The area dedicated to wheat cultivation in Paraguay saw a significant reduction in the 2026 harvest, especially in the regions of Alto Paraná, Itapúa, Caaguazú, and San Pedro. Producers in these areas attribute the decline to a combination of economic and production factors that led them to prioritize more profitable crops.
According to a report by the Unión de Gremios de la Producción (UGP), using data from the Coordinadora Agrícola del Paraguay (CAP), low international wheat prices combined with high production costs have reduced interest in the cereal. Additionally, competition for land with crops like soybeans and second-crop corn has directly influenced farmers' planting decisions.
In Itapúa, one of the main wheat-producing regions, the cultivated area dropped by about 40%. Paulo De Souza, CAP’s representative in the department, explained that many producers chose to focus on activities with better economic returns. He emphasized that "wheat faces low prices and high costs, but it also competes with more profitable alternatives like early soybeans and second-crop corn."
Another challenge for farmers is the agricultural calendar. Wheat harvest takes place between October and November, while soybean planting begins in the second half of September, making it difficult to optimize land use for both crops.
In Caaguazú, Flaminio Núñez, CAP’s representative in the region, highlighted that production costs are making wheat viability increasingly difficult under current conditions, which also contributes to the reduction in cultivated area.