China defends its beer against charges it contains cancer-causing agent (AFP)

BEIJING (AFP) - China's beer industry, one of the largest in the world, has defended itself against reports that 95 percent of its bottled beer contains formaldehyde, a cancer-causing agent.

Industry officials said the chemical -- commonly used to preserve dead bodies or as a disinfectant -- plays a part in the brewing process but that the level in Chinese beer is within acceptable standards, the China Daily said.

"Consumers need to know that the formaldehyde in beer is a different type from that in household chemicals, and this confusion has scared people greatly," Xiao Derun, director of the China Alcoholic Drinks Industry Association's beer branch, was quoted as saying.

Trouble began brewing on July 5 when the Beijing-based newspaper The Global Times printed a letter claiming to be from a beer inspector saying many Chinese breweries were using formaldehyde as an additive.

Accompanying the letter was an investigative report that quoted Du Lujun, secretary of the association's beer branch, as saying 95 percent of the country's beer contains the chemical.

According to Du, breweries use formaldehyde because it is a cheap way of preventing sediment from forming during storage, the report said.

The reports were circulated in many Chinese newspapers, alarming beer drinkers across the country.

On Monday, the Korea Food and Drug Administration said it had decided to test Chinese beer imports for formaldehyde before allowing them to clear customs, China Daily said.

Japan's health ministry has also asked importers of Chinese beers, which are increasingly popular in Japan, to check the ingredients with manufacturers to ensure they do not include formaldehyde, which Japan bans in food.

Brewers usually use silica gel, which is not hazardous, to remove unwanted substances from beer but some Chinese brewers may be using cheaper formaldehyde to cut costs, Kyodo News agency quoted Japanese government sources as saying.