Brazilian meat suppliers stop deliveries to local Carrefour retailers, media say

By Ana Mano

SAO PAULO (Reuters) – Brazilian meatpackers have reportedly stopped supplying meat to the Carrefour (EPA:CARR) group in Brazil after the retailer’s global CEO vowed to keep South American meat off its shelves in France in solidarity with French farmers, according to local media reports that cited anonymous industry sources.

One of the reports said the interruption in meat supplies has already affected 150 stores of the retailer in Brazil, naming JBS and Marfrig among the companies which allegedly interrupted deliveries.

Carrefour dismissed the reports as “unfounded.”

The French retailer told Reuters on Sunday that meat supplies are normal at its local stores, denying any shortages and calling the reports “misinformation.”

Meat lobby ABPA, which represents large Brazilian pork and chicken processors, did not have an immediate comment.

JBS and Marfrig declined to comment.

Beef industry group Abiec did not confirm the interruption of supplies, referring to a previous statement last week in which it called Carrefour’s plan to ban South American meat as “contradictory.”

Abiec said Carrefour Brasil operates 1,200 stores in the country that sell mostly domestic beef.

Brazil’s government also blasted Carrefour for the plan to ban South American meat. Brazilian Agriculture Minister Carlos Favaro called the pledge part of an “orchestrated action” by French companies to sabotage the trade pact between the European Union and Mercosur nations.

In a social media post addressed to leaders of France’s farm lobbies, Carrefour’s CEO Alexandre Bompard said the EU-Mercosur deal presented the “risk of meat production spilling over into the French market (and) failing to meet its requirements and standards.”

“Carrefour’s adoption of a protectionist stance in defense of French farmers undermines its own business and exposes the European market to shortage risks,” Abiec said in reaction to Bompard’s post.