22 Jul 2014

A2 Milk formula to resume China trade

1:15 pm on 22 July 2014

China has given A2 Milk the regulatory green light to resume its shipments of infant formula to China, in association with a contractor for Synlait Milk.

A2 had sought to gain accreditation in association with both Synlait and its contractor, New Milk.

The Chinese authorities have accredited A2 Milk to resume selling its infant formula in China from 15 July.

A2 managing director Geoffrey Babidge said in a statement he expected Synlait, which also made its A2 Platinum-branded infant formula, would get the same approval.

New Milk was approved earlier this month as an overseas manufacturer of infant formula.

Mr Babidge said the approval meant his company could re-start its market development programme in China with its distributor, China State Farm.

He said he was confident A2 could satisfy the Chinese authorities it had appropriate systems in place.

A2 Milk shares rose as much as 7 cents, to 68 cents, on Tuesday morning.