KEY POINTS
- BrasPine is investing US$250 million in a Rivera-based timber remanufacturing and power generation plant.
- The facility aims to begin production in late 2027, creating over 400 jobs and processing local pine into high-value export goods.
- An associated entity secured 18,800 hectares of local forestry land for $171.3 million to supply the new operation.
Brazilian forestry company BrasPine is investing US$250 million to build its first international plant in Rivera, northern Uruguay, aiming to process local pine into high-value export goods and generate over 400 jobs at full capacity.
According to a report by Jason Ross in Wood Central, the phased project will feature a pine sawmill, timber remanufacturing facilities, and an independent power generation unit. Civil construction is set to begin in June 2026, following the completion of site earthworks, with production targeted for the second half of 2027.
The operation represents a significant expansion for the Paraná-based firm, marking its third industrial unit and first venture beyond Brazil. To secure a steady supply of raw materials ahead of the plant’s demand, an entity linked to BrasPine directors recently acquired approximately 18,800 hectares of forestry land in Rivera and Tacuarembó for $171.3 million. The facility will transform raw Uruguayan pine into finished products destined for markets across Brazil, the United States, Europe, and Asia.
Uruguay’s Industry, Energy, and Mining Minister Fernanda Cardona confirmed that the plant will also include cogeneration capabilities. The national government is currently drafting a decree alongside state power utility UTE to regulate the surplus electricity the facility will feed into the national grid. The project, which obtained promotional status from Uruguay’s investment commission (COMAP) in late 2025, reflects the continued growth of the national forestry sector, which has recently surpassed beef as the country’s leading export earner.
Strategic Market Assessment
For international investors evaluating Uruguay’s macroeconomic landscape, BrasPine’s $250 million commitment underscores the country’s enduring appeal as a stable, resource-rich hub for foreign direct investment. The expansion of high-value manufacturing in the northern departments highlights the effectiveness of Uruguay’s investment promotion frameworks, such as COMAP, and the strategic utilization of sustainable forestry assets. Furthermore, the integration of private power cogeneration into the national grid signals a maturing infrastructure sector that offers compounding benefits for industrial developments, enhancing the overall security and viability of long-term capital deployment in the region.
