The Carrefour logo in a Sao Paulo supermarket
Meat manufacturers in Brazil have stopped supplying the local subsidiary of Carrefour, the latter said on Monday, after the announcement on Wednesday by the CEO of the French group Alexandre Bompard that it would not market any meat from Mercosur in France in support of French farmers.
“Unfortunately, the decision to suspend meat deliveries has an impact on our customers, particularly those who trust us to provide their homes with quality and responsible products,” Carrefour Brazil said in a statement.
Alexandre Bompard declared on Wednesday that the proposed free trade agreement between the European Union and Mercosur, a South American trade bloc, ran the “risk of spillover onto the French market of meat production not not respecting its requirements and standards.
“Carrefour wants to form a united front with the agricultural world and is today making a commitment not to market any meat from Mercosur,” he added.
These comments were strongly criticized by companies in the Brazilian agri-food sector, who denounced in a joint press release “a protectionist posture”.
Brazilian media began reporting on Friday that meat manufacturers such as JBS and Marfrig had stopped supplying Carrefour Brazil stores.
No company cited has confirmed this initiative.
Carrefour Brazil said on Monday it was seeking to resolve the situation as quickly as possible and stressed that there was no shortage of meat in its stores at this stage.
The Brazilian Minister of Agriculture, Carlos Favaro, said Monday he was satisfied with the initiative of the meat industry, after saying he saw in Carrefour's announcement last week an “orchestrated action” on the part of French companies to sabotage trade negotiations between the EU and Mercosur.
The Brazilian subsidiary represented around 20% of Carrefour's total sales in the third quarter, according to group figures.
(Andre Romani and Roberto Samora in Sao Paulo; with Alberto Alerigi Jr, French version Bertrand Boucey)
