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Kangliang LI

on 22 September 2013

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Outline
News recall
PESTEL Model
Conclusion
Dairy giant Fonterra recalls infant formula under botulism alert
About Fonterra
Timeline
About Botulism
Affected companies in China
Media comments
News
About Fonterra
Incident timeline
About Botulism
Affected products and countries
Affected companies in China
Media comments

PESTEL Model
Socio-cultural
Technological
Fonterra says the contamination (clostridium botulism) occurred in an unsanitary pipe
Botulism reports on NZ's Fonterra milk powder
Ban importers of milk powder from NZ
Fear of infant food safty
Demand on local milk powder increases
Environmental
Fonterra says the contamination is (clostridium botulinum) occurred in an unsanitary pipe
Grass
Habitat
Air
COW
Technology
Monitor production
Test the quality of milk powder
Thoroughly clean the pipe
Political Issue
From China ---- Apologies?

From CNN or NBC news ---- Sanlu group scandal
Legal Issue
Fonterra ---- Produced whey powder

Dairy Base powder
Economic Issue
Political
Economic
Socio-cultural
Technological
Environmental
Legal
Fonterra is the world's largest dairy exporter, with annual revenues of about $16billion
70% of imported milk powder in China comes from New Zealand
Fonterra holds 90% of the milk powder market in New Zealand
Fonterra Annual exports total a quarter of New Zealand's total export volume
8/10 pizzas in China made with Fonterra's Cheese
2008, Fonterra was caught up in Sanlu milk scandal that left six Chinese children dead and sickened nearly 300,000 others.
March, 2013
The whey protein first tested for Clostridium
31 July, 2013
Fonterra continued testing until Clostridium botulinum was identified, after which the company notified New Zealand's Minstry for Primary Industries
3 August, 2013
MPI released details of a Fonterra-sourced product in the New Zealand market, saying that it potentially contained a botulism-causing bacteria.
Affected products and countries
Recalled products: Karicare infant Formula Stage One; Karicare Gold plus Follow On Formula Stage Two

Affected Countries:
Wahaha Health Food Co., Ltd. 14.475 tons
Shanghai Tangjiu Co., Ltd. 4.800 tons
Dumex Baby Food., Ltd. 0.025 tons

Abbott Laboratories recalled 7,181 boxes products
Cow & Gate recalled 80,000 tins of milk formula
Global Times Editorial: Scandal breeds false hope in domestic dairy brands

Fonterra will not collapse simply because of this contamination incident. Its eventual recovery and comeback with Chinese consumers is almost assured. The same should be true for Chinese brands that have met with food safety issues of their own.
3 News: Botulism scare timeline unclear

Prime Minister John Key says it is "very, very odd" Fonterra allowed production of infant formula to continue after finding Clostridium in its product in March.

The Press: COMMUNICATION BREAKDOWN

Furious parents, exporters and officials were questioning why it took dairy giant Fonterra more than a year to identify and warn of the deadly bacteria. The scandal erupted when Fonterra made public that three batches of product made at its Hautapu, Waikato, manufacturing facility in May 2012 were contaminated due to a dirty pipe.
Media Training Blog: Fonterra Baby Milk Crisis:Too Little,Too Late?

Contamination of food or medicine is always a great story for the media, as there is plenty of fear and outrage to be generated. Make that a food product for babies and you really turn up the temperature. The Fonterra story also has the kind of momentum that every good food scare enjoys.
May, 2012
Fonterra made public that three batches of product made at its Hautapu, Waikato, manufacturing facility were contaminated due to a dirty pipe.
Botulism is, in humans, a rare but sometimes fatal paralytic illness.
Infant Symptoms including, trouble controlling head, difficulty sucking or feeding, weak cry, tiredness, etc.
All forms of botulism can be fatal, usually due to respiratory failure.

BUSS5000 Critical Thinking Presentation
Kangliang Li SID 430521498
Qiang Zhang SID 430052729
Xinyang Chen SID 430071720


Political
Economic
Socio-cultural
Technological
Environmental
Legal
PESTEL Model
Political
Economic
Socio-cultural
Technological
Environmental
Legal
Western View

Chinese perspective
Critical Thinking Review:

Compare media comments

Using PESTEL Model



Political, Economical, Legal
Environmental, Technological, Socio-cultural
Full transcript