China Food

Abbott CEO apologized and announced a major investment in milk powder

Abbott’s big boss spoke himself.


On May 21 local time, Abbott CEO Robert Ford contributed to the Washington Post, apologizing for the closure of its Michigan plant, which exacerbated the shortage of milk powder in the United States, saying that Abbott was taking positive measures, including establishing a fund of $5 million to help troubled families survive the crisis and making “major investments” in milk powder.

Washington Post


Now let’s take a look at Luo Fude’s statement.

“We are sorry for every [American] family we have failed.” Abbott CEO Luo Fude said in the article. In addition to apologizing, Luo Fude announced a number of measures. To solve the growing shortage of milk powder in the United States due to the closure of its factory in Michigan.


He said Abbott was establishing an independently managed $5 million fund to help American families hospitalized because they could not buy EleCare (amino acid formula for infants with food allergies) to pay for medical and living expenses, and said that any Abbott products it had put on the shelves “have passed strict inspection and can be purchased for babies”.


Abbott also shifted its adult nutrition production line at its Columbus, Ohio plant to give priority to the production of ready to drink infant formula, Luo said. He said that since the recall, “we have been airlifting millions of cans of our most widely used infant formula from a food and drug regulatory approved factory in Ireland to the United States”.


“We are making significant investments to ensure that this does not happen again.” Luo Fude said that Abbott plans to expand the production capacity of formula products and increase production facilities, which will increase Abbott’s formula supply in the U.S. market and create the required inventory to avoid the shutdown of key products such as EleCare.


Robert Ford


Abbott and the US Food and drug administration have been at the “center of the storm” in the growing “milk shortage” in the United States.

Last Friday, Robert kaliv, the director of the US Food and drug administration, attended a congressional hearing and was questioned by members of Congress on the regulation of milk powder. Kalif asked for more personnel and resources to assess the safety of infant formula. At the same time, he mentioned that the bureau should have more power and technical force to check the supply chain data of milk powder manufacturers.


Earlier, the US authorities announced that they would launch the national defense production act, or force downstream manufacturers to give priority to the production of raw materials required for infant formula. The first batch of infant formula transported by military cargo aircraft from Europe has landed in Indianapolis, USA.

It is worth noting that compared with ordinary formula milk powder, special formula milk powder has become a top priority in the supply chain. It is reported that the formula milk powder delivered by the above-mentioned military cargo aircraft includes the formula milk of Nestle health science company – alfamino infant milk powder and enfamino infant milk powder.


Today, a senior person in the milk powder industry told xiaoshidai that for babies with health problems such as metabolism and allergy, special formula itself has strong functionality and is irreplaceable. It is understood that among the products actively recalled by Abbott Michigan factory in February this year, EleCare series special infant milk powder.

For the “major investment” announced by Luo Fude this time, the above-mentioned senior people in the milk powder industry said that at present, it is difficult to solve the “urgent need” to build a new factory.

此前,美赞臣和雀巢均表示,会增加奶粉产能以缓解美国“奶粉荒”。路透早前也引述美国海关数据和航运咨询公司Ocean Audit数据指,达能正加紧从欧洲运送婴儿配方奶粉,从去年1月起至5月1日,达能向北美运送了近 77万罐婴儿配方奶粉,到今年同期这一数字飙升至超过240万罐。

Abbott or other companies add a new production line, or even add several production lines a year, which has little impact on the overall market.

The shortage of milk powder in the United States has attracted much attention, mainly because of sudden emergencies. Once Abbott fully recovers its capacity, the supply in the United States will be stable.

Pay attention to “snack generation” (wechat: foodinc) “and watch the wonderful news.

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