Rare earth rush threatens rural communities and ecosystems in Brazil

Brazil holds about 23% of global rare earth reserves, second only to China, but domestic production remains nascent at roughly 1% of the world market. A surge of mining interest is moving from prospect to plan, with 187 applications targeting 96 INCRA settlements across Bahia, Goiás, Pernambuco and beyond.
In Bahia’s Itamaraju region, the Reunidas Pau Brasil Sustainable Development Project is among the most advanced. Multiverse Mineração Ltda has filed for extraction near the village of São Paulinho, in an area that overlaps with 48 families and a 600-year-old Brazilwood tree, Paubrasilia echinata, historically used to shade cacao and linked to the Atlantic Forest.
Brazilwood is a national heritage species and a symbol of the country’s forest history; it is now endangered, with the Atlantic Forest greatly reduced in extent. Mining could clear Caatinga and other habitats, intensifying land conflicts and threatening biodiversity.
Authorities in Bahia say mining concessions fall under federal jurisdiction, with licensing pending. A state-led memorandum supports a rare earths processing plant as part of a 3.5 billion reais investment; similar pressures are seen in Goiás and Pernambuco, where existing settlements face rapid change and food production could be affected.
Advocates warn of social disruption, potential displacement, and intensified land grabs as projects advance. Civil action seeks to revoke Normative Instruction 112/2021, which currently permits mining within settlements, highlighting ongoing regulatory battles.