I am pretty sure this is a dance/performance typical of Paraguay but maybe it is something also done in Brazil.
you're completely right: this is from Paraguay.
As a matter of fact, you probably also recognised the Argentinean tango. This show was all about the traditional dances of the three countries around Iguaçu: Paraguay, Argentina and Brazil...
Oh, and by the way: they cheat! Those bottles somehow click into each other... ;-)
Best regards from Belgium
Well, see my comment in the photo of the "Argentinean tango".
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Photo taken in Pilar Parque Campestre, Foz do Iguaçu - PR, Brazil
Misplaced? Suggest new location