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Subject:
From:
Kathy Eng <[log in to unmask]>
Reply To:
Lactation Information and Discussion <[log in to unmask]>
Date:
Sat, 5 Feb 2005 16:36:04 -0600
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You asked about can WIC go to Carnation formula? Here is an interesting web 
site packed with a whole overview of the WIC program in the USA. Sounds like 
the answer is that WIC has to use the manufacturer offering the lowest 
price.

http://www.ers.usda.gov/publications/fanrr27/

In Chapter One, Overview of the WIC Program, page 6, it says, "Since 1989, 
Federal law has required that WIC State agencies enter into cost-containment 
contracts for the purchase of infant formula used by WIC. Generally, a State 
agency awards a contract to a manufacturer of infant formula for the 
exclusive right to sell its product to WIC participants. These sole-source 
contracts are awarded on the basis of competitive bids: the firm offering 
the lowest net wholesale cost wins the WIC contract. The contract-winning 
manufacturer is then billed by the WIC State agency for rebates on all 
infant formula purchased by WIC participants with vouchers at authorized 
retail outlets. Any savings from cost containment accrue to the food portion 
of the WIC grant, thereby enabling more persons to be served. In fiscal year 
2001, WIC is projected to receive almost $1.5 billion from infant formula 
rebates, an amount that supports 28 percent of all WIC participants (USDA, 
2000b)."

It goes on to describe other cost containment practices, such as a rebate 
system for infant cereal and infant fruit juice, and limiting WIC food 
selections to the lowest cost brand, etc.

Kathy Eng, BSW, IBCLC 

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