Uncategorised

Dairy industry threatened by dodgy baby formula exports

An industry insider has said a makeshift Melbourne warehouse sending thousands of tins of baby formula to China is threatening Australia's dairy industry.

The Herald Sun yesterday reported news of a suburban Melbourne home sending up to 10,000 cans of baby formula to China each month, netting around $200,000 tax-free.

An anonymous milk industry representative was approached by those running the organisation, who wanted to buy 10,000 tins of formula.

The representative, who refused to fill the order, said, "This is a threat to the Australian dairy industry" and claims the internet-based company is being paid $65 per tin of Karicare formula – around three times its price here in Australia.

Australia is experiencing a shortage of baby formula after health scares in China have caused shelves here to be stripped.

It's believed the Melbourne warehouse, located in Clayton, may be linked to a similar scam in New Zealand, where similar practices have been cracked down on recently.

Warren Landt, export manager at Dandenong's OZDairy group, said Australia needed to follow suit.

"They have moved this from New Zealand because the government there did something about it," he told the Herald Sun.

New Zealand government officials are investigating the Melbourne warehouse.

Earlier this week Woolworths introduced a restriction of four tins of baby formula per transaction, to help ensure enough product for all customers.

 

Send this to a friend