Paraguay Faces Economic Hit as 2023 Meat Exports Fall

In 2023, Paraguay experienced a downturn in meat exports, shipping out 5.4% less meat compared to the previous year.

This information comes from the National Service of Animal Health and Quality (Senacsa).

They reported a decrease in red meat exports from 333,700 tons in 2022 to 315,521 tons in 2023. This change amounts to a drop of 18,179 tons.

Financially, this downturn affected Paraguay’s earnings from meat exports. In 2023, the country earned $1.506 billion from these exports.

This figure is lower than the $1.722 billion earned in 2022, showing a reduction of $215 million.

Despite the decrease in red meat exports, Paraguay saw a slight increase in total meat shipments.

In 2023 the country exported 619,162 tons of meat, offal, and other products. This volume is 1.7% higher than the 608,735 tons exported in 2022.

However, the overall income from these exports did not reflect this increase. In 2023, Paraguay’s total income from meat exports was $2 billion.

This income is 9% less than the $2.197 billion earned in 2022, marking a difference of $197 million.

A significant factor influencing these figures was the international price of red meat. Throughout 2023, these prices remained low.

They did not rise to support Paraguay’s meat-producing sector. Experts note that the average price hovered around $4.77 per kilogram for the year.

Chile emerged as the top market for Paraguay’s meat exports in 2023. It accounted for 44% of the total export value.

Paraguay exported meat to 58 destinations worldwide, but Chile was the most significant.

Background

Paraguay’s 2023 decline in meat exports reflects wider economic and geopolitical contexts. The country’s economy, reliant on agriculture, feels the impact of such shifts.

Globally, fluctuating meat prices, influenced by international events and policies, affect Paraguay’s exports.

Paraguay faces competition in the global meat market. The decrease in exports, particularly to key markets like Chile, suggests changing trade relationships.

This trend underscores Paraguay’s need to diversify exports and grasp global economic dynamics.