CHINA TOPIX

12/23/2024 02:55:18 am

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China's Poorly-Regulated Bottled Water Industry Raises Safety Concerns

People line up to buy cartons of bottled water at a supermarket after reports on heavy levels of benzene in local tap water, in Lanzhou, Gansu province April 11, 2014.

(Photo : CREDIT: REUTERS/STRINGER)

When cancer-polluting benzene was found in Lanzhou tap water last April, people flocked to stores buying every case of bottled water they could find. Health experts have warned, however, that bottled water in China is highly suspect when it comes to safety.

China is poised to pass the U.S. in many economic measuring sticks in the next few years. Bottled water is one area where China is about to take over the number one market position from the U.S., probably by next year.

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Bottled water consumption in China skyrocketed from US$1 billion in 2000 to US$9 billion last year. Analysts say bottled water sales have been growing between 6 percent to 16 percent annually in China, a rate expected to continue through 2015 at least.

Bottled water production in China is very segmented with a lot of small, local production taking place. The country features more than 1,500 local labels. Only three brands of bottled water have nationwide sales.

Production of bottled water is growing, too. Known for bad tap water, Inner Mongolia, by itself, has seen more than 200 new bottled water companies spring up since 2011.

Putting water in bottles is hardly a sign that the water is any good though. Brands in Mongolia were found to be themselves contaminated due to outdated manufacturing operations.

Chinese consumers beware

Chinese consumers beware when it comes to buying water. The entire industry suffers from a lack of transparency. Manufacturers don't have to disclose the water source. They don't have to tell what kind of filtration and purification system they use, if any.

Then, there's the not-so-small matter of industry regulation. Chinese consumer are on their own and out of luck. Bottled water manufacturers don't have to test for mercury, silver or acidity. Those pollutants are present in around 70 percent of national fresh water sources.

Some sources within the bottled water industry claim that up to 60 percent of all Chinese water bottles are mislabeled with intent to deceive. What's more, illegal water producers merely fill bottles with tap water in some cases, then put on a label of a popular brand.

Bottled water labels have serial numbers required by law to assure authenticity. However, of 10,000 labels on the market last year, officials verified only three for accuracy.

Outcry about bad bottled water is growing with various contamination and fraud scandals rocking the industry in the last five years. Chinese regulators found elevated levels of bromate in throwaway 500ml bottles in 2009.

Random inspections in 2011 revealed fraud in more than 30 labels from several companies. One of those companies had 9,000 times the allowable amount of bacteria. Industry giant Nongfu Spring in 2013 lost face and market share when it failed water standards testing.

Yet, the industry remains strong because Chinese people seem to believe bottled water is healthier. Various problems with municipal drinking sources and tap water across the nation has driven many people to buy bottled water on a regular basis. Bottled water is relatively inexpensive although prices are expected to around 10 percent this year.

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