The Finance Ministry has ordered concerned agencies to take necessary steps to contain milk prices nationwide and punish those responsible for undue escalations.

Citing the higher dong/dollar exchange rate, dairy producers have unanimously raised prices of dairy products by 5-10 percent at the start of the new year. This goes directly against prior Government requests that dairy producers lower their prices and end unnecessary expenditures.

The costs dairy producers and distributors pay for advertising and marketing are too high, which has been pointed out as the main reason behind the sky-high prices.

Milk producers said they did not spend a lot of money on advertising and marketing and then pass on the costs to consumers, rejecting findings of a recent inspection by the Finance Ministry.

The Ministry of Labor, Invalids and Social Affairs (MoLISA) December 26 ordered its subdivision, the Administration for Protection and Care of Children, to set up a new project to provide free milk for young children.

Prices will increase on at least 500 consumer products say domestic producers and suppliers.

The Ministry of Finance has said it will order all foreign dairy firms to register prices for products being sold in Vietnam to ensure more stable retail prices for consumers.

Dalat Milk have first name is Lado Milk (Lam Dong Milk) is established in 1976 and managed by Department of Livestock – Ministry of Agriculture and Rural development. Coming into operation for 2 years, but Dalat Milk Company has created creditworthiness of product quality to the highlanders in particular.

The producer of Vivinal GOS milk in Vietnam on Wednesday announced it was withdrawing the product suspected of causing allergic reactions among children since two weeks ago.

Responding to criticism that dairy product prices are unreasonably high, Nguyen Ngoc Kinh Luan from Friesland Campina asserted that fresh milk from Vietnamese farmers costs more than in the Netherlands and explained that the rise in auxiliary expenses has prevented a reduction in consumer prices.