Jan. 06--OSI Group, an Aurora-based meat supplier, faces more problems as it deals with a food safety scandal in China.
The company's latest setback came Sunday when Shanghai food authorities described meats at its Chinese subsidiary as "questionable products" in a media statement. In July, Chinese authorities suspended operations at an OSI plant in Shanghai after plant managers were accused of intentionally selling expired meat to McDonald's and other restaurants.
OSI on Monday night said it is disappointed with the Shanghai authorities' actions and added that its Shanghai Husi Food division has fully cooperated with a voluntary recall of its qualified products.
"We view this statement to be very misleading as its use does not meet the definition of 'questionable products' as set forth by the China Food and Drug Administration," OSI said in a statement.
The company added that the voluntary recall and disposal of its products "cannot be construed in any way as an admission by Shanghai Husi of food safety problems."
OSI's problems started when a Chinese TV station reported that Shanghai Husi Food employees repackaged expired beef and chicken with new expiration dates. The broadcast sparked a Chinese government investigation and damaged the China sales of McDonald's and Yum Brands' KFC, which have both cut or suspended ties with OSI.
The loss of customers forced OSI in September to lay off 340 workers at the Shanghai plant, all but closing the facility.
OSI said Monday that it recalled the meat from the market to eliminate "any possibility of the public's groundless doubt and concern over our products relating to the Shanghai Husi incident."
OSI established its first food processing plant in China in 1991 and began supplying products to McDonald's the next year.
asachdev@tribune.com
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