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Home / Business / Companies / Agribusiness

Formula export inquiry highlights contamination fears

NZPA
16 Sep, 2008 08:56 PM2 mins to read

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KEY POINTS:

A Chinese businessman trying to buy 1500 tonnes of baby formula in Southland this year was so concerned the formula would be tampered with once it arrived in China that he insisted it be supplied in sealed 1kg containers.

The unusual export request was revealed yesterday by Venture
Southland enterprise and strategic projects group manager Steve Canny, who said fears the formula could be diluted with other materials like talcum powder or chalk once it arrived in China was the biggest issue for the investor.

Two babies have died in China and more than 1250 have fallen ill in a rapidly unfolding scandal over poisoned infant formula involving a joint venture partner of New Zealand's dairy giant, Fonterra.

That problem in China involved contamination of Chinese product.

Mr Canny told the Southland Times a Japanese agent, representing a group of Chinese businessmen, approached him in January and told him one of the businessmen was interested in importing a large amount of baby formula in sealed containers to ensure it was not contaminated with other materials.

Mr Canny requested more information from the agent and - because the volumes involved could not be produced in Southland - referred them to New Zealand's major dairy companies.

He had yet to hear back from the agent and a New Zealand tour for the group did not go ahead, he said.

However, the inquiry sent a strong signal to markets exporting to countries like China that product safety and traceability was now a major issue, he said.

Trade Minister Phil Goff yesterday, in a written response, said there was no evidence of any imported product being tampered with in China.

As a precaution, the New Zealand Food Safety Authority has been testing all infant formula on sale here and other products that may include Chinese dairy ingredients.

The deaths in China are blamed on infant milk powder made by the San Lu Group, which is 43 per cent owned by Fonterra.

Fonterra said someone put the banned chemical melamine into raw milk supplied to San Lu, in what appeared to be a case of sabotage.

- NZPA

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