Market regulator issues first license since reform

The Shanghai Municipal Administration for Market Regulation on Tuesday issued the first license following its reform.

The license pertains to supplementary inspection methodologies for the production of food-related products.

"The reform fills a blank in the inspection methodologies for the migration of specific risk substances in accordance with the national food safety standard. It is a new innovative trial made by the administration," said Wang Yiyang, deputy director of the Shanghai Municipal Administration for Market Regulation, during an interview with media on Tuesday.

Large companies would benefit from the change as they stand to gain more market share, while small- and micro-sized enterprises can reduce costs and increase profits, Wang added.

Beverage packaging manufacturer Shanghai Zijiang Plastic Bottle Manufacture Co Ltd's Xinzhuang blanch, a subsidiary of the Shanghai Zijiang Enterprise Group Co Ltd, was the first recipient of the production license on Tuesday.

"This change has not only saved us more than 100,000 yuan in costs for scientific verification of product safety, but also allowed us to quickly start production and obtain a bigger market share," said Wang Yubo, general manager of Shanghai Zijiang Enterprise Group's container packaging division for East China.

Wang expects the license to broaden the company's customer scope and increase sales by 50 million yuan in the coming three to five years.

There are currently more than 500 food-related product companies in Shanghai, and the innovative reform is aimed at benefiting the majority of these enterprises, said Zheng Wanjun, an official from the Shanghai Municipal Administration for Market Regulation.