Uruguayan shopping malls recover sales after the end of the "Argentina effect."
With the end of the exchange rate difference, Uruguayan shopping malls have grown again. Uruguay al Día confirms that Salto, Paysandú, and Montevideo are experiencing an upswing in sales, even with the presence of Argentine shoppers.
.jpg "Before there were lines in Argentina, now Argentines shop in Salto and Paysandú 1")
Salto and Paysandú are recovering the momentum lost during the height of the “Argentina effect.”
Uruguayans crossed into Argentina en masse between 2022 and 2023, seeking to take advantage of the exchange rate difference. It was common to see lines at pharmacies in Buenos Aires, especially for personal care products, where the price difference was abysmal. Uruguayan commerce, especially in the border departments, felt the blow. But now, everything has changed.
The phenomenon known as the "Argentina effect" appears to have come to an end. According to Uruguay al Día , Uruguayan shopping malls are experiencing an upswing in sales and visits, especially along the coast. The cities of Salto and Paysandú, which had been the hardest hit, recorded sustained growth during the first half of 2025.
Luis Zúñiga, manager of shopping malls in that region, indicated that the change has affected all sectors. "We're no longer just seeing people from Salta and Sandusky shopping here; we're also starting to welcome Argentinians," he commented, pointing to vehicles with license plates from the neighboring country entering Uruguayan shopping centers.
.png "Before there were lines in Argentina, now Argentines shop in Salto and Paysandú 2")
The Gualeguaychú River flows through Gualeguaychú, in the Argentine province of Entre Ríos, just a few kilometers from the border with Uruguay (AP Photo/Natacha Pisarenko)
The Border Price Indicator, prepared by the Catholic University, clearly reflects this shift. In September 2023, Salto was 180% more expensive than Concordia. In May 2025, that difference dropped to just 14%. In fact, in some categories such as "Clothing and Footwear," Salto was 13% cheaper than its Argentine neighbor.
This is compounded by a decline in the attractiveness of crossing for fuel or transportation, where the gap has also narrowed to historic levels.
The phenomenon is not limited to the interior of Montevideo. In Montevideo, Uruguay al Día accessed data from Montevideo Shopping, which grew 6% in sales during the semester and 3% in visits. Rodrigo Ferreiro, its manager, noted that "the outlook has stabilized after the strong impact we experienced in 2024."
.jpg "Before there were lines in Argentina, now Argentines shop in Salto and Paysandú 3")
Uruguayan consumers are once again filling shopping mall aisles after two critical years.
From Tres Cruces, Marcelo Lombardi emphasized that rising prices in Argentina have allowed "Uruguayan wallets to start spending here again." And at Costa Urbana, manager Alberto Gossweiler noted that perfumes and personal care are the sectors where the return of consumers is most noticeable.
The Portones, Punta Carretas, Las Piedras, and Nuevo Centro shopping centers also reported increases in their sales. The increase, according to those responsible for these malls, marks a recovery in the local market after two years of fierce competition with Argentine prices.
Although the flow of Argentines to Uruguay is still moderate, this trend opens a new era. Businesses are hopeful about this change in trend. For now, everything indicates that the balance of consumption is beginning to tip again toward the eastern side of the Uruguay River.
