Uruguay seeking Chinese investment

Uruguay is open to offering preferential policies to secure Chinese investment and will cooperate with Shanghai in fields such as logistics and trade, according to Uruguay XXI, an investment, export and country brand promotion agency.

Antonio Sagasti, its executive director, told Shanghai Daily that during the China International Import Expo the Uruguayan foreign minister met Shanghai's vice mayor to discuss areas of mutual benefit to the city and Montevideo, Uruguay's capital.

"Shanghai is a beautiful city," said Sagasti, "Every time we come to China, we feel surprised but when we arrive at Shanghai, it's even more surprising for us." His hope was for the expo to continue year after year so they can come to the city more often.

Sagasti said Uruguay receives investments from all over the world and it has some preferential policies. For example, there is no need for foreign companies to find a Uruguayan partner but can invest directly. 

"We have no limits on the withdrawal of the investments and our forex market is exactly free," he added. The profits foreign companies get from their investment can be taken without restrictions, he said. Investors in Uruguay can also enjoy some tax benefits with possible exemption from corporate income tax or other taxes related to their business. "Uruguay also has a free trade zone system. It has 12 free trade zones where companies can be free of taxes."

Uruguay is the only country which has bonded port and bonded airport systems in the South Atlantic area, he said. 

Chinese enterprises currently making investments in Uruguay include Huawei, ZTE and COFCO. They export products and services to other Latin American countries through Uruguay.

"During the opening ceremony of the CIIE, President Xi Jinping said we will cooperate with each other more and suggested a more open trade between countries," said Sagasti. "And we completely agree with what he said." 

Today, China is Uruguay's largest trading partner and there will be more opportunities for the two countries to work together through the CIIE, he said. Besides goods such as beef, wool and construction materials, Uruguay was looking forward to collaborate with China more on services.