Ironic for Fonterra to criticise SanLus silence

Green Party MP Sue Kedgley says it is astounding Fonterra are condemning their partner company SanLu for covering up the milk powder crises for seven months, when they themselves chose to remain silent for a whole month too after learning of the contamination, and failed to alert senior Chinese officials or issue a mandatory nationwide recall.

“If Fonterra management think ‘its appalling’ they weren’t informed by SanLu for seven months, what should the New Zealand and Chinese public think of the fact that they sat on the information that babies were falling sick and even dying because of their product for a further month themselves?

“I am also concerned that the Fonterra board is continuing to defend their lack of action in China.

“The $139 million hit sustained by Fonterra over it’s handling of the Sanlu crises does not take into account the long term damage the Fonterra brand has suffered globally. Nor does it compare with the distress suffered by the 1000s of families whose children have become sick and in four cases died because of this contaminated milk powder.

“With a 43 percent stake in SanLu, Fonterra must seek a full account of the company’s actions over this issue during that eight month period.

“This tragedy shows the dangers for New Zealand businesses of wading into an unfamiliar environment such as China in pursuit of profit.”