Several retailers across the country are rationing the sale of baby formula amid a nationwide shortage. According to USA Today, Walgreens is limiting customers to three products per person to prevent customers from stockpiling baby formula.
While the stock of baby formula has been limited due to the supply chain issues and severe weather, the recent shortage was caused in part by recalls of Similac, Alimentum, and EleCare formulas. As a result, several children were sickened, and at least two died due to contaminated formula.
The Food and Drug Administration said that Abbott Nutrition failed to maintain sanitary conditions at a factory in Sturgis, Michigan.
USA Today cited an analysis by Datasembly, which found that 30% of the top baby formula brands are out of stock at stores across the country.
Minnesota leads the nation, with 54% of stores reporting baby formula was out of stock. In addition, over 40% of retailers in nine other states said they were sold out of formula.
Inflation, supply chain shortages, and product recalls have brought an unprecedented amount of volatility to the category, and we expect to continue to see baby formula as one of the most affected categories in the market.