Wei Chuan Drops on Government Oils Investigation: Taipei MoverDebra Mao
Wei Chuan Foods Corp. plunged the most in more than a year after the Taiwanese food retailer said it suspended the sale of some products amid a government probe into the labeling of edible oils sold to consumers.
The stock fell by the maximum 7 percent daily limit before closing down 5.4 percent at NT$52.80, the biggest decline since October 2012. The company said yesterday it voluntarily removed some edible-oil products from shelves due to concerns over the sources of raw materials. The Taipei-based company said it would cooperate with the government investigation, according to a statement it filed with Taiwan’s stock exchange.
Taiwan Premier Jiang Yi-huah said Nov. 1 the government will improve systems to prevent substandard foods from reaching the public, the Taipei-based Central News Agency reported. The health ministry discovered cases where oil mixtures were labeled as pure oils through tests on ingredients and additives in cooking oils, the China Post reported Nov. 1.
As of yesterday, officials discovered 129 products were in breach of regulations out of 7,665 products tested in spot checks around Taiwan, according to the Ministry of Health and Welfare.