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Following are the opening remarks by the Secretary for Food and Health, Dr Ko Wing-man, at a joint press conference today (February 1) on measures to combat cross-boundary parallel trading and help ensure a stable supply of infant formula:
In the past week, the Government has been closely monitoring the supply of infant formula in the local market. Major baby formula suppliers have also taken stringent measures to combat the malpractices of some retailers. In January this year, major baby formula suppliers issued 77 warnings to these retailers and restricted the supply of 27 retailers. Besides, supply to 11 retailers has been suspended.
Despite measures taken to improve the supply of infant formula in the local market as well as the above measures to combat the malpractices of certain retailers, many local parents still complain that individual brands of baby formula are out of stock at the retail level, and that there is no one answering the hotlines.
Because of the above reasons, the Government has decided to introduce one short-term measure and one long-term measure. For the short-term measure, due to the problem of a supply chain failure in the market, the Government has made a decision to intervene and take short-term measures to ensure that parents of local infants and young children are able to secure the purchase of baby formula. Apart from the existing hotline services provided by baby formula suppliers, a 24-hour special hotline, 3142 2288, is set up by the Government with effect from today and will be operated by staff of the Government's Efficiency Unit.
Local parents of infants and young children under the age of 3 who are unable to purchase the seven major brands of baby formula at the retail level or through the suppliers' hotlines may dial up this hotline. Two days after receiving the purchase orders, the customer service personnel of the particular brand will reply to the parents to verify their membership and inform them of the arrangements for delivery and payment. Deliveries will be made before the Chinese New Year (for all the purchase orders placed today, tomorrow and on Sunday via the special hotline.)
This is only a short-term measure taken in the wake of the supply chain failure in the local market. Once normal supply is resumed in the market, such service will be called off.
As far as the long-term measure is concerned, we consider that the supply chain failure in regard to baby formula is closely related to parallel trading activities. The huge demand of the "couriers" often leads to shortage of certain brands of baby formula at certain retail outlets. To combat the moves of the "couriers" or the parallel traders, the Government will amend the Import and Export (General) Regulations (Cap. 60, subsidiary legislation A) to prohibit the export of baby formula from Hong Kong except with a permit issued by the relevant authority.
Having regard to the need of those departing from Hong Kong for baby formula for self-consumption, our preliminary proposal is that not more than a net weight of 1.8 kilograms of baby formula or equivalent to two cans may be carried by each person.
(Please also refer to the Chinese portion of the opening remarks.)
Ends/Friday, February 1, 2013
Issued at HKT 20:19
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