Day 251 - 17 May 96 - Page 11

     
     1        and Rio and Minas Gerais which, in the late 1960s and early
     2        1970s, the Brazilian government set up a scheme to attract
     3        big companies from the south to move into the Amazon region
     4        by giving them tax breaks, by giving them back income tax
     5        to fund this offensive, this new development of cattle
     6        rearing in the Amazon region.
     7
     8   Q.   Yes, but what did they actually do?  People can be
     9        connected with cattle in a multitude of ways; that is what
    10        I am asking you.
    11        A.  They are companies that moved into an area which had
    12        not been used for cattle rearing before, cleared the
    13        vegetation, planted pasture and brought in cattle.
    14
    15   MR. MORRIS:  It is an obvious question, presumably, they used
    16        the cattle they were sent to slaughter plants?
    17        A.  They sent the cattle, either had it slaughtered
    18        locally, if it was appropriate, or sent the cattle down
    19        further south in big lorries (which I saw a lot of) to be
    20        slaughtered normally in the town which had, the nearest
         town, which had adequate slaughter house facilities.
    22
    23        I mean, the production of these ranches was not -- when I
    24        first went to the region, the government had slogans about
    25        Brazil going to become the world's greatest exporter of
    26        beef.  That was the slogan.  That was the objective at the
    27        time.  In fact, many of these cattle companies did not
    28        prove as successful as the government had hoped,
    29        particularly in the areas of rain forest, when the forest
    30        was devastated, was cut, and pasture was sown, the actual,
    31        the cattle ranchers did not prove as productive as the
    32        government had anticipated and had hoped.
    33
    34   MS. STEEL:   I just wanted to ask, in relation to the question
    35        that the Judge asked, you have mentioned, for example,
    36        Volkswagen which is not something that is traditionally
    37        associated with cattle, but would that come under your
    38        definition of cattle ranch cattle companies that is
    39        mentioned in your early paragraphs?
    40        A.  Yes, it would.  I mean, quite a range of multinational
         companies, General Motors, Volkswagen, a lot were attracted
    42        to the tax incentive scheme and set up ranches, and I am
    43        referring to them and to Brazilian companies when I use the
    44        term "cattle companies".
    45
    46   Q.   So it is basically any company which is rearing cattle in
    47        that area?
    48        A.  Exactly.
    49
    50   MR. MORRIS:  Including Bordon? 
    51        A.  Including Bordon. 
    52 
    53   Q.   I am not sure where I was in the reading of the statement
    54        now.
    55
    56   MR. JUSTICE BELL:  Actually, I am not quite sure you have got to
    57        Volkswagen, but I think you were just about there.  I think
    58        you had reached packing plants in Cuiaba.
    59
    60   MR. MORRIS:  Continuing to read the statement.