19 September 2008

Third baby dies in China milk scandal

Background Info:
Melamine-A substance normally used in plastics, fertilisers and cleaning products.
China Mengniu-China's biggest and best-known dairy producers.

Shares in Mengniu were suspended in Hong Kong yesterday after the government said some Mengniu milk powder samples tested positive for the chemical melamine.

Mengniu, which issued a public apology, said it would recall all contaminated powder and offered to pay the medical costs of all consumers who fall ill within the next five years.

The health ministry said that, as of yesterday morning, 6244 infants had been affected by the powder: 158 had acute kindey failure, almost 4917 were stable or had been cured, and 1327 remained in hospital.

-taken off Financial Times, Thursday September 18 2008

Again, China? Again? Can you afford further damage to your image as an exporter? Are you able to put in place adequate quality controls to avoid problems such as last year's exports of lead-tainted toys, lead-tainted pet food to the US, and contaminated dumplings to Japan? The world is watching.

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