According
to Dairy Products China
News 1309 issued by CCM, on 2 August,
the China Food and Drug Administration (CFDA) issued the draft revised version
of the proposed Detailed Rules for Infant Formula Processor Approval for 2013
to solicit opinions from the dairy industry and the public (the previous
version was issued by the General Administration of Quality Supervision,
Inspection and Quarantine and took effect from 1 November 2010). The period for
receiving comment on the revised draft lasted for 13 days and closed on 15
August. Compared with the old version, the new draft is more specific and
includes some new regulations, aiming to increase the requirements for infant
formula processors in production and management aspects. Some new regulations
are notable:
•
Food safety management. Processors are required to implement Hazard Analysis
Critical Control Point (HACCP) and Good Manufacturing Practice (GMP) systems.
Companies are required to set up a quality and safety management department,
with full-time managers responsible for the establishment, implementation and improvement
of the company’s food safety and quality system
•
Raw materials. Processors using raw milk are required to build their own dairy
farms, while those using milk powder are required to have a clear, defined and
controlled milk source (whether through building their own farms, cooperating
with other companies or having firm contractual relationships in place with
producers); water supply for processing and cleaning should be purified to meet
the quality standards in the Pharmacopoeia of China; processors must make a
safety and quality assessment of their raw material suppliers and sign a
quality assurance agreement with them, in which both sides must take on
responsibility for quality
•
R&D capability. Processors should establish an R&D department capable
of developing new infant formula products, determining the products’ shelf
life, researching potential risk factors in the production process and taking
corresponding measures. The department should have no less than 5 researchers,
including at least 2 senior engineers or holders of a master’s degree
•
Information management. A searchable system should be established to provide
information on labelling, packaging, quality standards and factory inspection
report for consumers; processors must record data on their operations from raw
material procurement through to product sales in order to establish a complete
product traceability system
•
Storage and distribution. The storage area should have enough space to house
all goods in an orderly fashion, including raw materials, finished products,
packing materials etc; the warehouse should be able to protect the goods from
the effects of the climate; the company should complete data records on
materials circulation
In
addition to the above aspects, some other regulations are more specific and
stricter compared with the old version. For example, in terms of production
facilities, the requirements include cleanliness of the production environment,
required production equipment and detection equipment, etc. More pieces of
equipment are required than before: 13 dry blenders are required instead of 6,
for instance, with stricter requirements for these items. This implies
processors will need to buy more equipment, so impacting their production
costs.
The
core objective of the new document is to strengthen management in the infant
formula sector and ensure the quality and safety of products, signifying the
Chinese government’s determination to promote the development of the local
infant formula industry. In line with the requirement for sector consolidation,
it will prove much easier for large-scale processors to meet the new
requirements in areas such as GMP and R&D than for some small scale
processors, which may even lack a technician. Processors are expecting the
authorities to provide more details; there is a general expectation that about
half of the small scale processors may be eliminated from the dairy market, and
more strict regulations will follow.
On
the same day (2 August), CFDA issued a list of 128 domestic companies that are
qualified for producing infant formula. The list will assist the public to
readily identify the producers as a basis for assessing their qualifications
and credentials. CFDA said that it will launch a campaign to examine and record
information on the infant formula processors as part of its efforts to clean up
the industry and standardise product information, and detailed information on
the infant formula producers and their products will be published after this
campaign. It indicated that some small players are expected to be eliminated in
this manner.
Table of Contents of Dairy
Products China News 1309:
Dairy
Industry Progress in Q2
BCA
Releases Infant Formula Quality Comparison Report
Infant
Formula Sales to Roll Out at Pharmacies
Infant
Formula Processors Show Growth in H1
Bacteria
Crisis Shakes Chinese Customers’ Confidence
Draft
Rules for Infant Formula Processors Launched
Government
Promotes Dairy Industry Development
Beijing
Sanyuan Continues Integration
Xiyuchun
Dairy to Enter Infant Formula Market
Rapid
Development of Raw Milk Supply in Heilongjiang
Raw
Milk Price Rises
Aohua
Food Launches Almond Protein Milk
Dairy Products China News, a
monthly publication issued by CCM on 15th, offers you the latest information
on new market dynamics, company development, new products, technology,
packaging and raw material supply, etc. It also focuses on the government’s
direction and polices, helping you get the whole picture of the industry.
CCM is dedicated to market research in China
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