Brazil Halts Meat Supply to Carrefour
A significant shift in the Brazilian meat industry has emerged as major companies begin to suspend their supply to Carrefour and its subsidiaries in Brazil. This move comes as a direct response to the French retailer’s recent announcement of a boycott on Mercosur meat products.
See also: Carrefour Boycotts Mercosur Meat Over Trade Deal
The decision to halt meat supply was initiated on Friday, November 22, 2024. It follows a statement made by Carrefour’s global CEO, Alexandre Bompard, on Wednesday. Bompard declared a boycott on meat from Mercosur countries, citing solidarity with French agricultural interests.
This retaliation could significantly impact Carrefour’s operations. The company’s Brazilian unit contributes 17% of global revenues and 51% of net profits. A loss of 2-5% of Brazilian customers could cost Carrefour $315-788 million in revenue.
Industry sources reveal that 30% of Carrefour’s Brazilian units are already experiencing supply disruptions. The impact is primarily affecting beef products, with a growing number of poultry suppliers joining the movement. No interruptions in pork deliveries have been reported so far.
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