Baby Formula Mountain: The Grocery War That Keeps Australian Moms on Their Toes
Just when you thought the glasshouses were getting funnier, an Australian supermarket chain has turned the tug‑of‑war on its own shelf. After it turned out that shoppers were not only stocking up on infant formula but also hocking it to Chinese parents for a hefty profit, Coles and Woolworths are stepping in to make sure there’s enough for the families that actually need it.
What’s the Deal?
- Coles moves a production line – infant formula gets tucked behind the service counter and covered with a special lock‑in‑lids that only the cashier can open.
- Sales capped – each customer can only grab two tins.
- Woolworths is following suit – no plan to pull it from shelves, but also tightening the two‑tin limit.
Why the Fuss?
It all started when a Sydney daily reporter tipped the hat to a spying hunch: people were grabbing kilogram tins for up to Aus$35 (US$26) and then sending them onto the Chinese online market for roughly Aus$100. That is, a price bump of more than double the retail cost.
Once the headlines flew, mothers – understandably – began to worry about the shortage of formula for their babies. The grocery chain’s statement said:
“Coles is committed to ensuring that our customers with a genuine need for infant formula have access to this product.”
A Glimpse Behind the Counter
- Coles is deploying storefront shelves with a “behind the desk” strategy. The idea? Keep the product out of the grainy reach of resellers.
- Special electronic locks make sure the tins only get taken at the checkout.
- A collaboration with suppliers aims to boost overall supply and smooth out the supply chain disruptions.
Back in 2015…
The stir didn’t start this week. In 2015, an Aussie company apologized after its premium organic baby milk formula was squashed from supermarket aisles before China’s massive Singles Day sale. It was a reminder that consumers – whether in Australia or overseas – want a reliable source of safe, high‑quality milk.
Why the Chinese Demand Is Out of the Water
Fast‑forward to today: Chinese parents are on a real run for foreign infant formula, largely because of a string of food safety scandals. In 2008, a local tainted formula release took six kids’ lives and caused illness for over 300,000 children. The black market for Australian formula grew as parents clutched what they believed was a clean alternative.
Milk Powder Solutions Owner Says It’s All Good
Simon Hansford, the guy behind Milk Powder Solutions, said:
“The Chinese consumer is doing nothing illegal, so we’re actually boosting our dairy industry. They trust Australian produce, especially when bought from stores they recognize. The brand name is a big confidence booster.”
So, while the shelves are now a bit more guarded, rest assured Aussie grocery giants are doing everything they can to keep baby formula in the right hands. Moms everywhere, the supply chain drama doesn’t have to be your nightmare.