Why this is important to Wisconsin businesses: Wisconsin exporters could find success expanding into these less populous South American markets but should stay mindful of the complexities of each market.
Ecuador, Bolivia, and Paraguay are not the largest countries in South America, but they may offer significant opportunities for growth for Wisconsin companies.
Ecuador: With a population of 18 million, this country along the Pacific Ocean on the continent’s northwest coast had a gross domestic product (GDP) estimated at $121.6 billion in 2024.
Ecuador’s developing infrastructure and agricultural sectors require modern machinery. As connectivity improves, demand for U.S. technology is expected to rise. In addition, the growing health care sector may provide opportunities for Wisconsin’s medical devices manufacturers.
However, political instability and economic vulnerabilities—including dependence on fluctuating oil prices and high levels of debt—should be considered, as well as competition and navigating the country’s regulatory environment.
Bolivia: This landlocked country west of Brazil has a population of 12.6 million and an estimated GDP of nearly $50 billion, driven by mining and natural gas. It is probably the most complex of the three markets with the greatest risk potential.
Bolivia’s substantial mineral resources require specialized mining equipment. Wisconsin companies could leverage this opportunity, but navigating the political and regulatory landscape is crucial.
Bolivia’s agricultural sector offers potential, but land ownership issues and access to financing can be complex. Infrastructure projects can also be attractive, but Wisconsin companies should carefully assess the political situation and the transparency of the procurement process.
Paraguay: Adjacent to Bolivia, Paraguay is smaller and also landlocked; it has a population of nearly 7 million. Its 2024 GDP was $45.8 billion and its government is generally more stable than those of Ecuador or Bolivia.
Paraguay’s agriculture sector and its expanding transportation infrastructure could line up well with the strengths of Wisconsin companies. Its growing middle class may also increase demand for consumer goods.
Ecuador, Bolivia, and Paraguay could all provide growth opportunities. By carefully assessing risks, partnering with local experts, and adapting to changing conditions, Wisconsin businesses can successfully navigate these markets and help fulfill their needs.
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