A pulp and paper project backed by billions in international financing is drawing criticism in Brazil, according to Mongabay. 

The controversy centers on Projeto Sucuriú, a new mill being built by Chilean forestry giant Arauco in the Cerrado, a savanna ecosystem that plays a critical role in supporting wildlife, water supplies, and nearby communities. 

What's happening?

Arauco has begun construction of its Projeto Sucuriú mill in Mato Grosso do Sul state, an investment valued at about $4.6 billion. 

The site covers roughly 3,500 hectares near the Sucuriú River. Despite its promotion as a clean, sustainable investment, the project sits within a designated conservation priority area. 

The region is home to many endangered and threatened species, including giant anteaters, maned wolves, and yellow-faced parrots.

Critics were especially alarmed by plans to convert swaths of land into eucalyptus monocultures to feed the mill's production needs. 

These single-crop plantations have been described by scientists as "green deserts" because they offer little benefit to wildlife or the ecosystem. 

They can also overtake old-growth forests, decreasing biodiversity and increasing wildfire risk.

Why is this concerning?

The Cerrado is one of the most biologically diverse savanna ecosystems on Earth, but it has lost much of its native vegetation to agriculture and development. 

Introducing monocultures could further threaten biodiversity, increasing wildlife roadkill as animals are forced to move and disrupting ecological balance.

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Water scarcity is another concern. The project lies over the Bauru-Caiuá Aquifer, a groundwater source that has already been shrinking. 

Experts warned that eucalyptus plantations can absorb rainwater before it reaches deeper soil layers, potentially exacerbating water shortages for nearby towns and farms.

Critics are also skeptical due to Arauco's track record. 

In Chile, the company has faced fines, shutdowns, and conflicts with Indigenous communities. It has also been linked to cases of chemical pollution that affected nearby communities and ecosystems. 

"I spent half of my life between the ports and [Arauco's] pulp factory, which is one of Latin America's largest," said plant biotechnology engineer and activist Juan Pablo Toledo. 

"I see trains loaded with acid arriving at the industrial plants all the time. Soon thereafter, I see the foam spreading on the beaches when the acid is dumped after its use," he warned.

What's being done about it?

Arauco claimed it would mitigate the project's environmental impacts, but not everyone was convinced. 

Concerned parties called for stronger oversight, transparent monitoring, and serious consideration of the impacts beyond the mill itself.

Many argued that projects like this must include enforceable safeguards, groundwater replenishment plans, and limits on monoculture expansion. 

Others emphasized the need to carefully investigate corporate sustainability claims. 

Ultimately, it's important to hold big corporations accountable for the environmental damage they cause, so the buck doesn't get passed to the affected communities.

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