BRF bribed inspectors and masked rotten meat — China banned Brazilian meat in days

On 17 March 2017, 1,100 Brazilian federal police officers raided 194 locations across six states in Operação Carne Fraca — 'Operation Weak Meat' — the end of a two-year investigation into how the world's biggest red-meat and poultry exporter certified its food. They found expired meat treated with acids and other chemicals to mask its smell, water injected to add weight, dates relabelled, and export shipments carrying salmonella.

The certificates that let this travel were bought. Managers at more than 30 companies — including the two giants, BRF, the world's top poultry producer, and JBS, the world's largest beef exporter — allegedly bribed agriculture ministry inspectors to look away, and routed some of the money to two parties in the governing coalition. The case began after schoolchildren in Paraná were served turkey sausages that contained no turkey.

The market answered within days. BRF and JBS shares fell as much as 10%; China suspended all Brazilian meat imports, the EU barred four plants, and South Korea and Chile followed — together nearly a third of a $13.9B annual export trade. Three plants were closed and 21 more placed under investigation. Brazil's president hosted foreign diplomats at a steakhouse; the industry's reputation took years longer to recover than the flights did.