UPDATE: Fonterra CEO Theo Spierings has said that the Chinese import restrictions only affect Fonterra's whey protein concentrate, and he expects to see those restrictions lifted this week, Reuters reports.
- China has reportedly blocked imports of Fonterra Cooperative Group Ltd.'s milk powder after the New Zealand-based dairy company announced that some batches may contain botulism-causing bacteria, though Fonterra claimed as of Monday that it had received no official notice from the Chinese government.
- Companies including Hangzhou Wahaha Group, Danone’s Dumex brand and Coca-Cola Greater China may have tainted products as a result of Fonterra's problems, and Coca-Cola is recalling batches of its Minute Maid Pulpy Milky product, though the company expressed confidence that its products were sanitized.
- Russia has also announced a block on Fonterra imports as a result of the botulism fears.
From the article:
... The restrictions are a blow for New Zealand, which relies on exports to China, its biggest trading partner, for growth. Dairy products make up about a quarter of the South Pacific nation’s total overseas sales, which in turn account for about a third of economic output. Fonterra collects 89 percent of the milk produced in New Zealand. ...