In 2003, Archer Daniels Midland Company made plans to increase its presence in South America by building new grain silos in Brazil, as well as double its soybean crushing capacity. Coincidentally, Paraguayan farmers achieved great yields and high prices from soy crops in 2003. As a result, soy instantly became the monoculture of choice among small-scale Paraguayan farmers in 2004.

In Paraguay, the negative effects from this sudden and aggressive interest in soy production by farmers has the yerba mate sector concerned. Plantations of yerba mate and other crops, as well as forest land, have been cleared by farmers in order to plant soy. Some fear that there will be a shortage of yerba mate, however it is too soon to tell.

In response to this threatening presence of soy, the president of the Centro Yerbatero Paraguayo (the Paraguayan Yerba Center), Eugen Junghanns, asked the Paraguayan government for help in protecting the existing yerba mate crops by promoting its cultivation among small-scale farmers. The Paraguayan Congress supported Mr. Junghanns and his efforts, however, only went as far as to name 2004 The National Yerba Mate Year. The Centro Yerbatero Paraguayo has yet to see any financial assistance from its government whatsoever.

With your support through purchases made at GreenLeafImports.com, we will be able to increase the demand of Paraguayan yerba mate. Moreover, we will continue to educate our clients about the challenges that soy and other cash crops present to Paraguayan yerba mate.