Despite the fact that there are no cattle on the premises, a dairy farm in Hong Kong has been producing approximately 4000 bottles of fresh milk made of formula every day since 2008, without the public's knowledge. The farm, which is located in the New Territories, has been milking a legal loophole that specifies that a farm does not need to be licensed if it produces less than 2,500 litres of milk per day. The farm has been producing milk using milk powder supplied from New Zealand, which is subsequently bottled and sold in supermarkets and stores throughout Hong Kong.
The farm was founded by a former New Zealand dairy farmer who recognized an opportunity to capitalize on Hong Kong's high demand for fresh milk. The milk costs about $HKD10 ($1.30) per litre, which is roughly twice the price of milk powder.
The farm has been chastised by the Hong Kong Dairy Farmers Association, which has accused it of false advertising. The Association has also expressed worries about the milk's safety, citing the fact that it is not subject to the same safety requirements as milk produced in Hong Kong.Despite the criticism, the farm has continued to operate and is currently one of Hong Kong's largest providers of fresh milk.