Luxe Bakery Cafe employee helps health officials load cartons of the soy milk into a car. Photo:Jon Reid

A cafe in Sydney's inner-west has been fined for stocking a recalled batch of Bonsoy milk.

Bonsoy milk was pulled off the shelves in December last year after it was found to contain unusually high levels of iodine which can cause thyroid toxicosis, palpitations, fatigue, weight gain or loss or mental clouding.

The recall comes as 10 people in New South Wales fell ill; nine adults aged between 29 and 47 and one newborn baby developed thyroid problems after drinking Bonsoy milk.

Food Standards Australia (FSA) says normally adults need 80 to 150 micrograms of iodine a day, but one cup of the product contains 7,500 micrograms.

The authority's Lydia Buchtmann says that is unusually high.

She said the addition of seaweed supplement to the soy milk could be the cause of the high iodine levels in the soy milk but investigation has put through to confirm this.

Primary Industries Minister Steve Whan says Luxe has been fined $660 and will be placed on the authority's Name and Shame Register.

He said that Ignorance is no excuse.

Mr Whan says a new version of the product with lower iodine levels has since been returned to sale.