China Cracks Down On Dairy Producers Who Lack Modern Product Testing Equipment

Ongoing government inspections of China’s 800 fresh milk and infant formula producers could lead to the revocation of production licenses of 20 percent of the companies because of inadequate product testing equipment. So far, dairies in Fujian, Guangdong, Shaanxi, Sichuan and Ningxia have been inspected. At least 30 percent of the dairies in four of those provinces are likely to have their production licenses revoked, but fewer than 20 percent of those in Sichuan province. The inspections were expected to be completed by the end of March. The government requires that testing equipment must be able to analyze for 64 additives, including melamine. But upgrading equipment is prohibitively expensive for all but the largest producers, industry analysts say.