Cafés in Paraguay Asunción
From Asunción's Calle Palma to Villa Morra, plus tereré, cocido with chipa and the small coffee farms of Canindeyú.
Photo: Axel Torres, Pexels License
Paraguay drinks yerba mate first. In December 2020 UNESCO added the traditional practices and knowledge of tereré, cold yerba mate drunk with pohã ñana (medicinal herbs), to its list of the Intangible Cultural Heritage of Humanity, the first Paraguayan element on that list.8 Coffee is the smaller habit. In 2019 a Juan Valdez executive put consumption at 0.3 kg per person a year, against 0.8 kg in Argentina, in a market he described as heavily instant.4
The habit is growing. The consultancy CCR valued coffee sales at USD 34 million in the year to March 2024, up 6%, on about 1,165 tonnes, with demand concentrated in the winter months.1 Most of that coffee is imported. The Banco Central del Paraguay (BCP) recorded 1,253 tonnes of coffee imports in 2024, up 11.7% from 1,122 tonnes in 2023,2 mainly from Argentina and Brazil, and consumer coffee prices rose 23.2% in the 12 months to September 2025.3
Paraguay's café cities
Tereré, cocido and chipa
Tereré is yerba mate steeped in cold water with plenty of ice, often with yuyos, refreshing or medicinal herbs, added to the water. It is sipped through a bombilla, a metal straw with a filter at one end, from a guampa, a cup made of horn, wood, steel or silver.9 Paraguay keeps a Día Nacional del Tereré on the last Saturday of February.9
Cocido is the hot counterpart: yerba mate boiled in water, sweetened, and drunk black as cocido negro or with milk as cocido con leche, mostly at breakfast or at the merienda, the afternoon snack.10 For cocido quemado, yerba and sugar go into a pot under live embers until the sugar melts, then hot water is poured over and the drink is strained.10
Chipa usually comes with it. In Eusebio Ayala, at kilometer 64 of Ruta PY02, the chipería María Ana charged ₲5,000 for a traditional chipa argolla (ring) and ₲10,000 for one with a cocido, as of 2024.11
Where coffee grows in Paraguay
Coffee does grow here, on a small scale. Altos, in the department of Cordillera, has historically been a coffee-growing area. Alvica, a brand launched in October 2020, buys from small farms around Corpus Christi in Canindeyú.7 Guarania, founded in 2018, also grows in Canindeyú; its director concedes the land is low for arabica and credits the soil and natural fermentation for the cup.7
Supply stays thin. A writer based in Paraguay noted in 2017 that its coffee farms were few compared with its neighbors'.6 In 2025 Guarania's owner said there were too few in the country to support further growth, and that the brand had started its own planting in 2024, aiming at 500 plants every three months.2
From instant jars to specialty roasters
The supermarket shelf still sets the pattern. In the year to May 2022, ground coffee made up 51% of sales and instant 45%, with capsules and soy-based coffee at 2% each.5 In 2022 Nestlé Paraguay named café con leche, cappuccino and latte as the drinks Paraguayans ask for most.5
Coffee chains came late. Juan Valdez products reached Paraguay at the end of 2014 and its first café opened in 2015, the same year as The Coffee Bean & Tea Leaf. Asu Coffee Fest, first held in Asunción in 2016, drew 1,500 people that year and 3,000 in 2017.6 The supplier Cafecap dates the current "nueva ola del café" (new wave of coffee) to 2019; it stalled in the pandemic and picked up again in 2021.1
Local roasters work with imported green coffee. Kafa Tostadores, one of the country's first specialty roasters, buys microlots from Paraguay, Brazil and El Salvador, while Totem Tostadores in Asunción imports from Ethiopia, Burundi, Kenya, Costa Rica, Honduras and Brazil.7 Café Quinto buys from Brazilian producers; the number of cafés using its beans doubled in 2023–2024, and it expected to pass 100 in the first half of 2025.2
Asunción, from Calle Palma to Villa Morra
The capital is where Paraguay's coffee goes. In 2022 Asunción and its metropolitan area accounted for an estimated 59% of national consumption, and the city had the highest consumption per head.5 The old center keeps its long-running counters: Lido Bar, opened in 1953 by Enrique and Elizabeth Schulz at the corner of Palma and Chile, moved in 2022 to Independencia Nacional and Paraguayo Independiente. It is known for Paraguayan cooking such as caldo de surubí (river-catfish soup) and for its empanadas.13
Calle Palma also has Kaffe'i, opened in November 2024 by Luis Wong, the first Paraguayan Q Grader, a taster certified by the Coffee Quality Institute. It roasts on site and brews V60, Chemex and AeroPress. In October 2025 it became the first café in Paraguay named among the top 100 in South America by The World's 100 Best Coffee Shops, chosen from more than 1,800.12
Newer specialty cafés have opened in Villa Morra. Coto Café, which opened in late 2025 at the corner of Andrade and General Bernardo O'Higgins, serves Quinto coffee roasted in Paraguay, made by baristas trained for the café.14
Sources
- El negocio del café mueve en Paraguay USD 34 millones, La Nación (July 18, 2024), accessed October 2026
- Todos quieren su taza de café: el de especialidad suma adeptos y apunta a crecer en 2025, InfoNegocios Paraguay (February 10, 2025), accessed October 2026
- El café ya subió 23% en un año y es el segundo rubro que más presiona la inflación, Última Hora (October 3, 2025), accessed October 2026
- Del instantáneo al grano: el consumo de café va creciendo a nivel nacional, InfoNegocios Paraguay (May 24, 2019), accessed October 2026
- El café avanza en la conquista de los hogares paraguayos, La Nación (October 8, 2022), accessed October 2026
- Crece la sed por el café de especialidad en Paraguay, Perfect Daily Grind Español (November 10, 2017), accessed October 2026
- Emprendimientos con cafeína: Paraguay cultiva, tuesta y ya tiene cápsulas de café (crece en Cordillera y Canindeyú), InfoNegocios Paraguay (October 2, 2023), accessed October 2026
- Unesco reconoce al tereré como patrimonio vivo de la humanidad, La Nación (December 18, 2020), accessed October 2026
- Tereré, Wikipedia, accessed October 2026
- Cocido: una bebida preferida por todos, ABC Color (August 18, 2022), accessed October 2026
- Semana Santa: el costo de la chipa se mantiene en Eusebio Ayala, ABC Color (March 26, 2024), accessed October 2026
- Orgullo paraguayo: Kaffe'i fue distinguida entre las mejores 100 cafeterías de Sudamérica, La Nación (October 30, 2025), accessed October 2026
- Lido Bar: la historia continúa desde otra esquina del microcentro, La Nación (July 30, 2022), accessed October 2026
- Nuevo lugar para los coffee lovers: Coto Café, una propuesta íntima y honesta en Villa Morra, InfoNegocios Paraguay (November 3, 2025), accessed October 2026
Cafés in Paraguay: questions
What is tereré, the yerba mate drink of Paraguay?
Tereré is yerba mate steeped in cold water with plenty of ice, often with yuyos, refreshing or medicinal herbs, added to the water. It is drunk through a bombilla, a metal straw with a filter, from a guampa made of horn, wood, steel or silver. UNESCO added tereré and its pohã ñana herb knowledge to its Intangible Cultural Heritage list in December 2020.
How much coffee does Paraguay drink?
Paraguay drinks less coffee than Argentina: about 0.3 kg per person a year in a 2019 estimate, against 0.8 kg. Sales reached USD 34 million in the year to March 2024, on about 1,165 tonnes. In 2022 Asunción and its metropolitan area accounted for an estimated 59% of the coffee Paraguay consumes, and most of it is imported from Argentina and Brazil.
Is coffee grown in Paraguay?
Yes, on a small scale. Altos, in Cordillera, has historically been a coffee-growing area, and the brands Alvica and Guarania buy from small farms in Canindeyú, around Corpus Christi. Farms are few, and Guarania began its own planting in 2024. Paraguay imported 1,253 tonnes of coffee in 2024, mainly from Argentina and Brazil.
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