Brasilia, BRAZIL — Brazil’s environmental regulatory body has imposed fines totaling $64 million on 23 meatpacking firms and their suppliers for dealing in cattle sourced from illegally deforested areas in the Amazon rainforest.
The initiative, known as Cold Meat 2, was launched last week and focused on tracking 18,000 cattle raised across 100 square miles (260 square kilometers) of pasture that had been designated off-limits for commercial activities due to illegal deforestation activities. Additionally, authorities seized 8,854 cattle found grazing within these restricted zones. Reports about the fines began to emerge over the weekend.
Cattle farming has been identified as the primary cause of deforestation in the Brazilian Amazon, with 90% of the total area cleared from 1985 to 2023 being converted into pasture. This translates to more than 227,800 square miles (590,000 square kilometers), an area slightly larger than France. Consequently, approximately 14% of the Amazon is now designated as grazing land, as per MapBiomas, an organization that monitors land use.
“We are examining the production chain to hold those responsible accountable for procuring goods linked to deforestation and to ensure that illegal activities do not yield profit,” stated Jair Schmitt, head of environmental protection at Brazil’s federal environmental agency, Ibama.
Among the companies fined, JBS stands out as the world’s leading meat-packing enterprise. The firm has sought to list its shares on the New York Stock Exchange, a move encountering resistance from several lawmakers and environmental advocacy groups in the U.S. The timeline for a decision from the U.S. Securities and Exchange Commission regarding JBS’ application remains uncertain.
JBS has been fined $108,000 for purchasing 1,231 head of cattle, which represents the fifth-largest fine imposed among the companies named. This operation stems from a three-month investigation by Ibama’s intelligence unit and continues to reveal connections between JBS and illegal deforestation practices. In December, previous reports surfaced indicating that JBS was facing legal action for allegedly sourcing cattle raised unlawfully in Jaci-Parana, a protected region within the Brazilian Amazon.
In response to these allegations, JBS has denied acquiring cattle from prohibited areas and indicated that they have provided documentation to Ibama to demonstrate the animals’ lawful origins. Nevertheless, the company chose not to comment on the specific situation in Jaci-Parana despite multiple requests for clarification.
According to JBS, “For the past 15 years, JBS has upheld its Responsible Procurement Policy and uses a geospatial monitoring system to ensure that it does not source cattle from farms engaged in illegal deforestation, encroaching on Indigenous territories, or from protected conservation areas under Ibama’s embargo.”
Agropam, another meatpacking firm based in Boca do Acre city, faced the highest fine of $493,000 for purchasing 5,624 head of cattle from illegal zones. Operating under the name Frizam, this company focuses solely on the domestic Brazilian meat market. Attempts to contact them for comment went unanswered.
Other notable companies fined include Mafrico, Frigol, and 163 Beef. While Mafrico and Frigol did not respond to inquiries made via phone and their websites, contact details for 163 Beef were unavailable as the numbers on their Facebook page were found to be disconnected.