Paraguay - Switzerland Trade 2023 Q4: Volatile Deficit

Key Market Takeaways: Paraguay - Switzerland Trade

The bilateral trade relationship between Paraguay and Switzerland is marked by volatility and a heavy deficit for Paraguay in Q4 2023.

• Economic Pulse: Paraguay ran a $50.85M trade deficit with Switzerland ($58.23M imports vs. $7.38M exports), with extreme YoY swings in both directions.
• Exchange Structure: Paraguay - Switzerland trade statistics reveal a resource-for-tech complementarity—Paraguay supplies meat and agricultural goods (85.9% of exports), while Switzerland dominates with mineral fuels (76.43% of imports).
• Strategic Interdependence: The partnership is lopsided, with Paraguay dependent on Swiss energy and high-value industrial products, while its exports remain niche.

This bilateral trade snapshot is based on verified customs data from the yTrade database.

Paraguay-Switzerland Trade Trend in Q4 2023

Paraguay Export Performance: Shipments to Switzerland

• Total Volume: $7.38M in Q4 2023.
• Growth Trend & Context:
  • YoY growth was mixed, with December surging 233.4% YoY, offsetting earlier declines.
  • No specific trade news or policy changes were reported to explain the volatility.
• Key Volatility: December saw a sharp 121.51% MoM spike, while October dropped -50.42% MoM.

Paraguay Import Performance: Sourcing from Switzerland

• Total Volume: $58.23M in Q4 2023.
• Growth Trend & Context:
  • YoY swings were extreme, with November up 184.46% YoY but December down -34.76%.
  • No relevant news to contextualize the fluctuations.
• Key Volatility: November imports surged 103.16% MoM, while December plummeted -53.76% MoM.

Paraguay - Switzerland Trade Balance & Market Dynamics

• Net Position: Paraguay ran a trade deficit of $50.85M (Imports $58.23M > Exports $7.38M).
• Relationship Status: Heavy reliance on Swiss imports, with exports playing a marginal role.

Paraguay Import Trend from Switzerland 2023 Q4 (Source: yTrade)**

Paraguay Export Trend to Switzerland 2023 Q4 (Source: yTrade)**

Get Historical Paraguay Switzerland Trade Records

Paraguay-Switzerland Top Trading Products in Q4 2023

Paraguay Export Profile: What Does Paraguay Sell to Switzerland

• Top Commodity: Rank #1 export is HS 02 (Meat and edible meat offal) with a 38.51% share.
• Demand Driver: Switzerland imports these primarily for its consumer market, indicating strong demand for Paraguayan meat products.
• Concentration: The top 3 exports (HS 02, 15, 17) account for 85.9% of total exports, showing high trade concentration in agricultural and food products.

Paraguay Import Profile: What Does Paraguay Buy from Switzerland

• Top Commodity: Rank #1 import is HS 27 (Mineral fuels, oils, and distillation products) with a 76.43% share.
• Dependency Nature: Paraguay relies heavily on Swiss mineral fuels, suggesting an energy security dependency.

Paraguay - Switzerland Trade Relationship Dynamics

• The Exchange Model: Resource-for-Tech Complementarity. Paraguay exports agricultural goods (meat, fats, sugars) while importing energy and high-value industrial products (pharmaceuticals, machinery).
• Value Chain Position: Switzerland holds the higher value-add position, exporting refined fuels and advanced goods, while Paraguay supplies raw or semi-processed agricultural commodities.

Import Analysis by Product: Switzerland to Paraguay (Source: yTrade)

Export Analysis by Product: Paraguay to Switzerland (Source: yTrade)

Check Detailed Paraguay-Switzerland Trade HS Code Breakdown

Future Outlook & Strategic Recommendations

Forecast

The Paraguay-Switzerland trade relationship is likely to remain volatile in the near term, given the erratic YoY and MoM swings in both exports and imports. However, the structural complementarity—Paraguay’s agricultural exports against Switzerland’s high-value industrial and energy goods—suggests stable long-term demand. Traders should anticipate continued deficits for Paraguay, with potential upside if meat exports (HS 02) sustain their December 2023 surge. Energy dependency (HS 27 imports) will keep Paraguay exposed to Swiss supply shocks, necessitating strategic adjustments.

Strategic Moves

• Diversify Export Markets: Paraguayan meat exporters must reduce reliance on Switzerland by targeting EU and Asian buyers, mitigating concentration risk in the top 3 commodities (85.9% of exports).
• Lock In Fuel Supply Contracts: Given Switzerland’s 76.43% share in Paraguay’s mineral fuel imports, negotiate long-term agreements to stabilize energy costs amid volatile monthly swings.
• Invest in Value-Add Processing: Shift from raw agricultural exports (HS 02, 15, 17) to semi-processed or branded meat products to capture higher margins and reduce trade deficit pressures.

Frequently Asked Questions

How did Paraguay - Switzerland trade perform in 2023 Q4?

Paraguay's exports to Switzerland totaled $7.38M, with mixed YoY growth, while imports reached $58.23M, showing extreme YoY swings.

What are the top exports from Paraguay to Switzerland?

The top exports are HS 02 (Meat and edible meat offal), HS 15 (Animal/vegetable fats), and HS 17 (Sugars), accounting for 85.9% of total exports.

What does Paraguay import from Switzerland?

The top import is HS 27 (Mineral fuels, oils, and distillation products), making up 76.43% of imports, reflecting Paraguay's energy dependency.

What is the trade balance between Paraguay and Switzerland?

Paraguay ran a trade deficit of $50.85M in Q4 2023, with imports significantly exceeding exports.