Volume sales of staple foods are expected to grow in 2023. Moderate inflation rates after a challenging 2022 will play a key role in the recovery of categories such as baked goods as well as rice, pasta and noodles.
In 2022, average prices of key essential products such as rice and dried pasta rose significantly due to Russia’s invasion of Ukraine and the impact on international commodities prices such as wheat. By 2023 prices were much more stable, which had a positive impact on consumer purchasing power, favouring the recovery of sales of staple food in general.
Consumers in Paraguay typically ear four meals per day: breakfast, lunch (which is considered the most important meal), merienda (consumed at teatime and usually consisting of a hot drink and a baked snack) and dinner. Nevertheless, mealtimes vary according to region and family.
Around 57% of the population of Paraguay is economically active, with the middle class representing around 25% of all households in 2023. Nevertheless, poverty and income inequality remain a major challenge, with Paraguay being one of the poorest nations in the region.
The condition of the roads in Paraguay varies depending on the region, with the most developed highways connecting Asuncion, Encarnacion and Ciudad del Este in the southern half of the country. Much of the country’s infrastructure requires improvement given that there are still thousands of miles of rural, unpaved roads, which are impassable during the rainy season.
Sales of staple foods are set to increase over the forecast period reversing the poor performance seen during the review period due to the COVID-19 pandemic and high inflation rates. Rising incomes and further urbanisation should enable more of the population to afford products beyond their primary necessities.
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Staple Foods
NOTE: Couscous, polenta and quinoa are excluded from staple foods.
See All of Our DefinitionsThis report originates from Passport, our Staple Foods research and analysis database.
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