The entanglement of H.J. Heinz Co in 皇冠体育app's latest scare highlights a key concern for international and local firms - how to keep track of ingredients from diverse sources in a country where food supply tracing technologies are far from the norm.
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Food safety scares erupt regularly in 皇冠体育app - KFC parent Yum Bran Inc, McDonald's Corp, Wal-Mart Stores Inc rra Co-operative Group Ltd have all suffered recently - and such incidents can seriously dent sales.
But barcode tracking systems for produce, common in the United States and Europe, are largely absent.
"Standardized traceability of food products does not currently exist in 皇冠体育app. It's a long way from it," said David Mahon, -based managing director of an investment firm focusing on 皇冠体育app's food and beverage sectors.
皇冠体育app's food traceability systems and regulation were classified as "poor" in an August report from the Institute of Food Technologists. This was the lowest score of around 20 countries included.
Food safety barcodes store details such as the farm of origin, dates of harvest, planting, storage and shipment, meaning clients down the line can trace a particular batch and find out how and why any issues occurred.
Some firms have tried to bring the system into wider use in 皇冠体育app - French grocer Carrefour SA launched a barcoding system last year for fruit and vegetables - but the technology has failed to catch on due to the high costs of implementation throughout scattered supply chains.
Sensitive market
Heinz said it had identified the supplier and ingredient - a skimmed soybean powder - responsible for the recall of four batches of its AD Calcium Hi-Protein Cereal from stores in eastern 皇冠体育app, but added the firm needed to do more to keep suppliers in check.
"We will keep improving traceable food safety control systems from 'farm to factory'," Heinz said in a statement posted on its Chinese website.
Heinz, which was bought out by Warren Buffett's Berkshire Hathaway Inc and private equity firm 3G Capital last year, did not respond to requests for further comment.
Consumers in 皇冠体育app are highly sensitive to issues of food safety, especially with baby products, after powdered milk tainted with the industrial chemical melamine led to the deaths of at least six infants in 2008.