In a recent development, New York state has taken legal action against JBS SA, the world's largest meat-packer, alleging that the company misled the public regarding its environmental impact. The lawsuit filed by New York Attorney General Letitia James accuses JBS of failing to provide a viable plan to achieve its advertised commitment of reaching net zero emissions by 2040. The Attorney General's office stated that JBS has made misleading claims about curbing deforestation and reducing greenhouse gas emissions.

This legal action comes amidst a growing trend of companies making net zero commitments without clear decarbonization pathways. Bloomberg Intelligence analyst Rob Du Boff highlighted a rise in lawsuits targeting greenwashing practices, with cases mainly originating in the US. JBS, however, has expressed its commitment to a sustainable agricultural future and disagreed with the allegations put forth by the New York Attorney General's office.

JBS, headquartered in Sao Paulo, had been planning a listing in the US which faced opposition from environmental groups and lawmakers. The company recently announced a likely delay in the listing to the second half of 2024. JBS revealed plans to file a new registration statement with the US Securities and Exchange Commission after its earnings release on March 26, as stated by Chief Financial Officer Guilherme Cavalcanti.

A 2023 study by Carbon Market Watch and the New Climate Institute identified JBS as having among the lowest integrity scores among major companies striving for carbon neutrality. The food industry's significant climate footprint, accounting for a third of global greenhouse gases, underscores the importance of accurate sustainability commitments.

Efforts to block JBS's US listing on the New York Stock Exchange have been spearheaded by UK lawmakers citing climate change concerns. The company's expansion over the past decade has made it a global powerhouse in the meat industry, with operations spanning from Colorado to New Zealand. The potential New York listing is seen as crucial for JBS's strategy to expand into higher-profit margin segments within the food industry.

As the legal battle unfolds between New York state and JBS SA, the case sheds light on the increasing scrutiny surrounding environmental claims made by corporate entities and the imperative for transparency in sustainability efforts.