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Dollar falls, increases demand for products in Ciudad del Este.

The Dollar, which has already reached more than R $ 4,00, remains around R $ 3,40 in recent days. Therefore, the price of imported products in Paraguay is much lower than in the Brazilian market.

With the fall of the dollar, which has remained in recent days around R $ 3,30, this has increased the advantage of shopping in Paraguay, where taxes for being lower allow the products to be sold on average at prices 30% lower than the Brazilian market. And, as some stores practice a differential exchange rate to attract consumers, the advantage may be even more significant.

In the last two months, the number of Brazilians in stores in Ciudad del Este, which borders Foz do Iguaçu, has increased by about 30%. As the dollar surpassed the $ 4,00 barrier, the movement plummeted, Paraguayan traders are now more lively and compete to attract these consumers.

In some cases as luxury products, for example, the fall in the price of the dollar has already reduced prices by up to 40%, compared to those practiced in Brazil, according to Armando Nasser, owner of Casa SAX.

The store gathers several international brands, in the areas of women's, men's, jewelry, perfumery, decoration and fine foods, decoration, beverages and fine foods, and about 60% of its customers are Brazilian.

Nasser comments that when the dollar rose to more than R $ 4,00, the prices of luxury goods, mainly garments, sold in Paraguay and Brazil, were equivalent. The Paraguayan trader says that now with the dollar varying between R $ 3,30 and R $ 3,40, the trade in Ciudad del Este can already breathe. But he understands that to return to 2014 sales levels, it can still take time,

Since the Brazilian consumers are distraught due to the economic crisis and the insecurity provoked by the political uncertainty. "There is a lack of confidence for the consumer to spend," says Nasser.

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