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. Wal-Mart says it will step up product quality in China

by Staff Writers
Beijing (AFP) Oct 22, 2008
US retail giant Wal-Mart said Wednesday it would step up efforts to ensure the quality of products it sources, including in China, where a milk scandal has again highlighted weak standards.

"Today, we're asking suppliers to take those standards to an even higher level," Wal-Mart Vice Chairman Mike Duke told a conference in Beijing.

"We will require greater transparency and ownership from our supplier partners."

Wal-Mart will begin the move towards improved transparency in November with apparel, gradually expanding it to other product categories in a process expected to be completed by end-2009.

"It will mean that if you sell us tennis shoes, we expect you to know -- and we expect you to tell us -- not just where the tennis shoes were assembled, but which sub-contractors played a role in making them," he said.

"Essentially, we expect you to ask the tough questions, to give us the answers and, if there's a problem, to own the solution."

Wal-Mart would also require its Chinese suppliers to clearly demonstrate that they were complying with the nation's environmental laws and regulations, he added.

China, where Wal-Mart sources a large portion of its merchandise, has been rocked by a series of product quality scandals in recent years, most recently over tainted baby formula that sickened thousands of infants and killed four.

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Shanghai port cuts 2008 container traffic target: state media
Shanghai (AFP) Oct 22, 2008
Shanghai's port, one of the world's busiest, has cut its container traffic target for the year by five percent, blaming the global financial crisis and an economic slowdown, state media said Wednesday.

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