South America - Economy and land use
Economy and land use
978-3-14-100890-6 | Page 194 | Ill. 1
Overview
South America is a continent rich in raw materials. Along the Andes, mainly non-ferrous and precious metal ores are mined. In the east of the continent, large deposits of iron ore, manganese and bauxite are exploited. South American countries also occupy leading positions in numerous agricultural products and in fishing. The wealth of raw materials and the agricultural orientation are reflected in foreign trade. Chile, for example, earns about 80 percent of its export revenues from raw materials and food.
Energy supply and industrial centres
Energy supply is based primarily on the use of hydropower to generate electricity and on domestic oil and natural gas deposits. Many South American countries have explored and developed these in recent decades, and some have even become exporters, even if the quantities are not comparable to those of the oil states of West Asia. Venezuela is an exception in this respect. Argentina and Brazil also rely on nuclear power for electricity generation.
The settlement of the states without a share of the Andes is decidedly coast-oriented. The large Brazilian conurbations and industrial centres of São Paulo and Rio de Janeiro, as well as the Argentine metropolis of Buenos Aires, are conveniently located on the Atlantic. On the Pacific coast, the Chilean capital Santiago and the Peruvian capital Lima stand out. The ports are also located on the coasts, through which agricultural products, such as bananas, and raw materials, such as iron or copper ore, are exported.
The economically strongest countries in South America are Brazil and Argentina. The industries are concentrated in the cities on the Rio de la Plata, in Pôrto Alegre, Sao Paulo and Rio de Janeiro on the east coast. On the west coast, only the Santiago metropolitan area can compete. The industrial structure is largely diversified in these locations.
