Paraguay has completed its first export of chilli paste to the United States, marking a milestone in agro-industrial diversification. Agronorte Ltda. Cooperative shipped 22 tonnes of hot chilli paste from San Pedro. The initiative began in 2024 after the company made contact with Ecuadorian firm UCHU Spice at the Seoul Food Fair. The project aims to add value locally and secure access to competitive international markets.
Minister of Industry and Commerce Marco Riquelme attended the launch, alongside Vice Minister Javier Viveros and Ramiro Samaniego, President of the National Plant and Seed Quality and Health Service (SENAVE). They emphasised that Paraguay now exports processed paste rather than raw chillies. As a result, producers extend shelf life and increase product value. Moreover, the government coordinated technical, sanitary, and industrial support throughout the process. This cooperation helped position San Pedro as a growing agro-export hub.
From an international fair to a processing plant
REDIEX first connected with UCHU Spice during the 2024 trade fair in Seoul. Soon after, the Ecuadorian company visited Paraguay and trained Agronorte producers. In September 2025, partners inaugurated the country’s first chilli processing plant in Guayayví. This facility now transforms locally grown chillies into export-ready paste. Consequently, farmers participate directly in higher-value segments of the supply chain.
Minister Riquelme said the initiative reflects a national strategy to industrialise agricultural production. He noted that San Pedro now cultivates and processes chilli peppers domestically. Therefore, Paraguay exports a finished product rather than a perishable crop.
More than chilli paste: Diversification and growth in San Pedro
Agronorte General Manager Rolando Chávez Genes described chilli peppers as a viable alternative to sesame. International sesame prices have fallen, prompting farmers to diversify. Meanwhile, the agreement with UCHU Spice foresees exports reaching 1,000 tonnes within two years. The partners may later expand production to 8,000 tonnes of chilli paste. Through this alliance, Paraguayan paste could feature in recognised global hot sauce brands.
San Pedro already leads the national production of sesame, pineapple, and bananas. In 2024, the department exported US$49 million worth of goods. Twenty-two companies shipped 57 products to 48 destinations worldwide. Now, chilli paste strengthens job creation and expands the export portfolio. Ultimately, Paraguay demonstrates its capacity to innovate and compete with value-added agricultural products.
