Carrefour's cold shoulder for South American beef sparks a backlash from Brazil

abcnews.go.com:

Supermarket giant Carrefour’s support for French farmers’ protests against a trade agreement between the European Union and the South American bloc Mercosur has sparked a strong reaction in Brazil

BRASILIA, Brazil — Supermarket giant Carrefour’s support for French farmers’ protests against a trade agreement between the European Union and the South American bloc Mercosur has sparked a strong reaction in Brazil, including a refusal to supply beef to Carrefour stores in Brazil.

Carrefour CEO Alexandre Bompard announced in social media posts last week that the French company would stop buying beef from all Mercosur countries, which also include Argentina, Paraguay and Uruguay. Bompard wrote that he agrees with French producers' arguments that Mercosur beef is an unfair competitor due to lower production costs resulting from fewer environmental and sanitary requirements.

The executive encouraged other retailers to follow suit.

Brazil's Ministry of Agriculture called Bompard's move protectionist, saying it was made “without any technical criteria.”

The decision also angered Brazil's meatpackers. Though France makes up just a tiny sliver of Brazil’s beef exports, meatpackers worried that Carrefour’s decision would hurt its reputation in other markets.

Beef giants JBS and Marfrig halted supplies last Friday to Carrefour's extensive supermarket chain in Brazil, including the food warehouse giant Atacadao. Both companies refused to comment on the boycott to The Associated Press, but Minister of Agriculture Carlos Fávaro confirmed it.

“We support the reaction of the meatpackers. If Brazil´s beef isn’t good enough for Carrefour’s shelves in France, it isn’t good enough for Carrefour’s shelves in Brazil either,” Faváro told Folha