Brazil’s environmental protection agency, IBAMA, has slapped a hefty fine of 365 million reais ($64 million) on several cattle ranches and meat processing firms, including the globally recognized JBS SA, for their involvement in illegal deforestation activities in the Amazon. The fines are a result of these entities raising or purchasing cattle from lands cleared unlawfully in the world’s largest rainforest.

In its probe, IBAMA identified a total of 69 properties that had engaged in the sale of 18,000 cattle, which were raised on deforested lands. Moreover, 23 meat processing firms were identified to have purchased these cattle in the Amazonas and Para states.

The main objective of this enforcement operation was to curb the rampant deforestation in the Amazon. This was achieved by scrutinizing the entire chain involved in the production or sale of cattle originating from lands deforested illegally, stated IBAMA.

In response to these allegations, JBS SA vehemently denied sourcing cattle from the properties identified by IBAMA. The company reiterated that its purchases were not made from areas under embargo. In a statement, JBS also emphasized that its geospatial monitoring system ensures that it doesn’t procure animals from farms implicated in illegal deforestation, infringement of indigenous lands, or violation of environmental conservation areas.

The Amazon rainforest is continually being deforested due to extensive cattle ranching and land clearance for timber sale or soy cultivation.

In 2013, a host of meat processing firms signed pledges with prosecutors, committing that they would refrain from purchasing cattle from ranches involved in illegal clearance or blacklisted for environmental crimes. JBS, along with numerous other significant agricultural firms, has also promised to eradicate deforestation from their supply chains by 2025. This pledge includes destruction linked to indirect suppliers that sell to intermediaries who eventually sell to meat processing firms.