The footwear industry in Paraguay is suffering as a result of illegal footwear imports according to president of the Paraguayan Footwear Industry Chamber Luis Fleitas. The Chamber has urged the government to enforce laws that would prevent contraband imports which result in unfair competition for local footwear manufacturers.

In 2005, Paraguay imported 20 million pairs of shoes at a value of $24.7 million. Mr Fleitas pointed out that the chamber is not against footwear imports themselves but the irregular ways in which they enter the country, at undervalued prices or through dumping. He also said that the sector is suffering due to the invasion of goods from all over the world and that although the law prohibits the entry and sale of used goods, these are sold freely all over the country. He said, “Unfortunately this unfair trade benefits a handful of smugglers only, while forcing local shoe industry workers to seek better opportunities in other countries.”