burning furnaces located near deposits of iron ore. However, Brazilians made little progress in the smelting industry, since their attention was diverted again and again by new mineral and agricultural discoveries. Thus, in 1940, Brazilian steel was still produced in furnaces using charcoal, and combined yearly output amounted to only one-half the production (about 300,000 tons) of the new coke-burning plant at Volta Redonda.