A Japanese company said the industrial chemical melamine was found in dried egg powder imported from China, while Australia reported more cases of tainted food products, and a tonne of smuggled Chinese powdered milk was seized in Naples, Italy.

Japan's leading trading firm Mitsui & Co. said late Thursday that the company has recalled egg powder after detecting a small amount of melamine in it, Channel News Asia reported. Mitsui imported 20 tonnes of Chinese egg powder in September and some 0.4 tonnes of the egg powder have already been consumed. No health problems have been reported yet.

Meanwhile, two more products made in China have been withdrawn from sale in Australia after being found to be contaminated with the toxic chemical used in plastics.

Tests revealed Dali Yuan brand First Milk vanilla flavour and Orion brand Tiramisu Italian Cake with Cheese Cream contain melamine.

In Italy, about a tonne of smuggled Chinese powdered milk was seized in the city of Naples. Authorities said it was also likely to be contaminated with melamine.

As the melamine scandal spreads, China's reputation as a food producer steadily erodes. Contaminated milk powder have killed at least four infants and sickened 53,000 in mainland China.

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