Market Trends of Grains Industry in Paraguay
This section covers the major market trends shaping the Paraguay Grain Market according to our research experts:
Increased Demand in Export Opportunity
According to OEC, the top export markets of Paraguay are Brazil, Argentina, Chile, Russia, and Italy with USD1.12 billion, USD 749 million, USD 648 million, USD 601 million and USD 293 million. The major grains that are exported from Paraguay to these markets are Maize, Rice, and Wheat accounting for 8% of the total export from the region. Brazil tops the import of all three grains from Paraguay. The export of Maize increased from 642008 Thousand MT to 739227.4 Thousand MT during 2017-2018. The export of Rice increased from 429940 Thousand MT to 462391.3 Thousand MT and wheat from 344181 Thousand MT to 362484.6 Thousand MT during 2017-18 to Brazil market alone.
Maize Dominates the Market
According to FAO, maize production has significantly increased during the forecast period 2016-2018 from 5152320 MT to 5344650 MT which is a 3.75% increase in the production rate. As per USDA FAS, the export of maize in 2018-19 summed to a total of 1.4 million tons and the domestic consumption for 2019/20 is projected at a record 1.65 million tons with the local grain ethanol industry expansion is one of the major drivers for the increase Maize production in the region. It is estimated that the country's local ethanol producers will consume approximately 1.22 million tons of Maize by 2020.
