Vikram Bakshi the CEO of McDonalds' has warned that the outlets of McDonald’s run by Connaught Plaza Restaurants might face potential health hazard issues as the food quality and safety are affected by all facets of the supply chain, from raw material sourcing and production to manufacturing to restaurant handling and preparation.
Transportation and storage are critical links in the process. The unknown distribution centre is not approved to supply within the McDonald's system. In response to recent reports about CPRL reopening outlets and using an unknown distribution centre, mentioned by McDonald’s system.
Also the CEO claimed that the countries which are still developing has double standards when it comes to food safety and supply.
Using unapproved vendors for the supply chain is creating serious compliance risks to McDonald's standards for food quality and safety. As an ex-franchisee, CPRL is fully aware of how McDonald's control process works and how important it is. McDonald's continues to be committed to the highest standards of food safety and quality in India and will continue to work to minimise and eliminate customer concerns," McDonald's said in a statement.
McDonald's terminated the franchise agreement and asked CPRL not to use any more its brand system, trademark, designs and its associated intellectual property, among others. However, most stores remained operational. McDonald’s India spokesperson claimed that CPRL outlets needs to be shut down they are not in line with the chain’s global standards. The rest all the outlets in North and East India as CPRL’s partner discontinued its services over non-payment issues. It is an extreme safety issue which needs to be take care of soon.