PriceSensitive

US receives baby formula delivery amid shortages

Economy
23 May 2022 17:03 (AEST)

Empty shelves of baby formula at CVS in San Antonio, Texas Source: Reuters/Kaylee Greenlee Beal

The US has received a delivery of baby formula from Europe as the country attempts to fix a critical shortage.

In an attempt to fill shelves, the US turned to Nestle, which delivered 132 pallets of its infant formula to a US facility yesterday.

More shipments are expected to arrive in the next few days.

The shortage of the product comes after one of the country’s top baby formula makers, Abbott Laboratories, closed its manufacturing plant.

The company’s product was recalled as it faces an investigation from the US Food and Drug Administration (FDA) over reports of bacterial infections in four infants.

New York City Mayor Eric Adams has sought to prevent price gouging by declaring a state of emergency yesterday.

“This emergency executive order will help us to crack down on any retailer looking to capitalise on this crisis by jacking up prices on this essential good,” he said.

Meanwhile, Abbott is hoping to reopen its plant in early June, after which, it will take at least six weeks for products to reach store shelves.

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