People Are Price Gouging Baby Formula Amid Shortage
Amid a nationwide infant formula shortage, people are purchasing the products and then selling them for double or triple the original retail price.
In February, Abbott Nutrition announced that it was recalling certain varieties of infant formula because it began making babies sick. In all, two infants died from the tainted formula.
Abbott manufactures some specialty formulas that are usually hard to come by—but now, they're near impossible to find at a decent price. Stores are enacting purchase limits on formula due to the shortage to avoid people price gouging the formula. This means that they would purchase it in bulk and then resell it for a higher price.
Last week, the White House issued a press release addressing the nationwide formula shortage and what it was going to do to help. In addition to limiting the sizes of formula cans produced to increase volume nationwide, the White House said that it would help more stores enact purchase limits on formula to prevent price gouging.
In an article from NBC Connecticut, mothers shared their struggles on the hunt for baby formula. Diana Torres, mother of a 5-month-old, said she has seen a growing trend of people price gouging formula online.
"What I do see is people selling it overpriced, they're taking advantage of the situation and they're going and grabbing what they can find and selling it to people who do need it for double or triple the price it costs," Torres told NBC.
After scanning the internet, NBC found a 3-pack of Similac baby formula sold for $238 plus an additional $20 for shipping on EBay. It sells at BJ's for $138.
"I get it, everybody is trying to make money, but you're making these babies suffer," Torres added.
For more on the baby formula shortage, check out This Food Is Alarmingly Low in Stock Across America—But Costco Has It.