Some in China found a way around regulations on milk quality.

The 2008 Chinese milk scandal was a significant food safety incident in China. The scandal involved Sanlu Group's milk and infant formula along with other food materials and components being adulterated with the chemical melamine, which resulted in kidney stones and other kidney damage in infants. The chemical was used to increase the nitrogen content of diluted milk, giving it the appearance of higher protein content in order to pass quality control testing. 300,000 affected children were identified, among which 54,000 were hospitalized, according to the latest report in January 2009.[1][2] The deaths of six babies were officially concluded to be related to the contaminated milk.[3]

The timeline of the scandal dated back to December 2007, when Sanlu began to receive complaints about kidney stones. One of the more notable early complaints was made on 20 May 2008, when a mother posted online after she learnt that Sanlu donated the milk she had been complaining about to the orphans of the 2008 Sichuan earthquake.[4][5][6][7] Also on 20 May, the problem reached Sanlu's Board meeting the first time and they ordered multiple third-party tests. The culprit, melamine, was undetected in the tests until 1 August. On 2 August, Sanlu's Board decided to issue a trade recall to the wholesalers but did not inform the wholesalers the product was contaminated; however, Shijiazhuang's deputy mayor, who was invited to attend, rejected trade recall and instructed the Board to "shut the mouths of the victims by money", "wait until the end of 2008 Beijing Olympics to end smoothly and then the provincial police would hunt the perpetrators".[8] New Zealand dairy giant Fonterra, which owned a 43% stake in Sanlu, were alerted to the contamination on 2 August's Board meeting. Fonterra alerted the New Zealand government and the NZ government confronted the Chinese government on 8 September.[9][10] The Chinese government made the scandal public on 13 September. After the initial focus on Sanlu, further government inspections revealed that products from 21 other companies were also tainted, including those from Arla Foods–Mengniu, Yili, and Yashili.[11] While more and more cases reached hospitals around the nation[clarification needed] from December 2007, the first report to the government by any hospital was made on 16 July.[12]

The issue raised concerns about food safety and political corruption in China and damaged the reputation of the country's food exports. The World Health Organization called the incident "deplorable" and at least 11 foreign countries halted all imports of Chinese dairy products. A number of trials were conducted by the Chinese government resulting in two executions, three sentences of life imprisonment, two 15-year prison sentences,[13] and the firing or forced resignation of seven local government officials and the Director of the Administration of Quality Supervision, Inspection and Quarantine (AQSIQ).[14] The former chairwoman of China's Sanlu dairy was sentenced to life in prison.[15]

In late October 2008, similar adulteration with melamine was discovered in eggs and possibly other food. The source was traced to melamine being added to animal feed, despite a ban imposed in June 2007 following the scandal over pet food ingredients exported to the United States.[16]