Paraguay's wheat exports are booming in the 2024/2025 harvest season, which began in October 2024. By the end of January, the country had exported over 200,000 tons of wheat, a significant 87,962 ton increase compared to the same period last season, according to the Paraguayan Exporters Association (Capeco).

The surge in exports is primarily attributed to strong demand from the Brazilian market, which accounts for a staggering 99% of Paraguay's total wheat exports. While smaller in scale, Vietnam and Bolivia also import Paraguayan wheat.

"January is typically a slow month for wheat and corn exports, but this year we've seen a surge in wheat exports due to increased demand from the Brazilian market," explained Sonia Tomassone, Capeco's trade advisor.

Despite the high export volume, the export value for January reached only 3.2 million USD, a decrease from the 7 million USD recorded during the same period last year. This decline is attributed to lower export prices, despite the increase in international wheat prices.

Paraguay is a significant wheat producer, with an annual domestic consumption of 700,000 tons. Although the export volume is relatively small due to high domestic demand, the steady demand from Brazil and rising international grain prices are expected to drive further growth in Paraguay's wheat exports in the future.

In this harvest season, a total of 31 companies are involved in wheat exports, with Sumar Trading leading the pack with a 12% market share.

This article highlights the remarkable growth in Paraguay's wheat exports, driven by strong demand from Brazil. While the export value for January was lower compared to the previous year, the overall trend suggests a positive outlook for Paraguay's wheat export sector.