Food and drug companies have been urged to protect their credibility and pursue high ethical standards to counter major safety concerns.

"Enterprises should realize that credibility is their most precious asset as they seek to compete in the market and achieve long-term development," said Wu Zhen, deputy head of the China Food and Drug Administration.

He was speaking in Beijing at a seminar on building brands and maintaining credibility in the food and drug sectors.

Representatives from domestic food and drug companies joined researchers and scholars at the event, which was hosted by the administration.

Mao Zhenbin, head of the administration's supervision department, said food and drug companies that "seriously lose credibility" will see intensified inspections, more sampling of products and bans on their owners running food and drug businesses.

Hao Jinda, a researcher at the China Academy of Chinese Medical Sciences, said companies have a responsibility to expose producers that make faulty products.