The Shanghai industry and commerce administration destroyed 200 tons of tainted milk powder on Friday, part of a citywide drive launched by local authorities in September when the toxic baby formula scandal was exposed.
Local authorities have so far sent 40,000 inspectors to examine dairy product dealers.
Meanwhile, the city's quality supervision department is also stepping up its checks of the dairy market.
The latest quality inspections of powdered milk show that products continue to meet new temporary limits on melamine content, officials said on Friday.
Shanghai food and drug administration said it would strengthen its supervision and control of the dairy products market and standardize the operations of dairy firms.
So far, 8,311 tons of unqualified milk products have been withdrawn from the market since the scandal's exposure. As of Oct 30, more than 12,163 batches of milk products on sale had been tested and were found to be safe, earlier report said.
In another development, Sanlu brand milk has made a limited return to the Chinese market two months after being removed when its melamine-tainted powdered milk sickened thousands of babies nationwide.
Fresh milk produced by one of Sanlu Group's affiliated dairy plants in Xingtai, a city in Hebei province, made a low-key comeback on Nov 1 and has since been sold in Hebei, Henan and Shandong provinces, company sources confirmed on Thursday.
However, a spokesman for parent company Sanlu Group said on Thursday he was unaware of the brand's return to the market. Nor is the group ready to reestablish its brand anytime soon, he said on condition of anonymity.
Sanlu Group has a 34 percent stake in Xingtai Sanlu, which mainly produces fresh milk and yogurt.
Daily sales now average 50 tons, less than 20 percent before the scandal was revealed, said Cao Zhanwu, marketing director of Xingtai Sanlu Dairies Co Ltd.
"The melamine contamination scandal was a deadly blow to the entire group," he said.
"We are sorry for our mistake but won't give up."
"We are in contact with parent company Sanlu Group and the Shijiazhuang government about the sale of liquid milk," Cao said in a telephone interview with China Daily on Friday.
"So far we have not received any notice on permission to sell Sanlu liquid milk," an official with Hebei province quality and technology surveillance bureau said.
The official, who wished to remain anonymous, did not say when the bureau would investigate the case.
A dairy sales outlet on Gexin Road in downtown Shijiazhuang, Hebei's provincial capital, sells about 500 packs of Sanlu's fresh milk daily, according to the shopkeeper.
Although some shoppers were skeptical, many others expressed confidence in the Sanlu brand.
"I'm sure the company has tightened quality controls after the scandal," said a housewife as she bought five packets of Sanlu milk.
"Besides, I don't think producers or dealers would dare add melamine to milk again now that everyone is so watchful."
Xinhua contributed to the story
(China Daily November 15, 2008)