Photo: NZ HeraldThe decision to make Fonterra pay $183 million for recall costs to Danone has left chairman John Wilson angry and disappointed. However, Fonterra Shareholders Council chairman Duncan Coull said Fonterra farmer owners would ultimately bear the cost of the arbitration, a fact not lost on the Fonterra business. It was later confirmed there that had been no food safety risk to the public. Danone said in a statement the arbitration underscored the merits of its legal actions against Fonterra, including to champion the highest standards of food safety across the industry. In April 2014, Fonterra had already been fined in the Wellington District Court for having breached several provisions of the New Zealand food safety regulations.

Source: Otago Daily Times December 01, 2017 15:56 UTC