Senators Seek Review of JBS SA Transactions

Two U.S. Senators are calling on the Treasury Department to review a 12-year history of transactions by Brazil’s JBS S.A. Democrat Bob Menendez of New Jersey, and Republican Marco Rubio of Florida penned a letter to Treasury Secretary Steven Mnuchin asking for the review. JBS S.A. has become increasingly active in the American food sectors, however, the company “engaged in illicit financial activities and suborned Brazilian government officials to secure the loans used for investment in the United States. In 2007, JBS S.A. established a U.S. subsidiary, JBS USA, that purchased the American beef and pork processing company Swift Foods. Through a deal in 2008, JBS USA acquired the beef processing operations of Smithfield Foods. In 2009, JBS USA obtained the majority of the poultry processing operations of Pilgrim’s Pride. Additionally, JBS USA purchased Cargill’s pork processing operations in 2015. The Senators say, “The growing trend of foreign investment in our food system demands increased attention and scrutiny in order to safeguard our nation’s food supply.”