The Uruguayan ace has been in top form this term with 10 of the clubs 17 Premier League goals so far and veteran defender Carragher rates right up there with some other Anfield greats.
"I think he is definitely right up there," he told BBC Radio 5 Liver's Sportsweek.
"I can only talk about the players I've played with (Robbie) Fowler, (Michael) Owen, (Fernando) Torres and I think he comes pretty close to that list.
"It's not a great Liverpool side at the moment. The other players I've played with have played in sides that have won trophies and been near the top of the league.
"For him to do what he is doing in a side that is still building under the new manager I wouldn't swap him for anyone in the Premier League.
"I think what he does in our team and what he gives us no other player really could."