The U.S.-based animal rights organization People for the Ethical Treatment of Animals is accusing two farms in southern Chile of cruel treatment of sheep whose wool is exported.
A video released by PETA on Tuesday shows farmworkers cutting the necks of sheep without prior stunning, causing them to kick violently while still conscious for several minutes.
The group says several practices appear to violate Chile's animal-protection statutes.
They include holes notches cut from lambs' ears, tight bands put on lambs' tails to kill the tissue slowly and cause it to fall off and tails cut off with a dull knife.
Chile's Agricultural Service says it checked the farms but that compassionate-kill statues don't apply because the sheep are being sacrificed for human consumption.