Certain units of JBS SA , the world’s largest meatpacker, on Wednesday suspended cattle purchases temporarily following the arrest of Chief Executive Wesley Batista, a source familiar with the matter said.
Ranchers said the company “had no price to offer” after reaching out to JBS buyers at the plants of Juara and Pontes e Lacerda, in the state of Mato Grosso, according to the source, who spoke on condition of anonymity because of the sensitivity of the issue.
The suspension was ordered by JBS’s management, which did not specify how long it would be in place, the source said, citing the cattle growers.
JBS declined to comment.
“There is a market scare, some risk aversion, and JBS plants suspended cattle purchases,” Lygia Pimentel, director of consultancy Agrifatto, told Reuters separately.