Hi,
I will also share my experiences as a foreigner buying a bike. Bought a new Star 200 chinese bike in Hohenau, Paraguay in 2015. Went to a local lawyer that would handle getting the papers. In the first days, I had some papers from the lawyer saying I just bought the bike an registration is in progress. Can be used in the city, but not on the "ruta". Dirt roads have no police, so you don't need anything there.

After a week, got the "chapa", the license plate. Now I could travel anywhere inside the country.
After a month, got the "cedula verde" to cross borders. All papers 100% legal.

Border crossing: The border between Encarnacion (PY) and Posadas (AR) is not recommended. The first time (2016) I had lots of discussion there (argentinian side, no problems in Paraguay), but finally got the temporary permit. Permit says I live in Paraguay, so the border guy did me a favor.
Second time (april 2017): They did not let me in. "You can't legally buy a bike as a foreigner in Paraguay" said the argentinian border official. Went angry when I asked to speak to his boss and threatened to confiscate my bike.

I do not recommend using this border, because it is well known to have strict controls (resulting from a little bad blood between Paraguay and Argentina generated by changing taxes for goods). If you try this border, you need an insurance. Try it early, if they don't allow you in, you can return after 11 o'clock and you will find different border officials.

On all other borders I never had problems, but they also wanted to see my insurance. My insurance that I bought in Paraguay was 20$ for 15 days, so I recommend buying one. Insurances are not valid in Paraguay, only in foreign countries. Didn't find an insurance company in PY that would cover my bike for PY.


Did all travel with internacional driver's license, entered in many controls but never had any problems.