Japan's Snow Brand: It could take years to regain public trust following milk scare

TOKYO (Reuters) -- Major Japanese dairy producer Snow Brand Milk Products Co Ltd vowed on Friday to regain public trust, which it lost after more than 14,000 of its customers suffered food poisoning after consuming its products.

But its president Kohei Nishi, who took over the post after his predecessor Tetsuro Ishikawa and seven other top executives quit in July, admitted the process would take several years.

The company also no longer planned to change its household name and try to distance itself from the scandal, a move it had considered after the poisoning surfaced at the end of June, a spokesman said.

"We will try our very best to regain people's recognition that Snow Brand is safe," Nishi told reporters.

Asked whether the dairy producer would be able to regain trust from its customers, he replied: "It will take several years before we become what we were prior (to the incident).

"We will increase tests for bacteria in factories, never recycle our milk products and reveal more information so people know about our operations."

Nishi said sales in July had fallen by 80 percent or 24 billion yen ($221.4 million) on the same month last year.

On Wednesday, the government said 20 of Snow Brand's 21 plants could be reopened. They were closed on July 12 after being found hygienically safe during Health Ministry inspections.

The exception was the plant in Osaka, western Japan, from which tainted milk originated and where police inquiries are ongoing.

Ito Yokado Co, whose supermarkets and Seven Eleven convenience stores make up Japan's biggest retailing group, said it will resume nationwide sales of Snow Brand's milk products except in the region around Osaka, Kyodo news agency reported on Friday.

Ito Yokado cancelled all Snow Brand dairy product shipments in mid-July, stating that confidence had been severely damaged after government officials said the food poisoning might have been caused by negligence.

Workers at the Osaka factory had re-used unsold products returned by shops and unshipped goods, some of which may have been out of date.

In addition, part of the skimmed milk production process was conducted outdoors in the early summer heat.

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