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Brazil fines meatpacking companies, including giant JBS, for buying illegally raised cattle

Brazil fines meatpacking companies, including giant JBS, for buying illegally raised cattle

CTV
Tuesday, October 29, 2024 11:30:49 AM UTC

Brazil's environmental agency has levied $64 million in fines against 23 meatpacking companies and their suppliers for buying and selling cattle raised illegally on deforested land in the Amazon.

Brazil's environmental agency has levied $64 million in fines against 23 meatpacking companies and their suppliers for buying and selling cattle raised illegally on deforested land in the Amazon.

The operation, dubbed Cold Meat 2, launched last week. It tracked 18,000 head of cattle raised in 100 square miles (260 square kilometers) of pasture that has been banned for commercial use due to illegal deforestation. The agents also apprehended 8,854 head of cattle found inside the restricted areas. News of the fines began emerging over the weekend.

Cattle raising is the main driver of deforestation in the Brazilian Amazon, with 90% of the total area cleared between 1985 and 2023 converted to pasture. That represents a total of 227,800 square miles (590,000 square kilometers), slightly larger than France. As a result, 14% of the Amazon is covered by grazing land, according to MapBiomas, a network of nongovernmental organizations that monitors land use.

“We are inspecting the production chain to hold offenders accountable for acquiring products from deforestation and to ensure that crime does not pay,” Jair Schmitt, chief of environmental protection at Brazil’s federal environmental agency, known as Ibama, told The Associated Press.

Among those fined was JBS, the world's largest meat-packing company. JBS has applied to be listed on the New York Stock Exchange, a move that has faced opposition from some U.S. lawmakers and environmental nonprofits. It's not clear when the U.S. Securities and Exchange Commission may make a decision on JBS' bid.

The JBS fine was $108,000 for purchasing 1,231 head of cattle, the fifth largest penalty among the fined companies.

The operation followed three months of investigation by Ibama's intelligence unit and is the latest episode linking JBS to illegal deforestation. In December, AP revealed that it is facing lawsuits for allegedly purchasing cattle raised illegally in Jaci-Parana, a protected area in the Brazilian Amazon.

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