Brazil vs Danone: The Soybean Standoff

Brazilian soybean producers have called for a boycott of Danone products after the company decided to stop sourcing soy from Brazil. This is linked to new EU rules requiring proof that sources are not from deforested land. Brazil criticizes these measures as unfair and discriminatory.

Brazilian soybean producers have urged a boycott of Danone products following the French company's announcement to cease sourcing soybeans from Brazil. The boycott call delivers a stark response to Danone's decision, driven by impending European Union regulations aimed at curbing deforestation.

Aprosoja Brasil, a farmers' group, expressed strong disapproval, accusing Danone of misunderstanding Brazil's agricultural practices and unfairly discriminating against the country. Meanwhile, the Brazilian government labeled the EU's regulatory efforts as 'arbitrary' and 'punitive,' advocating for equitable trading conditions.

The EU's deforestation regulation, set to impact commodities like cocoa, coffee, and soy, threatens significant repercussions for international trade. Brazilian producers, already dealing with high deforestation rates in sensitive biomes, face increasing pressures even as organizations like Aprosoja explore potential WTO complaints.

(With inputs from agencies.)