BEIJING (Reuters) – China, the world’s biggest beef importer, and Brazil, its biggest supplier, will set up a pilot project as part of efforts to make beef production more sustainable, state media said on Wednesday.
Beef is considered one of the most emissions-intensive forms of food, especially in Brazil, where food production is associated with the clearing of areas of carbon-bearing forests.
China’s State Administration for Market Regulation has met with Brazilian institutions to discuss methods to ensure transparency of the beef supply chain and the establishment of a cross-border traceability platform, CCTV said. No further information on timing was provided.
The countries agreed that a uniform global standard would be central to the traceability system, which would also help combat counterfeit beef.
Chinese companies have long prioritized price over sustainability, but are slowly becoming interested in greener facilities.
Unlike sustainability efforts in the West, which have often been consumer-driven, the shift in China is driven primarily by policy signals and investor pressure.
However, traders and sustainability analysts say higher costs and logistics challenges are likely to limit demand for durable goods.
According to environmental organization The Nature Conservancy, livestock farming in Brazil is linked to nearly 24% of the world’s annual tropical deforestation and about 10% of total global greenhouse gas emissions.
Livestock grazing is the most common first use for deforested areas in the Amazon (NASDAQ:) and neighboring Cerrado savannah, a practice that is subject to strict legal limits but continues illegally.
China imported 2.74 million tons of beef in 2023, of which more than 40% came from the South American producer, according to Chinese customs.