Shanghai is planning to ban companies that violate food safety laws as part of its efforts to curb food scandals that have killed several children in the recent years.
According to the proposed law, companies using banned substances in food products or those found manufacturing or selling such ingredients will be banned from operating in Shanghai, Xinhua quoted, city officials as saying.
There have been several food scandals in the country including the use of cooking oil that have been recycled from drains and carcinogens in dairy products.
The use of industrial chemical melamine in milk killed six children and made several thousands ill in 2008.
The proposed laws are part of a country-wide campaign to boost food safety after the recent scandals sparked public outrage, which led to increased scrutiny of the food industry.
