July 1, 2009

 

China warns India over dairy ban

 
 

China has retaliated against India's ban on its dairy products, putting the two countries on the brink of a trade war.

 

India has decided to extend the ban on China's milk and milk products, which originally expired on June 24, by another six months until December 24. China has threatened to ban Indian products in retaliation.

 

According to officials from the commerce ministry, China has raised doubts about food products imported from India, which included seafood products, dairy products and sesame oil to pressurise India to lift the ban.

 

In reasoning with India to lift the ban, China pointed out that after last year's melamine-tainted milk scandal, it had taken several measures to deal with the issue and highlighted that these measures prompted countries like Singapore, Malaysia, Thailand and Chile to lift the ban on Chinese dairy products.

 

China has asked India to provide the scientific basis and risk assessment under the World Trade Organisation/Sanitary and Phytosanitary (WTO/SPS) agreement to implement the ban on its products.

 

In September 2008, India banned Chinese milk and its by-products for three months which was later extended in December last year for six months. Melamine, a chemical used in the production of plastics and fertilisers, was found in infant milk and other dairy products of several Chinese firms. In China, at least six infants were killed and nearly 300,000 were sickened after consuming the contaminated milk products.

 

More than a dozen countries in Asia and Africa had also banned China's milk and dairy products while several others recalled products that were suspected to be tainted.

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