March 23, 2020 / 4:55 PM / 2 months ago

Brazil agri town on lockdown potentially affecting Bunge, Cofco - decree

SAO PAULO, March 23 (Reuters) - A town in the heart of Brazil's farmland, Rondonópolis in Mato Grosso state, closed down all non-essential services and ordered suspension of industrial sites in response to the coronavirus crisis, according to a municipal decree dated March 21.

Frederico Favacho, a lawyer who studied the decree, told Reuters on Monday the decree may be legally challenged based on the mayor's lack of jurisdiction to enforce such a measure. China's Cofco and U.S.-based grain trader Bunge are among companies that may be affected as they have plants in the city. (Reporting by Ana Mano Editing by Chizu Nomiyama)

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