Monday 16 December 2019

Don’t invest in Brazilian meat, urge environmental groups

The letter, signed by Global Witness, Greenpeace Brasil, the Rainforest Action Network, and others, says two of the largest beef traders in Brazil, JBS and Marfrig, have been linked to deforestation of the Amazon forest, which in the last 12 months experienced raging fires and rapidly increasing rates of destruction.

The letter comes as reports emerge that the Brazilian Development Bank, BNDES, plans to sell shares it holds in both companies soon.

In the letter the organisations call on investors and financial service providers not to invest in JBS and Marfrig until they can accurately assess each company’s legal compliance and Environmental, Social and Governance (ESG) risks.

Both JBS and Marfrig have denied the allegations linking them to deforestation, claiming they have systems in place that screen out purchasing cattle from ranches where deforestation has occurred and which are verified by independent audits.

However, Shona Hawkes, Global Witness, said: “Either banks and financiers act to stop money flowing into the destruction of a forest vital for halting climate breakdown, or they don’t.  Whether they choose to facilitate the purchase of these shares, or cash in on them themselves, the role of our financial institutions here is key.”