Over the past decade, the state of Rondonia in Brazil has experienced extensive illegal deforestation in sections of the Amazon Rainforest to allow raising of cattle.
According to the Associated Press, a state judge in Rondonia has fined two packing plant and three ranchers $750,000 as a result of illegal deforestation to raise cattle. Funds from the collective penalty will be used in part to remediate degraded areas by replanting trees.
Cases against additional packing plants including one owned and operated by JBS SA have yet to be heard. Environmental issues faced by JBS are now being used to oppose the proposed listing of the Company on the NYSE.
Apart from ethical and business concerns, opponents of the JBS listing, including Senator Cory Booker (D-NJ), have cited failure to comply with international and Brazilian requirements regarding deforestation.