A New Zealand dairy company, Milkio Foods Limited, has faced legal repercussions for falsely advertising its products as '100 per cent pure New Zealand', despite incorporating butter sourced from India. On Monday, the dairy firm was fined US$261,452 by the New Zealand Commerce Commission after being taken to court for misrepresenting the origin of its butter products.
The Hamilton-based company deceived consumers about the source of its ghee products, making claims such as '100% Pure New Zealand' while importing the primary ingredient from India, according to a statement from the Commerce Commission. New Zealand's dairy industry, renowned for its high-quality exports, attracts global demand for its milk and butter produced from fertile pastures.
'Milkio exploited this reputation to market their products,' stated Vanessa Horne, a spokesperson for the Commerce Commission. The company also provided misleading and incomplete information to secure approval for using the FernMark logo, a recognized emblem for identifying products made in New Zealand. Milkio pleaded guilty to 15 violations of the New Zealand Fair Trading Act for making false claims and acknowledged using the FernMark logo and license number without proper authorization.
'This conviction should act as a deterrent to others considering falsely claiming the New Zealand brand,' Horne concluded.
