CHINA’S iconic White Rabbit candy is back in production after being pulled out of stores around the world last month in the wake of the tainted milk scandal, a state-run newspaper reported yesterday.

Production of the candy stopped last month when its Shanghai-based maker said it may have been contaminated by melamine, an industrial chemical at the centre of the scandal.

The announcement that White Rabbit would leap back to market came a day after China’s Cabinet promised to overhaul its ‘chaotic’ dairy industry and acknowledged it suffered from a lack of oversight.

Testing continues on milk and milk-related products in China, and the maker of White Rabbit, Guan Sheng Yuan, said its new batches of candy would undergo government quality testing. It said production resumed because the company was now using a safe supply of powdered milk. But the China Daily newspaper noted that the company did not say where the raw milk for the powder came from.

Parent company Bright Foods Group has been the main milk supplier for the candy, but previous tests on its milk had shown melamine contamination.

Guan Sheng Yuan did not say when White Rabbit candy would go on sale again, the newspaper said.