China backs milk firms to improve confidence
Print Edition
China yesterday revealed a list of six government-recognized key domestic milk powder firms for their high production standards as it hopes that its support of them will improve consumer confidence that has been hit by food safety scandals.
The six milk powder makers are Shenzhen-listed Zhejiang Beingmate Technology Industry & Trade Co, Shanghai-listed Beijing Sanyuan Foods Co and Hong Kong-listed Huishan Dairy Holdings Co, along with three regional makers, Yinqiao Group, Chenguan Dairy and Baiyue, the China Dairy Industry Association said in a statement.
Last year, the association announced the first batch of six dairy companies that would get state support, including Inner Mongolia Yili Industrial Group and Mengniu Dairy Co. The association had said then that the milk powder makers recognized by the government would get certain subsidies, without giving details.
Song Kungang, the association’s director, said yesterday that products from the six dairy makers have high production standards and the companies have installed a complete tracing system.
At the end of last year, there were 208 milk powder makers in China and total output was 1.5 million tons, up 7.09 percent from a year earlier, according to Song.
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