August 12, 2010

Fonterra embroiled in China milk probe

New Zealand's Food Safety Authority has backed the dairy company, Fonterra, which is caught up in another investigation into tainted milk products in China.

Fonterra is major supplier to a Chinese company Synutra.

It is under investigation after allegations that four babies developed breasts.

Food Safety Authority's Paul Dansted says it is against the law to give hormones to milking cows in New Zealand.

"We have a very strict set of regulations for the use of these chemicals and we monitor them very carefully," he adds.

As a part owner in another Chinese company, Fonterra was involved in the melamine contamination scandal two years ago. Six babies died from poisoning in China.