2002-2012: A decade of more diverse Uruguayan exports
Uruguayan exports have diversified in the market between the period from 2001 to 2012, according to the Hirschmann- Herfindahl Index (HHI), which measures the share of each product or country in total trade amounts.
Likewise, the HHI per product revealed a slight concentration trend during the same period. While in 2001 80% of Uruguayan exports went to 13 destinations, throughout the same period in 2012 the same percentage went to 18 markets. In other words, Uruguayan exports revealed a greater market diversification in the past twelve years.
Additionally, while in 2001 80% of Uruguayan exports consisted of 44 products, the same percentage in 2012 was of 31 products. This illustrates a higher concentration of exported products in the past twelve years.
Product diversification
Summing up, exports to Argentina and Brazil show a higher diversification per product: a greater variety of products is sold to the region, contrary to exports towards faraway markets, where a lower number of products are sold.
The Fray Bentos Free Trade Zone, in particular, mainly received exports of raw timber, a product used to produce cellulose pulp which is re-exported to China and the Netherlands, determining a high concentration.