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Geography,
agriculture and the economy
Geography
Brazil is the largest and most populous country in Latin America. Its massive land area of 8.5 million km2 extends over almost half of the continent and is only slightly smaller than the United States of America. Located in the eastern part of South America, on the Atlantic Ocean, Brazil shares boundaries with every other South American country except Chile and Ecuador. Geographically the country is characterized by low-altitude plateaux surrounded by plains. Brazil ’s climate is largely tropical or subtropical with high temperatures and frequent rainfall. The southern region is more temperate, while the north-eastern part of the country is dry and prone to periodic droughts. The diverse vegetation across this vast land mass reflects the differences in soil and climate. Brazil ’s population of 176.5 million (in 2003) is currently growing at an annual rate of 1.2 per cent. Most of the country’s inhabitants are concentrated along the Atlantic coastline, especially in the principal cities, Rio de Janeiro and Sao Paolo. The country is administered through a federal government and is made up of a federal district and 26 states, which are grouped into five regions. Brazil has abundant natural resources. Its most remarkable asset is the huge portion of the Amazonian tropical rainforest that lies within Brazilian territory. Together, the Amazon forest and river basin make up the largest genetic reserve in the world and are believed to play an important part in stabilizing world climate. In this region deforestation – by loggers and cattle ranchers – has endangered a multitude of plant and animal species indigenous to the area and continues to be the cause of enormous environmental concern. In 2005 the government reported that one fifth of the Amazon forest had been cleared by deforestation.
Agriculture
Brazil is a major agricultural producer and the largest producer at regional level. Agriculture accounts for about 10 per cent of gross domestic product (GDP) and the sector has shown signs of expansion since 2004. About 44 per cent of the country’s land area, or 3.5 million km2, is suitable for agriculture. One sixth of this area is cultivated for crops while the rest is pasture and fallow land. The country is the world’s largest coffee producer. Other important agricultural products include soybeans, wheat, rice, corn, sugar cane, cocoa, citrus and beef. The agriculture sector is divided between the export-oriented commercial sector, with production concentrated in the temperate fertile South and Centre-East regions, and the far more numerous smallholder family farms.
Economy
With its immense wealth of natural resources - including minerals, oil, hydropower and timber – and its large and well-developed agricultural, mining, manufacturing and service sectors, Brazil is the leading economic power in the Latin American region. GDP currently stands at almost US$600 billion and the country continues to expand its presence in world markets. Following a long period of economic instability, Brazil ’s present steady rate of growth can be attributed to a new strategy of expanding exports and encouraging foreign trade and investments, as well as to structural reforms introduced by the government from 1994. These reforms are based on public debt reduction, an increase in global economic efficiency and social security programmes, privatization of public enterprises and services, and tax reform. In the last decade Brazil has achieved dramatic results in improving living conditions for the nation’s poor people, despite two periods of international and domestic economic crisis over the last five years. Yet the country’s massive domestic and foreign debts threaten its favourable growth rate, and Brazil continues to have one of the most uneven income distributions in the world.
Source: IFAD |
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