For Binners:
The basic gist of the NZ milk scandal centres around the use of, for the last 7 years or so, of an unauthorised fertiliser (DCD) , on the grass. Now Fonterra are the worlds largest dairy Co-Operative and the allegation is that they’ve found traces of DCD in milk used for some products, specifically milk powders, used in products such as infant formula (the chinese have kicked up a right stink about this due to the melamine incident a few years ago). Although we’re assured it’s safe the main issue is that the government AND Fonterra knew about this months ago, apparently. When did they let everyone know about this contamination? Why after they opened on the stock market!
Cue furious anger from investors, customers et al over this blatant cover up. If the products are safe to consume as per Fonterra and the NZ government why did Fonterra feel the need to inform the NZ government of the contamination in the first place. The whole incident has basically lost Fonterra a lot of consumer confidence and trust What else aren’t they letting folk know. Here’s the response from Fonterra.
DCD SUSPENSION
Fonterra Co-operative Group Limited backs the move by Ravensdown and Ballance to voluntarily suspend sales and use of Dicyandiamide (DCD) treatment on farm land until further notice.
The fertiliser companies announced the suspension today after very low levels of DCD were identified in some test samples of dairy products.
“We have been assured by New Zealand’s regulatory authority – the Ministry of Primary Industries – that there is no food safety risk. However, DCD residues in agricultural products may present a future trade issue,” said Managing Director Co-operative Affairs Todd Muller.
“Although DCD was a promising option for reducing nitrate leaching, it is critical that New Zealand’s trade reputation is preserved. The voluntary suspension is the responsible approach in the absence of any internationally agreed standards for DCD residues in food,” said Mr Muller.
Fonterra will participate in a working group set up by the Ministry of Primary Industries to examine what the suspension means in terms of the future use of DCD in farming, including the impact on water quality requirements.