• Main thrust now is on increasing production through foreign investments.
    Paraguay has been granted free ports in Argentina, Uruguay & Brazil due
    to its geographical constraints of being landlocked.
    Ciudad del Este, the town on the border with Brazil and Argentina is an
    important business centre of for all three countries.
Agriculture based economy - main focus on agribusiness and cattle ranching.
4th largest exporter of soya beans in the world.
Other Agro-products are - corn, sunflower, cotton, wheat, tobacco & sugarcane.

Government initiatives

The new government of President Lugo which came to power in August 2008
has given priority to Inclusive Development.
The Government is pursuing policies such as Law 60/90, Maquila Regime, incentives for Forestry together with low tax benefits to promote investment and is committed to economic stability & growth.
The European union has included Paraguay in a list of new countries to
benefit from its "GSP Plus" starting from January 2009. This will give tariff
exemption to 6400 Paraguayan products.