According to a CCTV report, most of the milk powder that is sold in China and labeled as “imported” is fake. Reporters found that, in the infant milk powder area of several large supermarkets in Beijing, the vast majority of the shelves were filled with imported milk powder; very few were domestic products. However, they had never heard of many of the brands and those brands could not be found in the country from which they allegedly came. They were only sold in China. The reporter found that the labels on many of these milk powders were falsified. They were packaged as foreign OEM-milk. [Editor’s note: Due to numerous scandals involving Chinese domestic milk products, people don’t trust local brands.]
There are less than 100 well-known foreign brands of milk powders and only about 20 of them have entered the Chinese market. However, the number of milk powders in the Chinese market that had foreign brand names exceeded 100. The other 80 brands were [fraudulently] packaged as imported foreign products. Many of these milk powders are processed in China with the raw milk coming from abroad; some even use domestic raw milk to process the milk powder.
Source: Xinhua, April 28, 2013
http://news.xinhuanet.com/fortune/2013-04/28/c_124644058.htm