Brazil is the world's second largest producer of coffee and sugarcane, the third largest producer of corn, soybeans, and livestock, and ranks fourth in forestry products. Other important crops include rice, beans, cotton, manioc, oranges, cocoa, and tobacco. Much of Brazil's sugarcane goes into the production of alcohol, which is used as fuel. Brazil leads the world in fuel-alcohol production. The industrial sector has grown greatly in recent years.
Brazil is rated second in world iron- ore production and fifth in the production of motor vehicles.
Other important industrial products are textiles, chemicals, and cement. Most of Brazil's electric power is generated at hydroelectric installations. Brazil is self-sufficient in most foodstuffs and consumer goods. Despite its size, the Brazilian economy suffers from a number of problems. In February 1986, an economic stabilization plan was implemented that has considerably lowered the inflation and unemployment rates.