Danone doubles Neocate supply in U.S.

Danone doubles Neocate supply in U.S.

A top executive told Reuters on Wednesday that Danone SA is doubling shipments of Neocate formula for infants allergic to cow's milk, in order to help stem a nationwide shortage of formula.

In February, Abbott Laboratories recalled dozens of types of its Similac, Alimentum and EleCare formulas, creating one of the most urgent food shortages in recent history for U.S. families.

We have increased our supply for Neocate everywhere. The recall of Abbott affected 38 markets - it's not only the U.S., said Magdalena Broseta, Danone's Vice President General Counsel of Specialized Nutrition.

Our factory in Europe is serving multiple markets. The numbers and the volumes and the U.S. are bigger because of the size of the market. The French company didn't say how many cans or tons of product it is exporting.

Danone is the world's second largest baby formula maker after Nestle, but is a relatively small player in the United States, with less than 5% of market share.

When asked if Danone would bring its flagship Aptamil formula into the country, Broseta said the company had been discussing a number of options with the U.S. authorities, and it was easier to increase imports of products already available in the country than introduce new ones.