New Zealand export industry suffered from Fonterra scandal

(MENAFN) New Zealand Prime Minister, John Key, said that the country's exports were hit by the Fonterra scare that caused China to stop imports of milk powder from the company, Saudi Gazette reported. The contamination incident did not only affect milk powder exports to China, but also affected New Zealand's whole export industry in different other markets. The Prime Minister said: "It"s really about what is the damage to New Zealand"s reputation, both for Fonterra and for dairy products, but also for the wider products we sell into the Chinese market and other markets overseas." Five years ago, milk powder produced by Fonterra's partner in China, Sanlu Group, was contaminated with melamine which caused death to several babies. In January of this year, Fonterra had to give China assurances that the traces of DCD substance found in milk is not a health risk.