Cannabis in Paraguay

History of Cannabis in Paraguay

Paraguay is one of the continent’s leading cannabis producers and the second-largest in Latin America after Mexico, according to Wikipedia. Its fertile red soil provides excellent growing conditions for the plant, sometimes yielding multiple harvests per year. Production, which is largely illegal, supplies the markets in Brazil, Argentina, Uruguay, and Chile. It is often sold as marijuana compressed into «bricks» (brick), mixed with adhesives to mask the odor at the borders.

The 1988 law (Law No. 1340, Article 30) exempts from punishment anyone in possession of up to 10 grams of marijuana for personal use, which remained the only measure of leniency for nearly thirty years. In December 2014, a member of Congress proposed decriminalizing possession and use, as well as the possession of up to 30 plants, and in 2015, Senator Blas Llano, one of the country’s most prominent political figures, expressed his support for legalization.

The turning point is the Law No. 6007 of 2017, signed by President Horacio Cartes, which establishes the National Program for Medical and Scientific Study and Research on the Medicinal Use of Cannabis (PROINCUMEC). The first production licenses were issued in 2019: five initially, then ten in early 2020, and finally twelve, granted to pharmaceutical companies. A 2018 decree, amended in 2021 and 2022, specifies the conditions for the production, import, export, and distribution of medical cannabis.

Cannabis Legislation in Paraguay

Recreational cannabis: illegal, with a tolerance of 10 grams

Recreational cannabis is illegal in Paraguay. Possession of 10 grams or less Personal use has been exempt from penalties since the 1988 law, but cultivation and sale remain offenses, and personal cultivation for one’s own use is not permitted. A reform bill aimed at legalizing the sale of cannabis for adult use in regulated dispensaries was scheduled to be put to a vote in the Senate in 2025, but as of our last update, it had not been passed.

Medical cannabis: an ambitious framework, but access remains limited

The framework is based on the 2017 law and its implementing decrees. The DINAVISA (National Health Surveillance Agency) issues production and manufacturing licenses, authorizes research, and maintains the national registry of users of cannabis-derived products. Licenses are specific to each entity, non-transferable, and renewable every five years. Since 2022, there have been no limits on the number of licenses or geographic restrictions, which opens the market to any interested company. Medical cannabis must not exceed 0.5 % of THC. Private laboratories must also provide at least 2 % of their production to the government to ensure free treatment for patients listed in the registry.

However, patient access remains very limited. As of the end of 2025, the registry included 107 patients and 10 doctors, including 103 patients with refractory epilepsy and four with multiple sclerosis, who have free access to medical cannabis oil. The prescription system distinguishes between CBD-based medications (simple prescription), products containing both CBD and up to 0.5 % of THC (a single prescription kept on file), and products containing more than 0.5 % of THC (a prescription in quadruplicate, issued only by physicians enrolled in the program). Many families continue to rely on imported products, which they purchase at high prices.

CBD and Hemp

CBD is used in the medical products described above. A regulatory framework for industrial hemp also exists, with a THC limit that industry stakeholders are seeking to raise. The country has also exported hemp flowers to Switzerland and is negotiating contracts with Swiss and German companies.

News and Outlook

Paraguay plays a central role in the region’s illegal production while also having one of the most open medical frameworks in Latin America, particularly since the cap on the number of licenses was lifted. Key areas to watch include the practical implementation of patient access, the expansion of domestic production, and reform proposals regarding adult use. Follow our Cannabis News in Paraguay See below for updates to the law.