In Paraguay, IPLC territories are mainly protected as Indigenous Peoples that live in areas of comunidades indígenas. “Paraguay is home to 19 indigenous peoples. Based on the preliminary findings of the National Population and Housing Census conducted in 2022, the indigenous population consists of approximately 140,206 individuals who identify as belonging to one of 19 indigenous peoples. This accounts for 2.29% of Paraguay’s total population” (IWGIA, 2024). Indigenous lands are under indigenous jurisdiction and have special legal protection. These areas are mainly regulated by Chapter V of Paraguay’s Constitution (1992), Statute of Indigenous Communities (Law 904/1981), later modified by Law 919 (1996), and Decree 8545 (2006).

Amongst the IPLC territories in Paraguay, there are 829 georeferenced territories in public databases. Of those, 559 already have the formal land title, 16 are in the process of obtaining the formal land title, 68 are in the process of regularization, and 186 have an unknown status. The data available on these areas is retrieved from the Landmark platform (https://landmarkmap.org/map), and is based on governmental data from the General Directorate of Statistics, Surveys and Censuses (Dirección General de Estadística, Encuestas y Censos - DGEEC, in Spanish); the organization People, Environment and Territory (Gente, Ambiente y Territorio - GAT, in Spanish) and also from the Indigenous Peoples’ Federation for Selfdetermination (Federación Autodeterminación Pueblos Indígenas - FAPI, in Spanish; https://tierrasindigenas-fapi.hub.arcgis.com/).

Companies should abstain from engaging with any non-indigenous actors in these lands. In case non-indigenous management is detected, companies are advised to report these violations to the appropriate authorities. When sourcing from the IPLC areas of Paraguay, companies should conduct their due diligence to ensure they are commercializing with the communities that are lawfully entitled to live in these territories; otherwise, companies incur the risk of dealing with unauthorized actors that might be violating land rights in these IPLC areas.

Paraguay’s Constitution (1992)

CHAPTER V: ON INDIGENOUS PEOPLES

Article 62. ON INDIGENOUS PEOPLES AND ETHNIC GROUPS

This Constitution recognizes the existence of indigenous peoples, defined as cultural groups that existed prior to the formation and organization of the Paraguayan State.

Article 63. ON ETHNIC IDENTITY

The right of indigenous peoples to preserve and develop their ethnic identity in their respective habitat is recognized and guaranteed. They also have the right to freely apply their systems of political, social, economic, cultural and religious organization, as well as the voluntary submission to their customary norms for the regulation of internal coexistence, provided that they do not violate the fundamental rights established in this Constitution. In jurisdictional conflicts, indigenous customary law will be taken into account.

Article 64. COMMUNITY PROPERTY

Indigenous peoples have the right to community ownership of land, in an area and quality sufficient for the conservation and development of their particular ways of life. The State shall provide them with these lands free of charge, which shall be indefeasible, indivisible, nontransferable, imprescriptible, not susceptible to contractual obligations or to being leased; they shall also be exempt from taxes.

The removal or transfer of their habitat without their express consent is prohibited.

Article 65. THE RIGHT TO PARTICIPATION

Indigenous peoples are guaranteed the right to participate in the economic, social, political and cultural life of the country, in accordance with their customary uses, this Constitution and national laws.

Statute of Indigenous Communities (Law 904/1981)

Later modified by Law 919 (1996)

Article 1. The purpose of this law is the social and cultural preservation of indigenous communities, the defense of their heritage and traditions, the improvement of their economic conditions, their effective participation in the national development process and their access to a legal system that guarantees them ownership of land and other productive resources on equal rights with other citizens.

Article 3. Respect for traditional organizational methods shall not prevent indigenous communities from voluntarily and exercising their right to self-determination to adopt other forms of organization established by law that permit their incorporation into national society.

Article 4. In no case shall the use of force or coercion be permitted as a means of promoting the integration of indigenous communities into the national community, or of measures tending toward assimilation that do not take into account the feelings and interests of the indigenous people themselves.

Article 5. Indigenous communities may apply their customary norms to regulate their coexistence in all matters that are not incompatible with the principles of public order.

Article 7. The State recognizes the legal existence of indigenous communities and shall grant them legal status in accordance with the provisions of this law.

Article 12. Leaders shall exercise legal representation of their community. The nomination of leaders shall be communicated to the [Paraguayan Indigenous Institute], which shall recognize it within thirty days from the date on which said communication took place and shall register it in the National Registry of Indigenous Communities.

Article 13. If the community revokes the nomination of its leaders, the provisions of the previous article shall be complied with with respect to the new leaders.

Article 14. The settlement of indigenous communities shall take into account, as far as possible, the current or traditional possession of the lands. The free and express consent of the indigenous community shall be essential for their settlement in places other than their habitual territories, except for reasons of national security.

Article 17. The awarding of fiscal lands to indigenous communities free of charge and undivided. The fraction may not be seized, alienated, leased to third parties, or pledged as a real guarantee for any credit, in whole or in part.

Article 19. The community may grant its members the use of plots for their needs. In the event of abandonment of the same, the community will void said concession.

Article 20. When an indigenous community has recognized legal personality, the lands shall be transferred to it free of charge and undivided and free of all encumbrances, and the title must be registered in the Agrarian Registry, General Property Registry and National Registry of Indigenous Communities. The deed of transfer of ownership shall be made in accordance with the provisions of article 17 of this Law.

Decree 8545 (2006)

Article 1. The Registry of Leadership and Legal Entity, Real Estate, Indigenous and Indigenist Organizations, dependent on the Paraguayan Indigenous Institute (INDI), is hereby created.

Article 2. It is established that for the purposes of the Registry the following documents must be compulsorily registered:

1) The Resolution of Recognition of Leaders

2) The Decree of Legal Entity of the respective community and data from the population census.

Article 3. It is hereby established that NGOs, in general, entities that carry out activities related to indigenous peoples and/or communities, will present to the Paraguayan Indigenous Institute (INDI) an Initial Report and Semiannual Reports of the activities they carry out in the same.

If the farm plot is located within a territory of Indigenous Peoples (Comunidades Indígenas, in the original language). This means that you are sourcing from an IPLC territory in Paraguay. These territories are protected by indigenous jurisdiction and are mainly regulated by Paraguay’s Constitution (1992), Statute of Indigenous Communities (Law 904/1981), later modified by Law 919 (1996), and Decree 8545 (2006). To adequately carry out your due diligence, make sure your company has commercial relations with the Indigenous Peoples that lawfully occupy this area. Ensure that your company is trading with the collective entity and the Indigenous Leader that represents that community, or any other associations, cooperatives, individual members or external partners authorized by them. They should be formally registered at the Registry of Leadership and Legal Entity of the Paraguayan Indigenous Institute. Ensure that the activity you are engaging with is aligned with the traditional uses of that land. Avoid commercializing with unauthorized intermediaries or third parties that might be violating the land rights of Indigenous peoples.