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The Amazon rainforest is being exploited for its many resources which in turn brings detrimental effects to not just the Amazon, but also the environment.

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Farmers, miners, loggers, cattle ranchers, and other companies that need to use the Amazon for its resources or land illegally burn down or destroy the forest as a result of reduced enforcement on the laws that protect the rainforest.

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The significant recent fires in the Amazon Rainforest have raised concern all around the world.

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A lower priority was placed on regulations pertaining to the environment beginning in 2011. This resulted in more farmers, miners, loggers, etc. taking advantage of the Amazon's natural resources and deforestation rates increased.

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During the past year (2018), deforestation rates have increased 88% and the number of fires has increased 84%.

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The President of Brazil, Jair Bolsonaro, has been promoting the mismanagement of the Amazon for the benefit of the economy without regard to the effects on the environment and health of the planet

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The majority of the fires currently happening in the Amazon are a result of humans illegally clearing the land for their own use. The fires are also being set to drive out the indigenousness people.

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Jair Bolsonaro is enforcing fewer penalties on cutting down trees in the Amazon Rainforest. Also, the government has drastically reduced its enforcement of environmental laws.

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In addition, Brazil's government is attempting to weaken indigenous rights and block environmental protection programs. The government's goal is to build dams, bridges, and roads through the Amazon.

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Ways This Issue Can Impact Canada/Canadian Companies?

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Ways This Issue Can Impact Canada/Canadian Companies?

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At this point, roughly 17% of the Amazon has been lost. Scientists believe that if this loss increases to 25%, the Amazon will hit its tipping point and revert into a savannah. This will have a significant impact world wide.

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Ways This Issue Can Impact Canada/Canadian Companies? (2)

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Ways This Issue Can Impact Canada/Canadian Companies? (2)

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Some countries and companies are now threatening boycotts of Brazilian goods including Brazil's largest exports, beef and leather. These threats are a reaction to the Brazilian government's handling of the recent fires.
These types of actions by other countries will hopefully create world wide motivation to use more sustainable and environmentally friendly practices.

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Ways This Issue Can Impact Canada/Canadian Companies? (3)

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Ways This Issue Can Impact Canada/Canadian Companies? (3)

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Recently, Finland called on the European Union to ban imports of Brazilian Beef.

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Ways This Issue Can Impact Canada/Canadian Companies? (4)

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Ways This Issue Can Impact Canada/Canadian Companies? (4)

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If Canada were to follow Finland's example and ban the importing of Brazilian beef, the supply of beef in the Canadian market would be lowered. This would impact the revenues of Canadian businesses that source Brazilian beef.

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The Amazon Rainforest plays a major role in Brazil's climate. Scientists are still learning how it affects the global climate system. Preserving the Amazon Rainforest is critical to combatting global climate change.

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The Amazon is one of the largest carbon reservoirs on Earth. Destroying the Rainforest releases carbon into the atmosphere and speeds up the process of global warming.

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The Amazon Rainforest is also home to the largest population of biodiversity on the planet. Changes in the Rainforest have a significant impact on the animal species.

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In an ideal world, after observing the changes in the Amazon Rainforest and the significant world wide impacts, people would become more environmentally friendly when creating products or taking from the environment. People would become more conscious about their impact and would fight to take action.

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The reality is however, our world is not ideal. The rate of destruction will continue and the Amazon Rainforest will likely enter a die back scenario.  The outcome will be catastrophic.

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If the Amazon were to enter a dieback scenario, the social and economic damages would cost between $957 billion and $3.59 trillion over 30 years.