January 8, 2009
Vietnam dairy farmers sue government for damages from melamine scare
Vietnamese dairy farmers have filed a civil suit seeking compensation from the health ministry for inaccurately saying the company supplied sold melamine-laced products.
Nearly 100 farmers in the northern province of Vinh Phuc said they were unable to sell their milk for three months after the health ministry announced that Hanoi Milk Joint Stock Co.'s HNM.NM products were melamine-tainted.
The ministry recently said the company's products were in fact melamine-free, but the farmers said their situation had not improved.
Hanoi Milk, Vietnam's third largest dairy product company, has reported that its revenue fell 70 percent in September due to the melamine scare.
Melamine, an industrial compound used in making plastic chairs, counter tops, plates, flame retardants and even concrete, has been added to food to cheat nutrition tests due to its high nitrogen content.
