The Government Hasn’t Learned a Thing From the Baby Formula Shortage

With the FORMULA Act soon to expire, the U.S. baby formula market is about to return to the conditions that left it so vulnerable to a shortage in the first place.
Earlier this year, a baby formula shortage caused panic around the nation. While temporary FDA approval of several foreign brands helped to increase formula supply, millions of families could soon be thrown back into uncertainty as the FORMULA Act, which eliminated tariffs on formula imports, is set to expire at the end of this month.
The expiration of the FORMULA Act will mark a return to an anti-market policy which is likely to rapidly increase the price of imported baby formula. As U.S.-manufactured formula supplies are still down—though notably better than during the height of the shortage—the return of tariffs could soon cause a major uptick in the number of families struggling to find enough formula to feed their children.
A baby formula shortage gripped the nation starting in February of this year, after a major U.S. formula manufacturer issued recalls on three of its products and shut down its largest plant. At its peak 10 states faced out-of-stock rates of 90 percent or higher. At first, the formula shortage was exacerbated by existing FDA regulations, whose labyrinthine label and ingredient rules effectively prevented formula imports—even imports from the European Union, whose health requirements on formula are more up-to-date than U.S. regulations. – READ MORE
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