Fonterra has resumed operations in Sri Lanka, less than a week after it closed its head office and Biyagama processing plants in response to growing anger amongst consumers about the safety and marketing of its products.
The New Zealand-based dairy cooperative announced earlier today that operations in the country would resume following a thorough assessment, which determined that “there is no risk to Fonterra staff and that the situation has now been stabilised.”
Fonterra took the “precautionary step of temporarily suspending its consumer operation” last week following protests outside its head office near the Sri Lankan capital, Colombo.
“Last Friday we took the decision to temporarily suspend our Sri Lanka operations to protect our people, and to protect our farmer shareholders’ assets,” said Fonterra CEO Theo Spierings.
“I am now confident that our people are safe and the business is ready to resume operations and continue selling high quality nutrition to Sri Lankan people,” he added.
Fonterra identified on-going dicyandiamide (DCD) contamination concerns in the country, and the its alleged breach of an Enjoining Order that banned the sale and advertising of its milk products as the likely causes of the protest.
The Enjoining Order restricting the sale of its products in the country was overturned last Friday, the company added.