A senior official from China's food and drug safety watchdog said on Tuesday that the country was on high alert for possible food and drug safety issues as the major impact of the financial crisis began to hit home.

Shao Mingli, director of the State Food and Drug Administration (SFDA), told a national meeting on supervision and management of food and drug in Beijing.

Food and drug safety situation has close relation with overall economic and social development, said Shao.

The government has given top priority to maintaining economic growth to cope with the global financial crisis. Under such a situation, adjustment of food and drug industrial structures would be quickened, which likely results in the change in industrial concentration and management mode, the official said.

On the other hand, conflicts and disputes arising from some companies' regrouping or merger and acquisition might impact production and quality management, he said. Some enterprises might conduct production in violation of standards and regulations in an attempt to ease their financial burdens.

Shao called on food and drug supervision departments at all levels to enhance their awareness of quality and safety in the new year and take actions to secure quality safe food and drugs for the public.

Statistics from the administration show it dealt with 297,500 cases of illegal drugs and medical equipment with a total value of about 600 million yuan (about US$88 million) in 2008.

"The administration will focus on improving regulations and setting stricter and higher standards of market access for medicines this year," Shao said, adding efforts will also be made to straighten out manufacturing of medical equipment.

Enterprises involving operation in violation of laws and standard production regulations, and food and drug supervision departments failing to perform their duties will be dealt with harshly. Those people responsible for such activities that lead to serious safety accidents will be prosecuted.

(Xinhua News Agency January 14, 2009)