Supermarkets and high street chemists are rationing baby milk powder to two cans per customer. This is happening at the request of manufacturers. It is my understanding that organised groups have been buying trolley loads of the formula milk - gathering it together and exporting it to China.
There the milk can sell at a premium price - tubs are reported to have been changing hands for the equivalent of £20 a time in China. The reason for all this is that in China there is a huge demand for imported baby milk - because their own supplies have been caught up in a series of contamination scandals. Fears about the reliability of China's home-grown baby milk set in six years ago when supplies containing melamine killed six babies and made 300,00 ill. As recently as last month even more contamination as found in far eastern supplies. Now the affluent Chinese middle class is willing to pay a premium for imports - rather than take any chances.
By imposing the rationing UK retailers are aiming to ensure constant supplies and the retailers stress this is only a temporary measure Many of the outlets I have spoken to this morning say they have encountered this phenomenon of people trying to buy unusually high quantities. Among the big retailers who have confirmed they are now imposing the limits are Tesco, Asda, Sainsbury's and Morrisons - as well as high street chemists. They are confident that by acting as they have - there will be no shortages and they stress there is at present no shortage. Nevertheless, the demand in China is huge.
Here is what the big stores told me today: