Long considered the “Switzerland of South America,” Uruguay has emerged as a major player in the development of mass timber across Latin America. Now, Uruguyans are applying their know-how worldwide and looking to supply cross-laminated timber and glulam to faraway markets, including Australia and New Zealand.
Earlier this month, Wood Central spoke to Matias Abergo, Arboreal’s President and Co-Founder, and Guy Jacobson, Arboreal’s Global Business Development Manager, who were both in Melbourne for Timber Construct – Australia’s largest timber construction conference.
“We now export 450 containers (of timber) a month and supply 22 countries (with lumber),” Mr Abergo said, adding that Arboreal’s “state of the art mass timber plant” is a first for Uruguay. “We came from the construction industry; normally, you would start with the forestry, then do the sawmilling, and then add value to your lumber.”
“But in our case, we discovered that we can make this transition to help drive the automation of construction,” Mr Abergo said. “So we started in 2017 and fell in love with mass timber. Not just for the speed of construction but for the decarbonisation.”
Starting with importing European timbers and using them on projects, Aboreal then took the leap and decided to establish a bricks-and-mortar plant and industry in Uruguay. “We think this is going to grow faster and faster,” Mr Abergo said, adding that Uruguay is at the forefront of the push to net zero, with the Arboreal’s plant one of many now operating off close to 100% renewable energy.
But why Australia and New Zealand?
“We think mass timber adoption will be higher in countries with higher labour costs. That will happen in North America, but also here in New Zealand and Australia. It’s the same in Uruguay, where labour costs are higher than any other South American country, which is why the mass timber works.”
Matias Abergo, Arboreal’s President and Co-Founder on the businesses growth strategy.
According to Guy Jacobson, the product has been warmly received in Australia and New Zealand. “We know that there are a lot of projects in the pipeline (for 2025); we know that there are a lot of developers that are looking for some interest rate reprieve.”
“We believe competition is a good thing,” Mr Jacobson said, adding that “we (as a business) are really looking forward to growing our presence in this market over the next five to ten years.”
- Wood Central will have an exclusive interview with Arboreal in the coming weeks.
