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Helping Paraguay’s Business Compete in Domestic and Foreign Markets

To address the high level of poverty in Paraguay, the Poverty Reduction Program worked to produce rapid economic turnaround through job creation and income generation. The program supported businesses in marketing, capacity building, and increasing competitiveness.
The Poverty Reduction Program aimed to improve Paraguayan exports, micro- and small enterprise sales at supermarkets, business marketing, training, and competitiveness for local businesses. Essentially, the program assisted micro-, small, medium, and large enterprises in areas of the country that, although poor, had great economic potential.
 


Building on successes of an earlier USAID project, the project took a demand-driven approach to improve productivity, diversify products, and increase the competitiveness of non-traditional sectors and those with high growth potential. The project also worked with the government to reform regulations, improving the environment for business growth.
 
In its efforts to reduce poverty, Chemonics supported Paraguayan businesses in a wide range of sectors, including agriculture, motorcycle parts, and textiles, among others. In one example of success, the project launched the Tu Producto al Súper (Your Product to the Supermarket) campaign in 2008 generating $2 million in sales more than 12 months. The campaign promoted sustainable business relationships directly benefiting more than 500 micro- and small enterprises.
 
The project exceeded its goals. In overall incremental  sales, the project achieved nearly $129 million, far exceeding its original goal of $94.5 million. The project increased Paraguay’s exports by $66 million and improved local sales by nearly $63 million. Additionally, it generated more than $6 million in investments and built the capacity of 81 businesses. The project’s success left a lasting effect on the business sector of Paraguay’s economy.
 
Project Results:
  • Targeted 81 business and increased sales by nearly $129 million, exports by $66 million, investments by $6 million, and 10 million person-days of employment.
  • Tu Producto al Súper generated $2 million in sales and 40,000 person-days of employment, and benefited more than 500 micro- and small enterprises.

 

Project Duration: 2007 - 2010

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