New Zealand Sugar Company, trading as Chelsea Sugar, is facing a fine of $149,500 ($A134,800) for manufacturing, selling, and distributing lead-contaminated sugar products.
The company initially recalled thousands of sugar product packs due to potentially low-level lead contamination in November and December 2021.
However, the company later needed to make two further recalls after discovering that it provided incorrect information to supermarkets which led to more products being released to consumers.
An investigation found that the company, which imported sugar from Australia, was already informed that its chosen cargo ship, Rin Treasure, had failed a survey report on September 3, deeming it unfit to load and transport bulk sugar.
The ship was previously used to transport metal sulphide concentrates, such as lead and zinc.
Prior to its departure, the vessel was cleaned and received a certified report indicating it was fit for stowage and carriage of raw sugar.
However, the investigation uncovered that the cleaning was ineffective and that the sugar became contaminated with lead during the journey from Queensland.
“The test result on October 7 showed high readings of lead contamination, but rather than take immediate action and stop production and distribution, [Chelsea] instead sought more testing which confirmed the same result,” said Vincent Arbuckle, New Zealand Food Safety deputy director general.
Arbuckle added that the products were sold between September 15 and 24 and that his office was only notified of the lead contamination on November 3.
“New Zealand Sugar Company’s lack of definitive action resulted in a consumer-level recall of sugar products on November 4 – around six weeks after the contaminated product arrived in New Zealand,” said Arbuckle.
The Auckland District Court sentenced Chelsea Sugar on two charges it pleaded guilty to in May last year, including breaching the National Programme, designed to manage food risks to consumers.
The other charge is the negligent endangering, harming, creating, or increasing the risk to consumers due to product distribution.
