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October 15, 2015

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Innovation improves food-safety monitoring

PUDONG’S market regulator has teamed up with online food delivery company Ele.Me in a pilot project to enhance food-safety supervision.

The move is a step by the Pudong government to shift the supervision focus from the prior approval system to a more efficient post-filing system, taking advantage of a reform priority in Shanghai’s pilot Free Trade Zone.

Under the tie-up, the Pudong New Area Market Supervision Administration, the area watchdog over market access, food safety and product quality, will share information about food vendors with Ele.Me, a Shanghai-based company providing food orders and home delivery services.

Users can view the business licenses, catering permits and other regulatory information about food vendors on Ele.Me and use the information as a reference when ordering food.

“It allows customers to vote with their feet and weeds out shops that do not comply with regulations and food safety standards,” said Guan Handong, deputy director of the administration.

Currently, government information comprises 20 percent of a vendor’s credit evaluation at Ele.Me. Other factors are price, sales, freshness, delivery times and complaints record.

“The evaluation results will decide the ranking of vendors on Ele.Me,” said Luo Yulong, vice president of Ele.Me. “The higher the score, the more customer traffic a vendor will receive.”

Ele.Me also tags food vendors with different emoticons — smiling faces, poker faces and weeping faces — according to their regulatory records.

Vendors tagged with smiling faces are those with the best records and they generally see an average 15 percent increase in sales volumes.

Ele.Me forwards information it gathers, including credit ratings and complaints, to the regulator. In the first month of the partnership, the Pudong market regulator received 35 complaints from Ele.Me, accounting for 10 percent of all complaints lodged with the regulator.

“The use of big data in regulatory supervision of the market enhances efficiency of administrative resources and allows us to carry out market supervision in a more targeted way,” Guan said.

The program was first launched on a trial basis in the Lujiazui area of Pudong in August.

The system was expanded to the whole of Pudong at the end of September. Links with other sectors are also being pursued.




 

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