This study analyzes the processes of identity construction and the emergence of native organization in Paraguay, as these are entwined in the context of new national policies and legislation. The study focuses on the impact of state politics and national legislation, especially Law 904/81 and the National Constitution of 1992, on indigenous activism and mobilization. This book analyzes the major elements of ethnic identity construction: territory, education, traditional religious system, and the Ava Guaraní language. A particular focus is the analysis of language revitalization since Paraguay is very often mentioned as a unique country that maintains the native language. Findings show that Paraguayan Guaraní and the Ava Guaraní language (Ayvu) are two different languages with two different histories and world views. The book offers a basis for understanding the dynamics of ethnic renewal in Paraguay, which has often differed from other Latin American nations. It will be a valuable resource for scholars and students of Paraguayan and Latin American Studies.