Milk market in Paraguay

Earlier Report Observations

Paraguay's milk market volume grew from 474 thousand tons in 2018 to 536 thousand tons in 2020. This rise was initially driven by increased milk production due to a surplus from low corn prices. The COVID-19 pandemic in 2020 shifted consumption from informal to formal retail channels, further boosting the measured market volume.

Market size fluctuated between 533 and 551 thousand tons from 2021 to 2023. The sector maintained output through capacity expansions by major processors and grew milk powder exports to 16% of production. Product innovations such as lactose-free and high-protein milk, along with export opportunities created by global trade disruptions from the Ukraine conflict, supported production levels during this period.

In 2024, industry reports noted a 5% decrease in milk production, though domestic consumption was maintained through social programs. The rise of plant-based and functional milk products reflected changing consumer preferences. For 2025, the industry announced plans to expand powder production capacity targeting 30 export markets.

Production milk in Paraguay

In kind, 2018-2021, K t

Top producers of milk, 2018-2021

World map of production of milk, 2018-2021

Paraguay's milk production saw two years of growth before declining. In 2021, the country produced 536.8 thousand tons of milk, representing a 0.8% decrease from the previous year. Looking at the period from 2018 to 2021, production increased by 13.3%, with an average annual growth rate of 4.2%. The highest production level was recorded in 2020 at 541.0 thousand tons, which also saw the largest annual increase of 12.7%.

Annual dynamics of production in Paraguay in kind, 2018-2021, K t

In value, 2018-2021, M $ US

Paraguay's milk production value has risen for the third year in a row. In 2021, milk output was valued at 1 725 million US dollars, marking a significant 16.1% increase compared to 2020. From 2018 to 2021, production value grew by 37.2%, with an average annual growth rate of 11.1%.

Annual dynamics of production in Paraguay in value, 2018-2021, M $ US

Exports milk from Paraguay

Exports in kind, t

The market showed an unstable trend during this period. Exports reached their lowest point in 2018 and peaked in 2020, with a 2.2-fold difference between these years. In 2021, Paraguay exported 7 030 tons of milk, which is 14.9% lower than in 2020. The highest export volume was recorded in 2020 at 8 265 tons, while the largest annual increase occurred in 2019 at 100.1%.

Annual dynamics of product's exports from Paraguay in kind, 2018-2021, t

From 2018 to 2021, Brazil, Russia, and Lebanon were consistently the main destinations for Paraguay's milk exports in volume terms. Brazil accounted for 57.4% of exports, Russia for 21.7%, and Lebanon for 5.8%. Together, these three countries represented 84.8% of total export flows.

Structure of product's exports in kind by countries, 2018-2021

World map of product's exports from Paraguay in kind, 2018-2021

Exports in value, K $ US

Market performance showed noticeable fluctuations during this period. Export values dropped to their minimum in 2018 and climbed to their maximum in 2020, representing a 2.3-fold shift. In 2021, Paraguay's milk exports reached 22 597 thousand US dollars, remaining stable compared to 2020. The highest value was recorded in 2020 at 22 711 thousand US dollars, while the largest annual increase occurred in 2019 at 118.1%.

Annual dynamics of product's exports from Paraguay in value, 2018-2021, K $ US

Between 2018 and 2021, Brazil, Russia, and Lebanon were the primary buyers of Paraguayan milk in value terms. Brazil accounted for 56.8% of export value, Russia for 21.6%, and Lebanon for 6.0%. Collectively, these three markets represented 84.4% of total export value.

Structure of product's exports in value by countries, 2018-2021

World map of product's exports from Paraguay in value, 2018-2021

Imports milk to Paraguay

Imports in kind, t

In 2021, Paraguay's milk imports stood at 3 077 tons, which is 14.5% lower than in 2020. From 2018 to 2021, imports decreased by 11.5%, equating to an average annual decline of 4.0%. The highest import volume was recorded in 2020 at 3 599 tons, which also saw the largest annual increase of 12.2%.

Annual dynamics of product's imports to Paraguay in kind, 2018-2021, t

Between 2018 and 2021, Brazil and Argentina remained the main suppliers of milk to Paraguay in volume terms, together accounting for 83.6% of total imports. The remaining imports were fragmented across other countries.

Structure of product's imports in kind by countries, 2018-2021

World map of product's imports to Paraguay in kind, 2018-2021

Imports in value, K $ US

Paraguay's milk import value declined for the third consecutive year. In 2021, imports reached 4 554 thousand US dollars, showing a significant decrease of 14.4% compared to 2020. Over the period from 2018 to 2021, import value fell by 35.3%, with an average annual decline of 13.5%.

Annual dynamics of product's imports to Paraguay in value, 2018-2021, K $ US

From 2018 to 2021, Brazil and Argentina dominated Paraguay's milk imports in value terms, together accounting for 81.3% of total flows. Other destinations contributed smaller individual shares.

Structure of product's imports in value by countries, 2018-2021

World map of product's imports to Paraguay in value, 2018-2021