After China Government Crackdown, Walmart Spending To Boost Food Safety

Walmart has set aside about $16.3 million to improve its food safety efforts in the chain's stores in China, as Chinese officials crack down on violations in response to public outrage over a string of food scandals. The plan is to spend the dollars over three years and expand food inspection, supply-chain management and supplier training.

That's quite a bit of work for a budget of fewer than $5.5 million dollars a year. Is that enough to make a big difference or is merely enough to make it look like Walmart is trying?

Walmart said that mobile food-safety labs, which Walmart has been pilot testing for the past six months in China, will be expanded to run third-party food-quality tests at 70 stores across China's southern Guangdong province, up from 33 stores, according to a story in The Wall Street Journal.

China officials have been cracking down recently on food health concerns. Reports in the government-run Xinhua news agency point to an accusation that Walmart used expired eggs in baked goods and that police have arrested some 904 people "on suspicion of selling adulterated and mislabeled meat products."

For more:
- See the Wall Street Journal story

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