Blog: Katy AskewFonterra under fire for DCD "cover-up"

Katy Askew | 1 February 2013

Fonterra has come into the firing line this week, with allegations flying around that the dairy giant collaborated with government officials in an attempt to "cover-up" the dicyandiamide (DCD) issue.

According to local reports, "industry sources" are saying that Fonterra and the New Zealand Ministry of Primary Industries were in cahoots, attempting to cover up the presence of DCD residues, which were apparently first detected in September. These sources have suggested that the small level of DCD found and the fact it does not pose a threat to health suggest that the issue has in fact blown up because of the delay in reporting.

With billions of dollars of exports at stake, it is unsurprising that we are seeing some finger-pointing. However, with the threat that export countries will close their doors to NZ dairy products en mass, the New Zealand dairy industry will have to pull together if it is going to convince export markets that its products are safe.

2013 has not got off to a good start for Fonterra and the dairy group will undoubtedly be hoping that the next 11 months will bring a reversal of fortunes. What do you think 2013 will have in store? Share your outlook for the next 11 months by completing our confidence survey for your chance to win a year's free membership of Click here to have your say. Results will be reported back to you in our February webinar. 



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