China bans promoting infant formula in hospitals

China bans promoting infant formula in hospitals

Staff Reporter

Infant formula producers have been forbidden from promoting their products in hospitals and to the families of newborn babies in China, reports the official English-language China Daily. Chinese authorities announced the ban on Tuesday after French food giant Danone was found bribing hospital workers to feed babies their products under another brand name — Dumex — in September. The National Health and Family Planning Commission has issued a similar ban.The Tianjin government has confiscated the money that the brand paid to 116 workers at 85 local hospitals and penalized 13 of the workers.

A head nurse at a hospital in Beijing said bribes were not an issue in the capital since many local hospitals follow regulations that have prohibited infant formula companies from sending samples, gifts or offering products with discounts to hospitals, expectant mothers and families with a newborn since 1995. Other nurses from her own and from other hospitals attended lectures held by infant formula companies but that did not mean they endorsed the companies’ products, she said.

A mother who gave birth in September at a hospital in the central province of Hubei said she took samples from infant formula companies and other products such as diapers and photos after a lecture held for pregnant women and new mothers at the hospital. She said she did not mind that a representative of an infant formula company talked about the firm’s products for 20 minutes during the lecture as long as she was not forced to use the products and that infant formula companies do not feed her baby their products without her consent.

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Kee Koon Boon (“KB”) is the co-founder and director of HERO Investment Management which provides specialized fund management and investment advisory services to the ARCHEA Asia HERO Innovators Fund (www.heroinnovator.com), the only Asian SMID-cap tech-focused fund in the industry. KB is an internationally featured investor rooted in the principles of value investing for over a decade as a fund manager and analyst in the Asian capital markets who started his career at a boutique hedge fund in Singapore where he was with the firm since 2002 and was also part of the core investment committee in significantly outperforming the index in the 10-year-plus-old flagship Asian fund. He was also the portfolio manager for Asia-Pacific equities at Korea’s largest mutual fund company. Prior to setting up the H.E.R.O. Innovators Fund, KB was the Chief Investment Officer & CEO of a Singapore Registered Fund Management Company (RFMC) where he is responsible for listed Asian equity investments. KB had taught accounting at the Singapore Management University (SMU) as a faculty member and also pioneered the 15-week course on Accounting Fraud in Asia as an official module at SMU. KB remains grateful and honored to be invited by Singapore’s financial regulator Monetary Authority of Singapore (MAS) to present to their top management team about implementing a world’s first fact-based forward-looking fraud detection framework to bring about benefits for the capital markets in Singapore and for the public and investment community. KB also served the community in sharing his insights in writing articles about value investing and corporate governance in the media that include Business Times, Straits Times, Jakarta Post, Manual of Ideas, Investopedia, TedXWallStreet. He had also presented in top investment, banking and finance conferences in America, Italy, Sydney, Cape Town, HK, China. He has trained CEOs, entrepreneurs, CFOs, management executives in business strategy & business model innovation in Singapore, HK and China.

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