Food business in NZ fined over contaminated sugar

The New Zealand Sugar Company, trading as Chelsea Sugar, has been fined $149,500 for manufacturing, distributing and selling sugar products contaminated with lead.

In September 2021, the New Zealand Sugar Company imported sugar from Australia that became contaminated with lead during sea transport. From this sugar it manufactured and distributed 971 tonnes of contaminated sugar products to businesses in New Zealand.

Samples of the sugar were collected between 15 and 24 September for testing but the New Zealand Sugar Company followed its normal process of producing sugar products from the cargo for distribution and sale.

“The test result on 7 October showed high readings of lead contamination, but rather than take immediate action and stop production and distribution, they instead sought more testing which confirmed the same result,” said New Zealand Food Safety Deputy Director General Vincent Arbuckle.

“Some of this product was sold between October and early November. We were not informed of the lead contamination until 3 November, which is unacceptable.”

In November and December 2021, the company recalled thousands of packs of sugar products because of potential low-level lead contamination. Two other product recalls were later required.

“These recalls had a significant impact on consumer access to certain sugar products, such as brown sugar. It also affected a large number of other businesses which had to recall products made with the contaminated sugar,” Arbuckle said.

In the Auckland District Court, the company was sentenced on two charges it pleaded guilty to in May last year, including breaching its National Programme (NP) — designed to manage any food risk to consumers — along with negligently endangering, harming, creating or increasing risk to consumers by distributing its product.

A sentencing hearing was held in September last year and the court released its reserved decision on 7 February 2025.

“Although the short-term exposure to increased lead levels through these sugar products would not have endangered people’s health, we cannot afford to take a chance on public health,” Arbuckle said.

Image credit: iStock.com/Paperkites