ASUNCION Oct 9 Paraguay on Wednesday gave final
approval to a 10 percent tax on soybeans which is expected to
raise $300 million per year for the world's No. 4 soybean
exporter and one of South America's poorest nations.
The tax, subject to adjustment in years of low agricultural
productivity, was approved by Congress late on Wednesday after
earlier approval by the upper house Senate.
Paraguay exported $2.4 billion worth of soy this year
through August, according to the central bank.
The country is set to harvest at least 9.3 million tons of
soy in the 2013/14 crop year, matching or exceeding the previous
season's record crop, according to Agriculture Minister Jorge
The grains business in Paraguay is largely controlled by
global agricultural companies like Bunge and Archer
Soybean is the country's main export, but the new tax
applies to corn and wheat shipments as well.