Families of tainted milk-powder victims could receive up to 200,000 yuan ($29,000) compensation from major dairy companies in the coming weeks, media reports said.

The China Dairy Industry Association, a coalition of about 600 dairy manufacturers nationwide, said on Saturday that 22 Chinese producers will provide one-time compensation payments to victims' families, whose infants contracted kidney stones and urinary problems from baby milk formulas tainted by melamine.

The contaminated milk products have killed at least six babies and infected another 294,000 infants. As of last month, 861 babies still remained in the hospital.