BABY FORMULA IS HIGH IN DEMAND IN CAPE AREA

Two men bought over $400 worth of baby formula from the Cape Girardeau National store Thursday, illustrating a problem local grocers have been experiencing.

Out-of-town shoppers apparently are buying baby formula by the caseload for resale elsewhere.

Billy DeGrant, assistant Kare Manager at National Del-Farm, said two men bought 80 cans of Enfamil with Iron powder infant formula on Thursday.

"This wasn't a normal purchase," he said.

DeGrant said mass purchases cause trouble for other customers. "We aren't getting enough merchandise to cover our regular customers. When something like this happens, we don't have enough." The men Thursday bought all but three cases in the store.

National does not put a limit on purchases, but other local stores do.

Dennis Marchi, manager of Schnucks, said similar buyouts have been occurring at East Coast and West Coast stores over the past year.

"A group from out of town will come in and go from store to store and try to fill up a van with baby formula," Marchi said.

DeGrant said he has heard rumors that the powdered infant formula was being used to make candy or cookies in an effort to conceal drugs.

The people Marchi has questioned claim they need the formula for personal use. However, Marchi said profit is a more plausible motive.

"In our area, baby formula is a very competitive item. We are selling below cost. They can buy it cheaper here than they can buy it from a distribution center," Marchi said.

"When this happens, it is hard for us to serve the consumers," said Marchi. "They will try to buy you out."

Schnucks has put a two-case limit on sales of baby formula. However, Marchi said the out-of-town buyers send in more than one person more than one time to buy.

"By the time we catch on, they've already done the damage."

Customers rarely buy more than one case of formula at a time.

Iron-fortified brands seem to be the hot items in other regions of the country, but Marchi said all varieties are targeted here.

Mike Baldwin, grocery manager at the Cape Girardeau Wal-Mart, believes the bulk purchases they too are experiencing are purchased for resale.

"We're selling our formula below cost," he said. "We have people from mom and pop grocery stores in rural areas coming in and trying to buy up our formula," Baldwin said.

Wal-Mart has a two-case limit on purchases of formula, unless a customer has a WIC order.

"I've had young guys come in and put 20 or 30 cases in a shopping cart," Baldwin said.

A spokesman for Shop 'n Save said company policy prohibits him from discussing the issue.