Trade restriction blow

Trevor Atkinson And Others  TBW Newsgroup
VIRUS IMPACT: The coronavirus is impacting on the operations of the Blue Lake Dairy Group at Tantanoola which employs Trevor Atkinson, Harley Liu, Xavier Yang, Adam McRobert and 11 others. China trade restrictions have forced the group to halve production. Story page 2. Picture: J.L. "FRED" SMITH

Trevor Atkinson And Others  TBW Newsgroup
VIRUS IMPACT: The coronavirus is impacting on the operations of the Blue Lake Dairy Group at Tantanoola which employs Trevor Atkinson, Harley Liu, Xavier Yang, Adam McRobert and 11 others. China trade restrictions have forced the group to halve production. Story page 2. Picture: J.L. “FRED” SMITH

THE Blue Lake Dairy Group has been forced to reduce its milk formula production by a half and is reviewing its current staffing level due to the impact of the coronavirus.

Although it sources its milk powder for blending from Australia, other materials such as cans and sachets come from China.

As the coronavirus is restricting exports from China, it is having a domino effect on the Tantanoola business, which employs 15 full time and casual employees.

Administration manager Sarah Barnett said the company produces a range of 14 different milk brands for infants and adults.

Ms Barnett said the re-ordering process had lengthened while cash flow problems have arisen.

“Some financial assistance from the State and Federal governments would be very helpful for our business during this time of crisis,” Ms Barnett said.

The coronavirus had its origins in China in January and this country is restricting the movements of its citizens.

“One of the senior managers of the Blue Lake Dairy Group is stranded in China and we do not know when he will return,” Ms Barnett said.

“There are also difficulties with extending or renew his working visa caused by this coronavirus situation”.

Elsewhere in the Millicent central business district, the coronavirus had yet to have an impact on a long-running rural supplies business.

Geoff Thompson has operated Millicent Industrial Services for the past 29 years and said a better idea might be known in about two months’ time.

His firm draws its customers from as far away as Kingston and Penola but none are in the panic buying mode for his goods.

“However, two of my suppliers have containers waiting for shipment from docks in China,” Mr Thompson said.

“One has three containers there and another has 13.

“Around 80pc of the items I stock are made in China and this has increased over the year.

“Manufacturing has gone offshore as the costs are too high in Australia.”

Shelves across the region are still being stripped bare, with residents still stockpiling toilet paper and other essential items.

Last week, retail giants Woolworths, Coles and Aldi placed restrictions on the amount of toilet people can buy as shoppers buy up amid coronavirus panic.

A four pack limit has been implemented at Woolworths and Aldi, while Coles has capped toilet paper purchases at one pack.