News milk
Chinese dairy also affected by politics in Beijing
Not only Western dairy companies are suffering from political unrest that is partly coordinated from Beijing, also Chinese companies are dealing with it. A good example is the Chinese number 1 infant nutrition producer Feihe.
Read this article?
Become a subscriber and get instant access
Choose the subscription that suits you
Feihe had a turnover of over €2,5 billion last year and a profit of €455 million. It now finds itself under fire from Chinese nationalists, who act with the approval of and sometimes also instigated by the Chinese Communist Party. The nationalists accuse Feihe on social media of collaborating with a Japanese company and using Japanese raw materials in Chinese baby food. They therefore call for a boycott of Feihe's dairy products and baby food, Radio Free Asia reports.
Collaboration
Feihe acknowledges the cooperation with Japan's Kyowa Hakko Biochemical Co, but denies that Japanese raw materials are used and states that the unjustified accusations and calls cause the company a lot of damage. If the accusations on social media continue, Feihe will not hesitate to take legal action, it says. Feihe is working with Kyowa Hakko Biochemical Co to develop a lactoferrin-rich infant formula.
Nationalists
Japan is a grateful object of hate for many nationalist groups. The communist party also regularly encourages criticism of the country, among other things as a lightning rod for problems and riots with Japanese companies or citizens are regularly stirred up, but sometimes the nationalist protests get a bit out of hand.
Feihe is also wary of sentiments from a corporate perspective, because in addition to threatening legal action, it also feels compelled to declare solidarity with the nationalists. "Feihe, as a representative of Chinese national enterprises, shares the same patriotic sentiments as our consumers," it declares.