Another China Scandal Over Alleged Use of Expired Meat, Meat Supplier for McDonald, KFC Suspended

An investigative report found that stale meat products were repackaged after processing and their shelf life was increased for another year.

An investigative report found that stale meat products were repackaged after processing and their shelf life was increased for another year.

U.S. fast food chains McDonald’s, KFC and Pizza Hut in China faced a new food safety scare on Monday while authorities investigate a report that alleges a supplier has been selling beef and chicken which are nearly one year past their expiry dates.

The Shanghai Food and Drug Administration (SFDA) authorities have suspended the operations of supplier, Shanghai Husi Food Co. who is owned by a US-based meat processing firm OSI Group. An investigative report found that stale meat products were repackaged after processing and their shelf life was increased for another year.

McDonald’s Corp. and Yum! Brands Inc., which owns KFC and Pizza Hut outlets, issued a statement saying, they have stopped using products supplied by a local meat processor after the Shanghai authorities stopped the firm’s operations on Sunday. Other fast food restaurants included Papa John’s Pizza, Burger King, coffee chain Starbucks and sandwich maker Subway.

Yum Brands in particular has been recovering from food-safety concerns in China, the company’s biggest market. The company has been hit hard in recent years due to problems related with chicken suppliers to its KFC chain more than a year ago and the avian food outbreak. The move is a potential concern for McDonald’s Corp. and Yum Brands, who are both now conducting their own independent investigation into the matter.

“Food safety is the most important thing for McDonald’s, and we always strictly abide by national laws and regulations and related standards to ensure consumers can enjoy our products at ease,” McDonald’s said in a statement.

According to reports, officials at OSI said the company is cooperating with authorities in the investigation and the company claimed that it has a strict quality-control system in place. OSI has nearly 60 manufacturing facilities all over the world with revenue of over $5 billion in 2012. It has been supplying to Yum since 2008 and McDonald’s in China since 1992, according to its website.

Food safety has always been a concern in China, which has been hit by a series of food adulteration and product safety problems. Most consumers in China purchase import brands and foreign labels, believing they have higher standards of quality control.

McDonald’s, which owns more than 2,000 outlets in China, has been trying to bolster its standing with Chinese consumers. Last year, the company had to face rough times in the country, with sales at stores open a year or more was down 3.6% compared with 2012.

 

Carrie Ann
Carrie Ann is Editor-in-Chief at Industry Leaders Magazine, based in Las Vegas. Carrie covers technology, trends, marketing, brands, productivity, and leadership. When she isn’t writing she prefers reading. She loves reading books and articles on business, economics, corporate law, luxury products, artificial intelligence, and latest technology. She’s keen on political discussions and shares an undying passion for gadgets. Follow Carrie Ann on Twitter, Facebook

Recent Posts

Some Microsoft employees stayed at data centers during Pandemic to keep all systems going

Some Microsoft employees stayed at data centers during Pandemic to keep all systems going

The Covid-19 pandemic ravaging the world for more than a year has forced companies and organizations to find viable solutions to keep the business going. Most found a solution in w
11 hours ago
Meme stocks frenzy and 3 companies to follow

Meme stocks frenzy and 3 companies to follow

The doom and gloom about the stock market that has been predicted since the pandemic started has abated somewhat with the resilience shown by investors (helped by low-interest rate
11 hours ago
US Space Force allows repurposed SpaceX rocket to launch GPS satellite

US Space Force allows repurposed SpaceX rocket to launch GPS satellite

A GPS navigation satellite built by Lockheed Martin is set to ride a reused SpaceX booster on a launch from Cape Canaveral, Florida, Thursday. It will be the first time a military
19 hours ago
Disney boss says 40 pc ad revenue went to streaming sites, no plans of ad supported Disney+

Disney boss says 40 pc ad revenue went to streaming sites, no plans of ad supported Disney+

Walt Disney CEO Bob Chapel says the company’s advertising revenue for the upcoming fall television season was strong and went up by “double-digits” compared to 2019.
2 days ago
BlackRock ETFs breach $3 trillion mark in May

BlackRock ETFs breach $3 trillion mark in May

BlackRocks’ exchange-traded fund crossed $3 trillion for the first time in May, in sync with the ETF industry’s race to an all-time high of $9 trillion.
3 days ago
Flagship Pioneering, investor in Moderna raises $3.4 billion funds

Flagship Pioneering, investor in Moderna raises $3.4 billion funds

Flagship Pioneering, the bioplatform company, and the venture capital investor in Moderna, today announced that it had raised additional funding of $2.23 billion, which brings its
4 days ago