[8] Relations were strengthened further in the 1960s and 1970s when stagnating economic growth in Uruguay reduced opportunities for the highly educated population, leading to an exodus of skilled migrants.

[11] In September of that year, the governor-general of Australia recognised Norman Charles Nelson as honorary consul at Sydney, officially establishing consular relations with Uruguay.

Washington Rios, who was Uruguay's consul-general in Sydney at the time, was appointed chargé d'affaires of the legation in Canberra.

Australia and Uruguay advocate for the reduction and elimination of subsidies and tariffs in international agricultural trade.

The countries have had friendly cooperation on this issue throughout their relationship and were instrumental in the establishment of several international economic institutions.

In 1970, Uruguay joined the International Wool Secretariat, composed of founding members Australia, New Zealand and South Africa.

[22] In 2010 Uruguay investigated the possibility of importing Merino semen and embryos to reinvigorate their sheep industry after substantial declines.

[23] Australian investment in Uruguay centres on mining, agriculture, and entertainment, and benefits from the lack of obstacle to repatriation of profits.