Cabinet to crack milk powder keg

Friday, 16 August 2013 03:37 - - {{hitsCtrl.values.hits}}

By Uditha Jayasinghe Cabinet decided yesterday to appoint a sub-committee to investigate dairy giant Fonterra’s milk contamination allegations, which could result in legal action against the company.

Media Minister and Cabinet Spokesman Keheliya Rambukwella noted that the Cabinet sub-committee including senior ministers had been appointed to evaluate the milk powder contamination issue and submit a report at the next Cabinet meeting. If the milk contamination is proven, the Minister stoically pledged a complete ban. He also added that talks were underway to consider legal implications if Fonterra is found to have distributed milk containing harmful substances. “What I said is that the government is very serious about it and therefore, the agencies we usually deal with, particularly the AG’s (Attorney General’s) Department, have been informed to air their views about this,” he told media. Rambukwella stated that he had also participated in discussions with advertising companies to limit Fonterra’s commercials that have been attempting to clear up the company’s name and maintain sales. “I already had discussions with advertising companies and urged them to be ethical with this issue. We are willing to let them self-regulate so that they can decide the best way to promote responsible advertising. The idea is that eventually, a monitoring system will be established under the Media Ministry,” he added. Two batches of New Zealand milk giant Fonterra’s imports were banned by Sri Lanka’s Health Ministry last week for containing toxic agricultural chemical dicyandiamide (DCD but the company has rejected the charge. The 39 metric tons of milk powder was recalled and products such as chocolate that could also contain contaminated milk powder or whey protein have also been ordered off shelves. The Ministry warned legal action will be taken against errant traders who try to sell Fonterra milk powder stamped with the batch number 107610163 (Anchor 1+) and 60500883 (Anchor Full Cream) as well as the other brands. According to local reports despite the ban, recalled milk powder stocks are still being sold in shops. Meanwhile, New Zealand Foreign Minister Murray McCully is likely to visit Sri Lanka next week to discuss its controversial ban on 39 tons of Fonterra’s milk powder. Sri Lanka is the fifth largest purchaser of Fonterra products in the world and the company also has two large-scale factories in the island, producing half a million milk packets and yoghurt cups each day.

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