A South American nation that has earned a reputation as the local Switzerland, Uruguay is rarely mentioned in the context of wine, unlike its larger producing neighbors, Argentina and Chile. Nevertheless, Uruguay has outperformed them in our wine country rankings.
Most likely, several factors came into play at once. First, migration waves from Spain and Italy in the 19th and early 20th centuries made a highly noticeable contribution to the population structure, bringing with them an everyday culture of wine drinking, along with the vines themselves. Second, while Uruguay is not among the wealthiest nations in the region, it is not among the poorest either. Moreover, according to the World Bank, the middle class accounts for over 60% of the population.
Uruguay also has its own winemaking industry, but it caters primarily to the domestic market. Furthermore, over half of its already modest exports go to neighboring Brazil, rarely making it onto the global wine market.