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

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

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

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

The ministry’s regulation has been applauded by consumers, who previously had to spend a lot of money to buy milk for their children.

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

According to the investigation report, last year and during the first three months of this year, these companies increased the prices of milk products for children less than 6 years old by 2.4 percent 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 one way of controlling and stabilising the prices of these products in the coming time.-VNA