Baby formula scarcity: These retailers are rationing stock and limiting customer purchases


The provide of child formula — probably the most vital merchandise for brand new dad and mom — is so constrained proper now that retailers are limiting the variety of merchandise shoppers are allowed to buy in an effort to protect their inventories. 

Drugstore chains Walgreens and CVS Health, and division retailer Target have just lately put limits on what number of child formula merchandise shoppers should buy at one time.

A spokesperson for Walgreens instructed CBS MoneyWatch it’s limiting clients to a few toddler and toddler formula merchandise per transaction, citing “increased demand and various supplier issues.”

CVS Health additionally mentioned it has imposed a restrict of three child formula merchandise per buy in shops and on-line, till it could actually procure enough provide from its distributors. 

And a spokesperson for Target confirmed it has product limitations in place. At, shoppers can solely buy 4 items of a given child formula product at a time. 

Prices of child formula, which three-quarters of infants within the U.S. receive inside their first six months, have additionally spiked. The common price of the preferred child formula merchandise is up as a lot as 18% during the last 12 months.

Supply-chain snarls associated to COVID-19 are contributing to the scarcity of formula across the U.S. They embrace producers having extra issue procuring key substances, packaging hangups and labor shortages, with these components combining to have an effect on manufacturing and distribution. In addition, a serious child formula recall in January exacerbated shortages.

At retailers throughout the U.S., 29% of the top-selling child formula merchandise had been out of stock as of the week of March 13, in accordance with an evaluation by Datasembly, which tracked child formula stock at greater than 11,000 shops. That’s up sharply from 11% in November.

“This is a shocking number that you don’t see for other categories,” Ben Reich, CEO of Datasembly instructed CBS MoneyWatch.

Baby formula recalled after suspected toddler deaths


“We’ve been tracking it over time and it’s going up dramatically. We see this category is being affected by economic conditions more dramatically than others,” Reich added. 

In 24 U.S. states, 30% of formula was out of stock as of mid-March, whereas different states had been seeing much more extreme shortages. In Minnesota, 54% of child formula merchandise had been out of stock that very same time. Parents in Connecticut, Hawaii, Iowa, Louisiana, Maryland, North and South Dakota, Rhode Island and Texas are additionally grappling with extreme shortages of a minimum of 40%, in accordance with Datasembly. 

By comparability, over the primary seven months of 2021, between 2% and 8% of child formula merchandise had been out of stock. 

“We’ve noticed it being difficult to find maybe a couple months ago — two, three months ago — and then just recently we can’t find it,” San Francisco resident Irene Anhoeck instructed CBS News earlier this year. “We’ve tried all the local Targets. We checked Costco, Costco online, Walgreens, Long’s. Can’t find it anywhere.”

Product shortages had been additional exacerbated in February, when Abbott Nutrition issued a widespread recall of its powdered child formula merchandise, following reviews of sickness amongst infants who had consumed the infant merchandise. The U.S. Food and Drug Administration final week issued a warning telling shoppers to not use any of the recalled merchandise manufactured at Abbott Nutrition’s Sturgis, Michigan, facility, after it discovered the plant to be unsanitary. 

Avoid hoarding

The Infant Nutrition Council of America just lately assured dad and mom in a press release on its web site that producers are growing manufacturing to fulfill households’ wants. The council additionally encourages dad and mom to maintain a 10-day to two-week provide or formula at residence, whereas urging them to not stockpile merchandise. 

A spokesperson for CVS Health acknowledged that “product supply challenges are currently impacting most of the retail industry.” The company is working with “national brand baby formula vendors to address this issue and we regret any inconvenience that our customers may be experiencing,” the spokesperson added. 

In January, Enfamil, a number one child formula model, mentioned it was dealing with an unprecedented 18% surge in demand for child formula nationwide. 

“We have taken steps to ramp up production and are currently shipping 50% more product, to address issues as fast as possible,” a spokesperson for Reckitt, maker of Enfamil, instructed CBS News in a press release on the time.