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Uruguay’s rice sector continues to demonstrate exceptional productivity, recording the third-highest production in its history during the 2025/26 season, despite a significant reduction in planted area. According to the latest data from the Ministry of Livestock, Agriculture and Fisheries (MGAP), total rice planting fell to 165,554 hectares, down 9.5% from the previous season’s 183,000 hectares.
Total production reached 1.55 million tons of dry, clean paddy rice, marking a 9% year-on-year decline. However, this still represents one of the strongest harvests on record, highlighting Uruguay’s position as a highly efficient rice-producing country and a reliable player in global agricultural markets.
High yields sustain production
A key factor behind this performance is Uruguay’s consistently high rice yields. The national average reached 9,370 kilograms per hectare, just 30 kg below the all-time record set in the 2020/21 season. These near-record yields reflect advanced farming practices, strong irrigation infrastructure, and the use of improved rice varieties.
Regional production breakdown
The eastern region remains the core of Uruguay’s rice production, accounting for 73% of the total planted area (120,714 hectares) and producing over 1.11 million tons.
The northern region recorded the highest yields in the country at 9,669 kg per hectare, with total production of 282,055 tons across 29,171 hectares.
Meanwhile, the central region contributed 151,239 tons from 15,669 hectares, achieving an average yield of 9,652 kg per hectare, confirming strong productivity across all rice-growing zones.
Leading rice varieties
Rice cultivation in Uruguay continues to be dominated by high-performance varieties. INIA Merim leads with 34% of the planted area, followed by Gurí INTA CL (17%) and INIA Olimar (15%). These varieties are well adapted to local conditions and play a crucial role in maintaining high yields and crop consistency.
Land use and production costs
Rice farming in Uruguay is largely conducted on leased land, which represents 74% of the total planted area. The average cost for land and water is estimated at 30 bags of rice per hectare, ranging from 28 bags in the central region to 31 bags in the north. These cost structures are a key consideration for investors and operators evaluating agricultural returns.
Uruguay rice investment outlook
Despite a reduction in planted area, the 2025/26 season reinforces Uruguay’s reputation for high-yield, export-oriented rice production. For agricultural investors, the sector offers a combination of technical efficiency, stable production levels, and established infrastructure, making it an attractive option within South America’s farmland investment landscape.
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