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Nestle and Danone face fresh scrutiny over infant formula recalls

Published by Global Banking & Finance Review

Posted on May 20, 2026

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· Last updated: May 20, 2026

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Nestle and Danone Under Scrutiny After Infant Formula Recall Delays

Investigation Into Infant Formula Contamination and Recall Response

Media Reports Question Recall Speed

PARIS, May 19 (Reuters) - Nestle and Danone are facing fresh scrutiny over the handling of infant formula contamination after reports published on Tuesday by French, Belgian and Swiss public media questioned the speed of recalls of potentially harmful products.

The investigation by Radio France, RTBF and RTS said Nestle had delayed alerting European authorities about the presence of cereulide, a toxin that can cause vomiting and diarrhoea and poses particular risks for infants.

The toxin was detected in an ingredient supplied by China's CABIO Biotech and used by several infant formula makers, including Nestle, Danone and Lactalis. The contamination triggered infant formula recalls in several countries and fueled concerns among parents.

Company Responses to Contamination Allegations

Nestle's Statement and Actions

A Nestle spokesperson said the investigative reports contained "inaccurate and misleading information", stressing that the company acted with full transparency and cooperated with the authorities from "day one".

The investigation quoted Nestle as saying it had followed a strict process involving assessment, traceability checks and identification of affected products before public recalls were launched.

Danone's Statement and Measures

Danone said the health and safety of babies was its number one priority.

"We fully cooperated with the authorities and as their guidance evolved, we responded with precautionary measures, including recalls and additional quality checks on our products", Danone said. 

Timeline of Contamination Detection and Recalls

Nestle's Detection and Recall Timeline

Nestle had previously said it first detected low cereulide levels in product samples in late November but stopped using all mixes containing the supplier's arachidonic acid oil after contamination was confirmed on December 24. 

It notified the supplier on December 29 and analysed samples until January 3 to determine the issue's scope, before launching public recalls from January 5. 

Distribution and Silent Withdrawals

Radio France said 838,000 cans of infant formula were held back from December 26 at Nestle's factory in northern France and other production sites.

It said products already on the market remained in distribution channels or consumers' homes without an official recall or immediate notification to European authorities, despite rules requiring prompt reporting when a health risk is identified.

The media outlets also said Nestle carried out "silent" withdrawals in Austria and Germany from December 24, while Danone products were withdrawn from sale in January before public recalls were issued.

Nestle strongly contested that allegation.

Legal and Ongoing Investigations

Prosecutors' Findings

Prosecutors in the French cities of Bordeaux and Angers have ruled out a link between the deaths of two infants and recalled formula products. A third death was still being investigated. 

Further Investigations

Another investigation opened in Meaux was transferred to Paris, Radio France said.

Reporting Credits

(Reporting by Sybille de La Hamaide, additional reporting by Alexander Marrow in London; Editing by Bill Berkrot and Louise Heavens)

Key Takeaways

  • Media outlets allege delays in alerting authorities and executing public recalls despite holding back 838,000 cans and conducting 'silent' withdrawals in some markets (investing.com).
  • Nestlé says it detected low cereulide levels in November, ceased use of suspect ARA oil from CABIO Biotech by December 24, notified supplier December 29, and launched recalls from January 5 (investing.com).
  • EU regulators have imposed new controls on imports of Chinese ARA oil and consumer groups like Foodwatch have filed legal complaints alleging delayed recalls and inadequate transparency (kfgo.com).

References

Frequently Asked Questions

Why are Nestle and Danone facing scrutiny over infant formula recalls?
Reports questioned the speed and transparency of their actions after contamination concerns involving cereulide toxin in infant formula products.
What is cereulide and why is it a concern in infant formulas?
Cereulide is a toxin that can cause vomiting and diarrhoea, posing particular risks to infants if present in baby formula.
How did Nestle and Danone respond to the recall situation?
Both companies stated they prioritized health and safety, followed strict processes, and cooperated with authorities, including precautionary recalls.
Which geographical areas were affected by the infant formula recalls?
The recalls affected several European countries, including France, Austria, and Germany.
Were any infant deaths linked to the recalled formula products?
French prosecutors ruled out links in two cases, while one death is still under investigation and another case was transferred to Paris.

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