Baby formulas are ‘disappearing’ from US markets; Understand the shortage and distribution plan | Economy

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The stimulus for the product supply shortfall was in February. On the 17th of that month, Abbott Nutrition, the country’s largest baby formula maker, began voluntarily withdrawing several taxes following concerns about bacterial contamination at factory facilities in the state. Michigan.

Four children fell ill and two died, and the factory was closed. The withdrawal of Abbott Formulas pushed the products out of the market and prevented factory closures from filling the inventory.

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This change affected the entire formula sales chain. For example, businesses began to control the amount customers could buy and doctors advised families to look for food banks.

According to data provider Datasembly, the baby milk powder deficit rate reached 43% last weekend, according to the Agency France Press. But, according to the agency, there was a shortage of production even before the pollution, which was caused by problems in the supply chain and shortage of manpower.

To cope with the shortage, parents began to “barter” the product. In small communities, they exchange or sell their surplus to those who cannot afford it for their children.

Biden seeks import partnership

Material shortages have hit low-income families hardBeneficiaries of a federal program are those who receive formula and require special formulas, since Abbott Nutrition was their main manufacturer.

“These 20 special formulas are used by about 5,000 children, as well as some older children and adults with rare metabolic disorders, and Abbott Nutrition is the sole supplier of some of them,” the report said. White House.

This Thursday (12), President Biden met with manufacturers and major retailers in an effort to increase production and sales in the country.

The government plans to form alliances with other measures Mexico, Chile, Ireland And Netherlands Increase imports, reduce bureaucracy and facilitate distribution.