Baby formula shortage: Danone ramps up shipments to US

Stew Leonard’s buys $100K worth of baby formula from Germany

Stew Lenoard’s president and CEO Stew Leonard discusses his company’s efforts to sell baby formula in its stores for the first time amid the nationwide shortage.

French baby formula maker Danone has ramped up shipments of specialized formulas to the U.S. in order to help alleviate the nationwide shortage of the product. 

"We increased production and shipment to the US of our specialized medical formulas, like Neocate, for vulnerable babies withs [sic] severe cow’s milk allergy," Danone said in a statement to FOX Business.

ABBOTT SAYS IT WILL BE AT LEAST TWO MONTHS BEFORE BABY FORMULA FROM SHUTTERED PLANT HITS SHELVES

The company said it recognizes the importance of these specialized formulas and has made it its priority to "increase production and supply since the shortages arose in February."

A woman shops for baby formula at Target in Annapolis, Maryland, on May 16, 2022.  (Photo by Jim Watson/AFP via Getty Images / Getty Images)

The company did not offer any further specifics. However, Reuters reported that ocean imports from the company's Nutricia division more than tripled in North America between January and May. 

More than 90% of that was shipped to the U.S., according to Reuters, which reviewed U.S customs data and an analysis of ocean cargo data by shipping consultancy Ocean Audit.

The news comes just days after President Biden invoked the Defense Production Act to speed production of infant formula and authorized flights to import supply from overseas. 

An employee walks near empty shelves where baby formula would normally be located at a CVS in New Orleans on Monday, May 16, 2022 (Chris Granger/The Times-Picayune/The New Orleans Advocate via AP / AP Newsroom)

ABBOTT RECALLS SIMILAC, OTHER BABY FORMULAS AFTER 4 REPORTED ILLNESSES

Earlier this week, Abbott Nutrition and the FDA reached a deal to reopen the company's Michigan plant, which has been closed since February. Abbott shut its Sturgis plant after FDA inspectors began investigating four bacterial infections in infants who had consumed formula from the plant. All four were hospitalized and two died. 

The company said "there is no conclusive evidence to link Abbott's formulas to these infant illnesses," although it did acknowledge that the recall at the plant exacerbated the industrywide problem. 

The Associated Press contributed to this report. 

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