BEIJING, Sep 21, 2008 (UPI via COMTEX) -- Asian countries are banning Chinese
dairy products and foreign manufacturers are poised to benefit from China's
tainted baby formula scandal, analysts say.
With the dairy products of three of China's leading brands found to contain
traces of the banned chemical additive melamine, local Asian media say Japan,
Singapore, Malaysia, Burma and Bangladesh as well as Hong Kong have banned
Chinese dairy products, BizChinaUpdate reported Sunday.
The publication said that while the European Union maintains no Chinese milk
products have officially entered EU countries, it is warning illegally
distributed dairy products from China should not be consumed.
Meanwhile, Chinese analysts say while the domestic dairy industry is crippled
because of the scandal, foreign producers are rushing to fill the domestic void,
China Daily reported.
Chen Lianfang, an analyst with Beijing Orient Agribusiness Consultants, told the
newspaper the market dominance of foreign brands will likely now be further
consolidated.
He said only three domestic brands are among China's top 10 sellers and two of
them, Shengyuan and Yili, have been implicated in the current scandal.
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