October 6, 2015
New laws on food safety, environment and advertising putting pressure on China firms
China''s new food safety law is making meatand dairycompanies jittery, with an official of the China Meat Association (CMA) calling it "the toughest law" imposed on the meat industry.
Chen Wei, the CMA secretary general, said at the closing of the association''s recent annual conference in Qingdao in northeast China that the law would require "huge adjustment" to meet the requirements on traceability.
Under the new law, which took effect last October 1, food wholesalers are required to record food sales including such information as the food''s name, specifications, production date, sale quantity, shelf life, buyer''s name and buyer''s contact information.
According to an article posted on the laws website www.cnchemicals.com, in order to comply with these requirements, "sales platform operators may need to set up new computer systems, revise their registration procedures for sellers and recruit more manpower to verify contact information, which may significantly increase costs".
The 2015 food safety law specifically strengthened supervision over health food and infant formula due to food safety scandals including the death of six babies and the illness of thousands of others in 2008 caused by melamine-tainted baby powdered milk.
New laws on environment, advertising
A new environment law, which took effect in January, has also reportedly resulted in closure of farms and feed lots in some regions, thus tightening the supply of livestock and poultry.
The new law allows environmental agencies to enforce strict penalties and seize property of illegal polluters. Moreover, erring companies will be "named and shamed", with officers subject to prison sentences of 15 days.
Meat companies have also cited the new advertising law, which became effective in September, as another challenge for them, forcing many of them to revisit their marketing budgets and strategies.
The law punishes food companies found guilty of false or misleading advertising including nutritional claims for certain foods such as baby dairy products, drinks and other baby food that claim to serve as a substitute for breast milk.
Meats and meat products that provide nutritional information for infants must also provide scientific proof.-Rick Alberto