AGP Executive Report

Paraguay Energy Watch: ANDE reports Paraguay’s electricity demand jumped 18.3% in the first half of 2026, with June consumption up 11.8% year-on-year to 2,310,632 MWh—another sign of rising industrial and residential activity. Agriculture & Livestock (Chaco): Paraguay’s 2026 National Agricultural Survey of the Chaco (ENA) points to Boquerón as the strongest department for livestock management, while agriculture is expanding across the region’s productive footprint. Regional Fertilizer Pressure: Brazil’s fertilizer industry expects 2026/27 deliveries to fall at least 10% as Middle East conflict disrupts logistics and pushes farmers to delay purchases—an input-cost risk for Paraguay’s wider Mercosur supply chain. Industry Spotlight (Beef Sustainability): Athian says it sold the first verified Brazilian beef inset credits under an international sustainability pilot, using insetting to cut methane and register credits for sale. Trade & Markets (Mercosur signals): Brazil moves ahead with Mercosur’s zero-tariff deal with Singapore, while Korea-Mercosur talks are set to relaunch—developments that can shape regional demand for Paraguay’s exports. Local Talent (Textiles): Two Paraguayan screen printers, HaNa Serigrafia’s Paloma García Ortiz and Alan Escurra, win Rodo de Ouro in Brazil, boosting visibility for Paraguay’s textile and print services.

Paraguay Energy Watch: ANDE reports Paraguay’s electricity demand jumped 18.3% in the first half of 2026, with June consumption up 11.8% year-on-year—another signal of rising industrial and residential activity. Agribusiness & Livestock: A 2026 Chaco agricultural survey (ENA) says Boquerón leads Paraguay’s livestock management, while agriculture now covers about 350,000 hectares in the region. Trade & Industry Links: Paraguay is listed among governments backing a new global 6G alliance aimed at coordinating secure next-gen telecom plans and limiting China’s influence. Security & Logistics: SENAD seized 311 kg of high-potency marijuana hidden in two pickup trucks imported via Villeta, with an estimated value of $4.3M in Brazil. Manufacturing Spotlight: Two Paraguayan screen printers from Asunción won Brazil’s top Rodo de Ouro screen-printing title at FuturePrint. Electricity Demand: ANDE data points to sustained grid pressure as consumption keeps climbing.

Paraguay Energy Watch: ANDE reports Paraguay’s electricity demand jumped 18.3% in the first half of 2026, with June consumption rising 11.8% year-on-year to 2,310,632 MWh, signaling faster industrial and residential activity and growing pressure on the grid. Regional Trade & Industry: Brazil will start its Mercosur–Singapore zero-tariff deal on Aug. 1, a move that could reshape export planning for Mercosur producers, including Paraguay. Tech & Connectivity: The Trump administration launched a global 6G alliance with many partners, and Paraguay is listed among participating governments, aiming to coordinate next-gen telecom strategy and deployment. Agrifood Policy: Americas agriculture officials warned that the EU’s proposed maximum residue limits could become a trade barrier, pushing for rules that are transparent and science-based—an issue that matters for Paraguay’s exporters. Logistics & Security: Paraguay-linked enforcement made headlines with 311 kg of high-THC marijuana seized in Villeta, hidden in imported trucks from Miami, with an estimated $4.3M value on the Brazilian market. Culture & Tourism: A feature highlights how Paraguayan food tourism is growing, spotlighting corn, cassava, cheese, beef and traditional dishes as a draw for visitors.

Energy Demand: ANDE reports Paraguay’s electricity consumption up 18.3% in the first half of 2026, with June alone rising 11.8% year-on-year—another signal of growing industrial and residential activity. Beauty & Skills Exports: Paraguayan lash artist Ana Belén Martínez helped Chile’s Lash Record 2026 team set a Guinness World Record by fitting 388 eyelash sets in eight hours, highlighting Paraguay’s talent in the beauty services sector. Trade & Industry Diplomacy: South Korea and Brazil agreed to push ahead on Korea–Mercosur trade talks, setting up a working group and aiming for a December restart—important for Paraguay as a Mercosur member and for future agri-food and manufacturing supply chains. Agri-Food Rules: Americas agriculture officials warned that the EU’s proposed MRL regulation could become a de facto barrier to imports, urging transparent, science-based trade rules. Security & Logistics: SENAD seized 311 kg of high-THC marijuana hidden in two pickup trucks imported via Villeta, valued at about $4.3M, underscoring risks in cross-border cargo flows. Agritech R&D: Micropep submitted regulatory dossiers for its peptide biofungicide Promisin in the U.S. and EU, building on earlier filings in Brazil and Paraguay.

Anti-China Telecom Push: The Trump administration plans $175.8M to replace aging undersea cables in the Caribbean and Central America, aiming to block China’s telecom influence. Mercosur Trade Momentum: South Korea and Brazil agreed to restart Korea–Mercosur free-trade talks via a joint working group, with an aim to announce the restart at the Mercosur summit in December—relevant for Paraguay as a Mercosur member. Agri-Food Rules Debate: Americas countries urged science-based, transparent agri-food trade rules, warning an EU proposal on maximum residue limits could become a de facto import barrier. Paraguay Drug Bust: SENAD seized 311 kg of high-potency marijuana worth about $4.3M, hidden in two pickup trucks imported from Miami and destined for Brazil. Paraguay in Global 6G Alliance: Paraguay joined a new global 6G partnership with 20+ allies to coordinate next-gen secure wireless development and counter China’s telecom reach. Crop Protection Investment: Micropep submitted regulatory dossiers for its peptide biofungicide Promisin in the U.S. and EU, building on earlier filings in Brazil and Paraguay. Local Industry Signal: Paraguay’s maquila exports reportedly rose 25% to US$717M in the first half of 2026. Food Safety Spotlight: A wider food-fraud probe abroad highlights how labeling and contamination issues can hit consumer trust and supply chains.

Regional Trade Push: South Korea’s President Lee Jae Myung and Brazil’s Lula agreed to restart Korea–Mercosur free-trade talks, setting up a bilateral working group and aiming to announce the restart at the Mercosur summit in December—an opening that matters for Paraguay as a founding Mercosur member and a key minerals and agriculture supplier. Agri-Bio Inputs: Micropep Technologies advanced global commercialization of its peptide biofungicide Promisin by filing regulatory dossiers for the U.S. and EU, building on earlier Brazil and Paraguay filings and targeting fungal diseases in crops like grape and potato. Food Safety & Fraud Watch: A major investigation into food labeling claims raised alarms about possible adulteration and contamination, underscoring the need for stronger inspection and enforcement systems across the supply chain. Local Circular Economy: Asunción thrifting is growing fast among young shoppers, shifting second-hand clothing from “necessity” to style and sustainability—good news for local retail and reuse businesses. Culture & Commerce: Paraguay’s National Secretariat of Culture announced a packed Historic Centre Asunción weekend with free theatre and folkloric dance workshops plus exhibitions that should draw foot traffic to local commerce.

Trade & Industry: South Korea and Brazil agreed their Korea–Mercosur trade pact should not be delayed further, with talks also expanding into defense, aerospace, critical minerals and supply-chain cooperation—key for Paraguay as a Mercosur founding member. Food Safety & Compliance: A major investigation into Australia’s food supply alleges products were mislabeled and contaminated, including claims of horse meat sold as beef or lamb, raising pressure on import controls and labeling integrity. Banking & Finance: Philippine banks reported record assets above P31 trillion in June, supported by loan growth, steady deposits and rising investments—an example of how credit conditions and liquidity can keep industry momentum despite external risks. Education Infrastructure (PPP): DepEd Davao moved forward with a PPP market sounding to tackle classroom shortages, aiming for safer, climate-resilient school infrastructure with private-sector participation. Regional Trade Promotion: Taiwan opened the Latin American and Caribbean Trade Office (LACTO) in Taipei, with Paraguay among participating allies to boost industrial cooperation and market access. Steel Market: World crude steel output rose 1.7% in June 2026, with mixed regional performance including South America slightly down.

Education Infrastructure: Paraguay’s regional spotlight is on school capacity planning as DepEd targets 106,000 new classrooms (2026–2031) via a Public-Private Partnership model, aiming to close a 165,443-classroom deficit with climate-resilient designs. Trade & Industry Links: Taiwan’s expanded Latin American and Caribbean Trade Office (LACTO) opened in Taipei, with Paraguay’s ambassador in attendance, signaling more matchmaking and industrial cooperation for firms eyeing the Taiwan market. Food Safety & Standards: A U.S.-backed, PAHO/FAO-led project is strengthening national food safety systems through risk analysis, including Paraguay among participating countries—relevant for exporters and processors. Consumer & Label Integrity: A major food fraud investigation highlights how labels can diverge from lab testing, underscoring the compliance pressure facing food brands and supply chains. Sports Business & Culture: World Cup momentum is still rippling through consumer life and media—Spotify reports huge football-related music streaming growth during the 2026 tournament window. Local Consumer Trends: Thrifting in Asunción is shifting from necessity to style and sustainability, with young shoppers driving demand for second-hand fashion.

Paraguay in the spotlight (2030 World Cup): FIFA says the 2030 tournament will span Spain, Portugal, Morocco, Uruguay, Argentina and Paraguay, with opening matches across the host countries—an early sign of how Paraguay’s football footprint is being leveraged for future tourism and services. Germany coaching shake-up (linked to Paraguay): Jurgen Klopp was appointed Germany head coach through the 2030 World Cup after Julian Nagelsmann resigned following Germany’s last-32 loss to Paraguay; Klopp also set a hard line on media intrusion into his family’s privacy. Trade & industry diplomacy: The Vietnam Trade Office in Argentina (covering Paraguay and Uruguay) met CMA Paraguay, a snack manufacturer behind the Capitán Cuac brand, to discuss expanding Mercosur-linked trade and a future Vietnam–Mercosur preferential trade agreement. Steel market signal: World crude steel production rose 1.7% in June 2026, with South America down slightly—useful context for Paraguay’s construction and materials demand. Consumer culture in Asunción: Thrifting is growing fast among young shoppers, reflecting a wider shift toward circular fashion and local resale businesses.

Riverfront Upgrade: Villa Elisa opened the Paseo Costero Virgen del Carmen, a 17,000+ m² promenade along the Paraguay River with riverbank protection, green areas, sports courts, an amphitheatre for ~800, and space for concerts and community events. Agri-Exports: Paraguay is emerging as a regional watermelon powerhouse, with 4,000+ hectares in production and 2023 output above 65,000 tonnes, generating about US$12M, while officials target 80,000+ tonnes through MAG technical support and family-farming programs. Trade & Industry Links: A Vietnam Trade Office in Argentina (covering Paraguay and Uruguay) met CMA Paraguay, a snack private-label manufacturer, to discuss market expansion and preparations for a Vietnam–Mercosur preferential trade agreement. World Cup Business Buzz: Spotify reports 172M+ global streams on soccer/football playlists during the 2026 World Cup window (June 12–July 14), nearly 4x 2022 levels—showing how the tournament boosted music consumption. Football Leadership: Jurgen Klopp was confirmed as Germany coach through the 2030 World Cup, immediately setting a firm boundary on media intrusion into his family’s privacy.

World Cup 2030 Hosting Plan: FIFA says the 2030 World Cup will run June 8–July 21 across Spain, Portugal, Morocco, Uruguay, Argentina and Paraguay, with host teams qualifying directly and opening matches staged in Uruguay, Argentina and Paraguay. Germany Football & Sports Business: Jurgen Klopp is confirmed as Germany head coach through the 2030 World Cup, starting Aug. 15, after Germany’s last-32 exit to Paraguay; he also set a hard media boundary about protecting his family. Paraguay Culture & Tourism: Paraguay’s National Secretariat of Culture announced a free Historic Centre of Asunción weekend (25–26 July) featuring theatre and folkloric dance workshops, plus exhibitions and the Palmear street fair. Local Fashion Circular Economy: Thrifting in Asunción is shifting from necessity to style and sustainability, with young shoppers driving demand for second-hand and vintage finds. Trade & Food Manufacturing Link: A Vietnam Trade Office meeting with CMA Paraguay highlighted private-label snack production and plans to expand trade ties with Mercosur, including future Vietnam–Mercosur preferential talks.

Paraguayan Maquila Exports: Maquila exports jumped 25% in the first half of 2026, reaching US$717 million, a strong signal for manufacturing jobs and foreign-currency inflows. Trade & Market Access: A Latin America trade office expanded to cover Paraguay and other partners, aiming to connect local firms with new buyers and investment opportunities, including outreach to Vietnam. Food Industry & Policy: Brazil’s nationwide foie gras production and sales ban (signed by Lula) could reshape regional sourcing and import flows, with France’s role in the supply chain in focus. Steel & Industry Signals: World crude steel production rose 1.7% in June 2026, with South America slightly down, offering a mixed read for regional industrial demand. Local Consumer Culture: In Asunción, thrifting is shifting from necessity to fashion and sustainability, boosting second-hand retail and niche vintage commerce. Sports Business Angle: Germany appointed Jürgen Klopp as coach through 2030, a reminder of how major tournaments and sports media can spill into broader economic activity.

Germany Football & Talent: Jurgen Klopp has been confirmed as Germany’s men’s national team head coach, replacing Julian Nagelsmann after Germany’s shock World Cup exit to Paraguay. Klopp’s four-year deal runs through the 2030 World Cup, with his contract starting Aug. 15, and he immediately set a hard line on media intrusion, saying he will quit if his family’s privacy isn’t respected. Trade & Food Manufacturing: A Vietnam Trade Office meeting in Argentina connected with CMA Paraguay, a snack manufacturer behind the Capitán Cuac brand, to discuss expanding exports across South America, the US and Europe and preparing for a Vietnam–Mercosur Preferential Trade Agreement. Regional Diplomacy for Industry: Taiwan’s Latin American and Caribbean Trade Office (LACTO) officially opened in Taipei, expanding coverage to include Paraguay and aiming to boost trade, investment and industrial cooperation. Local Culture: Paraguay marks Paraguayan Folk Dancer’s Day, spotlighting artists and the Municipal Folk Ballet of Asunción.

Paraguayan Manufacturing Boost: Paraguay’s Maquila exports hit US$717M in the first half of 2026, up 25% year-on-year, and added 1,923 new jobs, led by automotive parts, clothing, and chemical products with 78% of shipments going to Mercosur (mainly Brazil at 62%). Energy & Industry Risk: Paraguay’s wider region is watching energy-driven currency pressure after crude rebounds reignited inflation fears; the story underscores how oil shocks can quickly spill into import costs and business planning. Green Hydrogen Progress: A green hydrogen production pilot at PTI-PY secured national interest status, signaling momentum for cleaner industrial energy projects. Infrastructure for Trade: The Bahía Asunción–Punta Prieta road is getting its first pavement phase, improving access for coastal commerce and logistics. Culture & Talent: Paraguay marks Paraguayan Folk Dancer’s Day, spotlighting artists keeping traditional dance alive—good soft power for tourism and creative industries. Regional Trade Links: Taiwan’s LACTO trade office in Taipei expanded to include Paraguay, aiming to deepen industrial cooperation and market access.

Paraguayan Manufacturing: Paraguay’s Maquila exports jumped 25% in the first half of 2026 to US$717M, adding 1,923 new jobs, with automotive parts, clothing, and chemical products leading and 78% of shipments going to Mercosur—Brazil alone taking 62%. Energy & Grid Resilience: Brazil’s World Cup ran smoothly on the power side, with renewables supplying 86% of electricity in the national grid and operators managing big demand swings at halftime and final whistles. Green Hydrogen in Paraguay: A Green Hydrogen production pilot at PTI-PY secured national interest status, signaling momentum for cleaner industrial energy projects. Agri-Trade Watch: Polish agri-food exports to Mercosur rose 28% year-on-year in May as EU-Mercosur interim trade provisions took effect, keeping Paraguay in the regional trade spotlight. Wildlife & Farming Pressure: Jaguar and puma sightings across the Triple Frontier are rising, including livestock attacks in Paraguay’s Alto Paraná, reigniting debate over habitat loss and agricultural expansion.

Maquila Momentum: Paraguay’s maquila exports hit US$717M in the first half of 2026, up 25% year-on-year, and added 1,923 jobs. Growth was led by automotive parts, clothing, and chemical products, with 78% of shipments going to Mercosur, and Brazil taking 62%. Regional Security Cooperation: A new “Marset Model” is highlighted after the arrest of Uruguayan drug trafficker Sebastián Marset in Bolivia, pointing to tighter multinational coordination and intelligence sharing as the next step in the fight against organized crime. Energy & Grid Resilience: Brazil’s World Cup run showed renewables can carry heavy demand swings, with renewables at 86% of electricity generation and the grid handling match-time load spikes, including a 4,450 MW ramp in the Germany–Paraguay match. Sports Industry Debate: European league chief Javier Tebas renewed criticism of FIFA’s push to expand the 2030 World Cup to 64 teams, arguing it would harm domestic leagues and jobs.