Paraguay: Policy Highlights and Opportunities
In 2014 the FAO estimated that the amount of food wasted in Paraguay at the retail level alone could feed 269,000 people a year. The benefits of greater food recovery and donation are particularly apparent in Paraguay, where 25.3% of the population is moderately or severely food insecure.
Atlas Research: Paraguay
Paraguay research was published in March 2023 and was made possible with the advice and support of our on-site partners, including Banco de Alimentos Paraguay.
Paraguay currently offers robust liability protection for food donors and intermediaries. After delivering food, donors are released from all civil and criminal liability regarding their donation, except in instances of fraud or fault directly attributable to the donor.
This protection also extends to food banks and other intermediary institutions as well as donors who give directly to individuals.
Policy Opportunities and Recommendations
While Paraguay has a strong basic framework for date labeling, it does not explicitly define date phrases as either quality-based or safety-based. The government should pass a law or promulgate guidance that establishes a dual date labeling regime.
Tax Incentives and Barriers
Currently, Paraguay has minimal tax incentives for food donation and some food products, under certain conditions, are subject to a value-added tax, which may deter potential donors.
The government should provide more significant tax credits and deductions for entities that donate food or assist with its storage, transportation, or delivery.
Grants and Incentives
Paraguay does not currently offer any national grants or incentives for food donation infrastructure needs. National or local grants and incentive programs can be important resources for food donation initiatives, especially as alternatives or supplements to tax incentives.
Investments in cold-chain management have focused on export supply chains rather than domestic food recovery efforts, and federal grant funding has targeted rural development and poverty reduction but failed to support food donation.