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JBS cattle blockchain platform begins operation

Article-JBS cattle blockchain platform begins operation

JBS Purchases Canadas XL Foods
Platform will allow company to have a view of the socio-environmental compliance of its suppliers.

JBS S.A. announced this week that it has begun registering suppliers on the Transparent Livestock Farming Platform, an essential phase of a project that will advance monitoring the cattle production supply chain in the Amazon Biome. The tool, equipped with blockchain technology to ensure the security and confidentiality of the data, will make it possible to extend to the suppliers of the suppliers of cattle the socio-environmental monitoring that the company already applies to its direct suppliers.

By signing up voluntarily to the Platform, producers who negotiate animals directly with JBS, will inform the list of their suppliers of animals on the platform, which has been developed by the specialized company Ecotrace. This information is then sent electronically for validation to Agri Trace Rastreabilidade Animal, a system of the Brazilian Confederation of Agriculture and Livestock Farming (CNA), which checks whether the list of suppliers is complete.

Companies on the platform, such as Agrotools, will process the analysis of socio-environmental compliance standards based on the same criteria currently used by JBS, in an agreement signed with the Federal Prosecutors Office (MPF), to verify the existence of:

  • deforestation, respecting the Brazilian Forest Code,
  • invasion of indigenous lands or environmental conservation units,
  • work analogous to slavery and
  • use of areas embargoed by Ibama.

The result of these analyses will be sent directly to JBS´ supplier, who for the first time will have a view of the socio-environmental compliance of their suppliers. With this, they will be able to develop plans to mitigate risks and implement actions to help producers when necessary.

At no time will JBS have access to sensitive information, having access only to the result of the socio-environmental analysis. Thanks to blockchain technology, it will be possible to maintain the commitment to the confidentiality of third-party information.

As a fundamental part of the project, an engagement strategy with the supply chain is being developed to accelerate the registration of producers who comply with socio-environmental standards. All JBS cattle suppliers are expected to join the platform by the end of 2025. This is also the deadline, according to the Net Zero commitment for 2040 announced by JBS, for the company's cattle supply chain, including suppliers of suppliers to be free of illegal deforestation in the Amazon Biome. The same shall occur in other biomes in Brazil until 2030. JBS has committed to achieve net zero greenhouse gas emissions across its entire value chain, reducing the intensity of direct and indirect emissions and offsetting all residual emissions.

JBS´ Net Zero goal includes the company's global operations, covering producers and other suppliers, as well as clients, in its efforts to reach net zero emissions by 2040. The monitoring of its entire production chain in the Amazon is a fundamental part of the company´s strategy towards Net Zero.

The company expects that the ranchers who handle a total of one million animals will be registered on the Transparent Livestock Farming Platform by the end of this year,

As part of the project, JBS is also launching the Green Offices, which will help ranchers in the environmental regulation of their properties. Altogether 13 Green Offices will be opened in processing units across the country.

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