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Demand for milk powder

This article was originally published in Foodnews

FONTERRA Co-operative Group expects to reduce milk powder inventories amid increased demand from China, reports the New Zealand Herald , citing Fonterra's chairman, Henry van der Heyden. Inventory levels will probably be back to normal seasonal levels by 31 July. Fonterra expects to sell 160 000 tonnes of milk powder in China this year, about three times last year's sales, van der Heyden said. Demand for foreign milk powder has increased after the scandal over melamine contamination of local milk.

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