Brazil’s Meat Giants Join Forces
Marfrig and BRF plan to merge into a global meat powerhouse, but face regulatory, competition, and environmental challenges.
Two of Brazil’s largest meat companies, Marfrig and BRF, have agreed to merge into a single global food giant called MBRF. Shareholders approved the deal, but it still needs a green light from regulators before it becomes official.
If approved, MBRF will produce beef, pork, and poultry at a massive scale — about eight million tons a year — and operate in 117 countries with 130,000 employees. Annual sales are expected to reach 28 billion US dollars, making it one of the world’s top meat producers, behind only JBS, Cargill, and Tyson Foods.
But there’s a catch. Brazil’s competition watchdog, CADE, must first decide if the merger will give MBRF too much power in the market. Rival meat producer Minerva has already complained, pointing to shared investors between the companies that could tilt the market unfairly.
Environmental groups are also watching closely. While Marfrig and BRF have previously been praised for monitoring cattle suppliers to avoid deforestation, critics warn that expanding cattle production could still harm the Amazon. Nearly half of Brazil’s beef cattle are raised in the Amazon, an area central to climate change concerns.
The future of MBRF now hangs on whether it can convince regulators and the public that it can grow without harming competition — or the rainforest.