The selling price of milk products for children less than 6 years oldhas been reduced after the Ministry of Finance applied a price ceilingon the products from June 1.

Several milk products saw a strong price drop, fluctuating between 15-20 percent.

AtDuc Dung milk store in Hanoi’s Hang Buom street, the Similac GainPlusIQ brand has seen the biggest drop in retail price, with the new priceof 725,000 VND per 1.7kg tin, down 130,000 VND from the old rate, whilethe Grow G-Power vanilla product has reduced by 100,000 VND in cost.

Accordingto Nguyen Thi Huyen, a representative from the Lien Dat milk company inBach Mai street, the number of customers buying milk increased stronglyin recent days due to the drastic decrease in prices.

Theministry’s regulation has been applauded by consumers, who previouslyhad to spend a lot of money to buy milk for their children.

Following a directive by Prime Minister Nguyen Tan Dung, the Ministriesof Finance and Industry and Trade investigated the price regulationsand taxes at five milk producers and traders from March 10 to April 10.These firms were the Vietnam Dairy Joint Stock Company (Vinamilk), 3ANutrition (Vietnam) Ltd Company, Nestle Vietnam Ltd Company, FrieslandCampina Vietnam Ltd Company and Mead Johnson Nutrition (Vietnam) LtdCompany.

According to the investigation report, last year andduring the first three months of this year, these companies increasedthe prices of milk products for children less than 6 years old by 2.4percent to 30.66 percent.

Therefore, the Ministry of Finance proposed to apply a price ceiling on the firms’ milk products for children.
In early May, the Prime Minister approved the proposal, which is oneway of controlling and stabilising the prices of these products inthe coming time.-VNA