
• Branch Office (Sucursal): A foreign company can establish a branch in Uruguay with the same legal personality as the parent company.
• Costs:
  • Initial setup costs depend on the legal structure, with an SRL typically being less costly than an SA.
  • Professional services (lawyers, accountants) can range from $1,000 to $3,000 USD for initial setup.
• Key Contact:
  • Uruguayan Ministry of Industry, Energy, and Mining (MIEM)
    Website: https://www.gub.uy/ministerio-industria-energia-mineria
    Provides guidance on different company structures and regulatory requirements.

2. Draft the Articles of Incorporation

The Articles of Incorporation (Escritura de Constitución) is the legal document that outlines the company’s purpose, the names of its founders, capital structure, and governance rules. This document must be drafted and signed by a Uruguayan notary public.

• How to Proceed:
  • Include the company’s name, address, share capital, objectives, and founders in the Articles of Incorporation.
  • Obtain the services of a local notary to draft and notarize the document.
  • For SAs, you will need at least two shareholders; for SRLs, one or more partners can register the company.
• Costs:
  • Notary fees typically range from $500 to $1,500 USD depending on the complexity of the company structure.
• Key Contact:
  • Uruguayan Public Notary Association (Asociación de Escribanos del Uruguay)
    Website: https://www.aeu.org.uy
    Provides a directory of certified notaries in Uruguay.

3. Reserve a Company Name

Next, you must reserve a unique company name with the National Trade Registry to ensure that the name is not already in use by another business in Uruguay.

• How to Proceed:
  • Submit a request to the Registro de Personas Jurídicas – Sección Registro Nacional de Comercio (National Trade Registry).
  • The registry will check the availability of the proposed name and reserve it for your use.
  • You can submit the request online through the Empresa en el Día platform.
• Costs:
  • The name reservation process is free of charge if done through the online platform.
• Key Contact:
  • National Trade Registry (Registro Nacional de Comercio)
    Website: https://www.gub.uy/registro-nacional-comercio
    Provides name registration services and other corporate filings.

4. Deposit Initial Capital

For certain legal entities, such as Sociedad Anónima (SA), you are required to deposit a portion of the initial share capital into a local bank account. This is typically 10% of the total capital for an SA.

• How to Proceed:
  • Open a corporate bank account at a local bank.
  • Deposit the required percentage of the initial capital.
  • Obtain a certificate of deposit from the bank to submit with your incorporation documents.
• Key Contact:
  • Banco República (BROU)
    Website: https://www.brou.com.uy
    The largest state-owned bank in Uruguay, widely used for corporate banking.

5. Register the Company with the National Trade Registry

After drafting the Articles of Incorporation and depositing the initial capital (if applicable), the company must be formally registered with the National Trade Registry (Registro Nacional de Comercio).

• How to Proceed:
  • Submit the notarized Articles of Incorporation, along with the certificate of capital deposit (if applicable), and other required documents to the National Trade Registry.
  • This step also includes registering with the Registro Único Tributario (RUT) to obtain the company’s tax identification number (RUT).
• Costs:
  • Government registration fees range from $300 to $600 USD, depending on the legal structure.
  • Additional fees may apply for expedited service.
• Key Contact:
  • National Trade Registry (Registro Nacional de Comercio)
    Website: https://www.gub.uy/registro-nacional-comercio
    Handles all official company registrations.

6. Register for Taxes with the DGI (Tax Authority)

Once the company is registered with the National Trade Registry, it must be registered with the General Tax Directorate (Dirección General Impositiva – DGI) for tax purposes. The DGI will issue the company’s RUT number, which is necessary for paying taxes and operating in Uruguay.

• How to Proceed:
  • Submit an application to the DGI to register the company for corporate income tax, VAT, and other relevant taxes.
  • You can register online through the DGI portal or by visiting one of their offices.
• Costs:
  • There are no specific costs for tax registration, but you may need to hire an accountant to handle the process, with fees ranging from $300 to $1,000 USD.
• Key Contact:
  • General Tax Directorate (Dirección General Impositiva – DGI)
    Website: https://www.dgi.gub.uy
    Provides tax registration services and information on corporate tax obligations.

7. Obtain a Social Security Number (BPS Registration)

To legally hire employees, the company must be registered with the Uruguayan Social Security Institute (Banco de Previsión Social – BPS). This registration is mandatory for all employers.

• How to Proceed:
  • Register the company with the BPS to obtain a social security number.
  • Employers are required to make social security contributions for their employees, which are deducted from both the employer and employee’s salaries.
• Costs:
  • There are no fees for registering with the BPS, but labor contributions typically range from 7.5% to 15% of the employee’s salary.
• Key Contact:
  • Uruguayan Social Security Institute (Banco de Previsión Social – BPS)
    Website: https://www.bps.gub.uy
    Provides social security registration and employer contribution information.

8. Publish the Incorporation in the Official Gazette

Once the company is registered, you are required to announce its incorporation by publishing a notice in the Official Gazette (Diario Oficial). This is a legal formality to make the company’s registration public.

• How to Proceed:
  • Submit a request to the Diario Oficial to publish the details of the company’s incorporation, including the company name, legal structure, and registered address.
  • The publication must be done within 30 days of incorporation.
• Costs:
  • Publication costs typically range from $100 to $200 USD.
• Key Contact:
  • Uruguayan Official Gazette (Diario Oficial)
    Website: https://www.impo.com.uy
    Provides corporate publication services.

9. Open a Corporate Bank Account

Once the company is officially incorporated, you need to open a corporate bank account to manage the company’s finances and operations.

• How to Proceed:
  • Present the company registration documents, tax identification number (RUT), and social security certificate to a local bank.
  • Choose a bank that offers services for businesses, such as Banco República or private banks like Santander and BBVA.
• Key Contact:
  • Banco República (BROU)
    Website: https://www.brou.com.uy
    Offers corporate banking services, including checking accounts and business loans.

Setting up a manufacturing plant in Uruguay requires a series of administrative, legal, and regulatory steps. Uruguay offers a stable business environment with access to regional markets, making it an attractive destination for manufacturing operations. This guide provides a step-by-step overview of the process and includes key contacts in relevant government agencies.

1. Choose a Legal Structure and Incorporate Your Company

Before setting up a manufacturing plant, you must first incorporate a company in Uruguay. The two most common legal structures for businesses are:

• Sociedad Anónima (SA): A public limited company, usually for larger corporations.
• Sociedad de Responsabilidad Limitada (SRL): A limited liability company, ideal for small to medium-sized enterprises (SMEs).
• How to Proceed:
  • Decide on the legal structure based on your business needs.
  • Draft the Articles of Incorporation with a public notary and register the company with the National Trade Registry.
  • Register for taxes with the General Tax Directorate (DGI) and obtain the company’s tax identification number (RUT).
  • Register with the Uruguayan Social Security Institute (BPS) to hire employees.
• Key Contacts:
  • National Trade Registry (Registro Nacional de Comercio)
    Website: https://www.gub.uy/registro-nacional-comercio
  • Uruguayan Ministry of Industry, Energy, and Mining (MIEM)
    Website: https://www.gub.uy/ministerio-industria-energia-mineria

2. Select an Industrial Location

Choosing the right location for your manufacturing plant is crucial. Uruguay offers several Free Trade Zones (Zonas Francas), Industrial Parks, and other strategic locations that provide tax incentives and infrastructure support for manufacturers.

• How to Proceed:
  • Evaluate potential locations based on proximity to ports, logistics, labor, and market access.
  • Consider setting up in Free Zones like Zona América or WTC Free Zone to benefit from tax exemptions on imports, exports, and corporate income.
  • Ensure the location complies with industrial zoning regulations.
• Key Contacts:
  • Uruguayan Free Trade Zones (Zonas Francas)
    Website: https://www.zonamerica.com
    Provides information on tax incentives and benefits for businesses operating in free zones.
  • National Directorate of Planning and Logistics (DINAPLO)
    Website: https://www.gub.uy/ministerio-transporte-obras-publicas
    Offers guidance on industrial and logistical infrastructure.

3. Obtain Environmental and Construction Permits

Before constructing or modifying a building for manufacturing, you will need to secure environmental and construction permits. Uruguay has strict environmental regulations, particularly for manufacturing industries that may impact natural resources or generate waste.

• How to Proceed:
  • Submit an environmental impact assessment (EIA) to the National Environment Directorate (DINAMA), if required for your type of manufacturing.
  • Obtain building permits from the local municipality where the plant will be located.
  • Comply with zoning laws, waste management, and energy efficiency requirements.
• Key Contacts:
  • National Environment Directorate (DINAMA)
    Website: https://www.gub.uy/ministerio-ambiente
    Provides guidance on environmental permits and regulations.
  • Municipality of Montevideo
    Website: https://www.montevideo.gub.uy
    Local government office that issues construction permits for Montevideo.

4. Install Utilities and Infrastructure

Manufacturing plants require reliable access to utilities such as electricity, water, gas, and telecommunications. Uruguay offers stable and high-quality infrastructure in most industrial areas.

• How to Proceed:
  • Contact UTE, the national electricity provider, to arrange power installation.
  • Arrange for water supply through OSE, the national water utility.
  • Set up gas lines for industrial use through ANCAP, Uruguay’s primary energy company.
  • Ensure communications infrastructure, including high-speed internet, is in place through ANTEL.
• Key Contacts:
  • UTE (Electricity)
    Website: https://www.ute.com.uy
  • OSE (Water)
    Website: https://www.ose.com.uy
  • ANCAP (Gas)
    Website: https://www.ancap.com.uy
  • ANTEL (Telecommunications)
    Website: https://www.antel.com.uy

5. Register for Industrial Benefits and Incentives

Uruguay offers various incentives to encourage investment in the industrial sector, such as tax exemptions, subsidies, and free zone benefits. Companies that invest in certain industries (e.g., manufacturing, technology, renewable energy) may qualify for special tax regimes.

• How to Proceed:
  • Apply for investment promotion benefits through the Investment Promotion and Export Promotion Law (Ley de Promoción de Inversiones).
  • Consider operating within a Free Trade Zone to benefit from corporate tax exemptions, VAT exemptions, and import/export duty-free status.
• Key Contacts:
  • Investment Promotion Agency (Uruguay XXI)
    Website: https://www.uruguayxxi.gub.uy
    Provides information on investment incentives and assists foreign investors.
  • Uruguayan Free Trade Zones (Zonas Francas)
    Website: https://www.zonamerica.com

6. Hire and Train Employees

Once the plant is operational, you will need to hire local personnel, which may include both skilled and unskilled workers. Uruguay has strong labor laws and social security regulations, which you must comply with as an employer.

• How to Proceed:
  • Register your company with the Uruguayan Social Security Institute (BPS) to make the required social security contributions.
  • Follow labor laws regarding working hours, wages, and employee benefits.
  • If applicable, engage with local labor unions to ensure compliance with collective bargaining agreements.
  • Consider partnering with INACOOP or INEFOP for government-sponsored training programs to upskill your workforce.
• Key Contacts:
  • Uruguayan Social Security Institute (BPS)
    Website: https://www.bps.gub.uy
  • National Institute of Employment and Vocational Training (INEFOP)
    Website: https://www.inefop.org.uy
    Offers training programs to improve workforce skills.
  • Ministry of Labor and Social Security (MTSS)
    Website: https://www.gub.uy/ministerio-trabajo-seguridad-social
    Provides information on labor laws and regulations.

7. Obtain Health and Safety Certifications

Before commencing operations, you must ensure that your manufacturing plant complies with health and safety standards. Uruguay has stringent workplace safety regulations, especially for industrial sectors.

• How to Proceed:
  • Obtain an occupational safety certificate from the Ministry of Labor and Social Security (MTSS).
  • Implement a health and safety management system in compliance with local regulations.
  • Conduct routine risk assessments and ensure that proper safety equipment and protocols are in place for employees.
• Key Contact:
  • Ministry of Labor and Social Security (MTSS)
    Website: https://www.gub.uy/ministerio-trabajo-seguridad-social
    Provides guidelines on workplace health and safety standards.

8. Establish Supply Chain and Logistics

To run a successful manufacturing plant, you will need to establish a reliable supply chain for sourcing raw materials and distributing finished goods. Uruguay’s strategic location and robust logistics network offer access to regional markets in MERCOSUR (Argentina, Brazil, Paraguay).

• How to Proceed:
  • Partner with local suppliers for raw materials and negotiate contracts.
  • Establish relationships with logistics companies for transportation and distribution.
  • Consider using Montevideo Port or Carrasco International Airport for international shipments.
• Key Contacts:
  • National Port Administration (Administración Nacional de Puertos – ANP)
    Website: https://www.anp.com.uy
    Manages port operations, including customs and shipping services.
  • Carrasco International Airport
    Website: http://www.aeropuertodecarrasco.com.uy
    Handles air cargo services for manufacturers.

9. Comply with Tax and Reporting Obligations

After your manufacturing plant is established and operational, you must comply with ongoing tax obligations, including corporate income tax, VAT, and social security contributions.

• How to Proceed:
  • File regular tax returns with the General Tax Directorate (DGI).
  • Ensure that you are up to date on social security contributions to the BPS.
  • If operating in a Free Trade Zone, ensure you meet the reporting requirements to maintain your tax-exempt status.
• Key Contacts:
  • General Tax Directorate (DGI)
    Website: https://www.dgi.gub.uy
  • Uruguayan Social Security Institute (BPS)
    Website: https://www.bps.gub.uy

Registering a trademark in Uruguay is a straightforward process, handled by the National Directorate of Industrial Property (Dirección Nacional de la Propiedad Industrial – DNPI). This guide outlines the steps, costs, and key contacts necessary to secure trademark protection in Uruguay.

1. Conduct a Trademark Search

Before filing a trademark application, it’s essential to ensure that your proposed trademark is not already registered or pending registration by another party. A preliminary search through the National Directorate of Industrial Property (DNPI) database can help you avoid conflicts and potential rejections.

• How to Proceed:
  • Conduct a search using the DNPI’s online search tool to check if your trademark or similar marks are already registered.
  • You can also hire a trademark attorney or intellectual property agent to assist with the search.
• Costs:
  • Free if conducted online by yourself.
  • $100 to $300 USD if you hire a trademark attorney for a comprehensive search.
• Key Contact:
  • National Directorate of Industrial Property (DNPI)
    Website: https://www.dnpi.gub.uy
    Provides an online search tool for trademarks.

2. Prepare the Trademark Application

After confirming that your trademark is available, the next step is to prepare the necessary documents to file your application. The application must include details about the trademark and the goods or services it will represent.

• What You Will Need:
  • Applicant’s information: Full name, address, and nationality.
  • Trademark details: The trademark itself (word, logo, or combination), and a clear description.
  • Class of goods or services: Uruguay follows the Nice Classification system, which groups goods and services into 45 classes.
  • If filing for a figurative trademark (e.g., a logo), include a high-resolution image of the mark.
  • Power of Attorney: If filing through a representative (like a trademark attorney), you will need a power of attorney form.
• Key Contact:
  • National Directorate of Industrial Property (DNPI)
    Website: https://www.dnpi.gub.uy
    Offers downloadable application forms and guidance.

3. Submit the Trademark Application

Once your application is ready, you can submit it either in person or online through the DNPI website. The process includes paying the application fees and receiving a filing number for tracking.

• How to Proceed:
  • Submit the application online via the DNPI website or in person at the DNPI office.
  • Ensure you pay the appropriate filing fees, which vary depending on the type of trademark and number of classes (goods/services).
• Costs:
  • Filing Fee: Approximately $180 USD per class for word marks.
  • Additional Fee for logos or combined marks: Approximately $50 to $100 USD.
  • If hiring a trademark attorney, expect additional legal fees ranging from $300 to $1,000 USD.
• Key Contact:
  • National Directorate of Industrial Property (DNPI)
    Website: https://www.dnpi.gub.uy
    Provides access to the online application system and forms for in-person submissions.

4. Examination by DNPI

After submission, the DNPI will review your application to ensure that it meets all formal requirements and that there are no conflicts with existing trademarks. The examination process includes both formal examination (checking compliance with procedural requirements) and substantive examination (checking for likelihood of confusion with existing marks).

• What Happens:
  • The DNPI will conduct a formal review of your application to ensure completeness.
  • A substantive examination will follow, where the DNPI checks for conflicts with existing trademarks.
• Timeline:
  • The examination period typically takes 6 to 9 months, depending on the volume of applications and the complexity of the trademark.

5. Publication in the Official Gazette

If the DNPI finds no conflicts, your trademark application will be published in the Official Gazette (Diario Oficial). This publication allows third parties to oppose the registration of your trademark if they believe it infringes on their rights.

• How to Proceed:
  • The DNPI will automatically publish your trademark application in the Official Gazette.
  • After publication, there is a 30-day period during which third parties can file an opposition.
• Costs:
  • Publication Fee: Approximately $50 to $100 USD for the notice in the Official Gazette.
• Key Contact:
  • Uruguayan Official Gazette (Diario Oficial)
    Website: https://www.impo.com.uy

6. Respond to Opposition (If Any)

If a third party files an opposition to your trademark, you will have the opportunity to respond and defend your application. In such cases, it is highly recommended to hire a trademark attorney to handle the opposition process.

• How to Proceed:
  • If an opposition is filed, you must submit a written response to the DNPI, defending the uniqueness and validity of your trademark.
  • The DNPI will review both the opposition and your defense before making a decision.
• Costs:
  • If opposition arises, legal fees for handling the opposition can range from $500 to $2,000 USD, depending on the complexity of the dispute.

7. Receive Trademark Registration Certificate

If no opposition is filed (or if the opposition is resolved in your favor), the DNPI will proceed to approve your trademark registration and issue a Trademark Registration Certificate. This certificate provides legal protection for your trademark in Uruguay for 10 years, renewable indefinitely.

• How to Proceed:
  • Once approved, pay the final registration fee (if applicable) and request your certificate from the DNPI.
  • Store the certificate securely, as it may be required for legal purposes or renewals.
• Costs:
  • Final Registration Fee: Approximately $150 USD.

8. Renewal and Maintenance of Trademark

Uruguayan trademarks are valid for 10 years from the date of registration and can be renewed indefinitely for additional 10-year periods. You must file for renewal before the expiration date to maintain protection.

• How to Proceed:
  • File a renewal application with the DNPI within 6 months prior to the expiration date.
  • Submit the necessary documents and pay the renewal fees.
• Costs:
  • Renewal Fee: Approximately $200 to $300 USD per class.

Key Contacts in Government and Related Agencies

1. National Directorate of Industrial Property (DNPI)
   Website: https://www.dnpi.gub.uy
   Handles trademark registration, applications, and renewals.
2. Uruguayan Official Gazette (Diario Oficial)
   Website: https://www.impo.com.uy
   Publishes trademark applications for opposition purposes.
3. Uruguayan Ministry of Industry, Energy, and Mining (MIEM)
   Website: https://www.gub.uy/ministerio-industria-energia-mineria
   Oversees intellectual property regulations and industrial property rights.

In Uruguay, commercial disputes can be resolved through litigation in civil courts, arbitration, or mediation, depending on the nature of the conflict and the preferences of the parties involved. The country offers a well-established legal framework for resolving disputes, ensuring the protection of business interests. This guide outlines the processes involved in resolving commercial disputes, the associated costs, and key contacts for relevant government agencies.

1. Negotiation Between Parties

The first step in resolving any commercial dispute in Uruguay is to attempt an amicable settlement through direct negotiations between the parties involved. This is often the quickest and least costly way to resolve disputes.

• How to Proceed:
  • Engage in discussions to resolve the dispute before initiating formal legal proceedings.
  • It is advisable to involve legal counsel to ensure that negotiations are conducted professionally and that any agreement is legally enforceable.
  • Any settlement should be documented in writing and signed by both parties.
• Costs:
  • Legal fees for advisory services vary but typically range from $100 to $300 USD per hour depending on the complexity of the dispute and the lawyer’s experience.
• Key Contacts:
  • Uruguayan Bar Association (Colegio de Abogados del Uruguay)
    Website: https://www.colegioabogados.org
    Provides a directory of certified lawyers in Uruguay.

2. Mediation (Optional)

If negotiations fail, the parties may choose to resolve the dispute through mediation. Mediation is a voluntary, non-binding process where a neutral third-party mediator helps the disputing parties reach a mutually acceptable resolution.

• How to Proceed:
  • Contact a certified mediator or a mediation center in Uruguay to initiate the process.
  • Both parties must agree to mediation, and the mediator will facilitate discussions with the aim of reaching a fair settlement.
  • Any agreement reached through mediation can be formalized as a legally binding contract.
• Costs:
  • The cost of mediation services varies but generally ranges from $500 to $2,000 USD, depending on the complexity and duration of the mediation process.
• Key Contacts:
  • Uruguayan Ministry of Education and Culture – Mediation Unit
    Website: https://www.gub.uy/ministerio-educacion-cultura
    Offers resources on mediation services in Uruguay.

3. Arbitration (Binding Alternative)

If the parties prefer a binding resolution without resorting to court litigation, they can choose arbitration. Arbitration is a formal process where a neutral arbitrator (or a panel of arbitrators) makes a decision after reviewing the evidence and hearing the parties’ arguments. The decision (or “award”) is legally binding and enforceable in court.

• How to Proceed:
  • Both parties must agree to submit their dispute to arbitration, either through a pre-existing arbitration clause in their contract or by mutual agreement after the dispute arises.
  • Choose an arbitration institution or select an arbitrator to oversee the process.
  • The parties will present their case to the arbitrator, who will issue a final award that is legally binding on both parties.
• Costs:
  • Arbitration fees depend on the arbitration institution and the complexity of the dispute, but costs typically range from $5,000 to $20,000 USD or more for large commercial disputes.
  • Arbitrator fees and legal representation costs are additional.
• Key Contacts:
  • Uruguayan Arbitration Center (Centro de Conciliación y Arbitraje – CCA)
    Website: https://www.cca.org.uy
    Provides arbitration and mediation services for commercial disputes.
  • Uruguayan Chamber of Commerce and Services (Cámara Nacional de Comercio y Servicios del Uruguay)
    Website: https://www.cncs.com.uy
    Offers arbitration services for resolving business disputes.

4. Litigation in Civil or Commercial Courts

If mediation or arbitration is not successful or desirable, commercial disputes can be resolved through litigation in the Uruguayan civil or commercial courts. Uruguay’s legal system is based on civil law, and commercial courts handle disputes related to contracts, business transactions, and other commercial matters.

• How to Proceed:
  • File a lawsuit in the appropriate court (civil or commercial) based on the nature of the dispute. You will need to engage a licensed attorney to represent you in court.
  • The process begins with the filing of a complaint, followed by pre-trial hearings, presentation of evidence, and a trial if necessary.
  • The court will issue a judgment that is enforceable by law. If the losing party does not comply, enforcement mechanisms such as asset seizures may be used.
• Costs:
  • Court fees: Typically, 3% of the amount in dispute (this may vary based on the case).
  • Attorney fees: Legal representation costs vary depending on the complexity of the case but can range from $5,000 to $50,000 USD or more for large disputes.
  • The losing party may be ordered to pay the legal fees of the winning party, in addition to any damages awarded.
• Key Contacts:
  • Uruguayan Judiciary (Poder Judicial)
    Website: https://www.poderjudicial.gub.uy
    Provides information on court procedures, case status tracking, and jurisdiction details.

5. Appeals Process

If a party is dissatisfied with the court’s decision, they can file an appeal with a higher court. Uruguay’s judicial system allows for appeals in both civil and commercial cases, and the appeal must be based on legal errors or procedural issues.

• How to Proceed:
  • File a written appeal within the time frame allowed by law (typically 15 to 30 days after the judgment).
  • The appellate court will review the lower court’s decision and may either uphold, modify, or reverse the ruling.
  • In some cases, further appeals to the Supreme Court of Uruguay may be possible.
• Costs:
  • Appeal filing fees: Additional court fees apply, typically a percentage of the amount in dispute.
  • Attorney fees: The costs for legal representation in an appeals process can range from $5,000 to $30,000 USD or more, depending on the complexity of the case.
• Key Contacts:
  • Supreme Court of Justice (Suprema Corte de Justicia)
    Website: https://www.poderjudicial.gub.uy
    Handles appeals in high-level cases, including commercial disputes.

6. Enforcement of Judgments

Once a final judgment or arbitration award has been rendered, the winning party may need to enforce it if the losing party does not voluntarily comply. Uruguay has mechanisms in place to help enforce court decisions and arbitration awards.

• How to Proceed:
  • If the judgment is not honored, file for enforcement with the court. This can include requesting the seizure of assets, bank accounts, or other property to satisfy the judgment.
  • If the dispute involves an international party, Uruguay is a signatory to several international treaties, including the New York Convention on the recognition and enforcement of foreign arbitral awards.
• Costs:
  • Enforcement-related costs can vary depending on the complexity of the enforcement actions, but attorney fees typically range from $2,000 to $10,000 USD.
• Key Contacts:
  • Uruguayan Judiciary (Poder Judicial)
    Website: https://www.poderjudicial.gub.uy
    Handles enforcement of judgments and court orders.

Key Contacts in Government and Related Agencies

1. Uruguayan Judiciary (Poder Judicial)
   Website: https://www.poderjudicial.gub.uy
   Provides access to court procedures, case status, and judicial resources.
2. Uruguayan Arbitration Center (Centro de Conciliación y Arbitraje – CCA)
   Website: https://www.cca.org.uy
   Offers arbitration and mediation services for commercial disputes.
3. Uruguayan Chamber of Commerce and Services (Cámara Nacional de Comercio y Servicios del Uruguay)
   Website: https://www.cncs.com.uy
   Provides arbitration and mediation services for businesses.
4. Uruguayan Bar Association (Colegio de Abogados del Uruguay)
   Website: https://www.colegioabogados.org
   Offers a directory of certified lawyers specializing in commercial law and dispute resolution.

Uruguay is a stable, business-friendly country in South America that attracts foreign investors due to its strong legal framework, strategic location, and favorable business environment. However, beyond the legal and administrative processes, several other factors play a significant role in shaping the business landscape in Uruguay, including social, cultural, political, and economic considerations. This guide explores these factors in more detail and provides key resources for further information.

1. Political Stability

Uruguay is known for its political stability and strong democratic institutions. The country has a long-standing tradition of peaceful political transitions, with a well-established multi-party system. This stability has made Uruguay a safe and predictable environment for investments.

• Key Points:
  • Uruguay consistently ranks high in various global indices for democracy, transparency, and government effectiveness.
  • There is a strong separation of powers between the executive, legislative, and judicial branches.
  • The country has a pro-business government, with policies aimed at attracting foreign investments, such as tax incentives and free trade zones.
• Impact on Business:
  Political stability reduces the risk of sudden policy changes that could negatively impact businesses, making long-term planning more secure.

2. Rule of Law and Legal Framework

Uruguay has a well-established rule of law, with robust legal protections for businesses, contracts, and property rights. The country operates under a civil law system based on the Napoleonic Code, and its judiciary is independent and well-regarded for its fairness.

• Key Points:
  • Uruguay ranks highly in property rights protection and contract enforcement.
  • Intellectual property rights are well-protected, and Uruguay is a member of the World Intellectual Property Organization (WIPO) and adheres to international treaties like the Paris Convention.
  • The legal system provides a clear pathway for resolving commercial disputes, both through litigation and alternative dispute resolution (ADR) methods such as arbitration and mediation.
• Impact on Business:
  Strong legal protections ensure that businesses can operate with confidence, knowing their assets and intellectual property are safeguarded.

3. Foreign Exchange and Currency Stability

Uruguay’s currency is the Uruguayan Peso (UYU). The country has a relatively open foreign exchange system, with no major restrictions on the inflow or outflow of foreign currency, making it easier for businesses to repatriate profits and manage international transactions.

• Key Points:
  • The Central Bank of Uruguay (Banco Central del Uruguay – BCU) oversees monetary policy and foreign exchange regulations. The central bank has been successful in maintaining low inflation rates compared to other Latin American countries.
  • Uruguay offers free convertibility of the peso into foreign currencies, providing flexibility for businesses involved in international trade.
  • While the peso has experienced moderate fluctuations in value, Uruguay’s foreign exchange reserves and prudent fiscal policies help maintain relative currency stability.
• Impact on Business:
  The ease of foreign exchange operations and relative currency stability makes it a favorable environment for foreign investors, reducing the risk of foreign exchange-related losses.

4. Cultural and Social Considerations

Uruguay has a unique and distinct social and cultural environment that businesses should consider when entering the market. The country boasts a high standard of living, and its population is highly literate and well-educated, with a strong emphasis on social equality.

• Key Points:
  • Language: Spanish is the official language, and while English is widely understood in business circles, it’s beneficial for companies to conduct business in Spanish or ensure translation services are available.
  • Workforce: Uruguay has an educated and skilled workforce, with strong labor protections. Formal labor unions play an important role in many industries, and businesses should be prepared to negotiate with unions when necessary.
  • Business Culture: Uruguayan business culture values trust and personal relationships, making it important to invest in building strong local partnerships. Meetings often start with informal conversations, and relationship-building is considered as important as the business itself.
  • Social Welfare: Uruguay has a strong focus on social protections, including universal healthcare, education, and social security. Businesses operating in Uruguay are required to comply with social insurance contributions and labor laws.
• Impact on Business:
  Understanding and respecting local customs, the role of labor unions, and the importance of personal relationships will facilitate smoother operations and better integration into the Uruguayan market.

5. Economic Environment

Uruguay has a market-oriented economy, with key sectors including agriculture, manufacturing, technology, and services. The country is a member of MERCOSUR, the South American trade bloc, which provides preferential access to regional markets.

• Key Points:
  • Uruguay’s economy is characterized by low corruption and high transparency, making it a safe place for foreign investments.
  • The country offers a number of tax incentives for foreign companies, particularly those operating in Free Trade Zones (Zonas Francas), industrial parks, and technology parks.
  • Uruguay has embraced renewable energy, with over 90% of its energy coming from renewable sources, making it one of the global leaders in sustainability. This is an attractive factor for companies focused on sustainability and green energy.
• Impact on Business:
  A stable economy, favorable tax policies, and access to regional markets make Uruguay an attractive destination for businesses, especially those looking to expand into Latin America.

6. Infrastructure and Connectivity

Uruguay has a well-developed infrastructure network, which facilitates efficient business operations. Its strategic location provides excellent connectivity to regional and international markets.

• Key Points:
  • Transportation: Uruguay has well-maintained road networks, rail systems, and deepwater ports, such as the Port of Montevideo, which is a major hub for shipping in the Southern Cone.
  • Telecommunications: Uruguay has one of the most advanced telecommunications infrastructures in Latin America, with widespread high-speed internet and mobile coverage.
  • Logistics: The country’s central location within MERCOSUR gives businesses easy access to markets in Argentina, Brazil, and Paraguay.
• Impact on Business:
  Uruguay’s infrastructure makes it an ideal hub for logistics and distribution within the region, helping businesses reduce costs and improve efficiency.

7. Taxation and Incentives

Uruguay offers a competitive tax regime, particularly for foreign investors. The country has signed numerous double taxation agreements and provides several tax incentives to attract foreign direct investment (FDI).

• Key Points:
  • Corporate Income Tax (IRAE): Uruguay has a corporate income tax rate of 25%, but companies operating in Free Trade Zones are exempt from IRAE, VAT, and import duties.
  • Investment Promotion Law: Uruguay offers tax exemptions for companies that make investments in certain sectors, such as technology, renewable energy, and manufacturing. These incentives can include exemptions on VAT, corporate income tax reductions, and accelerated depreciation.
• Impact on Business:
  Uruguay’s tax incentives make it an attractive location for companies looking to minimize their tax burden while gaining access to a skilled workforce and regional markets.

8. Foreign Investment and Trade

Uruguay actively encourages foreign direct investment (FDI) and provides a transparent and non-discriminatory regulatory environment for foreign businesses. There are no restrictions on foreign ownership, and the country has bilateral agreements with many nations to protect investments.

• Key Points:
  • Free Trade Zones (FTZs): Uruguay’s free zones offer significant tax advantages for companies involved in manufacturing, services, and logistics. Businesses operating in these zones are exempt from most national taxes and benefit from customs-free import/export activities.
  • MERCOSUR Membership: As a member of MERCOSUR, Uruguay provides businesses with preferential access to a regional market of over 260 million people.
• Impact on Business:
  Uruguay’s open policies toward foreign investment and its strategic role within MERCOSUR offer significant opportunities for businesses looking to establish a foothold in South America.

9. Social and Environmental Responsibility

Uruguay places a high value on social equity and environmental sustainability. Businesses operating in the country are expected to comply with stringent environmental regulations, particularly if they are involved in industries that could impact natural resources.

• Key Points:
  • Corporate Social Responsibility (CSR): Uruguayan society and regulators expect businesses to adopt socially responsible practices, including fair labor practices, environmental conservation, and community engagement.
  • Environmental Laws: Uruguay has strict environmental regulations, especially for industries that deal with agriculture, manufacturing, and energy. Companies must comply with waste management and pollution control regulations.
• Impact on Business:
  Companies that prioritize sustainability and social responsibility will find Uruguay a supportive environment, while those that do not may face significant regulatory challenges.

Relevant URLs and Resources

1. Uruguay XXI – Investment and Export Promotion Agency
   Website: https://www.uruguayxxi.gub.uy
   Provides information on investment opportunities and incentives in Uruguay.
2. Central Bank of Uruguay (Banco Central del Uruguay – BCU)
   Website: https://www.bcu.gub.uy
   Offers information on foreign exchange, inflation rates, and monetary policy.
3. Uruguayan Judiciary (Poder Judicial)
   Website: https://www.poderjudicial.gub.uy
   Provides access to legal resources, court information, and case tracking.
4. Ministry of Industry, Energy, and Mining (MIEM)
   Website: https://www.gub.uy/ministerio-industria-energia-mineria
   Offers information on industrial regulations, renewable energy, and investment incentives.
5. Uruguayan Chamber of Commerce and Services (Cámara Nacional de Comercio y Servicios del Uruguay – CNCS)
   Website: https://www.cncs.com.uy
   Provides information on business services, trade, and commercial arbitration.
6. Uruguayan Free Trade Zones (Zonas Francas)
   Website: https://www.zonamerica.com
   Offers details on tax benefits and business opportunities within Uruguay’s free zones.