Nan Chiao Publishes Full-Page Statement in Five Major Newspapers: 'We Are Victims' – Condemns Fushou and Demands Compensation in Zhonglian Oil Scandal

The food safety scandal involving Zhonglian Oils has drawn significant public attention. Nearly a month after the incident emerged, Nan Chiao, a food company claiming to be the first in the supply chain to detect excessive benzopyrene levels, has today (29th) published a half-page statement through its legal representatives in five major newspapers.

Nan Chiao emphasized that it has long sourced soybean oil from Fushou Industrial, positioning itself not as a producer of contaminated oil but as a victim of the food safety incident. Expressing deep regret and strong condemnation, Nan Chiao criticized Fushou for failing to respond, apologize, or release test results to date. It has formally demanded that Fushou issue a public apology and compensate for all related losses.

In response, Fushou spokesperson Hsu Pei-yu stated that the company will not comment on Nan Chiao’s claims at this time and will provide a unified public explanation after internal discussions and consensus are reached.

Three Tests Confirm Carcinogen Exceedance: Nan Chiao Details Discovery Timeline

In its statement, Nan Chiao explained that it has consistently procured soybean oil from Fushou, which in turn sources from upstream supplier Zhonglian Oils. On April 8, Nan Chiao purchased Grade 1 edible soybean salad oil from Fushou, accompanied by Fushou’s routine quality inspection report. As per standard procedure, Nan Chiao sampled the oil from the delivery tanker, retained the sample, and transferred the oil into storage tanks.

Subsequently, Nan Chiao conducted independent testing under its 'Food Safety Monitoring Program,' yielding the following three test results:

- May 13 (Initial test at in-house R&D center): The retained sample showed benzopyrene levels of 4.6 micrograms per kilogram (exceeding the standard of 2 micrograms per kilogram), marking the first abnormal result in Nan Chiao’s 12-year history.

- May 22 (Re-test): Re-analysis of the sample showed 4.8 micrograms per kilogram.

- June 4 (Urgent third-party SGS testing): The sample, submitted to SGS on May 28, returned a result of 8.0 micrograms per kilogram (the statement also notes 8.1 micrograms).

Nan Chiao stressed that upon detecting the anomaly, it immediately inspected raw oil in storage tanks and finished products, all of which met safety standards. Additionally, on July 2, Taoyuan City Government Health Bureau conducted on-site testing of the raw oil in the tanks, which also came back as compliant. Therefore, at the time, the company determined that the incident did not meet the reporting threshold under the 'Food Safety and Hygiene Management Act.'

Denying Concealment and Advocating for Stricter Safety Standards

In response to public skepticism, Nan Chiao clarified that it reported the abnormal tanker sample to Fushou on June 10, requesting a trace-back investigation into the batch and cause. However, it has received no proactive response from Fushou to date. Nan Chiao also denied any involvement as a shareholder in Zhonglian Oils, Fushou, Fumao, or泰山 (Taishan), asserting that collusion to conceal the issue is impossible. The company stated it is fully cooperating with prosecutors and regulatory authorities as a witness in the ongoing investigation.

According to Nan Chiao’s records, between 2014 and July 6 of this year, it has conducted a total of 6,275 independent tests on oil-related products, including 1,002 benzopyrene screenings. Excluding the current retained sample, all other tests either showed no detection or were within acceptable limits.

To strengthen its food safety defenses, Nan Chiao announced that starting July 4, all incoming batches of raw oil will undergo mandatory benzopyrene testing—exceeding current regulatory standards. The company emphasized that if any product is found to have quality defects, it will assume full legal responsibility.