Carrefour's Beef with Brazilian Meat: A Trade Dispute

Carrefour Brazil has ceased sourcing meat from local suppliers, following the group's CEO decision to keep South American meat away from French outlets. The move sparked backlash from Brazilian meat producers, who view it as protectionist. Carrefour is seeking solutions to resolve this supply suspension.

The local unit of Carrefour in Brazil announced Monday that it has halted meat supplies from Brazilian producers. This action follows the global CEO's statement to exclude South American meat from French outlets, leading to criticism from Brazilian producers.

In response to CEO Alexandre Bompard's concerns about the EU-Mercosur trade deal potentially lowering standards in France, Brazilian agribusiness groups labeled this decision as 'protectionist'. However, they have not confirmed actions taken by meatpackers like JBS and Marfrig.

Brazil's Agriculture Minister supported local suppliers, stating that the Carrefour pledge undermines the EU-Mercosur trade talks. Meanwhile, Carrefour Brazil seeks to reverse the suspension, emphasizing no shortage in its stores despite the impact on its sales.

(With inputs from agencies.)