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Will the Grand Carajás project Help Brazil?

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Introduction

Will the Grand Caraj�s project Help Brazil? The Grand Caraj�s is in Par� State, part of the Amazon basin in the North region of Brazil. The main purpose of it is to provide cheap raw materials to the world. It covers an area of 900,000 sq Kilometers. The Brazilian government is running this program which includes ranching, forestry and settlement projects however the main type of mining is the iron ore. The mine is on Serra do Caraj�s. Mineral extraction sites are served by the Caraj�s railroad, which connects Maraba in the State of Para, to Sao Luiz, capital of the State of Maranhao (Northeastern region) and the Itaqui and Ponta de Madeira ports. This new railway takes twelve trains a day to export 8% of the world's iron ore through to the port of S�o Luis. The 890km Caraj�s railroad was originally constructed to transport millions of tonnes of iron ore from the Caraj�s mine to the Ponta da Madeira sea terminal. In 1995, it carried an extra 4 million tonnes of other materials apart from the 44 million tonnes of iron ore. The other products were mainly steel, fuel, timber, vehicles and fertilizers. It is very likely this railway would expand rapidly over the years as there is a high demand of infrastructural facilities in Brazil. ...read more.

Middle

The Caraj�s residential township houses 7000 people. They are mostly key employees and their direct families. The area is located 20 minutes away from the mines. The settlement has been very well planned and the plans for infrastructure are good for the local Brazilian standards. There are many facilities in the area such as a fully equipped sports centre, a 2000 seat theatre, two fully air-conditioned hotels and a zoo. Outside of this "company town," there is a town called parauapebas. By 1991, the population of this town had raised over 30,000, more than 4 times the size of the "company town." However the population has unbalanced the ratio of women to men, and as a result of this increase of women there is an increase in prostitution. Natural resource boomtowns tend to go through 4 phases: Discovery, rapid growth, maturation when resources are concentrated in fewer hands, and a bust phase when reserves of the mineral or its price begin to drop and people move out. There are many benefits and drawback to this project, and as this is a very controversial issue there have been many protests in the Caraj�s region by the indigenous people who have even blocked off the main road at Caraj�s to express their view on the issue. This is because a massive area of the rainforest, where many inhabitants used to live, and this area has now been converted into a huge enormous industrial park which covers over 900,000 sq km. ...read more.

Conclusion

Most environmentalists are against this project as this project is only the beginning to the mass deforestation and environment disasters in the Amazon. The ordinary working class citizen in a town in Brazil is benefiting from this project as it has created many jobs and will probably create lots more, and also the facilities in the "Company town" allow employees to live comfortably in the area. People for the project are probably the Brazilian government as it boosts their income and helps pay off the debts to the EU, the U.S.A and the World Bank. However, there is a varied view on countries which have lent money to Brazil. They would not want Brazil to be developed enough to repay the debts, as they are losing out on the interest payments. This is one of the biggest issues in the world today, as the difference between the MEDCs and LEDCs in this world is increasing rapidly.However many of these countries will benefit from cheap raw materials from Brazil. After taking all these points into consideration, I think that this project is vital to the growth of Brazil, and a project like this had to be carried out in Brazil to get it out of its debt. I think that even though there are many environmental damages caused by this project other countries such as the USA had developed similar projects in the past for economic reasons. Caraj�s Iron Mines Caraj�s Zoo 1 ...read more.

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