A negative effect on the international trade for Paraguay can be that it doesn't have any access to the ocean waters.
Explanation:
Paraguay is a South American country, located in the central part of the continent. Unlike the majority of the South American countries, Paraguay is one of the two countries that are landlocked, alongside Bolivia. This puts Paraguay is a worse situation when it comes to international trade, as it is dependent on its neighbors for it.
Because Paraguay lacks access to the ocean, it is forced to subjugate to a certain point to its neighboring countries. If the relations are good, there are no disputes, and there is collaboration, than Paraguay can trade through the ports of its neighbors, thus the political system has to be on spot. If the situation is the other way around, Paraguay can simply be blocked by sanctions or embargo and it will affect terribly ts economy.
The countries that surround Paraguay and through which it has access to the ocean are:
- Brazil (has access to the ocean)
- Argentina (has access to the ocean)
- Bolivia (landlocked)
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