Contaminated Milk Sours China's Dairy Business

Farmers and milk distributors have been devastated by the contamination scandal, the recall, and bans on Chinese dairy products
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For farmer and migrant worker Dong Lizhong, dairy farming was supposed to be his golden ticket out of a factory job. Instead, his dairy business has been shattered by the contaminated milk crisis. Melamine, a chemical additive used to make plastic, was discovered in the milk supply of China's third-largest dairy, Sanlu Group, after babies mysteriously developed kidney stones. To date, four infants have died, and at least 53,000 have fallen ill from drinking contaminated baby formula.

China's four largest dairy companies, accounting for nearly half the country's milk market, have pulled their products off shelves. More than 20 countries, including France, India, and South Korea, have already banned not just dairy products from China but also candies and cookies. "This is a disastrous setback. I estimate that it will take one or two years to rebuild confidence in dairy products," says Luo Yunbo, dean of the College of Food Science & Nutritional Engineering at China Agricultural University.