Argentina-Uruguay relations: the "papeleras" issue

Abstract

The installation of foreign cellulose paste factories have made the diplomatic relations between Argentina and Uruguay difficult, due to some sectors of the economy feeling damaged by this new industrial activity. This issue is in evidence since the construction of the Botnia Frey Bentos factory, on the shore of the Uruguay River, which made both countries to present their case in international forums, including the International Court of Arbitration in The Hague.