Ian Cumming: Before there is too much admiration, the real background story of Kingston Chinese plant
Originally published May 21, 2021 in Ontario Dairy Farmer. Reprinted with permission.
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AN APRIL 28, 2016 meeting in Gustine, California changed the landscape of the Canadian dairy industry.
The meeting was between several top people representing the Chinese-owned Feihe dairy processor, and Wang Pei from the Canadian Dairy Commission (CDC) to explore the possibility of Feihe building a processing plant in Canada.
According to about 1,000 documents received under Access to Information, Pei is referred to as the ‘International Advisor to CEO’. Many documents were not made available or were redacted to some degree.
Minutes of that April meeting show that when the CDC was asked about potential limitations on production, it provided assurances that “there were no problems for cow milk infant formula.”
Feihe said if it had a Canadian plant “we can also import milk from U.S. processors and export but the made products cannot be sold in Canada.” The minutes state “butter and SMP produced by Feihe can be sold to the CDC, committed.” Later documentation shows Feihe estimated that five per cent of its production would be butter, all being sold to the CDC.
In May 2016, Health Canada provided information to Feihe that “clinical trials are required to support the safety and efficacy of new infant formula. The clinical trials, at the current time, can only be carried out abroad.”
“China, or any other country, can be the location,” documents state.
On June 28, 2016 in the Frontenac Room at the Delta Hotel in Ottawa, a letter of intent was signed between Jacques Laforge, CEO of the CDC and Leng Youbin, Chairman of Feihe. The signing was termed “a business agreement on our investment in infant formula manufacturing in Canada.”
Top officials from Agriculture Canada, Health Canada and CFIA were issued invitations to the signing. There was a strong warning issued that there should be “no media report on signing.”
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