The Brazilian food delivery sector, valued at R$ 110 billion, has plunged into accusations of corporate espionage and unethical practices as competition heats up with the entry of Chinese-backed rivals seeking a slice of Latin America's largest consumer market. Companies like iFood, a Brazilian delivery app, and China's Keeta, owned by delivery giant Meituan, claim to have experienced unfair practices over the past year, which are currently being investigated by the police.

Diego Barreto, the CEO of iFood, stated in an interview with the Financial Times that he has identified a 'coordinated effort' to steal his company’s trade secrets and gain unfair market advantages. These incidents reportedly began around the time when two Chinese competitors announced their plans to enter the Brazilian market, raising concerns about the integrity of business operations in the region.

With a highly connected population of over 200 million people, widespread adoption of digital payments, and a large workforce of delivery motorcycle drivers, Brazil has emerged as a focal point for these international delivery companies. This escalation in competitive tactics could lead to significant shifts in the market dynamics, affecting both domestic and foreign entities involved in the booming delivery service sector in the country.