• Paraguay

    Paraguay

    Development Challenges  

    The economy of Paraguay has been traditionally based in agriculture, featuring re-export of imported consumer goods to neighbouring countries, as well as the activities of thousands of microenterprises and urban street vendors. During the last 30 years, Paraguay has had the highest economic growth of South America, showing important signs of long-term industrial growth. The country has benefit from the increasing world demand for commodities combined with higher prices. Paraguayan companies meet 70% of domestic consumption and have begun to export pharmaceutical products, edible oils, garments, organic sugar, and steel. The primary manufacturing focus in Paraguay is on food and beverages; wood products, paper products, hides and furs, and non-metallic mineral products also contribute to manufacturing totals. The country faces development challenges including:

    • Poverty and inequality with a concentration of income in urban centres
    • A large informal sector
    • Financial corruption
    • Political uncertainty
    • Deficient infrastructure
    • Big concentration of land upon a few percentage of the population
    • Unemployment

     Key Trade Issues 

    • Difficulty in obtaining accurate economic measures
    • Drug-smuggling and other contraband trade
    • Exposure of the economy to the volatility of external changes
    • Lack of diversification with an economy based on a few primary commodities
    • Low value-added

    Government Priorities 

    • To continue benefiting from Ciudad del Este, the third most important free commercial zone in the world
    • To invest in the industrial sector
    • To improve credit options for Paraguayan businesses
    • To implement fiscal and monetary stimulus packages
    • To promote economic development with the participation of civil society
    • To expand commodity-based export

     

    Trade and Tariff Graphs

    Graphs of the country’s export markets, its export performance in a key sector and tariffs exporters of a sample product face.
    Trademap sample Trademap sample: The map uses color codes to illustrate the relative size of different markets in the overall exports of the country shown in pink.
    Trademap sample Trademap sample: The vertical axis shows import values by key importing countries, while the horizontal axis shows export values by the country for the same sector. I.e. the country has gained market share in the case of an importing country at the bottom right of chart and lost market share for countries top left. The size of circles is proportional to market size.
    Market access map sample Market access map sample: The world map shows trade values and tariff levels for a key export product by importing countries. Color codes indicate protection levels. Red circles denote trade volumes.

    Trade and Investment Data

    Detailed data on the country’s export performance, key imports and foreign investment, grouped by product and service categories (HS and BOP).

    Trade Information Sources

    A listing of country specific print and online publications on trade related topics. Includes information from both ITC and external sources.

    Trade Contacts

    The most important trade contacts, including importers’ and exporters’ associations, trade support institutions, trade promotion organizations and institutions providing business development assistance.