contadores
Skip to main navigation menu Skip to main content Skip to site footer
##common.pageHeaderLogo.altText##

Research Article

Vol. 43 No. 1 (2026): Revista de Ciencias Agrícolas - January - April 2026

Competitiveness of Paraguay international agricultural trade: An analysis of the soybean complex

DOI
https://doi.org/10.22267/rcia.2026431.291
Submitted
October 21, 2025
Published
2026-04-27

Abstract

Agribusiness has become a cornerstone of the Paraguayan economy, with soybeans and their derivatives serving as key contributors to the country’s main source of foreign income. This study investigates Paraguay's competitiveness in its primary commodities, such as soybeans and their derivatives, as well as their market concentration, highlighting its comparative advantage. The study employs the Revealed Comparative Advantage Index (RCA) and the Hirschman-Herfindahl Index (HHI) to assess export competitiveness and concentration. The results indicate that Paraguay maintains a comparative advantage in exporting soybean grain and oil, although soybean meal exhibits a weaker market share. An increase in export concentration toward Argentina was observed, raising concerns about vulnerability to demand fluctuations. However, exports of soybean-derived products are more diversified, which provides stability. The study concludes that to enhance competitiveness, Paraguay must focus on the industrialization of its products and adopt policies that strengthen its export capacity while minimizing dependence on specific markets.

References

  1. Báez, J., Biedermann, G., & Díaz, V. R. (2023). Drought shocks and the Paraguayan macroeconomy: A Bayesian SVAR Analysis, Technical report BCP. https://www.bcp.gov.py/en/web/instituto-bcp/w/drought-shocks-and-the-paraguayan-macroeconomy-a-bayesian-svar-analysis
  2. Balassa, B. (1965). trade liberalisation and "revealed" comparative advantage. The Manchester School, 33(2), 99–123. https://doi.org/10.1111/j.1467-9957.1965.tb00050.x
  3. Bahta, Y. T., & Mbai, S. (2023). Competitiveness of Namibia’s agri-food commodities: Implications for food security. Resources, 12(3), 34. https://doi.org/10.3390/resources12030034
  4. Białowąs, T., & Budzyńska, A. (2022). The importance of global value chains in developing countries’ agricultural trade development. Sustainability, 14(3), 1389. https://doi.org/10.3390/su14031389
  5. Czyżewski, B., Stępień, S., & Krysza, Ł. (2019). Economic sustainability of small family farms in Central and Eastern Europe. Sustainability, 11(13), 3745. https://doi.org/10.3390/su11133745
  6. Devadoss, S., Ugwuanyi, B., & Ridley, W. (2021). Determinants of global agricultural trade. Journal of Agricultural and Resource Economics, 47(3), 598–615. https://doi.org/10.22004/ag.econ.313317
  7. Federación Paraguaya de Siembra Directa para una Agricultura Sustentable -Fepasidias (2022). Encuentro Nacional de Siembra Directa (ENSD) 2024. (accessed December 10 2024). https://fepasidias.org.py/el-99-de-la-agricultura-mecanizada-de-paraguay-esta-bajo-siembra-directa/
  8. Gabbi, M. T. T., Costa, N. L., Gelatti, E., & de Oliveira, G. N. (2022). Tendências das exportações do complexo soja sul-americano (1990 a 2019). COLÓQUIO-Revista do Desenvolvimento Regional, 19(2), 279–295. https://doi.org/10.26767/coloquio.v19i2,%20abr./jun..2494
  9. Henderson, J., Godar, J., Frey, G. P., Börner, J., & Gardner, T. (2021). The Paraguayan Chaco at a crossroads: drivers of an emerging soybean frontier. Regional Environmental Change, 21(3), 72. https://doi.org/10.1007/s10113-021-01804-z
  10. Herfindahl, O. C. (1950). Concentration in the U.S. steel industry. Columbia University.
  11. Jamhari, J., Wirakusuma, G., Nugroho, A. D., & Lakner, Z. (2021). Regional market integration, Covid-19, and agricultural trade performance in Southeast Asia. Bulgarian Journal of Agricultural Science, 27(6), 1051–106.
  12. Karlsson, J. O., Parodi, A., van Zanten, H. H. E., Hansson, P.A., & Röös, E. (2021). Halting European Union soybean feed imports favours ruminants over pigs and poultry. Nature Food. 2(1), 38–46. https://doi.org/10.1038/s43016-020-00203-7
  13. Krugman, P. (1991). Geography and Trade. MIT Press.
  14. Ministerio del Ambiente y desarrollo sostenible (2023). plan maestro de movilidad eléctrica para el transporte público urbano y logístico de Paraguay. (accessed on October 30, 2025). https://www.mades.gov.py/pmme/
  15. Ministerio de Economía y Finanzas (2023). Reporte de comercio exterior (RCE) (en Vice Ministerio de Economía y Planificación. (accessed on August 30, 2024). https://economia.gov.py/application/files/9517/0612/1150/RCE_Diciembre_2023.pdf
  16. Morinigo, J., Anchinelli, M., & Barrios, O. (2018). La soja en el Paraguay. Una aproximación a la cuantificación económica. Periodo 1994–2016. Población y Desarrollo, 24(46), 24–36.
  17. Porter, M. E. (1990). La ventaja competitiva de las naciones. Harvard Business Review. https://hbr.org/1990/03/the-competitive-advantage-of-nations
  18. Rotundo, J. L., Marshall, R., McCormick, R., Truong, S. K., Styles, D., Gerde, J. A., Gonzalez-Escobar, E., Carmo-Silva, E., Janes-Bassett, V., Logue, J., Annicchiarico, P., Visser, C., Dind, A., Dodd, I. C., Dye, L., Long, S. P., Lopes, M. S., Pannecoucque, J., Reckling, M., Rushton, J., Schmid, N., Shield, I., Signor, M., Messina, C. D., & Rufino, M. C. (2024). European soybean to benefit people and the environment. Scientific Reports, 14, 7612. https://doi.org/10.1038/s41598-024-57522-z
  19. Servicio Nacional de Calidad y Salud Animal (2024). Estadísticas del SENACSA. (accessed November 5 2025). https://senacsa.gov.py/servicios/servicios-tecnicos/estadisticas/
  20. Schwarz, J., Mathijs, E., & Maertens, M. (2015). Changing patterns of global agri-food trade and the economic efficiency of virtual water flows. Sustainability, 7(5), 5542–5563. https://doi.org/10.3390/su7055542
  21. Shukla, S., Sadykova, K., & Tian, J. (2023). Research on India-China agriculture trade dynamics: A comparative advantage analysis. PLoS One, 18(11), e0294561. https://doi.org/10.1371/journal.pone.0294561
  22. Tossou, B. W., Chogou, S. K., & Sossou, C. H. (2023). Analysis of the competitiveness of soybean production in Benin. Scientific African, 19, e01491. https://doi.org/10.1016/j.sciaf.2022.e01491
  23. Thom, F., Gocht, A., & Grethe, H. (2023). EU agriculture under an import stop for food and feed. The World Economy, 47(5), 2094–2121. https://doi.org/10.1111/twec.13537
  24. Urba, S., Senyshyn, O., Zamroz, M., & Shparyk, Y. (2023). Assessment of Export Capacity of Agricultural Sector in the Context of International Competitiveness. Management Theory and Studies for Rural Business and Infrastructure Development, 45(1), 67–78. https://doi.org/10.15544/mts.2023.08
  25. United Nations (2025). UN COMTRADE Database. (accessed November 5, 2025). https://comtrade.un.org
  26. United States Department of Agriculture – USDA. (2025). Paraguay: Oilseeds and products annual. (accessed on February 10, 2025). https://www.fas.usda.gov/data/search?reports%5B0%5D=report_type%3A10251
  27. United States Department of Agriculture - USDA. (2023). Grain: world markets and trade (accessed on November 5, 2024). https://apps.fas.usda.gov/psdonline/app/index.html#/app/downloads
  28. Van Zyl, G., & Matswalela, K. (2016). A comparative analysis of the level of competitiveness of the South African textile and clothing industry, Journal of Economic and Financial Sciences, 9(2), 370–391. https://doi.org/10.4102/jef.v9i2.47
  29. Williamson, J. (2003). No hay consenso en el significado. Finanzas y Desarrollo, 40(3), 10–13.
  30. Zeng, H., Yan, Y., Tao, L., & Luo, Y. (2024). Agricultural trade effects of China’s free trade zone strategy: A multidimensional heterogeneity perspective. Agriculture, 14(3), 390. https://doi.org/10.3390/agriculture14030390

Downloads

Download data is not yet available.