The Shanghai municipal government is inspecting the White Rabbit creamy products of confectionery manufacturer, Guanshengyuan.

Wang Yiyi, spokeswoman of the Shanghai-based company, said the inspections only involve products for export. Products sold domestically are not affected.

"We're currently also conducting internal inspections and will come up with more effective measures soon," Wang said. She declined to give more details.

The Shanghai Entry-Exit Inspection and Quarantine Bureau said the inspections are in response to media reports that the brand had been recalled in Singapore after being tested positive for melamine last Sunday.

It was the third Chinese made dairy product found to contain melamine, the Associated Press reported, citing Singapore's Agri-Food and Veterinary Authority (AVA).

Earlier, Yili yogurt bars and Dutch Lady strawberry milk, were found to contain melamine.

The AVA said in a statement: "Retailers and importers have been instructed to recall these products and withhold them from sale."

The Shanghai bureau will strictly examine all imported and exported dairy products to ensure they are not contaminated, said spokesman Chen Qiwei.

White Candy is exported to more than 50 countries and regions and has grossed sales of about $160 million in five years.

Hu Minghua, spokesman for Wal-Mart in Shanghai, said the company had not received any notice from the authorities to ban the product.

Carrefour said the same.

"We have heard only rumors, and are keeping a close eye on the progress of the issue," said Chen Bo, press manager of Carrefour Greater China.

The Shanghai municipal government also plans to tighten safety checks on all non-dairy products destined for export.

The General Administration of Quality Supervision, Inspection and Quarantine too is testing White Rabbit products.

Shanghai authorities also revealed yesterday that a recent citywide health check of children under three years old showed about 5 percent were diagnosed with symptoms of possible kidney stones after being fed contaminated powdered milk.

Song Guofan, deputy director of the press department of the municipal health bureau, said those diagnosed were immediately referred to hospitals.

The bureau, however, said on its website the number of sick babies reported in the past week has begun to fall.

White Rabbit candy, made by the 90-year-old Guanshengyuan, has long been a household brand name among Chinese.

It became popular in 1972, when it was presented as a State gift to then US president Richard Nixon.