Paraguay
Paraguay

Paraguay is a successful producer and exporter of soybeans and has built a small wheat export merchandise, just its producers are under pressure level from low world prices. Wheat flour is a growing part of the diet of the people of the state. Ethanol production is increasingly derived from sugarcane.

According to the International Grains Council (IGC), Paraguay's maize (corn) crop in 2016-17 will come to an unchanged 3.iii million tonnes. Information technology will export 3.4 million tonnes, down from 3.vii million in 2015-xvi.

Paraguay's ingather of soybeans in 2016-17 volition be 8.9 one thousand thousand tonnes, upwards from 8.8 million the year before. It will export an unchanged 4.vii one thousand thousand tonnes of soybeans and an as well unchanged 2.7 million of meal.

The USDA attaché forecasts a 2016-17 wheat ingather of 1 million tonnes, down from one.2 one thousand thousand the year before, with exports at 500,000 tonnes in 2016-17, downwardly from 600,000 the prior twelvemonth.

The attaché explained the autumn in output: "This is a reduction from last yr'south volume primarily due to a meaning drop in planted surface area equally a upshot of expected low prices and profitability. Current projected net margins are slightly negative. Most contacts forecast a driblet in planted expanse betwixt ten% to twoscore%."

Many farmers will instead increase the use of winter cover crops, such every bit oats, and establish summer soybeans immediately afterward, the report said.

"Paraguayan wheat is expected to suffer stiff pressure from a large consign surplus from Argentine republic's 2016-17 wheat crop. The primary marketplace for wheat for Argentina and Paraguay is Brazil. Wheat product in Paraguay takes place primarily in the southeast, in the Departments of Misiones, Alto Parana and Itapua. Planting is unremarkably washed in May, while harvest is in September to early October."

Paraguay, until the early 2000s, was a net wheat importer, merely the research and development of local varieties made it possible to aggrandize its wheat area to 500,000 to 600,000 hectares a year and go a wheat exporter, information technology said.

"Producers employ good technology, proficient seed genetics and fertilization. Average yields normally range between 2 to 2.4 tonnes per hectare. In full general, the protein content of Paraguay'south wheat is over 12%."

The attaché'due south forecast for the 2016-17 maize ingather is 3.v million tonnes, downwardly from a effigy of iii.75 million the yr before.

"As with wheat, an expected of import increment in production in neighboring Argentine republic is expected to put a downward pressure on local farmers' expectations," the study said. "Even so, lower costs of production (especially fertilizers and seed prices), and some changes in agronomic practices are expected to keep the harvested area at 720,000 hectares."

Ii Crops per year

The attaché explained how the flavour runs in Paraguay.

"After the harvest of the first soybean crop (called summertime soybean) in January, some farmers plant in the same field either tardily soybeans (called soja zafrinia) or late corn (chosen maiz safrinia)," the report said. "In that location is currently a lot of discussion of whether soybeans after soybeans is a adept agricultural do as it does not cut the cycle of diseases, weeds and insects. In that location are many technicians who advise against this practice, but many farmers continue to plant due to its economic science."

Paraguay has ii unlike maize seasons.

Paraguay

Source: U.S. Department of Agronomics

"The early corn is usually planted in September and harvested in Feb-March," the attaché explained. "The area planted with this corn normally ranges between 20,000 to 40,000 hectares, and yields on average 8 tonnes per hectare. The late corn is normally planted after the soybeans harvest in late Jan-Feb and harvested in July-August. Its expanse normally ranges between 650,000 to 750,000 hectares. Late corn typically yields between 4.5-v.five tonnes per hectare."

Corn is planted throughout Paraguay, and in that location are many small-family unit farms which use it for their ain use, the study said.

"Production is concentrated in the easily of the more progressive producers, who utilize proficient applied science, in the Departments of Alto Parana, Itapua and Canindeyu, in the eastern part of the country. This area represents over 80% of product. Most farmers use no-till drill, good volumes of fertilizers and biotech seeds. The take a chance for the tardily planted corn is the lack of rainfall in a catamenia of more than than ii weeks during fall."

Paraguay besides produces rice. The attaché projected the 2016-17 crop at 700,000 tonnes, on a rough production basis. "Despite a lower harvested area, this is an increase from the previous yr which was desperately affected by excess rainfall due to El Niño," the report said. "The local rice sector is going through difficult times due to excess stocks and depression export prices.

"The Departments of Misiones, Itapua and Caazapa concentrate well-nigh 80% of the country'due south rice product. Viii rice mills in the Itapua area account for more than than 80% of the demand."

Flour consumption rising

Wheat flour consumption is on a trend upwards equally Paraguayans shift from eating manioc to wheat flour and products based on wheat flour.

"Wheat flour consumption in Paraguay has been growing strongly in the past few years, primarily due to the growth of the land'south economy and to the fact that the distribution organisation for flour has improved significantly, especially now reaching cities and towns in the interior of the country," the attaché said.

"The urban center of Juan Eulogio Estigarribia (also known as Campo 9), located between the main country's cities of Asuncion and Ciudad del Este, hosts the largest concentration of flour mills, followed by Asuncion. There are approximately 36 wheat flour mills in the country. They have production chapters of 1.15 million tonnes of wheat and are currently running at 55% capacity."

Record Ethanol Production

Paraguay does have a large ethanol manufacture, which consumes corn, simply information technology is not expected to expand this twelvemonth, while the expanding feed lot business primarily uses silage.

"Paraguayan ethanol product is forecast to attain a tape 215 million liters in 2016," said an attaché study on the subject. "This is a issue of expected larger sales of gasoline every bit the local economy continues to expand.

"Contacts judge that 65% of the ethanol produced in Paraguay in 2016 will exist produced from sugarcane, while the residuum volition be from grains (mostly corn)," it said, noting that corn had been the bulk feedstock for ethanol until contempo government measures designed to support small sugarcane producers were enacted.

Soybean use express

Paraguay

Source: U.South. Department of Agriculture

Although Paraguay is a adequately large producer of soybeans, domestic consumption of them and their products is minimal, co-ordinate to the attaché. "Soybeans and soybean meal are used in feed rations for the pork and poultry industries," a report on the sector said. "Use for cattle rations is very express as almost cattle are even so fed on pasture."

The use of soybean oil for biodiesel is express because information technology is more expensive than animal fat.

"Despite financial difficulties, soybean profitably continues to exist fairly expert," the report said.

"Paraguayan producers are quick adopters of new product technologies, specifically biotechnology," information technology said. "An estimated 95%-97% of Paraguay soybeans come from biotech varieties.

"Contacts state that producers could achieve cost savings through more efficient applications of fertilizer. However, it is doubtful that producers modify such methods. Financing for inputs is still largely provided by input companies. Producers enter what local contacts depict a "barter-like" system where providers will supply inputs to producers in exchange for a negotiated book of soybeans. In improver, financing is also available through private banks where all transactions are made in dollars."

Cardinal Facts

Capital: Asunción

Population: 6,783,272 (July 2015 est.)

Religions: Roman Catholic 89.6%, Protestant six.2%, other Christian 1.1%, other or unspecified 1.9%, none 1.1% (2002 census).

Location: Primal South America, northeast of Argentina, southwest of Brazil.

Government: Presidential democracy. Master of land and head of government: President Horacio Cartes Jara (since Aug. 15, 2013).

Economy: Landlocked Paraguay has a market economic system distinguished past a big breezy sector, featuring re-consign of imported consumer goods to neighboring countries, too as the activities of thousands of microenterprises and urban street vendors. A large percentage of the population, especially in rural areas, derives its living from agronomical action, often on a subsistence ground. Because of the importance of the informal sector, authentic economic measures are difficult to obtain. On a per capita ground, real income has stagnated at 1980 levels. The economic system grew rapidly betwixt 2003 and 2008 every bit growing world demand for commodities combined with loftier prices and favorable weather to back up Paraguay's commodity-based export expansion. Paraguay is the sixth largest soy producer in the globe. Drought striking in 2008, reducing agronomical exports and slowing the economic system fifty-fifty earlier the onset of the global recession. The economy fell iii.8% in 2009, as lower earth need and commodity prices caused exports to contract. The authorities reacted by introducing fiscal and monetary stimulus packages. Growth resumed in 2010, and has been erratic, although positive, ever since. Astringent drought and outbreaks of foot-and-mouth illness led to a drop in beef and other agricultural exports. In improver to the agricultural challenges, political doubt, abuse, limited progress on structural reform, and deficient infrastructure are the main obstacles to long-term growth

GDP per capita: $8,800 (2015 est.); inflation: iii.4% (2015 est.); unemployment: five.five% (2015 est.).

Currency: Guarani (PYG): 5,613.45.guaranis equal 1 U.Southward. dollar (May 19, 2016).

Exports: $eight.352 billion (2015 est.): soybeans, livestock feed, cotton fiber, meat, edible oils, forest, leather.

Imports: $9.604 billion (2015 est.): road vehicles, consumer goods, tobacco, petroleum products, electrical machinery, tractors, chemicals, vehicle parts.

Major crops/agricultural products: Cotton fiber, sugarcane, soybeans, corn, wheat, tobacco, cassava (manioc, tapioca), fruits, vegetables; beefiness, pork, eggs, milk; timber.

Agriculture: eighteen.9% of Gdp and 26.5% of the labor force.

Internet: Code: .py; 1.9 one thousand thousand users.

Source: CIA World Factbook