Deforestation-free beef is possible in the Amazon – here’s how business can contribute

Brazilian beef is responsible for nearly 25% of total tropical habitat loss each year. As global demand for beef rises, there is increased pressure to convert native habitat – particularly in the Amazon – to pastureland. That, in turn, pushes the Amazon closer to a catastrophic climate tipping point, as temperatures increase and humidity decreases in ways that jeopardize both Brazilian agricultural productivity, and global food security.

It doesn’t have to be like this. Cattle ranching underpins Brazil’s economy and is a way of life for millions of ranchers and communities. Yet, the ways in which businesses operate today make it very difficult for buyers of beef, leather, and other commodities to determine the linkages between cattle-raising and deforestation. As the world’s largest beef exporter and second-largest producer, Brazil has a unique opportunity to transform the entire global beef value chain, and decouple habitat loss from production. It can do so by introducing traceability, environmental regulatory support, and producer incentives.

The Brazilian state of Pará, which has become a cattle ranching powerhouse at the expense of the tropical forest of the Amazon, is now seizing the opportunity to halt deforestation by creating a new vision for the sector.

In 2023, Pará, with support from The Nature Conservancy and a broader coalition of civil society and private sector leaders, launched Brazil’s first mandatory cattle traceability programme with environmental requirements. This groundbreaking initiative aims to transform cattle production, by eliminating deforestation and conversion from the supply chain while increasing productivity and market access for smallholder farmers. A recent study produced in partnership with Bain indicates that success in this effort could increase the annual value of cattle production by 45%, from $2 billion to $2.9 billion.

Transitioning to a deforestation- and conversion-free beef and leather production model with high productivity requires market-wide collaboration. Pará is bringing infrastructure, financial resources, and ambition together to halt deforestation and de-risk its cattle value chain. Yet, public-private partnerships will be essential to accelerate the roll-out of the programme – and increase the availability of fully traceable beef and leather.

We are seeing the supply side of the cattle value chain embrace this action plan for deforestation-free cattle, and producers and industry alike are mobilizing their resources and influence to make it a reality. The world's largest protein producer, JBS, has accelerated investments in cattle tagging and producer support, which help create the conditions for the whole state to transition its production model. But to fully realize the economic and environmental benefits of deforestation-free cattle, we will need to see the demand side of the market match this ambition.

Building on the vision of the World Economic Forum’s First Movers Coalition for Food (FMC4F) and the Tropical Forest Alliance (TFA) – both of which engage global food companies across the value chain to leverage their combined procurement power – companies can demonstrate their intent to purchase traceable products, create advanced market commitments, and translate those commitments into action.

There are three main ways in which companies can facilitate the flow of sustainable beef from the Amazon to global markets:

By investing in the region, businesses have a first-mover advantage in securing resilient, sustainable beef supply chains. Moreover, they can meet consumer demand, secure new supply sources, improve trade opportunities in markets where links to deforestation is not allowed, and achieve their own nature and climate commitments. For companies that have committed to eliminating deforestation from supply chains, or to investing in natural climate solutions, this offers a verifiable route to achieving those goals while building resilience into their business model.

Our global food systems are major drivers of habitat loss and greenhouse gas emissions; beef production alone accounts for 7% of global emissions. Commodity production, particularly beef, soy, and palm oil, is responsible for 40% of total deforestation worldwide.

Policy-makers and businesses recognize the critical role of food systems in achieving the Paris Agreement and meeting global biodiversity goals. The momentum for climate action on food systems largely hinges on reducing deforestation and habitat conversion, and action has become more formalized. Food systems took centre stage at COP28, and action is now expanding with further initiatives like the Baku Harmoniya Climate Initiative for Farmers, launched at COP29. The impending European Union Deforestation Regulation could help end deforestation in commodity supply chains, first in the EU market and eventually elsewhere.

As the incoming president of COP30, Brazil will play a pivotal role in driving collaborative climate action and sustaining momentum on food systems. The nation recently underscored its commitment at the G20 summit, when the communique recognized agriculture as essential for reducing emissions and protecting biodiversity, with forests serving as critical carbon sinks.

Collaboration will be key for successfully achieving global climate and nature goals, while protecting food security. No single actor alone will solve the complex problem of deforestation and land conversion linked to beef and leather, and the Pará Sustainable Cattle Program is an excellent example of the type of collective action required. For it to be successful, it needs partners from across the global value chain to invest in its success.