Photo: Courtesy of Itaipu Binacional

Paraguay Enacts New Law to Unleash Tilapia Production in the Itaipu Reservoir

PARAGUAY
Monday, January 12, 2026, 00:10 (GMT + 9)

The legislation signed by President Santiago Peña paves the way for a binational agreement to authorize the commercial farming of Tilapia, aiming for a production capacity of 400,000 tons.

ASUNCIÓN – President Santiago Peña has officially signed Law No. 7,618/2025, a decisive legislative move that establishes the environmental licensing regime for the cultivation, fattening, and commercialization of exotic species—specifically Tilapia—in the country's water bodies. The law, published in the Official Gazette on December 22, marks the end of a long-standing legal barrier that prevented Paraguay from utilizing the Itaipu Hydroelectric Power Plant reservoir for large-scale aquaculture.

Photo: Paraguay Gov.

Previously, Tilapia farming was restricted due to the Brazil-Paraguay Bilateral Agreement and Decree No. 4,256, which prohibited the introduction of non-native species into the binational waters. With this new legal framework, Paraguay now has the necessary standing to negotiate a revision of the treaty with the Brazilian National Congress.

Photo: Courtesy of Itaipu Binacional

A Massive Economic Engine for the Border

The technical and economic implications of the law are significant for the regional economy of Alto Paraná and the western region of Paraná, Brazil. According to studies by the National Water and Basic Sanitation Agency (ANA), the Itaipu reservoir has the environmental capacity to produce:

• Total Capacity: 400,000 tons of fish annually.

• National Shares: 200,000 tons for Paraguay and 200,000 tons for Brazil.

• Employment: The project is expected to create over 12,500 direct and indirect jobs, boosting the supply chain, processing plants, and international logistics.

Scientific Support and Environmental Safety

The Ministry of Fisheries and Aquaculture (MPA) and Itaipu Binacional have conducted extensive research to ensure that Tilapia farming in net cages does not compromise the reservoir’s water quality or hydroelectric functions. Enio Verri, the Brazilian Director-General of Itaipu, noted that the move is fundamental for "transforming the productive potential into a long-term structuring project."

Fernanda de Paula, the National Secretary of Aquaculture, highlighted that the law provides the "legal certainty" required to move from technical studies to a concrete development agenda. This is particularly vital for small-scale producers in Paraguay, for whom Tilapia represents a highly profitable and stable commodity.

Strategic Bilateral Cooperation

The next phase involves diplomatic and technical alignment. While Brazil has long sought to expand its Tilapia production—which would nearly double its current national volume in federal waters with this project—Paraguay’s new law finally aligns the two nations' interests.

The Vice-Ministry of Livestock of Paraguay and the MADES (Ministry of the Environment and Sustainable Development) will now work alongside Itaipu to monitor environmental impacts, ensuring that this "blue revolution" remains sustainable for the long-term health of the Paraná River ecosystem.

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