Discover the charm of Paraguay for investors, a land full of promise
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What country! Paraguay closed one more edition of the largest national agricultural exhibition and the first of the regional circuit. An exhibition with historical inscriptions, with tracks that compete in the big leagues, with children of World Champions, with record sales and purchases from abroad, and with the necessary maturity to discuss structural issues of the cattle business that aim to continue positioning Paraguay as a food producer for all continents, and years ago called the new agricultural frontier. Despite the turbulence, Paraguay remains firm and without drastic movements that scare away investments. This has attracted the attention of businessmen from Mercosur and other regions who see the country as an investment and development opportunity. It is time to enjoy Paraguay’s desirable political, economic and productive conditions!
Beginning the second semester, the field breathes production after being cornered for three years by drought and fire. 2023 is presenting ideal climatic conditions, and in the middle of winter, grass, water, and frost have not arrived. The country is preparing to cut several consecutive years of falling stocks, and the producer is retaining bellies and buying calves and soon-to-serve cows. However, they would be less than in previous years to significantly jump the marking percentages. The world demand for meat is increasing, although prices fluctuate and seek post-pandemic balances, and Paraguay has been breaking its own records for slaughter, production and export of beef.
At the market level, Chile continues to be the tractor that pushes, now without Russia and with placement difficulties in Israel. Canada is expected to enter soon, between September and October, and the long-awaited opening of the United States. The competition will be intense since there are dominant suppliers such as Brazil. However, the expectation of an economic recovery and consumption in China could favour Paraguay to have more spaces in those destinations.
Meanwhile, Paraguay is advancing with tools that seek to add value to the product and will be vital to boosting income to new markets: classification is underway, although there are internal aspects that producers must agree on for certifications to begin; individual identification has a medium sanction in the Legislative Branch, and Senacsa has already included in its budget the investment for the purchase of caravans for 2024; and the creation of the meat institute is gaining more and more strength among producers, a push that could begin, initially, between the mother union and the incorporated companies.
Although some objectives were not met, such as the 20 million bovine heads in 2020, Paraguay has a lot of room for growth in food production, efficiently meeting the demands of the markets, such as the old and new tariff barriers: sanitary and environmental. At the same time, agriculture is entering Chaco with force. It requires livestock to increase its efficiency, and the business is undergoing a positive transformation from extensive to intensive production. The pioneers in this process are setting attractive production rates, even in times of lack of rain, and this slowly begins to be transferred to all production with expectations that years of better numbers will come for stock recovery.
It’s time to continue working, producing food, and adding economic value! In the food-producing region, Paraguay has more space than anyone else to continue growing in volume and quality, a challenge that is known and that in this last exhibition, days before a new government takes office, the interest and renewed spirit was demonstrated by the meat complex to continue advancing in the future of livestock. Let’s use this opportunity to continue positioning Paraguay as a first-class food producer!
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