Cheese is expected to experience a modest expansion in retail volume terms during 2025. Uruguay's per capita cheese consumption is among the highest in Latin America and the world, reflecting the country’s longstanding tradition of cheese production. The recovery of purchasing power, alongside the decline in cross-border shopping in Argentina following the devaluation of the exchange rate, has contributed to this growth.

Drinking milk sales in Uruguay are expected to slow in 2025 due to a decline in liquid milk driven by reduced consumption of fresh milk as consumers switch to shelf stable milk due to a reduced-price gap between the two milk types, as well as increased consumption of yogurt and chocolate milk. The health and wellness trend is increasing in the country, along with interest in plant-based milk due to health, sustainability and animal welfare concerns. Almond, oat, and rice milk are growing strongl

Prepared baby food in Uruguay was the poorest performer in retail volume terms in 2024, and this trend is set to continue in 2025. The category remains severely underdeveloped, largely due to a significant lack of interest from parents who prefer not to feed their children industrially processed foods. Sales have been further impacted by high price and rising health consciousness in the country as fruit purees contain too much sugar. The widespread disinterest has resulted in a limited market pr

Other dairy sales in Uruguay are expected to perform well, largely driven by the highly developed condensed milk category which accounts for over one-third of total retail value sales in 2025. Growth in this category is supported by strong promotional activity behind the consumption of dulce de leche-hot caramel, included in flavoured condensed milk. Dulce de leche holds a special place in Uruguayan culture - like mate or asado - as a beloved staple in the national diet. From breakfast spreads t

In 2025, overall sales of yoghurt and sour milk products in Uruguay are expected to experience positive growth in retail volume terms for the third consecutive year. The recovery in consumer purchasing power, coupled with more consistent yoghurt production, has driven the increase in retail volume sales in both 2024 and 2025. Additionally, both leading and smaller companies have strategically kept price increases below cost levels to boost yoghurt sales, further supporting the market's expansion

Butter and spreads is expected to register moderate growth in retail volume terms in 2025, a slower performance compared to 2024. The butter and spreads category is mature, with Uruguay boasting one of the highest per capita consumption rates in Latin America, second only to Chile. Given this maturity, there is limited room for growth, and fluctuations in sales are typically driven by supply-side factors rather than changes in consumer demand.

The outlook for dairy sales in Uruguay is positive, supported by a strong macroeconomic environment following the administration of former President Lacalle Pou and the inauguration of Yamandú Orsi in March 2025. According to IMF estimates, the Uruguayan economy is expected to grow by 3%. After overcoming the severe impact of the Argentine crisis, the economy regained momentum in 2024, with simultaneous growth in wages and employment. A further boost to the local industry came in March 2024 when

Other plant-based milk is registering the most dynamic growth in retail volume terms in Uruguay in 2025, albeit from a low base. Despite the availability of several flavours such as oat, coconut and peanut milk, almond is by far the most consumed option by Uruguayans. Over the review period, rising consumer interest and the rapid expansion of brands and flavours has boosted sales of plant-based milk. The category is dominated by Silk, imported by Fort-Masis SA from Mexico. Although some Silk pro

This report assesses the business environment in Uruguay, focusing on the regulatory environment, stability of the financial system, FDI intake, labour market flexibility and skillset, trade openness, mobility infrastructure, ICT adoption and innovative capabilities. Companies can evaluate these factors to understand the strengths and weaknesses of a country’s business environment for better strategic investment decisions.

The report examines the economic landscape of Uruguay and provides information on major monetary indicators, foreign trade and government finance. The economy expanded in real terms in 2024, driven by exports, private consumption and government spending. However, a global economic slowdown, increasing geopolitical tensions and economic fragmentation as well as tight financial conditions pose risks to the country’s economic outlook.

Sugar confectionery is expected to register healthy current value and volume growth in Uruguay in 2025, largely supported by the popularity of gummies and jellies. There is significant innovation in gummies and jellies and they are particularly popular with children and players use bright, colourful, eye-catching packaging designs to engage consumers. The playful shapes, such as gummy bears or jelly babies, also add a sense of fun. In particular, more sour flavours are increasingly popular, and

While gum is expected to register healthy current value growth in in Uruguay in 2025, volume growth is expected to be minimal. There are several reasons for the muted volume sales. One being that with more people working from home post pandemic, there is not the same demand, as consumers often consume gum in the office as a breath freshener. However, gum also increasingly has a bad reputation, and is seen as bad for dental health, especially those that are high in sugar. Its non-biodegradable pr

In spite of significant price hikes, driven by poor harvests of cocoa beans globally and limited supply, chocolate confectionery is expected to register both healthy current value and volume growth in Uruguay in 2025. Part of the positive performance was due to promotions, as supermarket retailers had high levels of stock and offered generous promotions to push sales. However, once stocks reach normal level, players may need to adopt other strategies to support sales, including offering smaller

Savoury snacks is expected to register positive current value and moderate volume growth in 2025 in Uruguay. Several factors contribute to growth, including reduced cross-border shopping in Argentina, following the appreciation of the Argentine peso, which has reduced the price differential in a positive direction. While savoury biscuits, followed by potato chips, account for most value sales, nuts, seeds and trail mixes are expected to register the highest value growth. This is due to their hea

Sweet biscuits, fruit snacks and snacks bars is expected to register healthy current value and more modest volume growth in 2025 in Uruguay. Sweet biscuits, and in particular alfajores (filled biscuits), account for the main proportion of sales and it is a mature product area and this dampens volume growth to an extent. Generous promotions, such as from brand leader Portezuelo, support volume sales. There also continues to be regular new product launches, such as the recently launched gluten-fr

It is expected to be a positive year for snacks in Uruguay in 2025, with healthy current value growth, supported by an improving economy and the continuing easing of inflation. In addition, there has been a significant fall off in cross-border shopping in Argentina, and this is expected to boost overall volume sales. This was due to a steep currency appreciation of the peso in Argentina after the election of president Javier Milei. The newly appreciated currency made products in Argentine peso m

Ice cream in Uruguay is expected to register both healthy current value and volume growth in 2025. Increasing tourist numbers, including from Argentina, supports value sales. With the appreciation of the Argentine peso, Uruguay is seen as less expensive, and this leads to increasing visitor numbers. Take-home ice cream accounts for more values sales than impulse ice cream and is also expected to register higher volume growth in 2025. Impulse ice cream is mainly sold through the summer months, wh

Insight into income, wealth and expenditure of consumers and households is vital in helping businesses make strategic decisions with regards to which country (or even which region within a country) to enter, which consumer segment to target, which products or services to market, and at which price point. Other factors such as the size and expansion of the middle class and income inequality are also important in helping companies gauge the potential of a country market.

Wine in Uruguay faced multiple headwinds in 2024, including a poor harvest driven by an exceptionally dry climate and the drought of 2023. Volume sales fell significantly both off-trade and on. Local producers, whose output comprised over two thirds of low-quality table wine in total volume sales, saw their competitiveness erode as prices remained too high to match the value proposition of imports. Consequently, many consumers shifted to higher-quality offerings from Argentina and Chile. Post-pa

Though overall spirits recorded rises in both volume and value terms in Uruguay in 2024, different members faced different fortunes, with some subcategories struggling. Whiskies was a notable example. Bourbon/other US whiskey, Irish whiskey, blended malt Scotch whisky and other whiskies suffered deep falls in the off-trade and on-trade sectors. Whiskies is the largest spirits subcategory in Uruguay with one of the world’s highest litres-per-capita consumption rates. Mature in profile and declini

Alcoholic drinks in Uruguay was heavily impacted by the country’s economic context in 2024. The economy showed greater dynamism and gross domestic production grew. Boosting local industry is the favourable exchange rate with Argentina. Small-scale contraband decreased notably during 2024, and so the attractiveness of buying products in Argentina also diminished (though this neighbouring country will continue to be cheaper than Uruguay). As a result, a substantial proportion of alcoholic drinks s

2024 saw cider/perry fall further in terms of volume sales in Uruguay. Over the past 15 years cider has steadily lost share among local alcoholic drink options as consumers increasingly seek more sophisticated beverages. Producers have relied on pricing to compete, establishing cider as an economical drink available in large accessible formats but lacking refinement. In a market where the quality and diversity of alcoholic beverages have risen, cider/perry’s appeal has diminished: its volume has

Total volume sales for beer in Uruguay fell for the third consecutive year in 2024 as consumers moderated their alcohol intake for health reasons, cutting spending by drinking less and favouring premium options. Uruguayan consumers have established a more moderate relationship with alcohol, shifting towards healthier alternatives such as bottled water and lower-alcohol beverages. High living costs - among the highest in the region - have further reinforced this trend, prompting consumers to reas

RTDs was one of the biggest winners in the Uruguayan alcoholic drinks industry in 2024. Although it remains the smallest of the five main alcoholic drinks categories by volume, its appeal among young adults at social gatherings, bars, pubs and nightclubs drove robust demand throughout the year. High unit prices compared with mixing spirits and soft drinks have confined consumption to more affluent urban consumers willing to pay a premium for convenience and innovation.