Global Events & Leadership - Fonterra Botulism Fears
Global Events and Leadership Assignment 1
China halts all imports of dairy product from New Zealand over botulism fears China has recently issues an import bans for all New Zealand and Australia milk powders and dairy products, after New Zealand dairy giant Fonterra announced that 3 batches of the whey protein they produce in May 2013 may be contaminated with a bacterial can cause rare illness name botulism. (Bloomberg, 2013) The U.S. Centers for Disease Control and Prevention describes botulism as a rare but serious paralytic illness. (Bloomberg, 2013) Causes of Contaminations and Products impacted Fonterra managing director Gary Romano explained the cause of the contaminations was due to unsterilized pipes at a Waikato factory, 3 batches of whey protein weigh 38 tonnes were affected, and the pipes has cleaned since. (Fox New, 2013) The contaminated protein was used to make of infant formulas, sports drinks, and other products which could weigh up to thousands of tonnes, impacted market including Australia, New Zealand, China, Thailand, Malaysia, Vietnam and Saudi Arabia. Country authorities and company involve with the tainted protein has started issue product recalls and quarantined their un-distributed products. (Bloomberg, 2013) Till date, there has been no illness reported linking to the contaminated product, according to Fonterra. (Bloomberg, 2013) Impact to China’s Milk supply and confidence 90% of the $1.9 billion dairy product imported by china originated from New Zealand, the on-going bans of dairy products could cause shortage of dairy products in china. (Bloomberg, 2013) The latest botulism scare has once again shaken the confidence of the milk safety issues in china, in year 2008, a local company “Sanlu” in china deliberately added melamine to the milk to boost nutritional test which resulted 6 babies were killed and another 300,000 sickened. During that time, Fonterra hold a minority stake in the “Sanlu”, and it was Fonterra who
China halts all imports of dairy product from New Zealand over botulism fears China has recently issues an import bans for all New Zealand and Australia milk powders and dairy products, after New Zealand dairy giant Fonterra announced that 3 batches of the whey protein they produce in May 2013 may be contaminated with a bacterial can cause rare illness name botulism. (Bloomberg, 2013) The U.S. Centers for Disease Control and Prevention describes botulism as a rare but serious paralytic illness. (Bloomberg, 2013) Causes of Contaminations and Products impacted Fonterra managing director Gary Romano explained the cause of the contaminations was due to unsterilized pipes at a Waikato factory, 3 batches of whey protein weigh 38 tonnes were affected, and the pipes has cleaned since. (Fox New, 2013) The contaminated protein was used to make of infant formulas, sports drinks, and other products which could weigh up to thousands of tonnes, impacted market including Australia, New Zealand, China, Thailand, Malaysia, Vietnam and Saudi Arabia. Country authorities and company involve with the tainted protein has started issue product recalls and quarantined their un-distributed products. (Bloomberg, 2013) Till date, there has been no illness reported linking to the contaminated product, according to Fonterra. (Bloomberg, 2013) Impact to China’s Milk supply and confidence 90% of the $1.9 billion dairy product imported by china originated from New Zealand, the on-going bans of dairy products could cause shortage of dairy products in china. (Bloomberg, 2013) The latest botulism scare has once again shaken the confidence of the milk safety issues in china, in year 2008, a local company “Sanlu” in china deliberately added melamine to the milk to boost nutritional test which resulted 6 babies were killed and another 300,000 sickened. During that time, Fonterra hold a minority stake in the “Sanlu”, and it was Fonterra who
Bibliography: Financial Times (2013) Fonterra dairy recall shakes China consumer confidence. Available at: http://www.ft.com/intl/cms/s/0/c6b1585e-fcef-11e2-955a-00144feabdc0.html#axzz2bgyUfFAh (Accessed: 12 August 2013) Fox News (2013) New Zealand botulism scare triggers mass global recall. Available at: http://www.foxnews.com/health/2013/08/03/new-zealand-botulism-scare-triggers-global-recall/ (Accessed: 12 August 2013) Bloomberg News (2013) China Stops Importing New Zealand Milk Powder, Minister Says Available at: http://www.bloomberg.com/news/2013-08-03/china-asks-importers-to-recall-contaminated-fonterra-products.html (Accessed: 12 August 2013) Bloomberg News (2013) Botulism Scare Halts N.Z. Milk-Powder Sales to China, Russia. Available at: http://www.bloomberg.com/news/2013-08-05/botulism-scare-halts-fonterra-milk-powder-sales-to-china-russia.html (Accessed: 12 August 2013) Financial Times (2013) Dairy recall hits New Zealand dollar. Available at: http://www.ft.com/intl/cms/s/0/7430ffac-fdd1-11e2-a5b1-00144feabdc0.html#axzz2bgyUfFAh (Accessed: 12 August 2013) The Dominion Post (2013) PM questions Fonterra 's delay. Available at: http://www.stuff.co.nz/dominion-post/business/9001740/PM-questions-Fonterras-delay (Accessed: 12 August 2013) NZ Herald (2008) Fonterra slow to speak on milk scandal – PM. Available at: http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=10533487&pnum=0 (Accessed: 12 August 2013) The Guardian (2013) Fonterra botulism scare leads to import ban in China, Vietnam and Russia. Available at: http://www.theguardian.com/world/2013/aug/05/fonterra-botulism-import-ban (Accessed: 12 August 2013)