Monday، 01 February 2016 12:00 AM
The trade between both countries is limited because of geographical distance and cost of freight.
Paraguay is a member of MERCOSUR and an FTA has been signed between MERCOSUR and Egypt in August 2010.
Paraguay exports mainly beef to Egypt.
According to available statistics the balance of trade between both countries has risen from an average of US$ 215.000 to US$4.500.000 in 2007, and to 19.600.000 dollars in 2008.
The Embassy has succeeded through members of the Egyptian community in Paraguay to export fridges and electric ovens.
The Embassy keeps constant and regular contacts with the Chamber of Commerce in Paraguay in an attempt to increase exports. However, in light of the Paraguayan situation as a landlocked country and the high freight costs, they all limit the enthusiasm of the Egyptian businessmen to enter the Paraguayan market.
At the moment, the Embassy is trying to reach joint ventures in manufacturing and exporting pharmaceuticals.
Soya oil tops the list of Paraguayan exports to Egypt, with a percentage of 72% of the total exports to Egypt, followed by beef with a 15% and fertilizers with 11%.
The total amount of Paraguayan imports from Egypt amounted to US$ 5.000, in 2003, raising to US$ 339.000 in 2007 and falling in 2008 to US$ 270.000.
Tobacco heads the Egyptian exports to Paraguay with 46% of the total exports to Paraguay, followed by shaving blades and machines with 20%, cooking utensils 17%, electric and housing appliances and cotton products and carpets 17%.
- A commercial agreement was signed on May 11, 1977 and became effected on June 15, 1978.
- Memorandum of Understanding on Consultations between the Foreign Ministries of both countries was signed on June 14, 2006.
- Memorandum of Understanding between the diplomatic institutes of both countries was signed on March 5, 2009.
- Agreement on Scientific and Technologic Cooperation between both countries on November 10, 2009.
- Agreement on the exemption of visas on diplomatic, official, service and special passports was signed on September 14, 2006 and became effective June 28th, 2010.