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News >Bizchina

Food, drug industries facing credibility crisis

2011-05-05 11:25

BEIJING - Following a series of scandals, China's food and drug industries are facing "serious public mistrust," a recent report has found.

In a scale of one to 100, the country's food industry earned a score of 65.4, or "serious," in the severity level of cheating the public, according to a report released Wednesday by the Chinese Academy of Social Sciences, citing a survey conducted in October last year of 1,171 respondents in Beijing, Shanghai and Guangzhou.

The country's drug industry was given 64, also serious, said the report, entitled "Annual Report on Social Mentality of China 2011."

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Food, drug industries facing credibility crisis Lack of credibility causes losses of 600b yuan every year
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Food, drug industries facing credibility crisis Reports of adverse drug reactions on the rise

In one of the latest food scandals, four officials in Shanghai have been punished for dereliction of duty in relation to steamed buns containing banned chemical preservatives, local authorities said last week.

On Monday, more than 200 people suffered from nausea, diarrhea and other symptoms after eating lunch at a restaurant in north China's Shanxi province, and four of the diners were said to be in serious condition, according to local health authorities.

A severer credibility crisis is plaguing the country's advertising and real estate sectors as both, with scores above 70, were deemed by the report as "very serious" in the level of cheating the public.

The report called for strengthened supervision to prevent commercial frauds as well as severe punishments for people selling fake or shoddy products.

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