Fonterra ‘contacted’ by Chinese authorities probing infant formula prices

By Mark ASTLEY

- Last updated on GMT

Fonterra contacted by Chinese officials probing infant formula prices

Related tags Milk

Fonterra has been “contacted” by Chinese authorities investigating high infant formula pricing and suspected anti-monopoly law violation by manufacturers, including Nestlé and Danone, in the country.

Earlier this week, reports emerged that the Chinese National Development and Reform Commission (NDRC) had launched an investigation into high retail prices for infant formula, which have increased by around 30% since 2008.

According to reports, the probe is focusing on the pricing practices employed by Danone, Nestlé-owned Wyeth Nutrition, FrieslandCampina, Abbott Laboratories, Mead Johnson Nutrition, and Chinese firm Biostime International.

In a brief statement sent to DairyReporter.com, New Zealand-based dairy exporter Fonterra confirmed that the NDRC had been in touch “regarding a current broad-ranging investigation of consumer dairy products in China.”

It is unclear, however, whether Fonterra is actually under investigation by the NDRC.

“Fonterra understands that the NDRC is reviewing a wide range of consumer businesses in the Chinese dairy industry as part of this work,” ​said the statement.

“Fonterra operates a small consumer business in China and has a long history of engagement with government agencies and is co-operating fully with the NDRC. Fonterra will provide further updates on any outcomes as appropriate, when the investigation is complete.”

Speaking with DairyReporter.com earlier this week, Danone, Wyeth Nutrition, Dutch dairy processor FrieslandCampina, and US-based Mead Johnson Nutrition all confirmed that confirmed that they are “cooperating”​ with the NDRC.

Since then, Danone’s Asian child nutrition business, Dumex, and Wyeth Nutrition have announced plans to cut their infant formula prices in China.

Related news

Related products

4 reasons children need MFGM, according to science

4 reasons children need MFGM, according to science

Content provided by Valio | 29-Sep-2023 | White Paper

In this white paper, Dr Anu Turpeinen discusses the ample scientific evidence showing why milk fat globule membrane (MFGM) is essential for children’s...

Introducing a new era in infant nutrition

Introducing a new era in infant nutrition

Content provided by dsm-firmenich | 01-Sep-2023 | Research Study

Omega-3s are critical to infant health and development – but conventional omega-3 ingredients are impacting the planet.

Solutions of Amino Acids-Based Infant Formula

Solutions of Amino Acids-Based Infant Formula

Content provided by INNOBIO Corporation Limited | 22-Jun-2023 | White Paper

Many infants who are born with nutritional defects often need specifically developed infant formulas to maintain their growth and development. Amino acids-based...

LIPOFER™: a bioavailable and stable source of iron

LIPOFER™: a bioavailable and stable source of iron

Content provided by Lipofoods, a Lubrizol Company | 26-Apr-2023 | White Paper

Maintaining adequate iron levels is critical to maintaining a healthy body, with deficiencies being the cause of several health issues including anemia...

Related suppliers

Follow us

Products

View more

Webinars