Controversies

“Fast-growing chicken/drug chicken” scandal: Liuhe’s lax procurement checks

In late November 2012, media reported that some farmers in Shandong used drugs and feed in violation of regulations, and “fast-growing chickens” that could be sent to market in just over 40 days entered slaughtering operations at Liuhe Group and other companies, supplying KFC, McDonald’s and others. Shandong Liuhe’s Pingdu slaughterhouse was ordered to suspend production for rectification, and inventory raw materials and products were sealed. New Hope apologized twice within five days, admitted lax checks in the procurement process, suspended and investigated relevant personnel, dismissed the procurement staff directly responsible, and planned to invest RMB 100 million in rectification; the Shandong Provincial Animal Husbandry and Veterinary Bureau tested 79 batches of chicken and all 13 indicators were qualified. No record of a special fine was seen.