By Henry Williams.
Both McDonald’s and Yum! Brands (who run KFC and Pizza Hut, amongst others) have pledged to work with Chinese suppliers to ensure food safety.
In a CCTV report, both companies were reported to have bought chicken that had been fed “indiscriminate” amounts of unapproved antibiotics and growth hormones. Two suppliers, Liuhe Group Co. and Yingtai Food Group Co., were accused of not properly inspecting chickens sent to the companies, according to CCTV.
Yum! Brands, who stopped getting chicken from Liuhe in August, told Bloomberg, “We take food safety very seriously.”
McDonalds, through its Chinese-language blog, said that they test each batch of chickens to ensure they meet food standards.
China represents huge market shares for both companies. For Yum! Brands, it represents near half of their US$12 billion 2011 sales.