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[BUSINESS] · Paraguay, Brazil, United States · 3 sources

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Paraguay chia producers face price collapse amid export growth

Paraguayan chia producers are facing a dual reality of high export value and a domestic price crisis. Between January and July, chia exports reached USD 106 million, a USD 31 million increase compared to the previous year, driven by international demand in markets like the United States and Europe.

However, local farmers in the Canindeyú and San Pedro departments report a severe domestic crisis. They claim the price per kilogram has plummeted by nearly 50%, dropping from G. 12,000 to G. 6,000. Producers allege that this collapse is caused by the massive, irregular entry of cheaper Brazilian chia through border areas such as Ypehú.

Farmers warn that the influx of Brazilian grain is saturating local silos and displacing national harvests. They have called for stricter controls on Route PY13, claiming that despite the presence of the National Directorate of Tax Revenues (DNIT), trucks suspected of carrying smuggled goods continue to circulate freely. The current price levels threaten the ability of local workers to cover essential production costs, including seeds, machinery, and transport.

Entities

Brazil · National Directorate of Tax Revenues · Paraguay · United States