New Zealand’s World Dairy Dominance Becomes Its Achilles’ Heel

New Zealand’s World Dairy Dominance Becomes Its Achilles’ Heel

Brendon O'Hagan/Bloomberg

New Zealand's national flag flies, right, as the Fonterra Cooperative Group Ltd. logo is displayed atop of the company's head office in Auckland. In 2008, Fonterra’s Chinese partner Sanlu Group collapsed after locally made melamine-contaminated milk powder killed and hospitalized babies, causing an industry-wide scandal.