China’s Demand for Baby Formula (Part 1) – Maps, Facts, and Perspective

by terroir Posted on March 5, 2013

milk powder map of the world chinese perspective bans limits

In Mainland China, the demand for milk powder is getting louder.  While China’s milk scandals happened a while ago, it appears that consumer confidence in Chinese domestic milk products has never recovered.  So while there is no shortage of milk products on Chinese stores, Chinese consumers don’t purchase these products because a) they don’t trust domestic Chinese-made goods, and b) the prices are too expensive.

This has spurred an increased demand to purchase imported baby formula through other avenues; as such, this has led to other countries and territories implementing restictions upon the sale of milk formula.  With the recent passing of new laws restricting sales of baby formula in Hong Kong, mainlanders have now lost a favorite method of buying imported milk powder for cheap; this has made imported baby formula among the most valued commodities in China. 

Sinopathic presents a multi-part report upon the great demand for baby formula in China.  First, here are some facts and perspective on the consumer crisis.

From Sohu Baby:

Chart of Countries with Sale Restrictions Towards Baby Formula 

Place of Sale

Start of Restrictions

Details of Restriction

 

USA

 

June 2012

Many major US retailers announce sales of milk powder will be limited to 5 to 12 cases per customer

 

New Zealand

 

October 2012

Forbids personal purchase of milk powder for the purpose of exporting, supermarkets limit the personal purchase of milk powder to 3 cans at one time

 

Australia

 

October 2012

A select portion of supermarkets limit the sale of milk powder to only 2 or 4 cans per purchase, while some supermarkets have no set restrictions

 

Germany

 

January 2013

Large-scale supermarket chain DM limit the sale of baby milk formula; every shopper is limited to only purchasing 4 boxes at one time

 

Macao

 

January 2013

Shoppers interested in purchasing milk powder must register; buyers who frequently purchase in large quantities are regulated; every month, any one person is limited to buying 5 cans

 

Holland

 

January 2013

Well-known supermarkets, assorted goods shops and drugstores all over the country enforce limits upon purchase, every person is limited to buying 1 can

 

Hong Kong

 

March 2013

Every person of 16 years of age or older is allowed to carry 1.8 kg of milk powder (across the border), approximately amounting to 2 cans

From Sina Sichuan Health:

A Map of the World Alocating Milk Powder Resources As Seen By a [Mainland Chinese] Mother

milk powder map of the world chinese perspective bans limits

[Read from top to bottom, left to right:]

Europe: The world’s best producer of milk powder

Africa: At present, no production of milk powder

Russia: No milk powder, [the children here] drink fresh milk from an early age

Middle East: No water available to mix with milk powder

India: Acutely poisonous milk powder [referring to the India milk scandal viewed by Chinese as worse than their own]

Mongolia: [Illegible]

China: Poisonous milk powder [referring to its various milk scandals]

South-East Asia: No milk powder

Korea: [Illegible]

Hong Kong/Taiwan: All the world’s milk powder is available for sale here [arrow points at Taiwan, but is referring to HK]

Japan: Radioactive

Australia: Limits have been recently imposed, it is difficult to buy milk powder from here [Note: incorrect; map should refer to New Zealand instead, where restrictions have been recently put into place]

Canada: In a situation where there is no milk powder, will borrow milk powder from the downstairs neighbor [referring to Canada's reputation as a socialist country]

USA: A bunch of pharmaseutical companies make milk powder here [referring to Mead Johnson and Abbott Laboratories]

Mexico: No milk powder

South America: Cows have all turned into steaks here

From Sohu Baby:

Numbers at a Glance [Regarding the Baby Formula Shortage]

4 million cans – the number of cans of baby formula imported per month by Hong Kong.  Of these, Hong Kong babies consume a portion of this, the rest is exported out to international markets

5% price increase – the average price increase made by online baby formula retail intermediaries.  Once purchasing restrictions were implemented, many people including smugglers begin to actively hoard baby powder leading to a price increase

500,000 – amount of fine in Hong Kong dollars, may include jail time upwards of 2 years.  Penalties for smuggling baby powder across the border to the mainland

Sinopathic coverage on the baby powder coverage will continue with the mainland guide to buying baby powder!

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  • mr.wiener

    Time to invest in Filipino wet-nurses.
    Any chance of a “breast is best” movement surfacing in China?

    • http://sinopathic.com/ terroir

      In my “research”, I still have not been able to find out why modern Chinese will always hark about “5000 years of culture” but then refute one of the basic principles of being a mammal and buy milk formula.

      Because I can’t prove it, I’ll write it here: it’s all advertising and scaring Chinese consumers into thinking they have no choice so that they must buy it, like mouthwash, hair dye for you cadres, and douches (not clear on the last one). Add in distrust of Chinese quality, reverence of Westernism, the mentality of peasants (hoarding), faith in a flimsy belief system (I can’t tell you how many milk formula is a “Gold Brand”) and there you go.

      I’m with you on this one. So, here are my breast feeding slogan suggestions:

      “Tit is Fit”

      “Areola is Chock Full of”

      “Jugs are Drugs – Just Say Nom nom nom nom”

      • http://soundcloud.com/starhawk-1 Little Wolf

        I dunno guys….. I’m thinking “Double Ds”?

        • http://sinopathic.com/ terroir

          Is that a screen shot from “Noby Noby Boy”?

          [for you: it's a video game reference. It's obscure.]

        • http://soundcloud.com/starhawk-1 Little Wolf

          Not sure where it came from.(My sisters are always sending me crazy shit) But I could not help but think of mr. wiener when I saw it and so thought I would indulge him with some big breastsesses.

        • mr.wiener

          Aww, you really care.
          If you find the real one for you, the next Mrs. She-wolf, will she have 3 sets of boobs?

        • http://soundcloud.com/starhawk-1 Little Wolf

          Nah……always been more of an ass-man myself. Though, I avoid those wolf asses. They’re too….uh…….you know………..hairy.

        • mr.wiener

          A wolf procreating with an ass could lead to……..*ahem* , funny looking kids/pups/foals.

      • http://twitter.com/SaschaMatuszak Sascha Matuszak

        There actually is a “breast is best” movement. It’s small, but its growing. Here are some links: http://www.danwei.com/breast-feeding-rebels-in-china/ and http://www.danwei.com/the-year-of-the-breastfeeding-flash-mob-in-china-a-fathers-account/ Full Disclosure: I wrote the stories and my wife is kicking some ass in this movement

        • http://sinopathic.com/ terroir

          Great story, good research.

          I hadn’t heard of the “breast milk gives your child brain damage” story, and that is completely hilarious. Because it involves tragedy.

          It is equally funny how this current “milk powder” crisis is completely manufactured and not based upon any news event. But I am wary for the “breast is best” movement as there will be a lot of resistance to it – not just from those who depend upon using milk powder to qualify their belief in technology/innovation, but those who stand to make a lot of money from this.

          Chinese traditions get stamped on just to make a buck.

        • mr.wiener

          Nice one mate. I particularly loved the fact that mothers who nurse their children are scoffed at as “uninformed”.
          Nestle used to be the bad guys, now it’s the chinese govt busybodying in people’s lives telling them how to live them. I wonder if they’ll take a page from the nestle playbook and dispatch travelling roadshows of “doctors” and “nurses” to poor villages and tell them their kids will grow up be poor if they are breastfed? Could happen.