Bubs ramps up capacity to meet baby formula demand

18 March 2020,

Bubs ramps up capacity to meet baby formula demand

Infant milk formula producer Bubs (ASX:  BUB) has increased production to meet the heightened demand of its products from anxious parents.

In a statement to the ASX Bubs, which produces goat milk infant formula and organic cow milk infant formula, says it has put in place measures to sustain the continued security of its supply chain.

The company is also building an inventory to ensure steady future supply to quickly respond to future surges in demand for baby formula.

"We have greatly increased our capacity and are working to expand our inventory cover and meet the supply needs of our retail partners across both goat milk and organic grass-fed cow's milk-based formula, moving to two shifts per day, with capacity to move to three shifts if required," says Bubs founder and CEO Kristy Carr.

Carr says the company is working closely with Australian retailers to meet domestic demand which, in the most recent half year, accounts for around 70 per cent of total revenue.

"Over the last few weeks, we have worked with our retail partners including Coles, Woolworths, Big W and Chemist Warehouse to ensure distribution and continued supply of the newly integrated Bubs Organic 365 days Grass Fed Infant Formula range as well as our existing Bubs Australian Goat Milk infant formula range," says Carr.

"Meanwhile to assist any Australian family still finding it difficult to access product in their local retail outlet, we have extended our free shipping offer across all orders of baby food and infant formula for any orders made on our own website store; bubsaustralia.com."

Updated at 12:33pm AEDT on 18 March 2020.






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