On Monday evening, baby formula producer Abbott announced it had reached a deal with the Food and Drug Administration, laying out a path to reopen a factory in Sturgis, Michigan, that shut down amid recalls earlier this year, contributing to the current shortage.
In a statement, the company confirmed that it has entered into a consent decree with the FDA, in which the agency and company agree on the benchmarks required to resume production and ensure the facility meets safety guidelines.
“Our number one priority is getting infants and families the high-quality formulas they need, and this is a major step toward re-opening our Sturgis facility so we can ease the nationwide formula shortage. We look forward to working with the FDA to quickly and safely re-open the facility,” said chairman and CEO Robert B. Ford. “We know millions of parents and caregivers depend on us and we’re deeply sorry that our voluntary recall worsened the nationwide formula shortage. We will work hard to re-earn the trust that moms, dads and caregivers have placed in our formulas for more than 50 years.”
In a statement issued by the Department of Justice, Attorney General Merrick B. Garland said, “The actions we are announcing today will help to safely increase the supply of baby formula for families. The Justice Department will vigorously enforce the laws ensuring the safety of our food and other essential consumer products, and we will work alongside our partners across government to help make sure those products are available to the American people.”
In a CNN interview earlier in the day, FDA commissioner Dr. Robert Califf had presented a somewhat rosy timeline for reopening the facility. He had predicted that once a deal was struck, the factory could reopen and resume producing formula within two weeks and be back to normal a few weeks later.
However, Abbott said things will not move quite that fast.
“From the time Abbott restarts the site, it will take six to eight weeks before product is available on shelves,” the company noted in its statement.
Once it does, Abbott says it will start producing EleCare, Alimentum and metabolic formulas, followed by Similac and related products.
Can foreign formula fill the gap?
In his interview Monday morning, Califf told CNN’s Kaitlan Collins that the agency plans to allow the sale of foreign-made formula in an attempt to ease the ongoing shortage. He said an announcement could come as early as the end of the day.
Offering this formula in U.S. stores “would have a big effect because we’ll have access to a lot more formula from different manufacturers,” Califf said.
The imported formula could boost supply so that it’s “back to normal” within a few weeks, Califf said.
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Califf said that while an adequate supply of formula needed to feed every baby is finally in place at this point, “it’s not necessarily in the right place. And so we’re needing to help parents find other formula.”
He added, “We’ll need to be watching this every step of the way because as you know, we don’t want to be sending product out which is dangerous for infants. I have every anticipation that we’ve got a path forward now that will work.”
The baby formula shortage began in November, when about 11% of popular brands were out of stock, according to data analytics firm Datasembly. As of May 8, 43% of baby formula was sold out at retailers across the U.S. because of recalls and supply chain strains.
Retailers such as CVS, Target, and Walmart have put purchase limits on formula, but Hensley said she has seen plenty of price gouging from online sellers with an abundance of formula on hand.
In the meantime, parents are being advised to contact their pediatricians to discuss the best course of action for their child, which could entail seeking samples of new formula brands or donated pasteurized breast milk.
The financial fallout
The shortage is quickly becoming a financial crisis for many families, especially those that are low-income. Because WIC is not yet equipped to handle online shopping and many families can no longer find eligible formulas in store, some are having to use Supplemental Nutrition Assistance Program benefits or pay out of pocket, which “puts stress on the rest of the household,” explains Brian Dittmeier, senior director of public policy at the National WIC Association, the nonprofit advocacy arm of WIC.
George is Digismak’s reported cum editor with 13 years of experience in Journalism